Team Internet (formally CentralNic) has had its target price adjusted to 180p by Berenberg, which notes that implies 45% upside from the current share price.
A trading update this morning said the outlook for the current year is “at least” in line with expectations: The current consensus range is US$783m-834m (the mid-point is $808.5m) for gross revenue and $91m-98m for adjusted EBITDA (the mid-point is $94.5m).
Team Internet’s cash-generative model enables it to invest in organic initiatives, as well as return cash to shareholders via its relatively newly announced dividend (US$3.6m) and share buyback programme (US$30.2m), said the broker.
The shares are trading on a 7.3 times full-year 23e P/E ratio and remain a buy, said the broker.