2335 GMT - Brambles doesn't appear to be overly reliant on less-proven digital strategies to hit its medium-term targets, which appeals to Citi analyst Samuel Seow. He likes the pallet giant's focus on traditional operating efficiencies, with automation and operating-expense moderation shaping as the key drivers of margin expansion. Seow tells clients in a note that the anticipated improvement in profitability makes him wonder whether Brambles' free cashflow guidance is conservative, but observes that there could be a material spend on pallet serialization that has yet to be quantified. Citi raises its target price 6.6% to A$18.50 and stays neutral on the stock, which is at A$18.54 ahead of the open. (stuart.condie@wsj.com)
(END) Dow Jones Newswires
September 16, 2024 19:35 ET (23:35 GMT)
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