Australian Broker Call *Extra* Edition – Apr 20, 2022

This story features 5E ADVANCED MATERIALS INC, and other companies. For more info SHARE ANALYSIS: 5EA

An additional news report on the recommendation, valuation, forecast and opinion changes for ASX-listed equities.

In addition to The Australian Broker Call Report, which is published and updated daily (Mon-Fri), FNArena has now added The Australian Broker Call *Extra* Edition, featuring additional sources of research and insights on ASX-listed stocks, also enlarging the number of stocks that make up the FNArena universe.

One key difference is the *Extra* Edition will not be updated daily, but merely "regularly" depending on availability of suitable quality content. As such, the *Extra* Edition tries to build a bridge between daily updates via the Australian Broker Call Report and ad hoc news stories, that are not always timely for investors hungry for the next information update.

Investors using the *Extra* Edition as a source of input for their own share market research should thus take into account that information after publication may not be up to date, or yet awaiting another update by FNArena's team of journalists.

Similar to The Australian Broker Call Report, this *Extra* Edition includes concise but limited reviews of research recently published by Stockbrokers and other experts, which should be considered as information concerning likely market behaviour rather than advice on the securities mentioned. Do not act on the contents of this Report without first reading the important information included at the end of this Report.

The Australian Broker Call *Extra* Edition is a summary that has been prepared independently of the sources identified. Readers will check the full text of the recommendations and consult a Licenced Advisor before making any investment decision.

The copyright of this Report is owned by the publisher. Readers will not copy, forward or disseminate this Report to any other person. For more vital information about the sources included, see the bottom of this Report.

COMPANIES DISCUSSED IN THIS ISSUE

Click on a symbol for fast access.
The number next to the symbol represents the number of brokers covering it for this report -(if more than 1)

5EA   APE   ASG   BET   BOQ   CAR   GDG   GEM   HUB   IFL   INA (2)   JHG   MFG   NWL   OCL   PDL   PPT   PTM   PWR   RDY   RHC   TNE   WTC   XRO   XTE  

5EA    5E ADVANCED MATERIALS, INC

Mining – Overnight Price: $3.39

Shaw and Partners rates ((5EA)) as Downgrade to Hold from Buy (3) –

Shaw and Partners expects 5E Advanced Materials to commence construction on its fully owned Fort Cady project later this year, with a Bankable Feasibility Study and Final Investment decision for the project anticipated in FY23 and first production in 2024.

The broker highlights given 5E Advanced Materials is exposed to a single asset it is considered high risk, but notes borate and sulphate of potash are both future-facing commodities and should benefit from the decarbonisation and energy transition shifts.

With the company appearing to trade in line with valuation, the rating is downgraded to Hold from Buy and the target price of $2.96 is retained.

This report was published on April 13, 2022.

Target price is $2.96 Current Price is $3.39 Difference: minus $0.43 (current price is over target).
If 5EA meets the Shaw and Partners target it will return approximately minus 13% (excluding dividends, fees and charges – negative figures indicate an expected loss).
The company's fiscal year ends in June.

Forecast for FY21:

Shaw and Partners forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 1.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 282.50.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 1.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 339.00.

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

APE    EAGERS AUTOMOTIVE LIMITED

Automobiles & Components – Overnight Price: $13.37

Jarden rates ((APE)) as Overweight (2) –

As automotive sales are in the discretionary sector of the economy most impacted by the household wealth effect, Jarden decides to review auto-exposed stocks. This comes as potential headwinds loom from rising interest rates, petrol prices and inflation more generally.

The broker expects a counterbalance to these headwinds in Australia from pent-up demand, a strong pipeline of pre-sales and ongoing supply constraints. It's thought any demand weakness may either not occur or at least be delayed.

Eagers Automotive and Peter Warren Automotive ((PWR)) are the broker's preferred picks among auto dealers. Eagers Automotive's non-binding agreement with WFM Motors (subject to a shareholder vote) is also expected to help offset headwinds.

The Overweight rating and $15.21 target price are retained.

This report was published on April 14, 2022.

Target price is $15.21 Current Price is $13.37 Difference: $1.84
If APE meets the Jarden target it will return approximately 14% (excluding dividends, fees and charges).
Current consensus price target is $17.32, suggesting upside of 29.5%(ex-dividends)

Forecast for FY22:

Current consensus EPS estimate is 103.3, implying annual growth of -17.5%.
Current consensus DPS estimate is 62.3, implying a prospective dividend yield of 4.7%.
Current consensus EPS estimate suggests the PER is 12.9.

