The Endeavour Group Ltd (ASX: EDV) share price is continuing its slide on Friday.
The drinks company's shares are currently down 1% to $5.29.
This means its shares are now trading at a record low.
Is the Endeavour share price a bargain buy?
While the weakness in the Endeavour share price is disappointing for shareholders, it could be a buying opportunity for others based on what brokers are saying.
For example, the team at Ord Minnett currently has an accumulate rating and $6.10 price target on its shares, whereas Macquarie has an outperform rating and $6.40 price target on them. This implies a potential upside of 15% and 21%, respectively, over the next 12 months.
But the most bullish broker is arguably Goldman Sachs. It has the company's shares on its coveted conviction list with a buy rating and a $6.60 price target.
This suggests a potential upside of approximately 25% for investors between now and this time next year.
But the returns won't stop there. Goldman is forecasting fully franked dividends of 22 cents per share in FY 2024. This would mean an attractive dividend yield of 4.15%, boosting the total potential return beyond 29%.
Its analysts see a lot of value in its shares at current levels. They commented:
Our Buy thesis on the stock is based on the following key drivers: 1) Market share gain (already 40% market share) in defensive alcohol retail from consumer data and loyalty advantages; 2) Organic reopening beneficiary with its hotels/pubs business back to pre-COVID sales/property. We believe EDV is trading at a relatively attractive valuation, with potential downside from EGM tax changes already fully priced in. We are Buy rated (on CL) on EDV.
Overall, this could make it worth considering Endeavour while its shares are trading at record lows.
