The Treasury Wine Estates Ltd (ASX: TWE) share price has hit a new 52-week low, prompting investors to consider whether it’s a good time to buy this ASX dividend share. The recent slide in the share price can be attributed to a sell rating from Citi analysts, who set a price target of $10.25.
Despite this downgrade, there are still positive sentiments surrounding the company. Goldman Sachs, for instance, reiterated its buy rating and $14.20 price target on Treasury Wine shares. This implies a potential upside of over 30% for investors over the next year.
In addition, Goldman Sachs expects attractive dividend yields from this ASX share. Their projections indicate dividends of 35 cents per share in FY 2023, 39 cents per share in FY 2024, and 44 cents per share in FY 2025. These figures correspond to yields of approximately 3.2%, 3.6%, and 4%, respectively.
According to Goldman Sachs, the recent decline in the share price presents an opportunity for investors to acquire a high-quality company at an attractive price. The firm views Treasury Wine as having a long-term moat and global scalable upside.
Moreover, Motley Fool Australia analyst Benny Ou also remains positive on this ASX dividend share. He suggests that the current situation could be a buying opportunity for investors.
As with any investment, it’s important to consider different perspectives and opinions. While there are analysts who believe in the company’s potential, it’s crucial to conduct thorough research and make informed decisions based on individual risk tolerance and investment goals.
In summary, Treasury Wine Estates has reached a new 52-week low, prompting some investors to consider buying the stock. Although a recent downgrade from Citi analysts may have contributed to the decline in share price, others, like Goldman Sachs, maintain positive outlooks on the company. It’s advisable for investors to carefully evaluate the investment opportunity and consider the various perspectives before making any decisions.
