Jefferies ups PT for Australia's Metcash, notes positive momentum in hardware segment

** Analysts at Jefferies raise price target for Metcash MTS.AX to A$4.50 from A$4.30; retains "buy" rating

** Jefferies says MTS' hardware sales were ahead of consensus for the first 18 weeks of FY26, with IHG and Total Tools outperforming expectations

** "We had been concerned it may have been too early for an improvement in Hardware sales, but update suggests positive momentum" — Jefferies

** However, brokerage says MTS' food & liquor sales for first 18 weeks of FY26 were below consensus

** Brokerage cuts FY26 earnings before interest and taxes forecast for the consumer staples firm by 5% due to A$19 million additional costs expected to be incurred in FY26

** "Trade activity remains subdued, but retail margin recovery in 2H25 has been sustained" — Jefferies

** Seven of 11 analysts rate the stock "buy" or higher; four hold; their median price target is A$4.35, as per data compiled by LSEG

** Stock up 30% YTD, as of last close