GenusPlus Group Ltd (ASX: GNP) shares could be in the buy zone right now.
That's the view of analysts at Bell Potter, which rate this ASX All Ords stock very highly.
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What is the broker saying?
Firstly, in case you are not familiar with this ASX All Ords stock, it is a service provider to mining, utilities, and other private customers across electrical plant and equipment, power, and telecommunications infrastructure.
Bell Potter highlights that GenusPlus has upgraded its earnings guidance for FY 2026 thanks to a stronger than expected first half from the Energy & Engineering and Services segments. It said:
GNP has upgraded its FY26 EBITDA growth guidance to ~35% (up from the prior guidance range of 20-25%; vs BPe of 23%). The guidance upgrade is attributed to better-than-expected 1H FY26 unaudited financial results from the Energy & Engineering and Services segments, with Infrastructure performing as per company expectations. GNP remains confident in continued earnings growth beyond FY26 given its contracted position, integration of recent acquisitions and increased momentum in secular tailwinds.
Time to buy this ASX All Ords stock
In response to the above, Bell Potter has reaffirmed its buy rating on this ASX All Ords stock with an improved price target of $8.70 (from $7.50).
Based on its current share price of $7.57, this implies potential upside of 15% for investors over the next 12 months.
Bell Potter is positive on GenusPlus due to its exposure to increased spending on renewable energy generation, storage, and transmission infrastructure. It believes this leaves it well-placed for strong growth in both FY 2026 and FY 2027. Earnings per share growth of 33.9% and 16.9%, respectively, is forecast by the broker.
Commenting on the ASX All Ords stock, its analysts said:
GNP offers investors concentrated exposure to a long-duration tailwind in rising investment levels for renewable energy generation, storage and transmission infrastructure. GNP's current record $2.6bn+ orderbook of transmission and BESS work packages confirms this secular trend. Together, with a growing recurring revenue profile, we have good visibility on near-term earnings growth.
We highlight management's track-record of exceeding guidance over the past 2 years; the FY26 guidance upgrade this early in the financial year is highly encouraging of further positive surprises to come. Our upgraded Target Price of $8.70/sh implies a NTM PEG of 1.2x, which we view as justified given our confidence in the company's outlook.
