All Wheat and No Chaff for GrainCorp
Shares in GrainCorp jumped yesterday after the company again upgraded earnings guidance by nearly 10% for its year to September 2022 results and painted a very rosy picture indeed.
Read MoreTag: GNC
GNC – Macquarie rates the stock as Outperform
Outperform rating and $11.10 target maintained.
Read MoreGNC – Morgans rates the stock as Hold
The target price increases to $10.40 from $9.36. Hold.
Read MoreHuge Profit, Dividend Tripled for GrainCorp
Thanks to a heady mixture of favourable weather and surging prices, GrainCorp confirmed a massive lift in earnings along with a threefold rise in its dividend payout.
Read MoreElders Tops Up Guidance after Big Wet
Elders has joined GrainCorp in upgrading its 2022 financial outlook because of good growing conditions that saw many of its customers avoid the impact of the recent floods on the East Coast.
Read MoreGNC – Credit Suisse rates the stock as Neutral
The Neutral rating is retained and the target price increases to $7.17 from $6.78.
Read MorePerfect Storm Boosts Graincorp Earnings
La Nina and the strong local growing season, helped by solid world grain prices, saw Graincorp surprise the market on Monday with a big lift for its FY2022 earnings guidance.
Read MoreTrading Tidbits: GUD, GNC, CGC
Some follow-up news from Wednesday’s ASX session involving various stocks we’ve been watching of late, namely GUD Holdings, GrainCorp and Costa Group.
Read MoreBuyback, Payout Boost as GrainCorp Prospers
GrainCorp will run a modest $50 million buyback and has boosted dividends after riding the second good season in a row for eastern Australian grain growers into a 50% revenue jump.
Read MoreGNC – Credit Suisse rates the stock as Neutral
Target is increased to $6.35 from $6.16. A Neutral rating is maintained on valuation although the broker acknowledges the upside risk.
Read MoreGNC – Macquarie rates the stock as Outperform
Macquarie retains an Outperform rating and raises the target to $7.32 from $7.27.
Read MoreGrainCorp Follows Strong Result with Guidance Upgrade
Swamped in the first significant day of the June 30 reporting season on Thursday was the second upgrade for grain handling group GrainCorp which for a long time was a major victim of the long drought.
Read MoreGood Tidings from Myer, Downer and GrainCorp
Traders on the ASX were served up a trio of upbeat reports on Thursday from retailer Myer Group, engineering and services contractor Downer EDI, and grain handler Grain Corp.
Read MoreGNC – UBS rates the stock as Buy
UBS retains a Buy rating based on increased crop assumptions for FY22 and the potential for capital management. Target is $6.70.
Read MoreUpgrade Cycle Continues For GrainCorp
While brokers have revised their forecasts in line with Graincorp’s updated guidance, they believe there still is further upside if seasonal conditions remain favourable.
Read MoreGNC – Morgans rates the stock as Add
Add rating and target increases to $6.28 from $6.17.
Read MoreBumper Harvest Pushes GrainCorp to 8-Year High
The end of the drought and a record grain harvest boosted first-half revenue and earnings for GrainCorp, which in turn saw the company’s shares hit their highest level in 8 years.
Read MoreGNC – Credit Suisse rates the stock as Neutral
In a preview of the March 24 investor day, Credit Suisse expects a greater focus on growth opportunities though investors may initially react adversely to increased capital requirements. The Neutral rating and $5.06 target are unchanged.
Read MoreGNC – Morgans rates the stock as Add
In what Morgans considers extremely strong FY21 guidance, GrainCorp is reaping the combined benefits of operational initiatives and the largest east coast winter grain crops on record. Add rating. The target increases to $5.52 from $4.71.
Read MoreGrainCorp Finally Sorts the Wheat from the Chaff
The breaking of the drought and the good rains in late 2020 and early this have helped GrainCorp do a bit of ‘breaking’ itself by allowing it to well and truly escape the rut it found itself in.
Read MoreGraincorp Back In The Black, Breaks Dividend Drought
GrainCorp saw a $456 million turnaround from loss to profit in the year to September as the breaking of the drought and higher demand and prices for rural products boosted returns.
