Ann: Second Shipment of Zircon Concentrate, page-40

SFX SHEFFIELD RESOURCES LIMITED

Mineral Sands – Overnight Price: $0.52

Petra Capital rates ((SFX)) as Buy (1) –

Following first production at the Thunderbird Mineral Sands operation, the analyst at Petra Capital visited the site in Broome, and reports (perhaps from poolside) operations are continuing to ramp-up.

The broker believes the market appears to be pricing in a strong chance of severe commissioning issues, and suggests the stock price will re-rate materially when nameplate production is met in the 2H of 2024.

The analyst anticipates mining rates at 45% of nameplate in the March quarter, growing to 70% in the June quarter.

Petra Capital's forecasts, target of $1.26 and Buy rating are all maintained.

This report was published on February 20, 2024.

Target price is $1.26 Current Price is $0.52 Difference: $0.74
If SFX meets the Petra Capital target it will return approximately 142% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY24:

Petra Capital forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 9.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 5.65.

Forecast for FY25:

Petra Capital forecasts a full year FY25 dividend of 0.00 cents and EPS of 4.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.56.