Forecast for FY23:

Current consensus EPS estimate is 95.5, implying annual growth of -7.6%.
Current consensus DPS estimate is 59.1, implying a prospective dividend yield of 4.4%.
Current consensus EPS estimate suggests the PER is 14.0.

Market Sentiment: 0.8
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

ASG    AUTOSPORTS GROUP LIMITED

Automobiles & Components – Overnight Price: $2.05

Jarden rates ((ASG)) as Overweight (2) –

As automotive sales are in the discretionary sector of the economy most impacted by the household wealth effect, Jarden decides to review auto-exposed stocks. This comes as potential headwinds loom from rising interest rates, petrol prices and inflation more generally.

The broker expects a counterbalance to these headwinds in Australia from pent-up demand, a strong pipeline of pre-sales and ongoing supply constraints. It's thought any demand weakness may either not occur or at least be delayed.

Autosports Group's higher exposure to recently-underperforming vehicle sales in the luxury market creates higher risk than for the preferred Eagers Automotive ((APE)) and Peter Warren Automotive ((PWR)), explains Jarden.

Nonetheless, the broker maintains its Overweight rating and $3.18 target price.

This report was published on April 14, 2022.

Target price is $3.18 Current Price is $2.05 Difference: $1.13
If ASG meets the Jarden target it will return approximately 55% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 14.80 cents and EPS of 24.60 cents.
At the last closing share price the estimated dividend yield is 7.22%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.33.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 14.30 cents and EPS of 23.80 cents.
At the last closing share price the estimated dividend yield is 6.98%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.61.

Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

BET    BETMAKERS TECHNOLOGY GROUP LIMITED

Gaming – Overnight Price: $0.65

Sequoia rates ((BET)) as Initiation of coverage with Buy (1) –

Sequoia initiates coverage on business-to-business wagering technology and data company Betmakers Technology with a Buy rating and $0.77 target price.

The company is not a wagering company. It provides software and related technologies to racing authorities, racetrack owners,
sporting rights holders and wagering operators globally, explains the analyst.

The analyst believes the June 2021 acquisition of Sportech's US tote and digital assets delivered critical mass in revenue, customers and operations. In addition, the transaction significantly lifted exposure to the high-growth US gaming market.

Sequoia notes the company is actively seeking acquisitions which could add further upside.

This report was published on April 19, 2022.

Target price is $0.77 Current Price is $0.65 Difference: $0.12
If BET meets the Sequoia target it will return approximately 18% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY22:

Sequoia forecasts a full year FY22 dividend of 0.00 cents and EPS of 0.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 325.00.

Forecast for FY23:

Sequoia forecasts a full year FY23 dividend of 0.00 cents and EPS of 0.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 72.22.

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

BOQ    BANK OF QUEENSLAND LIMITED

Banks – Overnight Price: $7.94

Goldman Sachs rates ((BOQ)) as Buy (1) –

Following 1H results for Bank of Queensland, Goldman Sachs adjusts its cash EPS forecasts by 8.0%, -1.5% and -4.5%, respectively, driven by lower estimates for interest earnings assets and lower net interest margins. 

More positively, there was a partial offset due to lower forecast expenses and bad and doubtful debts, explains the analyst. The target price falls to $9.34 from $9.84.

The Buy rating is maintained due to a positive cost performance and continued delivery of ME Bank synergies. In addition, there was considered to be ongoing strong above-system volume growth, supplemented by benefits from a transition to digital platforms.

This report was published on April 19, 2022.

Target price is $9.34 Current Price is $7.94 Difference: $1.4
If BOQ meets the Goldman Sachs target it will return approximately 18% (excluding dividends, fees and charges).
Current consensus price target is $9.73, suggesting upside of 22.5%(ex-dividends)
The company's fiscal year ends in August.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 45.00 cents and EPS of 73.00 cents.
At the last closing share price the estimated dividend yield is 5.67%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.88.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 75.7, implying annual growth of 13.1%.
Current consensus DPS estimate is 46.5, implying a prospective dividend yield of 5.9%.
Current consensus EPS estimate suggests the PER is 10.5.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 47.00 cents and EPS of 72.00 cents.
At the last closing share price the estimated dividend yield is 5.92%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.03.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 77.0, implying annual growth of 1.7%.
Current consensus DPS estimate is 51.8, implying a prospective dividend yield of 6.5%.
Current consensus EPS estimate suggests the PER is 10.3.

