Thoughts on Perenti (PRN)

Hi Debra,

For subscribers unfamiliar with PRN its a $1.2bn WA based global mining services group, providing a range of services to the mining and resource sectors. The company operates across Africa, Australia, and North America, offering expertise in surface and underground mining.

The companies financials are solid for this type of business, which is low margin and a bit lumpy.  For example, FY24 revenue of $3.34 billion while being up 16% YoY only dropped to net profit of $165m which is why they trade on super low multiples; PRN is currently on an Est PE of 7x for FY25 while it is forecast to yield 4.7%.

• The stock looks solid for what it is, and we can see a test of the $1.50 area over the coming months, just be vigilant on trends changing.

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Perenti Ltd (PRN)

LAST UPDATED 06/12/2024 13:15

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Perenti Ltd (PRN)

LAST UPDATED 06/12/2024 13:15