An incident at Perenti Global’s Zone 5 Botswana mine has resulted in the death of two Barminco employees and an investigation has been launched. Macquarie notes the company’s strategy update has been delayed.
Separately, the company tightened revenue guidance to $2.4bn from a previous $2.2-2.4bn and earnings guidance to $170-175m from a previous $165-185m. The update sees Macquarie decrease its earnings forecast -4% for the current financial year.
The Outperform rating is retained and the target price decreases to $1.00 from $1.10.
Sector: Materials.
Target price is $1.00.Current Price is $0.69. Difference: $0.31 – (brackets indicate current price is over target). If PRN meets the Macquarie target it will return approximately 31% (excluding dividends, fees and charges – negative figures indicate an expected loss).
