Australia's Champion Iron hits 6-year low; Bell Potter maintains 'hold'

By Reuters News

** Shares of Champion Iron CIA.AX fall as much as 4.5% to A$2.32, their lowest level since May 18, 2020

** Bell Potter maintains its "hold" recommendation on valuation for Champion Iron and sees free cash flow improving from FY27 on capex roll off

** CIA expects to ramp up production of high-grade concentrate, while brokerage sees iron-content price premiums for this product, it thinks the full value-in-use premiums are unlikely to be realised until longer-term offtake is secured

** Adds that net realised prices were weaker than expected, which it calls "particularly concerning" because an improvement in product grades was expected

** Eight of 11 analysts rate the stock "buy" or higher and three "hold" with a median price target of A$4.55, as per data compiled by LSEG

** Stock down 61%, YTD, including the session's moves

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