Elders climbs as Macquarie upgrades stock to 'outperform'
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The news: Shares in Elders climbed on the ASX after Macquarie analysts upgraded the agriculture and real estate group from "neutral" to "outperform".
The numbers: Macquarie analysts upgraded their rating for Adelaide-based Elders and hiked its target price from $7.12 to $10.45.
The analysts increased their earnings forecast for the 2024 financial year by 7% primarily due to improved seasonal conditions across the East Coast area and a rebound in livestock prices.
Elders shares were up 3.2% to $9.92 by 1:50pm AEDT.
The context: Analysts said that the upgrade was driven to expectations that Elders stock being well supported by positive earnings momentum driven by improving seasonal conditions, ongoing internal initiatives, and "bolt-on" mergersand acquisition potential.
The source: Macquarie research
