Why the Elders Ltd Share Price Soared Today

What Happened to Elders Ltd’s Share Price?

Shares in agribusiness firm Elders Ltd [ASX:ELD] enjoyed a nice bump in today’s soft Aussie stock market. The 176-year-old company grew more than 3.5% in value to close at $2.93. Elders’ stock price is pushing back toward the three-year high it achieved in January.

Why Did This Happen to ELD Shares?

Today, Elders’ management presented the firm’s growth plans to an audience of keen agriculture investors at a conference hosted by PAC Partners. They discussed a variety of ways to improve Elders’ capital efficiency and mapped out a path for earnings before interest and tax to potentially grow by 122% between 2014 and 2017.

Investors at the conference must have loved what they heard. Although Elders is still improving off a very low base, today’s healthy share price action shows that the stock still holds great potential to enrich investors.

What Now For Elders Ltd?

If Elders can keep streamlining its formerly sprawling business, it will build a sustainable platform to drive shareholder returns. Elders is closely eyeing high-growth Asian markets as potential export destinations. As long as the ‘Asian century’ keeps rolling on, Elders and its shareholders stand to benefit.

Investors who got into Elders when it was a small-cap stock on its knees have made a mint over the past two years. Right now you can find equally attractive speculations in the small-cap end of the Aussie stock market. If you’re seeking big potential rewards from exciting stocks that trade now for mere cents, go here to find out more.

Cheers, Tim Dohrmann
Small-Cap Analyst, Australian Small-Cap Investigator

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