CGF – Morgans rates the stock as Add

Challenger reaffirmed its guidance metrics at its investor day and expects returns and margins will benefit from higher recent bond yields and wider spreads.

Morgans likes the new strategy idea that the company’s SaaS Investment Administration platform can/will compete against the likes of State Street, via providing a better service at a lower cost.

Morgans maintains its Add rating and raises its target price to $8.21 from $8.14.

Sector: Diversified Financials.

 

Target price is $8.21.Current Price is $7.53. Difference: $0.68 – (brackets indicate current price is over target). If CGF meets the Morgans target it will return approximately 8% (excluding dividends, fees and charges – negative figures indicate an expected loss).

 

 

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