Market Sentiment: 0.7
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

CAR    CARSALES.COM LIMITED

Automobiles & Components – Overnight Price: $20.13

Jarden rates ((CAR)) as Underweight (4) –

As automotive sales are in the discretionary sector of the economy most impacted by the household wealth effect, Jarden decides to review auto-exposed stocks. This comes as potential headwinds loom from rising interest rates, petrol prices and inflation more generally.

The broker expects a counterbalance to these headwinds in Australia from pent-up demand, a strong pipeline of pre-sales and ongoing supply constraints. It's thought any demand weakness may either not occur or at least be delayed.

As Carsales are in an investment phase, the broker sees better relative value elsewhere across its wider coverage of the ASX. Upside risks are thought to include stronger results from Trader Interactive and stronger international markets penetration, with less investment.

The Underweight rating and $21.40 target price are maintained.

This report was published on April 14, 2022.

Target price is $21.40 Current Price is $20.13 Difference: $1.27
If CAR meets the Jarden target it will return approximately 6% (excluding dividends, fees and charges).
Current consensus price target is $24.00, suggesting upside of 19.2%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 51.40 cents and EPS of 64.20 cents.
At the last closing share price the estimated dividend yield is 2.55%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 31.36.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 67.6, implying annual growth of 28.4%.
Current consensus DPS estimate is 54.7, implying a prospective dividend yield of 2.7%.
Current consensus EPS estimate suggests the PER is 29.8.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 57.20 cents and EPS of 71.50 cents.
At the last closing share price the estimated dividend yield is 2.84%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 28.15.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 78.7, implying annual growth of 16.4%.
Current consensus DPS estimate is 64.0, implying a prospective dividend yield of 3.2%.
Current consensus EPS estimate suggests the PER is 25.6.

Market Sentiment: 0.3
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

GDG    GENERATION DEVELOPMENT GROUP LIMITED

Wealth Management & Investments – Overnight Price: $1.68

Moelis rates ((GDG)) as Buy (1) –

Following Generation Development's March quarter update, Moelis maintains its Buy rating and lifts its target price to $2.02 from $1.90 to reflect an increased valuation for the annuities business.

The broker points out the launch of the new investment-linked annuities product adds a significantly growing division alongside Investment Bonds and Lonsec Group.

For Lonsec Group, the analyst estimates the  platform for Lonsec Investment Solutions has hit scale with more than $3bn in funds under management (FUM).

This report was published on April 19, 2022.

Target price is $2.02 Current Price is $1.68 Difference: $0.34
If GDG meets the Moelis target it will return approximately 20% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY22:

Moelis forecasts a full year FY22 dividend of 2.00 cents and EPS of 2.90 cents.
At the last closing share price the estimated dividend yield is 1.19%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 57.93.

Forecast for FY23:

Moelis forecasts a full year FY23 dividend of 2.00 cents and EPS of 4.10 cents.
At the last closing share price the estimated dividend yield is 1.19%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 40.98.

Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

GEM    G8 EDUCATION LIMITED

Childcare – Overnight Price: $1.07

Moelis rates ((GEM)) as Hold (3) –

Moelis reduces its FY22 earnings (EBIT) estimate to $70m from $75m for G8 Education to reflects soft 1Q results. Management expects occupancy impacts from flooding will be temporary.

The broker retains its Hold rating and lowers its target price to $1.20 from $1.27. It's felt upside may result for 2022/23 margins should the -$13m-$15m cost-out program be executed across the 2Q-4Q of 2022.

The analyst estimates the short-term demand/supply outlook is supportive for childcare.

This report was published on April 14, 2022.

Target price is $1.20 Current Price is $1.07 Difference: $0.13
If GEM meets the Moelis target it will return approximately 12% (excluding dividends, fees and charges).
Current consensus price target is $1.32, suggesting upside of 23.4%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY22:

Moelis forecasts a full year FY22 dividend of 3.30 cents and EPS of 4.70 cents.
At the last closing share price the estimated dividend yield is 3.08%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.77.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 5.8, implying annual growth of 7.6%.
Current consensus DPS estimate is 4.0, implying a prospective dividend yield of 3.7%.
Current consensus EPS estimate suggests the PER is 18.4.

