Market analysts view positively Gamuda's Australian bid that has secured a wind farm construction project in Queensland, Australia, worth AUD243 million (~RM702 million).
Kenanga Research has awarded an OUTPERFORM call for Gamuda Berhad and a target price of RM9.20, citing favourable international standing and sustainability weight of the Australian project.
Meanwhile, RHB analysts have awarded a BUY rating and a target price of RM9.79 for Gamuda, hailing its subsidiary's green vision.
As at 1:50pm on Monday, Gamuda's stock traded at RM8.05. (Stock updates from )
Gamuda, through its subsidiary DT Infrastructure (DTI), is recognised for its ability to secure projects in an advanced economy that has strengthened its Renewable Energy (RE) credentials. Also, the Australian contract increased its outstanding order book by 3% to RM25.5 billion.
As reported, this is DTI's very first venture into the wind energy segment and ties in well with the group's aim to build up to a 2GW portfolio of wind and solar projects within five years in Australia.
The Boulder Creek Wind Farm project will comprise 38 turbines, said of Cypress-146 supplied by GE Vernova with a generating capacity of 228 MW (6 MW per turbine), and will bolster Queensland's efforts to reach its electricity generation target of 50% overall supply from renewables by 2030.
Under the contract terms, civil and electrical work will be undertaken for the wind farm, located about 40 km southwest of Rockhampton in Queensland. The project, awarded by Aula Energy Holdings and its long-term project partner CS Energy, is expected to commence in late 2024 and will be completed within 32.5 months. CS Energy has agreed to purchase 100% of the wind farm's output for 20 years in addition to having a 50% stake in the project.