Morgans considers FY21 to have been a strong year for MoneyMe, with the company closing out the year with revenue of around $58m, a 21% increase on the prior comparable period. 

With much of MoneyMe's FY21 results released with the fourth quarter trading update, eyes were on FY22 expectations. The broker considers MoneyMe to be positioning itself for a strong FY22, and believes its new product suite targeting niche under-serviced markets has potential to drive top-line growth.

The broker updates earnings per share forecasts by -19% and -2% for FY22 and FY23 respectively given revised revenue and margin assumptions. 

The Add rating is retained and the target price increases to $2.28 from $2.25.

Sector: Diversified Financials.

Target price is $2.28.Current Price is $2.02. Difference: $0.26 - (brackets indicate current price is over target). If MME meets the Morgans target it will return approximately 11% (excluding dividends, fees and charges - negative figures indicate an expected loss).

© 2021 Acquisdata Pty Ltd., source FN Arena