** Citi is optimistic on Perpetual PPT.AX on the back of foreign exchange benefits, while co's upcoming Q2 update in focus

** Brokerage retains "buy" rating and price target of A$22.5

** Citi expects weakening Aussie dollar is likely to lead to a solid lift in closing assets under management (AuM)

** The corresponding lift in revenue is, however, likely to be partially offset by a rise in expenses - Citi

** Brokerage upgrades EPS guidance by 4% and 1% for fiscal 2025 and 2026 respectively

** 7 of 9 analysts rate the stock "buy" or higher, 2 "hold"; their median PT is A$23.8 – LSEG data

** Perpetual up 2.5% so far this year, in line with a 2.3% rise on the benchmark ASX 200 index .AXJO

(Reporting by Nikita Maria Jino in Bengaluru; editing by Diane Craft)

((Nikita.Jino@thomsonreuters.com;))