SXY – Macquarie rates the stock as Outperform

Senex Energy’s CSG production continues to ramp up gradually, the broker notes. Project Atlas is now at design capacity. The Roma North expansion is due to come on line later in 2021 while the Atlas expansion is subject to gas contracting.

The broker sees production broadly tripling to FY23 and the company has indicated it remains in the market for new acreages through releases or M&A. Senex boasts strong leverage to thr re-tightening of East Coast gas markets, the broker suggests.

Outperform and 45c target retained.

Sector: Energy.

 

Target price is $0.45.Current Price is $0.37. Difference: $0.08 – (brackets indicate current price is over target). If SXY meets the Macquarie target it will return approximately 18% (excluding dividends, fees and charges – negative figures indicate an expected loss).

 

 

Broker News

About Broker News

FNArena's Australian Broker Call, is your daily news report on the latest recommendation, valuation, forecast and opinions recently published by Stockbrokers.

View more articles by Broker News →