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Investing.com - Jefferies upgraded Nine Entertainment Co Holdings Ltd. (ASX:NEC) from Hold to Buy and raised its price target to AUD1.90 from AUD1.20.
The firm reinstated coverage on Nine Entertainment, citing potential growth in Broadcast Video on Demand (BVOD) and Subscription Video on Demand (SVOD) services that could offset structural declines in free-to-air television.
Jefferies noted that Nine’s streaming service Stan has average revenue per user (ARPU) expansion opportunities, particularly from re-pricing of English Premier League subscriptions in the second half of fiscal year 2026 and advertising revenue in the longer term.
In its publishing segment, Nine Entertainment is likely to extend its agreement with Google, according to the Jefferies analysis.
The firm also expects Nine Entertainment to benefit from increased marketing spending by CoStar, further supporting the upgraded outlook for the media company.
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