Mac Bank still don't like GXY for some reason.
This report is full of holes and misinformation.
E.g. comments such as this: "....Whilst progress is being made, the ramp up of new supply at Mt Marion and Mt Cattlin has been slower than anticipated. It appears that technical difficulties at the mines and potentially in integrating new concentrate feed into existing conversion capacity are abundant....."
I thought we had already ramped up to nameplate production. Does MacBank know something that GXY management does not know???
Or, how about this: ".... Earnings for GXY in FY17 and FY18 are unchanged due to the contracted nature of sales...."
When did GXY lock in 2018 pricing??? Why weren't we told.... (if this was the case)??
But my favourite bit of selective editing is the pricing used in the models for GXY and PLS. Here are the forward price assumptions for spod pricing MacBank uses in its valuations:
