A number of ASX 300 stocks have released their results in recent days.
Three companies that have caught the attention of analysts at Morgans (for good and bad) are listed below.
The broker thinks two of these stocks are buys and one is a sell. Let's see what it is saying about them following their results releases:
Dexus Industria REIT (ASX: DXI)
The first ASX 300 stock that has been given the thumbs up by Morgans is Dexus Industria REIT. It is a property company with a focus on industrial assets.
Morgan was pleased with its in-line result and upgraded guidance for FY 2025. It said:
The FY24 result was in line with upgraded guidance with rental growth helping to offset loss of income from asset sales. Occupancy strong at +99%. FY25 guidance comprises FFO of 17.8c (+2.3% on the pcp) and DPS of 16.4c which equates to an implied distribution yield of 5.8%. The balance sheet remains solid with look-through gearing around 27% ensuring there is capacity to complete the committed development pipeline which will enhance future rental growth. Asset sales are also likely to be considered.
Morgans has an add rating and $3.16 price target on its shares.
Treasury Wine Estates Ltd (ASX: TWE)
Another ASX 300 stock that delivered the goods for the broker is wine giant Treasury Wine. And with its shares trading on attractive multiples, it thinks now is the time for investors to pounce. The broker said:
TWE's FY24 result held few surprises given the company's recent trading updates. Pleasingly, its two Luxury portfolios and cashflow all slightly beat guidance. The much smaller and low margin Treasury Premium Brands (TPB) disappointed. Importantly, its targets for both of its Luxury wine businesses over the next few years were reiterated, and if delivered, will underpin double digit earnings growth out to FY27. While not without risk given macro headwinds, TWE's trading multiples look attractive to us. and we maintain an Add recommendation.
Morgans has an add rating and $14.80 on the company's shares.
Telstra Group Ltd (ASX: TLS)
While almost all major brokers are feeling bullish about this telco giant, Morgans isn't as upbeat.
It didn't see anything in Telstra's FY 2024 result that makes it want to change its reduce recommendation. Morgans said:
The FY24 underlying result came in towards the lower end of expectations. NPS (customer advocacy) and return on capital continue to improve while the heavily lifters remained Mobile (61% of EBITDA and +9% yoy) and InfraCo Fixed (21% of EBITDA and +6% yoy). Growth here more than offset declines elsewhere. We recommend a REDUCE rating.
Morgans has a reduce rating and lowly $3.20 price target on the ASX 300 stock.
