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

Shaw and Partners rates ACF as Buy

Shaw and Partners estimates the total value of capex Acrow is associated with is over -$185bn, and revenue opportunity for the company would likely be in the range of $1.85-9.3bn over several years.

However, some projects are delayed, with the change in Queensland government one of the reasons behind it. The broker has incorporated delays into forecasts, resulting in earnings revisions.

Target price is unchanged and the rating remains at Buy. The broker highlights Acrow's EBITDA growth forecast is above the median of its peers while shares are trading at a relative discount.

Macquarie rates ALD as Outperform

Noting Ampol's sale of the entire 12.67% stake in Channel Infrastructure for NZ$95m, Macquarie highlights the holding wasn't strategically important and will help lower financing costs.

The broker notes petrol volumes were down -4% y/y in January and with additional drag from the Queensland cyclone, it now expects March quarter volumes to be slightly negative y/y.

The broker cut FY25 and FY26 EPS forecasts by -6% and -7% respectively, after also factoring in a minor decline in Lytton refinery utilisation.

Target price cut to $28.00 from $29.45. Outperform maintained.

UBS rates GPT as Neutral

UBS notes results for office REITs improved in the February reporting season and leasing spreads could improve as lower post-Covid leases are replaced, assuming typical 5-year lease terms. 

The broker believes Australian REITs are looking more supportive both vs the local market and in a global context.

In the broker's recent discussions with investors, GPT Group was discussed in the context of defensive exposures in the sector given recent market volatility.

Neutral rating and $5.29 target price.