Qantas Airways' 1H result was better than Morgans feared. Underlying profit (NPBT), despite falling by -12.8% on the previous corresponding period, was in line with the consensus forecast.

No formal FY24 guidance was provided, but management sees strong travel demand in the 2H2 across all its businesses. The broker notes overall outlook commentary implies a downgrade to the FY24 consensus estimate.

The target falls to $6.75 from $7.30. Morgans feels the share price is oversold and maintains an Add rating.

Sector: Transportation.

Target price is $6.75.Current Price is $5.16. Difference: $1.59 - (brackets indicate current price is over target). If QAN meets the Morgans target it will return approximately 24% (excluding dividends, fees and charges - negative figures indicate an expected loss).

© 2024 Acquisdata Pty Ltd., source FN Arena