Jefferies trims PT on Australia's GrainCorp on lower HY margins
16/05/2024 19:25
** Analysts at Jefferies see an earnings downside from
GrainCorp's GNC.AX lower margins
** Brokerage cuts its price target on diversified
agricultural firm to A$8.90 from A$9.10
** GNC posted on Thursday a decline in HY supply chain and
crush margins from both its agribusiness and processing segments
** Jefferies also cuts its FY24-26 earnings estimates for
GNC by 2-3%
** "1H24 has set FY24 to be slightly below original
expectations, but as global grain production normalises, El Niño
conditions come to an end, and growing conditions in East Coat
Australia improve, we view FY24 as trough" - Brokerage
** Stock up 11.7% YTD, as of last close
(Reporting by Aaditya Govind Rao in Bengaluru)
((Aaditya.govindrao@thomsonreuters.com;))