AVJennings is a "buy" at Bell Potter with a price target at...

AVJennings is a "buy" at Bell Potter with a price target at $0.90, up from $0.88 previously. "AVJ reported FY15 NPAT of $31.8 million, 3 per cent ahead of our expectations. Following the result we have made further upward revisions, raising NPAT forecasts by +7.2 per cent in FY16e and +5.4 per cent in FY17e. AVJ continues to trade at a material 16 per cent discount to net working capital and a 23 per cent discount to NTA. This is despite clear signals that earnings are now hitting a sweet spot and that there have been favourable property value revaluations for the last two years. We retain our 'buy' rating but raise our target price to $0.90 per share."

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