The US$50m US DoD funding agreement and ASB’s proposed investment in steel ship-building capability sends two clear messages. Firstly, it indicates strong support from the US DoD for ASB’s Mobile operations. Secondly, a steel shipbuilding capability opens up significantly more opportunity to ASB, reducing the risk of a workload “valley” post LCS and EPF programs. Our forecasts are unchanged at this point, but our valuation lifts to $4.00 (prior $3.70) on lower risking, and we maintain a BUY call.
To access the full report please log in under the Client Area at the bottom of this page.
Argonaut’s Client Area allows you to view delayed share prices, access Argonaut’s wealth of Research as well as create custom portfolios and set up company watch lists.
If you would like to access our research please contact us to create an account.