Jefferies upgrades Nuix stock rating to Buy despite price target cut

Published 25/08/2025, 08:56
Jefferies upgrades Nuix stock rating to Buy despite price target cut

Investing.com - Jefferies has upgraded Nuix Ltd (ASX:NXL) to Buy from Hold while slightly lowering its price target to AUD2.50 from AUD2.60.

The research firm acknowledged that Nuix has faced a challenging fiscal year 2025, experiencing higher than average customer churn as the company focuses on expanding its larger customer base.

Jefferies noted that Nuix’s planned rollout of V10 for components and Neo Foundation is expected to address some of the customer retention issues the company has been experiencing.

The firm pointed out that Nuix has not yet provided numerical guidance for fiscal year 2026, which Jefferies views as "a good prudent approach" under the circumstances.

Despite the small reduction in price target, the upgrade to Buy rating suggests Jefferies sees potential upside for Nuix shares following the challenges of FY25.

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