*DJ New Hope Corp Price Target Raised 38% to A$1.80/Share by Macquarie, page-2

Summary FYI

Coal miner New Hope's (NHC.AU) FY16 result was weaker
than Macquarie expected, but the broker thinks it's in a decent position to take
advantage of buoyant market for thermal coal. "At spot prices, New Hope could
generate A$300 million of free cash flow in FY17," Macquarie says. "Even on our
own price deck, it should generate A$240 million, even excluding further
cost-cutting." Still, it lowers its earnings per share in the fiscal 2016-20 period
by between 1 cent/share and 4 cents/share. Macquarie keeps an outperform call on New
Hope, but trims its price target by 5.6% to A$1.70/share. NHC last traded at A$1.57.