S& P 500 hits all time highs U.S.-Japan trade deal optimism
JPMorgan upgraded Ninety One Group (N91:LN) (OTC:NINTF) from Underweight to Neutral on Tuesday, raising its price target to GBP1.78 from GBP1.32, representing a 35% increase.
The upgrade follows Ninety One’s first positive net flow since March 2022, alongside an improving backdrop for emerging markets investments and strong performance of the MSCI EM index, which has gained 11% year to date.
JPMorgan now forecasts small positive net flows for Ninety One in fiscal year 2026, a revision from previously expected outflows, contributing to approximately 7% higher assets under management forecasts and a 17% average increase in adjusted earnings per share projections.
The investment bank cited these improved metrics as evidence of "an inflection point for Ninety One’s net flows and AuM growth," leading to the significant price target adjustment and rating upgrade.
Despite the positive outlook, JPMorgan noted that given Ninety One’s "recent very strong performance, and geopolitical risks remaining prevalent," the firm would need to see "much better flows than the ones embedded in our updated forecasts for the shares to outperform from current levels."
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