Market Chatter: Wesfarmers Lacks Near-Term Catalysts to Drive Earnings Upside, Macquarie Says
Wesfarmers (ASX:WES) lacks valuation support and has no near-term catalysts to generate any further earnings upside, Macquarie analysts said, the Australian Financial Review reported Thursday.In a note following Wesfarmers' strategy day, Macquarie analysts said the company's Bunnings and Kmart brands will continue to support returns for the group, alongside positive signals in the company's health and lithium divisions, AFR reported.The equity research firm downgraded its rating on Wesfarmers to neutral, while lifting its target price by AU$1 to AU$85, according to the report.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)