--- title: "James Bales Maintains Buy Rating Despite Defence Digital Contract Loss, Cutting Price Target to A$21.30 While Highlighting Strong Upside and Resilient Growth" type: "News" locale: "en" url: "https://longbridge.com/en/news/291451740.md" description: "Morgan Stanley analyst James Bales maintains a Buy rating on Objective Corporation Limited, lowering the price target to A$21.30 from previous levels. Despite the loss of a Defence Digital Group contract impacting FY26 revenue by A$12–17 million, Bales cites the company's resilient growth profile, diversified customer base, and strong upside potential at the current share price of A$10.30 as key reasons for his positive outlook." datetime: "2026-07-01T18:35:23.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/291451740.md) - [en](https://longbridge.com/en/news/291451740.md) - [zh-HK](https://longbridge.com/zh-HK/news/291451740.md) generator: "portal-rs" --- # James Bales Maintains Buy Rating Despite Defence Digital Contract Loss, Cutting Price Target to A$21.30 While Highlighting Strong Upside and Resilient Growth James Bales, an analyst from Morgan Stanley, maintained the Buy rating on Objective Corporation Limited. The associated price target was lowered to A$21.30. ### End of Quarter Sale - 70% Off - Unlock powerful investing tools and data-driven insights with TipRanks Premium for more confident investment decisions. - Discover top stock picks and new investment opportunities through TipRanks' Smart Investor Newsletter. James Bales has given his Buy rating due to a combination of factors, even after factoring in the Defence Digital Group contract non-renewal and the related downgrade of the price target to A$21.30 from its prior level. He appears to believe that, despite near-term pressure on FY26 annual recurring revenue and the A$12–17 million impact from the lost USP agreement, the core business model and long-term growth profile remain intact and compelling. At the current share price of A$10.30, the implied upside to his revised target is still substantial, supporting a positive risk‑reward view on the stock. In addition, Bales likely views the company’s diversified customer base, resilient recurring revenue streams and margin profile as sufficient to absorb this contract setback while still delivering attractive returns for shareholders over time. According to TipRanks, Bales is an analyst with an average return of -4.1% and a 36.25% success rate. Bales covers the Consumer Cyclical sector, focusing on stocks such as Flight Centre Travel Group Limited, WEB Travel Group, and Temple & Webster Group Ltd. ### Related Stocks - [OCL.AU](https://longbridge.com/en/quote/OCL.AU.md) - [MS.US](https://longbridge.com/en/quote/MS.US.md) - [FLT.AU](https://longbridge.com/en/quote/FLT.AU.md) - [WEB.AU](https://longbridge.com/en/quote/WEB.AU.md) - [TPW.AU](https://longbridge.com/en/quote/TPW.AU.md) - [MS-O.US](https://longbridge.com/en/quote/MS-O.US.md) - [MS-Q.US](https://longbridge.com/en/quote/MS-Q.US.md) - [MS-E.US](https://longbridge.com/en/quote/MS-E.US.md) - [MS-I.US](https://longbridge.com/en/quote/MS-I.US.md) - [MS-L.US](https://longbridge.com/en/quote/MS-L.US.md) - [MS-P.US](https://longbridge.com/en/quote/MS-P.US.md) - [MS-A.US](https://longbridge.com/en/quote/MS-A.US.md) - [MS-F.US](https://longbridge.com/en/quote/MS-F.US.md) - [MS-K.US](https://longbridge.com/en/quote/MS-K.US.md) ## Related News & Research - [Objective Corporation Limited Just Recorded A 7.8% EPS Beat: Here's What Analysts Are Forecasting Next](https://longbridge.com/en/news/297442676.md) - [Jefferies Sticks to Their Hold Rating for Objective Corporation Limited (OCL)](https://longbridge.com/en/news/291573516.md) - [Qantas Airways Limited (QUBSF) Gets a Buy from Morgan Stanley](https://longbridge.com/en/news/297981211.md) - [Is Sandfire Resources (ASX:SFR) Above Fair Value After Strong Results And Its Dividend Affirmation?](https://longbridge.com/en/news/297860811.md) - [Ord Minnett Sticks to Its Hold Rating for Alliance Aviation Services Limited (AQZ)](https://longbridge.com/en/news/297841051.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**