Analysts at Jefferies have increased their price target on Australia’s Treasury Wine Estates (ASX:TWE), moving from A$13.00/share to A$13.50/share.

Earlier this week, TWE noted it was well positioned to deliver growth in fiscal 2024, buoyed by increasing global demand for luxury wine this year.

The brokerage mentioned that the management’s statements were in line with market estimates, and added that the company would now concentrate on addressing the potential cessation of China tariffs.

Despite having redistributed more wine than expected to markets other than China, Jefferies believes that China will likely eventually reopen its market to Australian wine.

The stock ended Tuesday 2.8% higher, but has seen a 14% decline so far this year.

Treasury Wine Estates (ASX:TWE) is a leading Australian wine company, known for its focus on luxury labels and extensive global presence.