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

Macquarie rates BAP as Neutral

Bapcor's FY26 earnings beat consensus by 3%, which Macquarie considers a strong outcome given a tough market. The company gained market share in the third and fourth quarters with second half sales momentum improving.

Bapcor's strategic reset is gaining momentum, the broker notes, to return to sustainable growth. The first six weeks sales are slightly ahead year on year with modest revenue growth expected in FY27. Profit will be strongly second half weighted.

Trade parts and Networks continue to deliver sales growth, while Retail, NZ and the Trade equipment businesses remain challenging. No guidance was provided. Target rises to 70c from 44c, Neutral retained.

Citi rates BLX as Neutral

Post another look, Citi upgrades the target price to $1.97 from $1.68 while retaining a Neutral rating.

The conference call showed retail has ceased to be a headwind supported by promotional activity with homeowners investing in existing residences while trade remains very robust, the analyst states.

The trajectory for the business has become more positive for FY27, albeit the broker remains cautious about the macro backdrop.

First take: Beacon Lighting's FY26 underlying NPAT was slightly ahead of consensus, while statutory NPAT was in line.

Citi highlights accelerating sales momentum, with 4Q26 like-for-like sales up 7.1% y/y, and the strength continuing into the first eight weeks of FY27, suggesting consensus forecasts may need to rise.

Trade sales increased to 43.3% of total sales, but the shift towards this lower-margin channel contributed to gross margin declining to 68.6% from 69.1%, while higher costs also offset revenue growth.

The analyst believes Beacon is executing well on its trade-led growth strategy but needs to demonstrate that stronger sales can translate into sustainable earnings growth.

Neutral rated. Target $1.97.

Bell Potter rates CNI as Hold

Bell Potter describes an in-line FY26 result for Centuria Capital but weaker-than-expected FY27 EPS guidance of 13.0cpu, below the broker's 13.7cpu forecast and consensus at 14.1cpu.

Centuria Bass Capital faces pressure following property development group Bathla Group's administration and the downgrade of its credit fund to non-investment grade, the analysts explain.

It’s also noted around $100m of equity in the recently acquired World Square interest also remains to be syndicated.

FY27-FY29 EPS forecasts fall by -5% to -11%, reflecting lower Bass Capital earnings and a later contribution from ResetData.

The target falls to $1.30 from $1.90. Hold maintained.