Morningstar raises Australia's Adbri fair value estimate, earnings view

Adbri

17/12/2023 20:19

** Morningstar hikes fair value estimate and FY23 earnings
forecast for Australian construction materials firm Adbri
 ABC.AX  
    ** Raises FY23 EBITDA outlook to A$310 mln ($207.58 mln)
from A$308 mln 
    ** Hikes fair value estimate for ABC by 5% to A$2.00 
    ** Brokerage says it encouraged by management's improved
FY23 EBITDA expectations due to more stable demand than
initially expected 
    ** Forecasts ABC balance sheet to remain stretched in 2023,
peaking in 2024 
    ** Beyond 2024, brokerage thinks balance sheet will
gradually return to healthy levels
    ** One of 12 analysts rate the stock "buy" or higher, seven
"hold" and four "sell"; their median PT is A$2.26 – LSEG data
    ** ABC stock up 37.2% YTD


($1 = 1.4934 Australian dollars)

 (Reporting by Echha Jain in Bengaluru; Editing by Alexander
Smith)
 ((Echha.jain@thomsonreuters.com))