Ashtead Group PLC
AHT: XLON (GBR)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
GBX 1,484.00 | Phwxj | Fzhmvbxzh |
Ashtead Earnings: Slower Growth Guidance Underwhelms; Maintaining Our Fair Value Estimate
Soft rental revenue growth guidance of between 5% and 8% for fiscal 2025 has underwhelmed the market, sending shares in no-moat Ashtead 4% lower. Full-year rental revenue grew 11% in fiscal 2024 and current guidance signals a slowdown in growth from the double-digit levels achieved during the last 3 fiscal years. Shares are trading broadly in line with our GBX 5,300 fair value estimate, which we maintain.