UBS updates its numbers to allow for the June quarter production. Lihir grades are beating expectations but the broker expects these to moderate to 2.9g/t in FY17.
Material movements are projected to lift and the broker expects this to weigh on profitability. At this stage guidance for FY17 is limited.
UBS maintains a Sell rating and $12.03 target.
Target price is $12.03.Current Price is $22.88. Difference: ($10.85) – (brackets indicate current price is over target). If NCM meets the UBS target it will return approximately -90% (excluding dividends, fees and charges – negative figures indicate an expected loss).