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Region Group Holds Potential for Aggressive Earnings Growth, Says Jefferies

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Region Group (ASX:RGN) has potential for "more aggressive earnings" growth, supported by debt margin improvements and share buybacks, Jefferies said in a note on Tuesday.

The company's June property valuations suggested a slowing pace across the neighborhood retail sector. Despite weaker retail transaction activity and market uncertainty, it managed to clock in a 1% like-for-like valuation increase.

The investment firm said Region is trading at over 5% discount to its December 2025 Net Tangible Asset (NTA) value, and it continues to see more compelling value elsewhere.

Jefferies maintained a hold rating and price target of AU$2.40 on Region Group.

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