Iluka Resources Ltd
ILU: XASX (AUS)
| Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
|---|---|---|---|
| A$9.70 | Hnf | Vgmbkjjw |
Iluka Shares Remain Undervalued With Fair Value Estimate Retained at AUD 9.50
Business Strategy and Outlook
Iluka is a global mineral sands miner. Major mines are Jacinth-Ambrosia in South Australia and Cataby in Western Australia. Relatively low operating costs for zircon are supported by Jacinth-Ambrosia, but its reserve life is less than a decade. Like the industry, Iluka is facing a declining grade profile at its mines, but a constrained outlook for supply should support prices.