Jefferies remains positive on Monadelphous, raises PT

Monadelphous

09/10/2023 21:09

** Analysts at Jefferies raise price target on Australia's
Monadelphous Group  MND.AX  to A$16 from A$15, maintain "buy"
rating 
    ** Remains positive on multiyear earnings growth, says
engineering and construction operations (E&C) has plenty of room
to run 
    ** The brokerage is positive on co to achieve FY17-19 levels
of earnings before interest and taxes (EBIT) margins 
    ** Co's E&C and civil construction operations are likely to
benefit from Pilbara's project related material increase in work
    ** We see more opportunity than risk in new contracts'
valuation, given labour market tightness- Jefferies
    ** Adds that it reduces EBITDA margin assumptions
    ** Shares of co are up 3.4% YTD as of last close 

 (Reporting by Manvi Pant in Bengaluru)
 ((Manvi.Pant@thomsonreuters.com))