2307 GMT - Nick Scali's brand and order volumes could suffer as a result of the Australian furniture retailer's problems with one of its freight forwarder, Citi analyst Sam Teeger warns. The ASX-listed company has been waiting on products in containers stranded due to the freight forwarder's financial problems, and Teeger points out in a note that customers are already writing negative online reviews about delayed deliveries. Teeger thinks Nick Scali's fiscal 2025 profit could take a A$3 million hit from direct costs, delays and canceled orders. Citi trims its target price 3.9% to A$15.31 but keeps a buy rating on the stock. Shares are at A$13.84 ahead of the open. (stuart.condie@wsj.com)
(END) Dow Jones Newswires
November 20, 2024 18:07 ET (23:07 GMT)
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