BUZZ - Jefferies initiates coverage on Australian Superloop with a "Buy" rating, citing improving earnings quality

October 13 - ** Jefferies analysts initiated coverage on Superloop (SLC.AX) with a "Buy" rating and a target price of AUD 3.60 per share

** The broker noted that SLC underperformed the ordinary share index (.AORD) last quarter as investors remain concerned about domestic rivals such as Telstra (TLS.AX), Optus, and overseas entrants like Starlink from SpaceX (SPCX.O)

** According to Jefferies, SLC's "Smart Communities" business—which provides Fiber to the Premise (FTTP) services and owns "last mile" fiber infrastructure for new residential developments—is regarded as a quality profit source for SLC

** The broker expects "Smart Communities" gross profit to grow from AUD 17 million in fiscal 2026 to AUD 40 million in fiscal 2029

** According to data compiled by LSEG (London Stock Exchange Group), out of 10 analysts, 8 have a "Buy" or higher rating for the stock, and 2 rate it as "Hold"; the median target price is AUD 3.75

** As of the previous trading day's close, the stock has fallen 7.7% year-to-date

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