Sanbrado’s production in the September quarter was 20% ahead of Macquarie’s expectations. The broker notes a robust performance in both the underground and open pit.
The broker lifts estimates for earnings per share in 2021 by 10% but makes no changes to the $1.20 target. Macquarie expects West African Resources to continue the trend of rapid deleveraging via debt repayments. Outperform rating maintained.
Sector: Materials.
Target price is $1.20.Current Price is $1.02. Difference: $0.18 – (brackets indicate current price is over target). If WAF meets the Macquarie target it will return approximately 15% (excluding dividends, fees and charges – negative figures indicate an expected loss).
