Jefferies says Australia's Nufarm continues to enjoy strong trading conditions, raises PT

Nufarm

19/05/2022 20:13

** Jefferies raises price target on Australian seed
technology co Nufarm Ltd  NUF.AX  to A$5.80 from A$5.20;
maintains "hold" rating
    ** Nufarm reported half-yearly underlying net profit after
tax of A$133 mln ($93.91 mln), up 112% compared to last year
 urn:newsml:reuters.com:*:nFWN2XA0UJ
    ** Brokerage says cyclical price trends along with
underlying volume appears to be primary key driver of growth,
which it expects to normalise over times
    ** Jefferies raises adj net profit estimate by 62.2% to
A$120 million 
    ** Broker Citi says NUF's outlook remains positive but there
continues to be uncertainty and volatility in relation to active
ingredient pricing, global supply chain and logistics that
contributed to an increase in forward sales in H1
    ** Citi maintains "buy" rating and target price of A$7.40
    ** Four of 12 analysts rate the stock "buy" or higher, seven
"hold" and one "sell"; their median PT is A$6.50 – Refinitiv
data
    ** Stock has risen 25.2% this year
    

($1 = 1.4162 Australian dollars)

 (Reporting by Jaskiran Singh in Bengaluru)
 ((Jaskiran.Singh@thomsonreuters.com;))