Forecast for FY23:

Moelis forecasts a full year FY23 dividend of 4.90 cents and EPS of 6.60 cents.
At the last closing share price the estimated dividend yield is 4.58%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.21.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 7.8, implying annual growth of 34.5%.
Current consensus DPS estimate is 5.0, implying a prospective dividend yield of 4.7%.
Current consensus EPS estimate suggests the PER is 13.7.

Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

HUB    HUB24 LIMITED

Wealth Management & Investments – Overnight Price: $25.96

Jarden rates ((HUB)) as Neutral (3) –

Jarden makes negative investment mark-to-market earnings revisions across its insurance and diversified financial equities coverage, due to geopolitical tensions and increased expectations for interest rate rises.

Since the broker's last recent update for platforms, mark-to-market earnings revisions have been relatively minor. While strong flows for Hub24 should still ensure 3Q funds under administration (FUA) growth, the Neutral rating reflects modest valuation upside.

The target price rises to $28.70 from $28.55.

This report was published on April 13, 2022.

Target price is $28.70 Current Price is $25.96 Difference: $2.74
If HUB meets the Jarden target it will return approximately 11% (excluding dividends, fees and charges).
Current consensus price target is $33.77, suggesting upside of 30.1%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 20.50 cents and EPS of 45.30 cents.
At the last closing share price the estimated dividend yield is 0.79%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 57.31.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 43.5, implying annual growth of 242.0%.
Current consensus DPS estimate is 17.7, implying a prospective dividend yield of 0.7%.
Current consensus EPS estimate suggests the PER is 59.7.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 30.20 cents and EPS of 67.90 cents.
At the last closing share price the estimated dividend yield is 1.16%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 38.23.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 59.3, implying annual growth of 36.3%.
Current consensus DPS estimate is 24.5, implying a prospective dividend yield of 0.9%.
Current consensus EPS estimate suggests the PER is 43.8.

Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

IFL    INSIGNIA FINANCIAL LIMITED

Wealth Management & Investments – Overnight Price: $3.66

Jarden rates ((IFL)) as Buy (1) –

Jarden makes negative investment mark-to-market earnings revisions across its insurance and diversified financial equities coverage, due to geopolitical tensions and increased expectations for interest rate rises.

Insignia Financial remains the broker's top pick across the wealth managers, given a forecast 9% EPS compound annual growth rate (CAGR), attractive dividend yield and low PE multiple.

The broker maintains its Buy rating and lowers its target to $4.90 from $4.95.

This report was published on April 13, 2022.

Target price is $4.90 Current Price is $3.66 Difference: $1.24
If IFL meets the Jarden target it will return approximately 34% (excluding dividends, fees and charges).
Current consensus price target is $5.24, suggesting upside of 43.1%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 23.00 cents and EPS of 35.40 cents.
At the last closing share price the estimated dividend yield is 6.28%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.34.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 37.3, implying annual growth of N/A.
Current consensus DPS estimate is 25.2, implying a prospective dividend yield of 6.9%.
Current consensus EPS estimate suggests the PER is 9.8.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 25.90 cents and EPS of 39.80 cents.
At the last closing share price the estimated dividend yield is 7.08%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.20.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 43.4, implying annual growth of 16.4%.
Current consensus DPS estimate is 29.1, implying a prospective dividend yield of 8.0%.
Current consensus EPS estimate suggests the PER is 8.4.

Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

INA    INGENIA COMMUNITIES GROUP

Aged Care & Seniors – Overnight Price: $4.76

Jarden rates ((INA)) as Buy (1) –

Following a trading update by Ingenia Communities, Jarden lowers its FY22 forecasts on lower development settlements though three-year targets remain. The target price falls to $6.40 from $6.70. Buy.

The FY22 forecast downgrade comes as management lowered its settlement outlook to 400-425 sites from 475, due to the impact of recent wet weather and supply chain challenges, explains the broker.

Nonetheless, the analyst points to ongoing positive longer-term thematics, while management expects improving profitability in the  Holidays ⁄ Tourism business. In addition, it's estimated there is further cap rate compression expected for the passive lifestyle assets.

This report was published on April 14, 2022.

