GrainCorp offers strong earnings visibility into FY23, FY24 - UBS

Graincorp

06/12/2022 02:06

** UBS says Australia's GrainCorp GNC.AX  has strong
earnings visibility into FY23 and increasingly FY24, with
potential upside risk underpinned by favourable weather and
macro conditions
    ** Says current strong soil moisture levels should be highly
supportive for the agribusiness' plantation segment in FY24
    ** Brokerage keeps PT unchanged at A$8.65; maintains "Buy"
rating
    ** Adds that co needs to monitor the risk of a possible
return to El Nino weather around mid CY23
    ** Meanwhile, analysts at brokerage Jefferies rate GNC
"Hold" and gives Price Target of A$8.70
    ** Shares down as much as 1.1% today
    ** Five of 10 analysts rate the stock "buy" or higher, while
four have "hold" and one recommend "sell;" their median PT is
A$8.68– Refinitiv data
    ** Stock has fallen 1.2% this year, as of last close
 (Reporting by Rishav Chatterjee in Bengaluru)
 ((Rishav.Chatterjee@thomsonreuters.com;))