Re, Comments: No proof provided.Monday, 19 June 2023MIN -...

Re,

Comments: No proof provided.



Monday, 19 June 2023

MIN - MINERAL RESOURCES LIMITED

Macquarie rates MIN as Outperform (1) - Mineral Resources has a gas discovery at North Erregulla Deep-1, at the northern section of the Perth Basin. Plans are underway to conduct a composition and flow test. Meanwhile, the Mount Marion exploration program to date supports a potential for open cut extensions and underground mining.

FY23 spodumene shipments at Mount Marion have been lowered because of timing. An update on the ramp up at Wodgina and progress on the Onslow iron ore project present the near-term catalysts, Macquarie notes.

Mineral Resources has also agreed with Ganfeng to terminate the tolling agreement from June 1 2023, which will be value accretive for the former in the near term, the broker adds.

Target is reduced to $109 from $113. Outperform maintained.

Target price is $109.00 Current Price is $73.00 Difference: $36 If MIN meets the Macquarie target it will return approximately 49% (excluding dividends, fees and charges). Current consensus price target is $89.14, suggesting upside of 22.1%(ex-dividends)The company's fiscal year ends in June.

Forecast for FY23:

Macquarie forecasts a full year FY23 dividend of 215.00 cents and EPS of 440.00 cents . At the last closing share price the estimated dividend yield is 2.95%. At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.59. How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 445.1, implying annual growth of 140.8%. Current consensus DPS estimate is 253.2, implying a prospective dividend yield of 3.5%. Current consensus EPS estimate suggests the PER is 16.4.

Forecast for FY24:

Macquarie forecasts a full year FY24 dividend of 567.00 cents and EPS of 1135.00 cents . At the last closing share price the estimated dividend yield is 7.77%. At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 6.43. How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 866.7, implying annual growth of 94.7%. Current consensus DPS estimate is 323.1, implying a prospective dividend yield of 4.4%. Current consensus EPS estimate suggests the PER is 8.4.

Market Sentiment: 0.7All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources