Seek – FY21 Outlook Upgraded

Posted on | by Leon Hinde

SEK:ASX is under Algo Engine buy conditions.

Seek announced a strategic refocus with ‘SEEK’ and Investments. Seek will focus on the existing business and Investments, being an investor and business builder, allowing Seek Investments to access third-party capital.

1H21 result with EBITDA of $246m.

Revenue will likely increase from $1.7bn, (in FY21), to $2bn in FY22, EBIT to increase from $270m to $400m. The forward div yield remains at less than 1% and 50x FY22 PE ratio.

Seek offers terrific growth prospects, but the valuation remains stretched.