panic = opportunity, page-47

Here is some more;


Macquarie 23/06/2010 3 Neutral $0.43 - 3.4%

Problems at the group's Rural division have seen it make significant cuts to its FY10 guidance. The broker has responded by cutting FY10-12 EPS by 155%, 98% and 68%, with the price target dropping to 44c from $1.05. The Neutral call is maintained.

Target price is $0.43 Current Price is $0.44 Difference: minus $0.01 (current price is over target).
If ELD meets the Macquarie target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).


Note how aggressively Deutsche Bank has cut their price target from $2.00 (a couple of weeks ago) to $0.50.



Deutsche Bank 23/06/2010 3 Downgrade to Hold from Buy $0.50 12.4%

Elders says it now expects an underlying loss for FY10 in the range $8-$14m versus the prospectus target for a profit of $55.7m.

Deutsche notes the main reason for the downgrade was the performance of the group's Rural Services division due to falling fertiliser and other Ag chemical prices.

FY10-11 EPS is cut by 128% and 61%. $1.00 is lopped of the price target, which is now 50c, while the recommendation is cut to Hold from Buy.

Target price is $0.50 Current Price is $0.44 Difference: $0.06
If ELD meets the Deutsche Bank target it will return approximately 14% (excluding dividends, fees and charges).