The Breville Group Ltd (ASX: BRG) share price has risen by around 17% since 23 June 2022.
After that sizeable rise in the company's shares, investors may be wondering whether the business is still worth pursuing.
Sometimes a share price can move quickly, making it more (or less) attractive to brokers.
Let's have a look at some of the latest broker ratings.
Expert opinion on the Breville share price
There are many brokers that currently believe Breville is a buy.
Indeed, UBS thinks it is a buy with a reduced price target of $25. It acknowledges the outlook is looking less promising but it's still expecting a small amount of revenue growth in FY23, with a return to better growth in FY24 and a good longer-term outlook.
Morgans also rates the company as a buy with a price target of $25. It also noted that inflation could cause problems on both the revenue and cost side for Breville, but a small amount of growth is still expected in FY23.
Similarly, Morgan Stanley also rates the ASX share a buy with a price target of $25. The broker said the decline in the Breville share price makes it seem attractive, partly because of its global growth potential. It also said the customers that Breville sells to could be less hard hit by inflationary pressure.
Macquarie is yet another broker with a positive rating on the business, though the price target is a little lower at $23.35. Still, that implies a potential upside of around 15%. The broker thinks that Breville can deliver attractive growth over the longer term.
In a recent presentation to investors, Breville noted that it has a "long way to go" and is presented with a "large, untapped opportunity".
Most recent result
For the first six months of FY22, Breville said that revenue was up 23.6% to $878.7 million and net profit after tax (NPAT) increased by 25.1% to $77.7 million. Its dividend was boosted to 15 cents per share, an increase of 15.4%.
It said that there was strong demand across all regions and categories underpinning revenue growth, despite ongoing logistical challenges. Margins were "well managed" with price rises and restrained promotional spending.
Further, the company committed to continue investing in research and development, marketing, and technology to support growth in FY23 and beyond.
In FY22, it's expecting to generate earnings before interest and tax (EBIT) of approximately $156 million.
The company also recently completed the acquisition of LELIT, an Italian business that designs, manufactures, and sells premium 'prosumer' home coffee equipment in Europe and throughout the world. This deal was for a total cost of $140 million.
Breville share price snapshot
Since the beginning of 2022, the Breville share price has dropped by 37%.
