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

Citi rates ALL as Buy

Citi notes February gross gaming revenue (GGR) growth strengthened against a weather-impacted prior period, with broadly steady game performance across key titles.

Licensed titles continue to weaken, the broker explains, while overall operating trends remain supportive for major suppliers.

The broker highlights a stable performance for Aristocrat Leisure despite moderation in some segments.

Sentiment risks persist from AI concerns and fuel price pressures, though valuations remain attractive, the analyst suggests.

Citi retains a Buy rating and $65 target.

Morgan Stanley rates MYR as Overweight

Sales growth at Myer in the first seven weeks of the second half was 1.7% comprising of retail up 2.2% and apparel brands down -0.4%.

Morgan Stanley notes ongoing strength in Just Jeans was offset by other brands' weakness.

The trading update was softer than the broker expected, while guidance has been maintained for costs. The new marketplace platform is on track for launch in May with expanded product offerings.

Target is $0.57. Overweight retained. Industry View: In-Line.

UBS rates RIO as Neutral

UBS assesses exposure to aluminium price scenarios for relevant stocks under coverage amid Middle East conflict risks, identifying Alcoa as the highest-conviction play.

Using price assumptions of circa US$375/t for alumina and US$1.50/lb for aluminium, the broker considers Alcoa and Rio Tinto fairly valued, while South32 appears undervalued given its copper exposure.

It's noted sensitivity to aluminium prices remains modest for South 32 and Rio, with fair value rising around 1-2% for every 10% increase in price forecasts.

In contrast, pure-play Alcoa exhibits significantly higher leverage, with fair value potentially increasing by more than 20% for the same move in aluminium prices, UBS explains.

The $160 target and Neutral rating are maintained for Rio Tinto. This company's earnings are respectively split across Iron Ore/Aluminium/Copper to the tune of 45%, 25% and 30%, the broker highlights.