Australia's Sims at over 3-mnth high after upbeat Macquarie view on EPS growth

Sims

13/12/2023 03:54

** Shares of Australia's metal recycling co Sims  SGM.AX 
rise as much as 2.4% to A$14.83, their highest level since Sept.
8
    ** Analysts at Macquarie upgrade stock to "outperform";
lifts price target to A$17.30/share from A$13.20
    ** Brokerage sees strong recovery in EPS trajectory into
FY25 off low base as economic conditions improve    
    ** Scrap prices have lifted in recent weeks, especially in
Turkey and the U.S., backed by inventory-rally in steel prices,
which continues - Macquarie
    ** Adds, despite price risks in near term due to slowing
growth in U.S., SGM likely to enjoy better trading conditions
into FY25
    ** Stock up ~11% this year, as of last close

 (Reporting by Roshan Thomas in Bengaluru)
 ((Roshan.Thomas@thomsonreuters.com;))