UBS cuts PT, rating for Australia's Select Harvests; stock falls

Select Harvests

13/09/2023 05:18

** Shares of Select Harvests  SHV.AX  down as much as 3.8%
after UBS cuts price target and rating for the almond producer
    **  Stock on track for biggest intraday pct loss since Aug.
25
    ** UBS says their assumption for a return to the long-run
almond price by FY24 is "too optimistic" now, based on recent
industry feedback that suggests Californian industry oversupply
conditions may persist through to 2024-25
    ** Cuts PT for SHV to A$4.70 from A$5.50 and rating to
"neutral" from "buy"
    ** New PT represents a smaller upside of 5.6% to last close,
compared to 23.6% earlier
    ** "In the medium term, further executing on third-party
volume opportunities and diversifying into new nuts and
geographies shape as potential upside risks to our forecasts" -
UBS
    ** Stock up 14.1% YTD, as of last close

 (Reporting by Echha Jain in Bengaluru)
 ((Echha.jain@thomsonreuters.com))