Why this buy rated $1 billion ASX All Ords share is tipped to leap 22%
ASX All Ords share BCI Minerals Ltd (ASX: BCI) has delivered some outsized gains in 2025.
BCI Minerals shares closed up 1.3% yesterday, trading for 38.5 cents each, giving the company a market cap of $1.1 billion.
That sees shares in the ASX miner, which is primarily focused on producing potash and salt, up 42.6% year to date. To put those gains in some context, the S&P/ASX All Ordinaries Index (ASX: XAO) is up 4.9% over this same period.
And according to wealth manager Euroz Hartleys, which has as speculative buy rating on the ASX All Ords share, the stock is well-placed to deliver more outperformance in the year ahead.
If you're not familiar with BCI Minerals, the miner owns the Mardie Salt Project, located in Western Australia. The project spans around 115 kilometres on the Pilbara coast. It will the third largest salt project in the world on completion, and the largest in Australia.
The company is targeting its first salt shipment in the fourth quarter of calendar year 2026.
Should you buy the surging ASX All Ords share today?
BCI reported its first quarter (Q1 FY 2026) results on 23 October.
Commenting on those results, which saw the ASX All Ords share close up 2.7% on the day, BCI Minerals managing director David Boshoff said, "During the September quarter, we delivered strong operational performance and solid construction momentum at Mardie, with all ponds approaching capacity."
He added, "We embedded new technology on site, providing valuable data in real time, allowing us to monitor operations and better plan for the future."
Euroz Hartleys was also pleased with the results.
The wealth manager noted, "Salt development construction now 74% complete, with total expenditure of $1,221m to date. On track for First Salt on Ship (FSOS) milestone end-CY26."
On the cost front, Euroz Hartleys said, "Importantly BCI outlines remaining estimated construction cost at $441 million, covered comfortably by available funding of $676 million."
And Euroz Hartleys expects BCI will be able to achieve higher future prices for its salt exports.
According to the wealth manager:
Salt import pricing (CFR: US$50/t to Asia ex-China, US$48/t to China) through the Jun'Q remained robust, although slight decrease QoQ (~-5%) due to lower freight costs (to Indonesia from Australia) and lower quality product (to China from India) impacting average prices. We assume LT US$60/t CFR with US$11.2/t freight costs
Connecting the dots, Euroz Hartleys said, "BCI is at an attractive entry point just over 12 months out from first salt sales, with the major development executing nicely, on track of timing schedule and budget."
The wealth manager has a price target of 47 cents on the ASX All Ords share. That's more than 22% above Thursday's closing price.
The post Why this buy rated $1 billion ASX All Ords share is tipped to leap 22% appeared first on The Motley Fool Australia.
Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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