Article: Bearish on PGG Wrightson

PGG Wrightson will experience tougher times in the next 24 months as farmers tighten their belts, and investors should treat the rural- based firm more cautiously, one analyst says.

ABN Amro Craigs analyst Mark Lister said he had reduced his 12 to 18-month target price for shares from about 230c to 220c, given weaker commodity prices likely ahead.

Shares in PGG Wrightson, New Zealand's largest listed rural services provider, closed 8c weaker at 190c yesterday.

While Lister had not yet altered his net profit forecast of $28.5 million for the fiscal year ending June 30, he said he was awaiting key data from the half-year result, which was due on February 16.

Lister said he was taking a ...

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