FN Arena Broker calls November 3 2010 RBS Australia rates SWL.AX...

FN Arena Broker calls November 3 2010

RBS Australia rates SWL.AX , 1.600, +0.050, +3.230%) as Buy (1) - Three months ago, RBS argued this is a company awaiting a re-rating. At the time, RBS noted Seymour White had already secured some 78% of forecast FY11 revenues. The analysts now believe Seymour is going to win the tender for the Port of Brisbane, which would mean the company has now fully secured FY11 forecasts. RBS has taken the decision to increase forecasts for FY12 and FY13. Note the company announced it is in post tender negotiations (so RBS is not as brave as it looks) and the analysts suggest present multiples are just a joke. Target price jumps to $1.72 from $1.52. Note dividend forecasts have remained unchanged.