In line with Morgans expectation, Pinnacle Investment Management reported FY23 profit of $76.5m, or $53.5m ex-principal investments/performance fees.

For the 2H, funds under management (FUM) closed up 10.5% to $91.9bn and net inflows of $3.1bn were an improvement on the 1H.

The broker makes minor changes to EPS forecasts and lifts its target to $10.70 from $10.50.

While susceptible to short-term market volatility, the broker sees longevity for Pinnacle Investment Management's growth profile via scale from the addition of further affiliates, by either start-up or acquisition. Add. The target falls to $9.35 from $10.05.

Sector: Diversified Financials.

Target price is $9.35.Current Price is $7.64. Difference: $1.71 - (brackets indicate current price is over target). If PNI meets the Morgans target it will return approximately 18% (excluding dividends, fees and charges - negative figures indicate an expected loss).

© 2023 Acquisdata Pty Ltd., source FN Arena