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

Citi rates ALQ as Buy

Citi highlights surging mining exploration activity, with further upside likely as drilling metrics accelerated in January and junior financings remained elevated.

The broker's industry feedback suggests northern hemisphere momentum persisted through seasonally weaker December and January, with juniors increasingly deploying capital into Australian exploration ahead of 2026.

ALS Ltd is expected to benefit not only from rising sample volumes but also firmer pricing, as incremental industry capacity utilisation supports margin expansion.

Target $27.30. Buy.

Shaw and Partners rates SPZ as Buy

Smart Parking has delivered 85%  underlying earnings (EBITDA) growth for 1H26, accelerating from 56% growth in the 1Q26, with the result broadly in line with Shaw and Partners' forecasts.

The broker notes the uplift was driven by yield-enhancing initiatives in the UK and the first-time inclusion of the US.

In the UK, yield increased 58% versus the previous period following the rollout of new debt recovery procedures, prompting the broker to lift FY26 UK earnings forecasts up 42% on FY25, albeit with some margin caution given the cost of recovery activity.

The US business is now expected to deliver 30% EPS accretion in FY26, with 12 automated number plate recognition sites installed and a maiden full-year earnings (EBITDA) contribution of $8.2m forecast, while NZ continues to post strong site growth and market share gains.

Shaw and Partners retains a Buy and the target price increases to $1.55 from $1.50.

Citi rates WDS as Neutral

Citi notes management at Woodside Energy has effectively pre-disclosed underlying EBITDA and NPAT via detailed guidance. This new information is seen as reducing earnings uncertainty ahead of results.

The broker highlights restoration guidance implying a US$95m 2H benefit, while production cost detail suggests around -US$200m higher 2026 opex.

After incorporating Pluto-KGP volumes, the analysts increase their 2025/26/27 earnings forecasts by approximately 7%, 63% and 36%, respectively, with capex above consensus on non-controlling interest (NCI) treatment.

Neutral rating for Woodside. The target rises by $1.00 to $26.50. Citi views Buy-rated Santos as better positioned near term.