Iluka stock gets a lower Macquarie target of AUD 7.20

Published on 10/08/2026 at 06:11 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Ten analysts rate Iluka Buy on a consensus basis at an AUD 8.025 average target. H1 mineral sands revenue fell 22 percent to AUD 433 million.

Iluka, AU000000ILU1, Illustration mit AI erstellt.

Iluka stock (ISIN AU000000ILU1) faces a lower Macquarie price target of AUD 7.20 after the broker cut its previous AUD 8.00 target on October 1, 2026. TradingView reported the change, while Macquarie retained its Buy rating.

Target cut meets a Buy rating

The reduction leaves the broker target 22.3 percent above Iluka's ASX price of AUD 5.890 on October 7, 2026. The gap is material, but the lower target also shows that the valuation view has become more cautious even as the rating remains positive.

Macquarie's move followed a difficult first half for the mineral sands business. According to Kapitales, mineral sands revenue fell 22 percent year over year to AUD 433 million in the six months ended June 30, 2026. Underlying mineral sands EBITDA declined to AUD 41 million from AUD 218 million in the prior-year period.

Cash flow offsets weaker earnings

The same first-half report showed operating cash flow rising to AUD 247 million from AUD 115 million, while net debt fell to AUD 273 million from AUD 473 million at the end of 2025. This creates a mixed investment case: weaker operating earnings weigh on the near-term valuation, while cash generation supports the balance sheet.

Iluka also reported that construction of the Eneabba rare earths refinery was 60 percent complete in the first half. The project retained its AUD 1.70 billion to AUD 1.80 billion capital estimate, with commissioning targeted for 2027, according to The Globe and Mail.

Consensus target stays above the market

The broader analyst picture remains more constructive than Macquarie's revised view. Markets Insider cited a Moderate Buy consensus and an average target of AUD 5.29 in its October 3, 2026 report, although the figure conflicts with the higher AUD 8.025 average and Buy consensus shown for 10 analysts by MarketScreener. The differing consensus snapshots make the individual target changes especially relevant.

Iluka stock stays below its yearly high

Iluka stock was last at AUD 5.890 on the ASX at 4:41 p.m. on October 7, 2026, up 1.20 percent from AUD 5.820. The 52-week range was AUD 4.94 to AUD 9.28, leaving the stock 36.53 percent below its yearly high, with a market capitalization of AUD 2.5 billion.