BUZZ – Dalrymple Bay PT raised by Jefferies on pricing agreement, bullish forecast
12 October 2022 6:29 am
* Brokerage Jefferies raises PT on Dalrymple Bay Infrastructure Ltd to A$2.65 from A$2.29, retains "buy" rating
* Company on Tuesday announced 10-year pricing agreement with all existing customers at its metallurgical coal export terminal
* Dalrymple Bay updated FY22 distribution outlook to 20.1 cps from 18.27 cps; forecast growth of 3%-7% per annum over next few years
* Brokerage says agreement to deliver terminal charges ahead of its forecasts; Jefferies expects terminal charges to reach A$4.50 by FY31
* Jefferies expects terminal utilisation levels, currently down from CY19 levels, to increase given strong Asian coal demand
* DBI "well positioned to continue to deliver the benefits of higher earnings from a renegotiated terminal access charge with users," says brokerage
* 4 of 5 analysts rate the stock "buy" or higher, 1 "hold"; median PT A$2.65 – Refinitiv
* Company's shares up ~10% this year, as of last close (Reporting by Anan Ashraf in Bengaluru) ((
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