Pinnacle Investment Management (PNI) – Measuring up

Pinnacle Investment Management Group operates as an investment management company. It offers third party distribution, along with fund infrastructure and support services to its affiliates and various investment managers. It also operates as a corporate trustee and responsible entity for retail and wholesale investment trusts. The company is based in Sydney.

Ord Minnett has reviewed its Pinnacle Investment Management (PNI) model post the June quarter, leading to earnings estimate upgrades for FY26 and FY27, driven by growth in funds under management, although our FY25 forecast is reduced as we account for lower expected performance fees in the second half of the fiscal year. Despite our performance fee downgrades, we still see strong inflows for the June quarter, noting our forecast is circa 6% above broader market expectations.

Post the review, our FY25 EPS estimate falls 3.2%, while our FY26 and FY26 forecasts increase 3.8% and 5.1%, respectively. This leads us to raise our target price on Pinnacle to $26.10 from $24.80, while we maintain our Buy recommendation.

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