2143 GMT - Treasury Wine Estates' bull at Citi isn't sure what impact to expect from the Australian producer's failure to find a buyer for its budget portfolio. Analyst Sam Teeger is surprised that Treasury is going to retain its commercial portfolio and sees a range of possible outcomes on the business. He had worried that divesting lower-performing brands including Wolf Blass would be EPS dilutive, but now wonders whether retaining them could depress medium-term EPS growth. However, Treasury's renewed commitment could lead to improved performance, he adds. Citi raises its target price 6.8% to A$13.85 and keeps a buy rating on the stock. Shares are at A$10.51 ahead of the open. (stuart.condie@wsj.com)
(END) Dow Jones Newswires
February 13, 2025 16:43 ET (21:43 GMT)
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