Syrah Resources Ltd

SYR Details

Syrah Resources Ltd.’s (ASX: SYR) Balama project commissioning activity has commenced in May-2017 with first production scheduled for August 2017. The production ramp-up is currently expected to be 140,000 to 160,000 tons of flake graphite concentrate in the first year of production, and 250,000 to 300,000 tons in the second year. During the quarter, multiple sales initiatives have been progressed including Memorandum of Understanding (MoU) with BTR New Energy Materials, the world’s largest battery anode manufacturer, and finalization of a Statement of Sales Intent (SSI) with a European trader consortium for 15,000 to 25,000 tons of flake graphite per annum for 5 years. Given the ongoing project developments and growing market opportunity for graphite concentrate, we maintain a “Buy” recommendation at the current price of $3.33


SYR Daily chart; (Source: Thomson Reuters) 

Western Areas Ltd

WSA Details

Western Areas Limited (ASX: WSA) has reported that the final June shipment from the Port of Esperance to occurred on 30 June 2017. Accordingly, nickel in concentrate sales and cash receipt of A$9m will be recognized in the FY17 reporting period. The Company will end the fiscal year with A$140m cash at bank, which includes free cashflow of approximately A$28m for the June quarter. Further, the Company acknowledges the efforts of the Port of Esperance for completing the crane maintenance ahead of plan and its logistics partner Merchant Shipping for ensuring a challenging schedule was met. We maintain a “Buy” recommendation on the stock at the current price of $2.09


WSA Daily chart; (Source: Thomson Reuters)

Myer Holdings Ltd

MYR Details

Myer Holdings Limited (ASX: MYR) recently announced that Austradia Pty Limited (in which Myer holds a 20% interest), the Australian franchisee of TOPSHOP TOPMAN has appointed administrators Ferrier Hodgson as the fashion retailer’s sales have been continuously falling while losses were up. Ferrier Hodgson will work with Myer and the UK-based franchisor Arcadia Group on restructuring activities to deliver the finest outcomes for customers and other stakeholders. MYR had acquired a stake in Austradia in September 2015 under its “wanted brands” strategy. Given the ongoing restructuring initiatives and improving efficiency levels to stand out in the evolving competition, we maintain a “Buy” recommendation on the stock at the current price of $0.84


MYR Daily chart; (Source: Thomson Reuters)

Independence Group NL

IGO Details

Lake Mackay JV Field Activities to Recommence: The diamond drilling program at Grapple will increase the understanding of the style of mineralization while also potentially growing the deposit. Further, the encouraging results so far are evidence that Lake Mackay has the potential to be a new met allogenic province. IGO has only tested the initial anomalies identified within areas which are effective for soil sampling on about 7% of the JV tenure. The success of intersecting mineralization from the limited programs completed supports the concept, generated from continental-scale targeting, that the Lake Mackay Project could represent an emerging new met allogenic province. Moreover, logging of diamond core and subsequent analysis will increase the understanding of the stratigraphic/structural controls of mineralization and the nature of the mineralization. Given the ongoing developments, progress at Nova project and its contribution to overall operating margin going forward, we maintain a “Buy” recommendation on the stock at the current market price of $3.17


IGO Daily chart; (Source: Thomson Reuters)

iSentia Group Ltd

ISD Details

During Q3FY17, the company launched the improved Media portal and 97% of users have migrated to the new platform, while the client churn has returned to historic norms. Importantly, the company is leveraging technology to increase SaaS penetration by media portal recharge rollout in coming months, increasing penetration of VAS products through cross-sell and expanding its regional sales and service teams for multiple market client wins. For FY17, ISD expects to report revenue of $162m and underlying EBITDA of $44m. In last three months, the stock moved up 44.3% (as on July 10, 2017), while it is down 34.6% in the last one year owing to poor financial results led by acquired King Content business. We give a “Buy” recommendation on the stock at the current price of $2.09


ISD Daily chart; (Source: Thomson Reuters)

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