The share price has fallen more than -40% in 2019, which Macquarie attributes to a number of operating issues and production downgrades at Nifty.
The stock is now trading in line with the broker’s base case valuation, implying the share price is valuing the asset at zero. Macquarie is confident improved production rates over the course of 2019 are achievable.
This should enable a stabilising of the shipping schedule and generate cash flow. Outperform rating and 60c target maintained.
Sector: Materials.
Target price is
$0.60.Current Price is $0.24. Difference: $0.36 – (brackets indicate current price is over target). If MLX meets the Macquarie target it will return approximately 60% (excluding dividends, fees and charges – negative figures indicate an expected loss).
