What happened
Stockbroker Bell Potter upgraded metal detector and electronics manufacturer Codan Ltd from hold to buy, lifting its price target to $60.00. Despite monitoring potential global electronics supply chain constraints, the broker expects expanding production rates of Group 2 Unmanned Aerial Systems to drive significant revenue upgrades in the communications division across 1H27 and FY27.
Why it matters here
Defensive tech and communications hardware manufacturers on the ASX offer growth exposure outside standard retail and financial sectors. Investors gain insight into how niche industrial manufacturing companies are successfully leveraging expanded product lines and global technology demand to overcome broader macro headwinds.
What to watch
Codan's upcoming half-year financial update and management commentary regarding global electronic component availability alongside Group 2 Unmanned Aerial Systems sales.
Source
fool.com.au