Australia's Monadelphous hits over 4-year high; Macquarie hikes PT and earnings view

Monadelphous

28/01/2025 03:30

** Shares of Australian construction engineering firm
Monadelphous  MND.AX  rise 3.8% to A$15.445, their highest
levels since mid-December 2020
    ** Macquarie hikes price target to A$15.93 from A$14.80, and
upgrades recommendation to "outperform" from "neutral"
    ** Brokerage raises FY25-27 earnings view by 4%-7%
    ** MND last week said 1H25 post-tax expected between A$40
mln ($25.03 mln) and A$43 mln, vs A$30.1 mln last year
    ** Macquarie says MND is showing "evidence of more
meaningful margin improvement which supports a robust earnings
outlook"
    ** Trajectory of MND's 1H25 margin suggests there could be
further upside to 2H margin estimate, brokerage says
    ** MND "a high quality contractor from risk mgt standpoint
along with a strong bal sheet" - Macquarie
    ** MND up 10.4% this year, including the day's move, partly
recovering from last year's 5.7% losses

   ($1 = 1.5980 Australian dollars)

 (Reporting by Sameer Manekar in Bengaluru)
 ((Sameer.Manekar@thomsonreuters.com;))