OUR QUEST IS NOT TO BE BULLISH OR BEARISH, BUT TO CORRECTLY ASSESS FUTURE TRENDS

Macquarie rates ANZ as Neutral

Macquarie asserts ANZ Bank is delivering on its cost reduction targets as FY26 guidance has been upgraded, albeit largely supported by FX movements. Cost reductions are now in the base case and focus has shifted to revenue.

This is more challenging, the broker adds, noting balance sheet growth is weaker and margins slightly softer.

While envisaging limited upside potential in earnings, the broker still considers the stock cheap versus its peers, retaining a Neutral rating. Target edges down to $33.50 from $34.00.

Bell Potter rates LGI as Buy

The 1Q 2026 AEMO report revealed another quarter of declines in electricity prices across the NEM, Bell Potter observes.

Qld wholesale prices fell -27% and NSW down -16% y/y albeit underlying demand came in at record for the quarter. The decline in prices reflected lower temperatures and volatility.

Notably, LGI has offset the softer prices via hedging (75% hedged) for FY26 most in Qld with NSW more exposed to the spot price, the broker explains.

Net profit after tax estimates are tweaked down for FY26 and FY27. Target price eases to $4.50 from $4.64. No change in Buy rating.

Citi rates QBE as Buy

Citi anticipates QBE Insurance's upcoming 1Q26 update to be modestly positive, with catastrophe claims tracking below allowance and crop conditions appearing favourable, supported by a potential new product.

Investment markets to April were broadly supportive, the analysts note, while any Middle East-related claims are expected to be limited.

Although global insurance rates continue to soften, US pricing remains resilient, the broker highlights.

Gross written premium is expected to track at least in line with guidance, if not slightly ahead, with FY guidance likely to be reaffirmed.

For QBE Insurance, target of $23.80 and Buy rating.