UBS expects a softening in residential and commercial construction will negatively affect waste volumes across Australia. Still, Bingo Industries should be resilient and could even benefit from increased infrastructure projects.
All up, with additional capacity, the broker assumes the company will discount to win a share of collections. Buy rating maintained. Target is reduced to $2.55 from $3.45.
Sector: Commercial & Professional Services.
Target price is $2.55.Current Price is $2.24. Difference: $0.31 – (brackets indicate current price is over target). If BIN meets the UBS target it will return approximately 12% (excluding dividends, fees and charges – negative figures indicate an expected loss).