Read MoreGNC – UBS rates the stock as Buy
Official agricultural forecaster, ABARES, has upgraded the winter crop outlook for Australia’s east coast to 24.4mt. UBS highlights the earnings leverage that exists for crop that is over 24mt, given Graincorp’s derivative payment is maximised at around 24mt.
Read MoreGNC – UBS rates the stock as Buy
First-half results were ahead of expectations and show the benefits of recent cost reductions and improvement in operations.
Read MoreUpbeat Graincorp Swings Backs Into The Black
As expected GrainCorp has delivered a $388 million statutory interim net profit thanks to the $333 million sale of its bulk liquid terminals business.
Read MoreGNC – UBS rates the stock as Buy
The company has reported its worst-ever annual result, UBS notes, heavily affected by drought and onerous rail take-or-pay contracts. A large grain trading loss of -$65m was incurred. Meanwhile, there was another record performance in the malt business.
Read MoreGrainCorp Dividend Axed Amid Drought Ravaged Result
The drought savaged the 2018-19 result of GrainCorp, sending it to a loss of $113 million and forcing the company to axe its final dividend.
Read MoreGNC – Morgans rates the stock as Hold
The company has provided weaker FY19 guidance and expects to report an underlying net loss of $70-90m. Morgans is disappointed and concerned about the trading and risk management policies.
Read MoreRegulators Red Flag Graincorp Breakup
GrainCorp wants to sell its terminals business (which stores and handles vegetable oils and similar products) to ANZ Terminals, a competitor for $350 million, including debt. In a statement yesterday the ACCC revealed it had raised preliminary concerns about the deal.
Read MoreGNC – UBS rates the stock as Buy
UBS notes press speculation there is potential interest in the company’s malt division. The division is currently scheduled to be de-merged after the FY19 results in November.
Read MoreGNC – Morgans rates the stock as Hold
Morgans revises forecasts following the release of ABARES’ 2019/20 winter crop forecast. Another below-average east coast grain crop is expected, although it should be better than last year.
Read MoreGrainCorp Confirms Dividend Drought
No interim dividend for shareholders in East Coast grains handler and shipper, GrainCorp after it revealed a not unexpected loss for the six months to March 31, with the severe drought the culprit.
Read MoreGrainCorp Undeterred As LTAP Pulls Bid
The outlook for GrainCorp is hazy, as the company proceeds with plans to divest and restructure businesses in the wake of LTAP pulling its acquisition proposal.
Read MoreGNC – UBS rates the stock as Buy
LTAP has walked away from its proposal to acquire the company for $10.42 a share. Graincorp will now divest the bulk liquid terminals and pursue a de-merger of the malt division.
Read MoreGraincorp Bid Falls Over
GrainCorp shares fell more than 11% at one stage yesterday after Long Term Asset Partners walked away from $2.4 billion offer to buy the company.
Read MoreSeparating Malt Appeals To GrainCorp
Separating out GrainCorp’s malt business has its appeal, brokers acknowledge, but the devil is likely to be in the detail for the remaining integrated grains & edible oils.
Read MoreDrought Splits Graincorp As Malt Spin-Off Confirmed
Drought claims another corporate victim. Grain group, GrainCorp is to split itself in half as the company’s core business continues to be assaulted by the bitter drought across much of Eastern Australia.
Read MoreABARES Cuts Crop Forecasts Again
The East Coast drought – now dipping into Victoria and the dry emerging parts of southern Western Australia – has seen Australia again cut its 2018-19 wheat harvest estimate to where it is now forecast to be the lowest since the GFC and the last big drought in 2008.
Read MoreSurprise Takeover Bid For GrainCorp
GrainCorp shares jumped 34% yesterday after it revealed it had received an unwanted pre-Christmas approach from a bottom finishing unknown private equity investor.
Read MoreBeer Boom Unable To Save GrainCorp From Drought
As forecast in September, GrainCorp saw a big fall in profit that was softened by a solid performance by its barley and malting businesses which continue to ride the global craft beer boom.
Read MoreGraincorp toasts craft beer boom
Americans are being driven to drink – more craft beer and spirits like bourbon whisky – and as a result GrainCorp says it is enough to more than offset the impact of the East Coast drought on its business.
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