Given Treasury Wines (TWE) undemanding valuation compared to other luxury brand owners, we see value in TWE,” Raymond said.
“With Penfolds outperforming expectations (makes up approximately 72% of our valuation) and a clear strategy to improve performance at Treasury America and Treasury Premium Brands, we expect earnings to accelerate from the second half of 2024 onwards.
“While risks remain, we back this management team to deliver.
“The key near-term share price catalyst is if China removes the tariffs,” 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.