S&P Capital IQ Reiterates its HOLD Rating on the ADSS of BHP Billiton, Target Price Reduced

October 24 00:00 2011

NEW YORK, October 24 (RainbowNewsLine.com) – Analyst Leo Larkin of S&P Capital IQ reiterates his HOLD rating on the ADSS of BHP Billiton PLC (NYSE: BHP), while reducing his estimates for the company. The 12-month target price has been reduced from $79 to $76.

Analyst Leo Larkin, in a research note published on October 22, mentions that although the company reported healthy production results for FQ1, the earnings per ADS for FY12 and FY13 have been reduced from $8.64 to $8.20 and from $7.78 to $7.38, respectively to reflect lower copper price assumptions. The company has reported record production in iron ore and energy and noted its order book is full, the analyst says.  The analyst expects BHP Billiton’s long term earnings to grow based on rise in secular demand for base metals and minerals.

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