Target price is $6.40 Current Price is $4.76 Difference: $1.64
If INA meets the Jarden target it will return approximately 34% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 11.00 cents and EPS of 22.60 cents.
At the last closing share price the estimated dividend yield is 2.31%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.06.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 11.80 cents and EPS of 27.60 cents.
At the last closing share price the estimated dividend yield is 2.48%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.25.

Market Sentiment: 0.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

---

Moelis rates ((INA)) as Buy (1) –

While retaining a Hold rating for Ingenia Communities, Moelis lowers its target price to $5.58 from $6.21. It's thought construction challenges will extend beyond FY22, resulting in incremental risk to forecasts for Development division volumes and margins.

Despite recent wet weather, the Holiday division has proved resilient and bookings through to June 2022 remain strong. For the Lifestyle division, CPI-linked rents are expected to result in rising margins, increasing towards 50%, over the medium term.

This report was published on April 14, 2022.

Target price is $5.58 Current Price is $4.76 Difference: $0.82
If INA meets the Moelis target it will return approximately 17% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY22:

Moelis forecasts a full year FY22 dividend of 10.90 cents and EPS of 21.60 cents.
At the last closing share price the estimated dividend yield is 2.29%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.04.

Forecast for FY23:

Moelis forecasts a full year FY23 dividend of 13.50 cents and EPS of 26.90 cents.
At the last closing share price the estimated dividend yield is 2.84%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.70.

Market Sentiment: 0.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

JHG    JANUS HENDERSON GROUP PLC

Wealth Management & Investments – Overnight Price: $44.89

Jarden rates ((JHG)) as Underweight (4) –

Jarden makes negative investment mark-to-market earnings revisions across its insurance and diversified financial equities coverage, due to geopolitical tensions and increased expectations for interest rate rises.

For asset managers, forecast earnings adjustments were relatively minor given a recent broker review. The Underweight rating for Janus Henderson is unchanged given ongoing fund underperformance and sizeable outflows, as well as cost pressures.

The target price falls to $41.15 from $42.15.

This report was published on April 13, 2022.

Target price is $41.15 Current Price is $44.89 Difference: minus $3.74 (current price is over target).
If JHG meets the Jarden target it will return approximately minus 8% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $50.10, suggesting upside of 11.6%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 205.82 cents and EPS of 444.14 cents.
At the last closing share price the estimated dividend yield is 4.59%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.11.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 512.6, implying annual growth of N/A.
Current consensus DPS estimate is 217.0, implying a prospective dividend yield of 4.8%.
Current consensus EPS estimate suggests the PER is 8.8.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 205.82 cents and EPS of 441.44 cents.
At the last closing share price the estimated dividend yield is 4.59%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.17.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 502.6, implying annual growth of -2.0%.
Current consensus DPS estimate is 265.6, implying a prospective dividend yield of 5.9%.
Current consensus EPS estimate suggests the PER is 8.9.

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 0.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

MFG    MAGELLAN FINANCIAL GROUP LIMITED

Wealth Management & Investments – Overnight Price: $16.50

Jarden rates ((MFG)) as Underweight (4) –

Jarden makes negative investment mark-to-market earnings revisions across its insurance and diversified financial equities coverage, due to geopolitical tensions and increased expectations for interest rate rises.

For asset managers, forecast earnings adjustments were relatively minor given a recent broker review. The Underweight rating for Magellan Financial is unchanged given ongoing fund underperformance and sizeable outflows, as well as cost pressures.

The target price of $12.55 is unchanged.

This report was published on April 13, 2022.

Target price is $12.55 Current Price is $16.50 Difference: minus $3.95 (current price is over target).
If MFG meets the Jarden target it will return approximately minus 24% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $13.80, suggesting downside of -16.4%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 196.80 cents and EPS of 216.40 cents.
At the last closing share price the estimated dividend yield is 11.93%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.62.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 218.9, implying annual growth of 51.4%.
Current consensus DPS estimate is 189.4, implying a prospective dividend yield of 11.5%.
Current consensus EPS estimate suggests the PER is 7.5.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 121.10 cents and EPS of 137.20 cents.
At the last closing share price the estimated dividend yield is 7.34%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.03.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 142.1, implying annual growth of -35.1%.
Current consensus DPS estimate is 125.3, implying a prospective dividend yield of 7.6%.
Current consensus EPS estimate suggests the PER is 11.6.

