BUZZ-Australia's Data#3 eyes best day in nearly two months, UBS upgrades to 'buy'

Reuters
04-10
BUZZ-Australia's Data#3 eyes best day in nearly two months, UBS upgrades to 'buy'

** Shares of Data#3 DTL.AX rise 5.4% to A$7.285

** Stock set for strongest session since February 19, if gains hold

** UBS upgrades stock to "buy" rating from "neutral", keeps price target at A$8.10

** Analysts at UBS say given DTL's exposure to government and 3-5 year contracts in software, revenue should be

relatively defensive

** However, brokerage lowers estimates for FY26 gross profit growth to +6% y-o-y from +10%, EPS to A$0.30 from A$0.33 driven by current trade war uncertainty

** "Our PT is unchanged because FY26 EPS in isolation has been cut materially, with immaterial changes to long term estimates" - UBS

** Stock rated 'hold' on average, their median PT is A$8.45 - data compiled by LSEG

** Shares up 14.1% YTD, including moves in current session

(Reporting by Jasmeen Ara Shaikh in Bengaluru)

((JasmeenAraIslam.Shaikh@thomsonreuters.com;))

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