Australia's Elders slips; Citi positive on growth potential

Elders

27/11/2023 23:56

** Brokerage Citi remains positive on Elders Ltd's  ELD.AX 
growth potential, keeps rating at "neutral"  
    ** Brokerage expects co to improve its working capital
management via system modernisation and transition from a
brand-centric storage to flexible storage and distribution model
    ** Elders shares down 0.7% at A$7.365 during early trade 
    ** Citi says co's wholesale segment is aiming to get to A$1
bln ($660.80 mln) of revenue, which will provide a platform for
ELD to engage in acquisitions
    ** Brokerage, however, sees concerns surrounding CEO
succession plan for co 
    ** Three of 11 analysts rate the stock "buy", eight as
"hold"; their median PT is A$7.76 – LSEG data 
    ** Elders stock down 27.5% this year, as of last close

   ($1 = 1.5133 Australian dollars)

 (Reporting by Nausheen Thusoo in Bengaluru)
 ((Nausheen.Thusoo@thomsonreuters.com;))