The share price of the ASX-listed WiseTech Global Limited (AU:WTC) reached an all-time high following the release of its half-yearly results for FY24. WTC shares gained 11.15% in today’s trading session, leading to a year-to-date gain of over 16%.
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WiseTech Global provides cloud-based software solutions, specializing in end-to-end logistics management through its flagship product, CargoWise.
Strength in Financial Performance
For the first half, WiseTech’s revenues increased 32% to AU$500 million compared to the same period a year ago. The company’s EBITDA grew by 23% year-over-year to AU$230 million. WiseTech implemented price hikes to counter inflationary effects. It remains on schedule to achieve $15 million in net savings this fiscal year, which is part of its $40 million cost-cutting initiative.
Revenue generated from the company’s primary software, CargoWise, surged by 40%. Notably, the software has now been adopted by 13 of the leading 25 global freight forwarders.
WiseTech announced an interim dividend of AU$.077 per share, marking a 17% increase from HY23.
Bullish Outlook Ahead
Following the strong first-half performance, WiseTech upheld its full-year revenue and EBITDA guidance, while raising the upper end of its EBITDA margin forecast.
The revenue for the full fiscal year 2024 is expected to be between AU$1.04 billion and about AU$1.10 billion. EBITDA for FY 2024 is anticipated to be in the range of $455 million to $490 million.
What is the Target Price for WiseTech?
According to TipRanks’ rating consensus, WTC stock has a Moderate Buy rating, backed by three Buy and three Hold recommendations. The WiseTech Global share price forecast is AU$81.04, indicating a possible downside of 8.41% from the current level.
