Bhagwan Marine (ASX:BWN) will see full the benefit of the Riverside Marine acquisition in 2027, and the opportunities across the business remain, despite a disappointing trading update, Euroz Hartleys said in a note on Tuesday.
Bhagwan's consolidated fiscal year 2026 EBITDA is expected to be in the range of AU$44.5 million to AU$46.5 million. The analysts had forecast EBITDA of AU$57.5 million.
There remain numerous projects in oil and gas, defense, and marine infrastructure, which includes decommissioning and supports the idea of significant utilization increases over 2027 and the medium term. The demand drivers that support the investment case "are seemingly still in place."
The investment firm retained its buy rating and a price target of AU$0.87, which was placed under review.
Bhagwan Marine's shares tumbled 28% in recent Tuesday trade and earlier hit a record low.