“Macquarie (MQG) has given a market update as part of its annual general meeting (AGM) last week,” Raymond said.
“The update pointed to a weaker than expected first quarter 2024, with short-term outlook commentary softened for a number of divisions.
“We downgrade Macquarie (MQG) FY24F/FY25F EPS by approx. 8% respectively on softer earnings assumptions across Macquarie Capital, CGM and MAM.
“Our PT is reduced to approx. A$194 (previously A$202).
“We acknowledge cycling an extremely strong financial year 2023 result will likely prove difficult for Macquarie (MQG), but we remain confident in the medium-term outlook for the franchise.
“With more than 10% share price upside to our price target, we maintain our ADD recommendation,” Raymond said.
Important: This content has been prepared without taking account of the objectives, financial situation or needs of any particular individual. It does not constitute formal advice. Consider the appropriateness of the information in regards to your circumstances.