Risk Reward Update

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M

Update

July 31, 2026 06:21 PM GMT

Morgan Stanley Australia Limited+

SEEK Limited | Asia Pacific

Andrew McLeod

Equity Analyst

Risk Reward Update

What’s Changed

SEEK Limited (SEK.AX)

From

To

Price Target

A$21.00

A$20.00

Base Case

A$21.00

A$20.00

Updated Components

SEEK Limited (SEK.AX, SEK AU)

EPS

Australia Media, Internet and Technology | Australia

Bull Base Bear Scenarios

Stock Rating

Industry View

Price target

Shr price, close (Jul 31, 2026)

52-Week Range

Risk Reward for SEEK Limited (SEK.AX) has been updated

Reason for change

What's new? Recent soft macro data and industry checks, prompt us to mark-tomarket for lower AU Job Listings over the period FY26-28e.

Earnings impact? We now forecast modest negative FY27e AU Job Listings growth

of -5% (was +2%). We do not change yield forecasts and are confident SEK will be

Fiscal Year Ending

EPS (A$)**

Prior EPS (A$)**

Overweight

Attractive

A$20.00

A$14.69

A$29.84-11.75

06/25 06/26e 06/27e 06/28e

0.71

0.55

0.63

0.69

0.79

0.86

Unless otherwise noted, all metrics are based on Morgan Stanley ModelWare

framework

** = Based on consensus methodology

e = Morgan Stanley Research estimates

able to deliver double-digit yield growth as it has demonstrated in recent years. As a

result, our FY26e EPS is unchanged at A$0.549, but FY27e EPS moves -8% to A

$0.63 (was A$0.69) and FY28e EPS -8% to A$0.79 (was A$0.86).

Investment thesis & valuation impact? History shows that SEK is the "deepest"

cyclical of the AU digital classified businesses; thus, the risk profile is wide around

FY27-28e EPS outcomes. Importantly, we have conviction in SEK's ability to achieve

DD yield growth across FY27-28E. We remain OW, whilst the risk of further EPS

revisions is higher than peers, the stock is also by far the cheapest on P/E 16x and

EV/EBITDA 8x FY27E. Our PT is A$20/shr (was A$21), upside of +35%.

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