Atlas Arteria Ltd
ALX: XASX (AUS)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
A$4.20 | Dzzdjz | Jsngcms |
Atlas Arteria Shows Signs of Recovery as Economies Emerge From Hibernation
We maintain our fair value estimate of AUD 5.70 for narrow-moat Atlas Arteria following its first-half 2021 results. The stock currently trades at a 12% premium to fair value. The forecast 2022 distribution yield is relatively attractive at 5.30% and growth should be strong--a CAGR of 10% from 2021 to 2026--but the concession life of the core motorway is a relatively short 14 years.