Australia's Adbri: MS says Alcoa contract extension to boost FY22 earnings

Adbri

18/01/2022 04:41

** Morgan Stanley says contract extension secured by
 ABC.AX  is worth A$25 mln-A$35 mln ($17.97 mln-$25.16 mln)
    ** The construction minerals producer had announced
quicklime supply contract extension with U.S.-based Alcoa on
Jan. 17  urn:newsml:reuters.com:*:nL4N2TX0VR
    ** Brokerage expects attractive margins given the short-term
nature of this contract and ABC's consolidation of its kiln
capacity
    ** Keeps rating at "overweight" and PT at A$3.30 
    ** Four of 10 analysts rate the stock "buy", five "hold" and
one "sell" their median PT is A$3.50 – Refinitiv
    ** Stock has risen 6% this year, as of last close,

($1 = 1.3912 Australian dollars)

 (Reporting by Jaskiran Singh in Bengaluru)
 ((Jaskiran.Singh@thomsonreuters.com;))