The March quarter performance for Atlas Arteria’s 31% stake in the APRR toll road network in France exceeded Morgans expectations by circa 10%. This toll road contributes around 84% of the broker’s overall equity valuation.
The Dulles Greenway in the US, which contributes circa 10% of equity valuation was -12% below expectations, due to covid and heavy snowfall during the period.
The target price increases to $6.31 from $6.14, due largely to forecast changes and a spot FX rate update. The Add rating is maintained.
Sector: Transportation.
Target price is $6.31.Current Price is $5.99. Difference: $0.32 – (brackets indicate current price is over target). If ALX meets the Morgans target it will return approximately 5% (excluding dividends, fees and charges – negative figures indicate an expected loss).
