Analysts have lifted their price target on Mineral Resources from A$21.79 to A$32.52, supported by updated assumptions that point to less pronounced revenue contraction, slightly higher profit margins and a broadly steady forward P/E multiple despite a modestly higher discount rate.
Valuation Changes
- Fair Value: A$21.79 to A$32.52, reflecting a large upward reset in the assessed equity value per share.
- Discount Rate: 8.83% to 9.27%, representing a slight increase in the required return applied to future cash flows.
- Revenue Growth: from a 5.74% contraction to a 0.62% contraction, pointing to a much less severe expected revenue decline.
- Profit Margin: 11.86% to 13.16%, indicating moderately higher expected profitability on A$ revenue.
- Future P/E: 12.40x to 12.42x, effectively unchanged and suggesting similar valuation multiples on projected earnings.
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