Market Sentiment: -0.7
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

NWL    NETWEALTH GROUP LIMITED

Wealth Management & Investments – Overnight Price: $13.16

Jarden rates ((NWL)) as Neutral (3) –

Jarden makes negative investment mark-to-market earnings revisions across its insurance and diversified financial equities coverage, due to geopolitical tensions and increased expectations for interest rate rises.

Since the broker's last recent update for platforms, mark-to-market earnings revisions have been relatively minor. While strong flows for Netwealth Group should still ensure 3Q funds under administration (FUA) growth, the Neutral rating reflects modest valuation upside.

The $14.10 target price is unchanged.

This report was published on April 13, 2022.

Target price is $14.10 Current Price is $13.16 Difference: $0.94
If NWL meets the Jarden target it will return approximately 7% (excluding dividends, fees and charges).
Current consensus price target is $16.08, suggesting upside of 22.2%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 19.60 cents and EPS of 22.40 cents.
At the last closing share price the estimated dividend yield is 1.49%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 58.75.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 23.6, implying annual growth of 4.7%.
Current consensus DPS estimate is 20.1, implying a prospective dividend yield of 1.5%.
Current consensus EPS estimate suggests the PER is 55.8.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 25.90 cents and EPS of 29.90 cents.
At the last closing share price the estimated dividend yield is 1.97%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 44.01.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 30.5, implying annual growth of 29.2%.
Current consensus DPS estimate is 25.0, implying a prospective dividend yield of 1.9%.
Current consensus EPS estimate suggests the PER is 43.1.

Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

OCL    OBJECTIVE CORPORATION LIMITED

IT & Support – Overnight Price: $18.36

Goldman Sachs rates ((OCL)) as Initiation of coverage with Neutral (3) –

Goldman Sachs initiates coverage on three companies that are favourably positioned to benefit from multi-decade structural growth tailwinds as enterprises pursue digital transformation. All three are considered to have nascent but growing offshore operations.

In addition, [ReadyTech ((RDY)), TechnologyOne ((TNE)) and Objective] have defensive core end markets, relatively insulated from macroeconomic shocks, points out the analyst.

Objective provides software specialising in content and process governance for public sector and regulated clients. Positives include a long track record in government software and attractive long-term upside in the US, explains the broker.

The company also has a long innovation track record and conservative accounting (all R&D is expensed), notes the analyst.

Goldman Sachs adopts a Neutral rating as shares are trading at a premium multiple with relatively less earnings visibility compared to the other two companies. The target price is set at $19.05.

This report was published on April 19, 2022.

Target price is $19.05 Current Price is $18.36 Difference: $0.69
If OCL meets the Goldman Sachs target it will return approximately 4% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 11.20 cents and EPS of 20.30 cents.
At the last closing share price the estimated dividend yield is 0.61%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 90.44.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 14.90 cents and EPS of 27.10 cents.
At the last closing share price the estimated dividend yield is 0.81%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 67.75.

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

PDL    PENDAL GROUP LIMITED

Wealth Management & Investments – Overnight Price: $5.20

Jarden rates ((PDL)) as Buy (1) –

Jarden makes negative investment mark-to-market earnings revisions across its insurance and diversified financial equities coverage, due to geopolitical tensions and increased expectations for interest rate rises.

For asset managers, forecast earnings adjustments were relatively minor given a recent broker review. 

Pendal Group remains Jarden's top pick given ongoing improvements in fund performance and the potential revenue synergies from the Thompson, Siegal and Walmsley acquisition

The analyst also sees increasing scope for performance fees. The Buy rating and $6.60 target price are retained.

This report was published on April 13, 2022.

Target price is $6.60 Current Price is $5.20 Difference: $1.4
If PDL meets the Jarden target it will return approximately 27% (excluding dividends, fees and charges).
Current consensus price target is $6.02, suggesting upside of 15.8%(ex-dividends)
The company's fiscal year ends in September.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 45.00 cents and EPS of 48.80 cents.
At the last closing share price the estimated dividend yield is 8.65%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.66.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 47.4, implying annual growth of -8.8%.
Current consensus DPS estimate is 41.2, implying a prospective dividend yield of 7.9%.
Current consensus EPS estimate suggests the PER is 11.0.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 43.30 cents and EPS of 48.20 cents.
At the last closing share price the estimated dividend yield is 8.33%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.79.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 46.1, implying annual growth of -2.7%.
Current consensus DPS estimate is 40.6, implying a prospective dividend yield of 7.8%.
Current consensus EPS estimate suggests the PER is 11.3.

