Balanced Portfolio - Incitec Pivot (IPL)
Date: 30/01/2024
*** GENERAL AVICE ONLY***
Incitec Pivot Limited (IPL) is a manufacturer and distributor of industrial explosives, industrial chemicals and fertilisers to the agriculture and mining industries. IPL owns and operates manufacturing plants in Australia, North America, Europe, Asia, Latin America, and Africa
The recent favourable conditions in cropping areas in Western NSW and QLD has seen a potential shortage of chemical supplies after farmers were expecting drought conditions due to the BOM false call of El Nino. This should see higher margins for IPL.
Adding to this. the company recently announced a $500m capital return and special dividend payable on the 1st of February, totalling 25.74c (8.78% unfranked)
PE: 10
Mkt Cap: $5.6B
Incitec Pivot (IPL) – Total Portfolio Allocation 3%
Entry: <$2.95 | Target: $3.50 ($3.25 inclusive of dividend) | Stop: $2.60
Disclaimer: The recommendation given is general advice only. It does not take into account your personal objectives, financial situation, or specific needs. This information should not be your sole resource when making such decisions. We strongly recommend you to seek the advice of financial, taxation, and legal professionals before finalising any investment decisions.