Deutsche Bank highlights the value in Whitehaven Coal. Now that coal and gas prices have re-set the broker believes contrarian, yield-seeking investors should be buying.
The broker reiterates the 30% upside envisaged in the stock, with the strong dividend & FCF yields and funded growth options that are not yet factored into the share price. Buy rating and $5.20 target maintained.
Sector: Energy.
Target price is $5.20.Current Price is $4.08. Difference: $1.12 – (brackets indicate current price is over target). If WHC meets the Deutsche Bank target it will return approximately 22% (excluding dividends, fees and charges – negative figures indicate an expected loss).
