GrainCorp Limited, the storage grain specialist, might rebound on the significant threshold currently tested.
In terms of valuation, the enterprise value represent 0.73 times sales. It is an attractive valuation. Moreover, at the current price, the security is trading 10.28 times EPS and has a great reevaluation potential.
The area of the AUD 8.5 support should enable the stock to have a new bullish trend. The long term support in this area confirms its relevance. Technically, above these levels, 4-traders analysts are optimistic and count on a return towards the short and mid-term resistances.
As a result, active investors can take immediately a long position in GrainCorp Limited thanks to the close proximity of the AUD 8.5 support area. The target price is AUD 9.35 and in case of breakout of this level, the second target price would be AUD 9.9. If there is a breakdown of the AUD 8.50 support, investors should close their positions.
GrainCorp Limited is an Australia-based diversified agribusiness company. The Company operates through two segments: Agribusiness and Processing. The Agribusiness segment provides a grains and oil supply chain business with diversified international grains and oils. Its Agribusiness segment also provides commodities and products, including wheat, coarse grains (such as barley, sorghum and corn), oilseeds, pulses, organics, animal fats, used cooking oils and vegetable oils for animal feed purposes. The Processing segment is engaged in a vertically integrated edible oils crushing, processing, manufacturing and distribution business with a footprint across both Australia and New Zealand. The Company sells and delivers grains annually to more than 50 countries through its trading desks and offices in Australia, Canada, China, India, New Zealand, Singapore, the United Kingdom and Ukraine. Its subsidiaries include Auscol Pty Ltd, CropConnect Pty Ltd, Champion Liquid Feeds Pty Ltd and others.
GRAINCORP LIMITED 
