Australia's Monadelphous falls as Bell Potter downgrades on sector 'drought'

Monadelphous

03/07/2024 03:20

** Shares of Australia's Monadelphous Group  MND.AX  fall as
much as 3% to A$12.67
    ** Stock set for biggest intraday drop since mid April
    ** Analysts at Bell Potter lower PT on the engineering group
to A$14 from A$15.4; downgrade rating to "Hold" from "Buy"
    ** Brokerage adopts conservative short-to-medium term
outlook for the engineering construction sector
    ** Conservative outlook reflects softening project
development pipeline and limited visibility on near-term
contract awards
    ** We observe that since late 2023, a drought has emerged
for major engineering construction contract awards
    ** Stock has fallen 12% this year as of last close

 (Reporting by Rishav Chatterjee in Bengaluru)
 ((Rishav.Chatterjee@thomsonreuters.com;))