Goldman Sachs has cut Straits Asia Resources’ (AJ1.SG) target price to $1.70 from $1.85 on lower earnings estimates but maintains “sell” rating with stock on conviction sell list, reported Dow Jones Newswires.
The brokerage is cutting FY11, FY12 earnings estimates by 10%, 4% respectively, on lower production assumptions for thermal coal miner’s Sebuku mine and higher costs due to expensive temporary measures for loading coal in Jembayan mine.
