Australia's Iluka Resources soars, Goldman Sachs raises FY23 earnings view

Iluka Resources

24/01/2024 02:42

** Shares of Iluka Resources  ILU.AX  rise as much as 11.3%
to A$7.38, set for best day since June 30, 2021 if current gains
hold
    ** Stock of critical minerals firm extends gain for second
day; top gainer in the ASX 200 benchmark index  .AXJO 
    ** Goldman Sachs raises earnings-per-share estimate by 17%
for FY23 on higher revenue and zircon inventory capitalisation 
    ** Brokerage reduces FY24 EPS estimates by 23% on "inventory
unwind", but increases FY25 EPS estimates by 18% on higher
zircon sales
    ** GS cuts price target to A$9.8 from A$10.1    
    ** Iluka reported on Tuesday FY23 zircon/rutile/synthetic
rutile (Z/R/SR) production of 639 kt, up 8.1% y/y
    ** ILU shares hit their highest level since Nov. 20; about
3.8 mln shares change hands, vs the 30-day average of 2.3 mln 
    ** Three of nine analysts rate the stock "buy" or higher,
five "hold" and one "sell"; median PT A$7.18 – LSEG data

 (Reporting by Sneha Kumar in Bengaluru)
 ((Sneha.Kumar@thomsonreuters.com;))