It has been a difficult year for ASX financials stock Navigator Global Investments Ltd (ASX: NGI).
Navigator is a holding company – one that holds interests in other companies.
It describes itself as an alternative asset management company with diverse partnerships across investment styles, product types, and client bases.
The Company has 29 Partner Firms (of which 17 form the NGI Stable Growth Portfolio), all of which are established alternative asset managers who operate businesses diversified across investment style, product type and client base.
Year to date, its share price has fallen approximately 20%.
However, Morgan's has updated its outlook following the company's Assets Under Management Update.
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What did the company report?
Last week, Navigator Global Investments announced:
- Ownership-adjusted AUM increased by 6% to USD33.6 billion in Q4, up 21% over the last 12 months
- NGI Strategic AUM up 3% to over USD13 billion
- Total Partner Firm AUM up 7% to USD104 billion.
Speaking on the results, the company said ongoing geopolitical uncertainty, interest rate volatility and changing market conditions continue to create both opportunities and challenges for alternative investment strategies.
Looking to FY27, the company said there is a focus on continued AUM growth across LHP and NGI Strategic in Q4 provides a solid platform entering FY27, supplemented by the expected contributions from the NGI Stable Growth Portfolio.
Morgan's updated view
Yesterday, this ASX financials stock closed trading at $2.38 per share.
The team at Morgans provided commentary on the company following its AUM release.
NGI has released its June 2026 (4Q26) AUM update. We saw this as another broadly solid quarter, marked by a +6% increase in group ownership-adjusted AUM despite volatile markets, and with continued robust quarterly net flows into Lighthouse (+US$690m).
We revise our NGI FY26F/FY27F EPS by +1%/-2%/-4%, with higher AUM forecasts offset by slightly lower operating margin assumptions. Our price target is reduced to A$3.13 (previously A$3.39). With >20% upside remaining to our PT, we maintain our BUY recommendation.
Despite lowering its price target, the updated target price from Morgans indicates a 31% upside for the ASX financials stock.
Morgans isn't the only broker with an optimistic view for this company.
Recently, the team at Macquarie has a price target on the company of $3.28 along with an outperform rating.
Macquarie said the company has a strong platform entering FY27.
