UBS reinstates coverage on Nufarm with a Neutral rating and $5.19 target. The broker considers the stock is fair value and trading in line with its long-term average.
The return to Nufarm is part of the building out of the broker’s Australian chemicals coverage.
After several years of adverse weather, UBS assesses agricultural conditions are quite favourable and should support the normalisation of global inventory channels.
Sector: Materials.
Target price is $5.19.Current Price is $4.44. Difference: $0.75 – (brackets indicate current price is over target). If NUF meets the UBS target it will return approximately 14% (excluding dividends, fees and charges – negative figures indicate an expected loss).
