Agri business watch list?

[giss]

Considering the drought weather pattern may be ending. Has anyone got a watch list of agribusinesses that would benefit from increase rural production?

 

[Jimminy]

Futuris (FCL) is the obvious one that I hold that comes to mind.

 

[Julia]

Incitec is one which has already done extremely well, despite the drought.

 

[somesortoftrader]

Futuris (FCL) is the obvious one that I hold that comes to mind.

FCL (Elders) & AWB (Landmark) are obviously the main players. Both are trading at roughly 20/21 times. AWB is paying a slightly higher % div.
I would expect both of these companies to report poor figures on their rural businesses given the drought conditions, and the potential for debtors (ie. farms) to go belly up!

Also be interesting to see how the banks see out the year with their high rural exposures. ANZ & NAB come to mind.

The outlook does look good however, Livestock & Wool prices have been decent, and the autumn break (ie Rain) has been one of the best recorded (esp: Victorias Wimmera region.... Cropping) in maybe 10-15 years... giving alot of confidence to that area. An upside to more cropping is of course more Diesel usage... Caltex then comes to mind.