The measure of success for Tabcorp Holdings' strategic shift will start in the second quarter of FY23 with the Spring Carnival, Ord Minnett notes, and the outcome of new competition, but also, importantly, will provide a clearer picture for the road to retail recovery.

The WA licensing process could generate an interesting response from Tabcorp, the broker suggests, if the company is successful, although there is a good chance the licence award will be delayed as it has been many times before.

A stabilisation in digital market share is incrementally positive, although Ord Minnett is cautious given the significant shift in market dynamics to come from the December quarter.  Lighten and 90c target retained.

Sector: Consumer Services.

Target price is $0.90.Current Price is $0.98. Difference: ($0.08) - (brackets indicate current price is over target). If TAH meets the Ord Minnett target it will return approximately -8% (excluding dividends, fees and charges - negative figures indicate an expected loss).

© 2022 Acquisdata Pty Ltd., source FN Arena