Market Sentiment: 0.8
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

PPT    PERPETUAL LIMITED

Wealth Management & Investments – Overnight Price: $32.21

Jarden rates ((PPT)) as Underweight (4) –

Jarden makes negative investment mark-to-market earnings revisions across its insurance and diversified financial equities coverage, due to geopolitical tensions and increased expectations for interest rate rises.

For asset managers, forecast earnings adjustments were relatively minor given a recent broker review. The Underweight rating for Perpetual is unchanged given ongoing fund underperformance and sizeable outflows, as well as cost pressures.

The target price falls to $30.05 from $30.25.

This report was published on April 13, 2022.

Target price is $30.05 Current Price is $32.21 Difference: minus $2.16 (current price is over target).
If PPT meets the Jarden target it will return approximately minus 7% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $39.61, suggesting upside of 23.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 201.00 cents and EPS of 241.60 cents.
At the last closing share price the estimated dividend yield is 6.24%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.33.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 263.8, implying annual growth of 95.4%.
Current consensus DPS estimate is 213.2, implying a prospective dividend yield of 6.6%.
Current consensus EPS estimate suggests the PER is 12.2.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 194.30 cents and EPS of 226.20 cents.
At the last closing share price the estimated dividend yield is 6.03%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.24.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 287.6, implying annual growth of 9.0%.
Current consensus DPS estimate is 225.7, implying a prospective dividend yield of 7.0%.
Current consensus EPS estimate suggests the PER is 11.2.

Market Sentiment: 0.6
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

PTM    PLATINUM ASSET MANAGEMENT LIMITED

Wealth Management & Investments – Overnight Price: $1.91

Jarden rates ((PTM)) as Underweight (4) –

Jarden makes negative investment mark-to-market earnings revisions across its insurance and diversified financial equities coverage, due to geopolitical tensions and increased expectations for interest rate rises.

For asset managers, forecast earnings adjustments were relatively minor given a recent broker review. The Underweight rating for Platinum Asset Management is unchanged given ongoing fund underperformance and sizeable outflows, as well as cost pressures.

The target price of $2.00 is unchanged.

This report was published on April 13, 2022.

Target price is $2.00 Current Price is $1.91 Difference: $0.09
If PTM meets the Jarden target it will return approximately 5% (excluding dividends, fees and charges).
Current consensus price target is $2.27, suggesting upside of 18.7%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY22:

Jarden forecasts a full year FY22 EPS of 19.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.85.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 21.2, implying annual growth of -24.7%.
Current consensus DPS estimate is 19.7, implying a prospective dividend yield of 10.3%.
Current consensus EPS estimate suggests the PER is 9.0.

Forecast for FY23:

Jarden forecasts a full year FY23 EPS of 16.70 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.44.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 17.8, implying annual growth of -16.0%.
Current consensus DPS estimate is 17.3, implying a prospective dividend yield of 9.1%.
Current consensus EPS estimate suggests the PER is 10.7.

Market Sentiment: -0.4
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

PWR    PETER WARREN AUTOMOTIVE HOLDINGS LIMITED

Automobiles & Components – Overnight Price: $2.62

Jarden rates ((PWR)) as Buy (1) –

As automotive sales are in the discretionary sector of the economy most impacted by the household wealth effect, Jarden decides to review auto-exposed stocks. This comes as potential headwinds loom from rising interest rates, petrol prices and inflation more generally.

The broker expects a counterbalance to these headwinds in Australia from pent-up demand, a strong pipeline of pre-sales and ongoing supply constraints. It's thought any demand weakness may either not occur or at least be delayed.

Eagers Automotive ((APE)) and Peter Warren Automotive are the broker's preferred picks among auto dealers. For the latter, ongoing benefits from the December 2021 acquisition of Penfold Group are expected.

The Buy rating and $4.27 target price are retained.

This report was published on April 14, 2022.

Target price is $4.27 Current Price is $2.62 Difference: $1.65
If PWR meets the Jarden target it will return approximately 63% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 11.90 cents and EPS of 25.20 cents.
At the last closing share price the estimated dividend yield is 4.54%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.40.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 25.10 cents and EPS of 26.10 cents.
At the last closing share price the estimated dividend yield is 9.58%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.04.

Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

RDY    READYTECH HOLDINGS LIMITED

Software & Services – Overnight Price: $3.25

Goldman Sachs rates ((RDY)) as Initiation of coverage with Buy (1) –

Goldman Sachs initiates coverage on three companies that are favourably positioned to benefit from multi-decade structural growth tailwinds as enterprises pursue digital transformation. All three are considered to have nascent but growing offshore operations.

In addition, [TechnologyOne ((TNE)), Objective((OCL)) and ReadyTech] have defensive core end markets, relatively insulated from macroeconomic shocks, points out the analyst.

ReadyTech owns a portfolio of enterprise software businesses across several defensive market verticals, according to the broker, including higher education, HR/payroll, work pathways and local government.

Goldman Sachs sees long-term growth from continued share gains in core verticals in A&NZ, as well as  expansion into offshore markets. A Buy rating is attributed to trading at a large discount to profitable software peers. A $5.00 target price is set.

This report was published on April 19, 2022.

Target price is $5.00 Current Price is $3.25 Difference: $1.75
If RDY meets the Goldman Sachs target it will return approximately 54% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 0.00 cents and EPS of 13.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 25.00.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 0.00 cents and EPS of 16.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.31.

Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

RHC    RAMSAY HEALTH CARE LIMITED

Healthcare services – Overnight Price: $64.39

Goldman Sachs rates ((RHC)) as Buy (1) –

A reported bid from equity company KKR has valued Ramsay Health Care at over $20bn, depite the company trading at a $15m market cap as of April 19. 

Goldman Sachs is of the opinion that significant unrealised value remains in Ramsay Health Care's property portfolio.

The Buy rating and target price of $74.00 are retained.

This report was published on April 20, 2022.

Target price is $74.00 Current Price is $64.39 Difference: $9.61
If RHC meets the Goldman Sachs target it will return approximately 15% (excluding dividends, fees and charges).
Current consensus price target is $69.52, suggesting upside of 8.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 EPS of 194.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 33.19.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 170.4, implying annual growth of -11.8%.
Current consensus DPS estimate is 124.4, implying a prospective dividend yield of 1.9%.
Current consensus EPS estimate suggests the PER is 37.8.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 EPS of 250.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 25.76.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 257.6, implying annual growth of 51.2%.
Current consensus DPS estimate is 157.3, implying a prospective dividend yield of 2.4%.
Current consensus EPS estimate suggests the PER is 25.0.

Market Sentiment: 0.1
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

TNE    TECHNOLOGY ONE LIMITED

IT & Support – Overnight Price: $10.96

Goldman Sachs rates ((TNE)) as Initiation of coverage with Buy (1) –

Goldman Sachs initiates coverage on three companies that are favourably positioned to benefit from multi-decade structural growth tailwinds as enterprises pursue digital transformation. All three are considered to have nascent but growing offshore operations.

In addition, [ReadyTech ((RDY)), Objective ((OCL)) and TechnologyOne] have defensive core end markets, relatively insulated from macroeconomic shocks, points out the analyst.

TechnologyOne provides enterprise resource planning software. The investment thesis includes the transition to SaaS invoicing, elevated inflation (via contractual CPI pass-through) and underlying business growth, explains the broker.

The growing UK business provides potentially meaningful upside to Goldman Sachs' medium-term estimates, and is important for long-term growth. The target price is set at $13.90. Buy.

This report was published on April 19, 2022.

Target price is $13.90 Current Price is $10.96 Difference: $2.94
If TNE meets the Goldman Sachs target it will return approximately 27% (excluding dividends, fees and charges).
Current consensus price target is $11.83, suggesting upside of 8.0%(ex-dividends)
The company's fiscal year ends in September.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 15.70 cents and EPS of 26.00 cents.
At the last closing share price the estimated dividend yield is 1.43%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 42.15.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 26.4, implying annual growth of 16.6%.
Current consensus DPS estimate is 16.2, implying a prospective dividend yield of 1.5%.
Current consensus EPS estimate suggests the PER is 41.5.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 18.20 cents and EPS of 30.00 cents.
At the last closing share price the estimated dividend yield is 1.66%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 36.53.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 29.3, implying annual growth of 11.0%.
Current consensus DPS estimate is 18.6, implying a prospective dividend yield of 1.7%.
Current consensus EPS estimate suggests the PER is 37.4.

Market Sentiment: 0.3
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

WTC    WISETECH GLOBAL LIMITED

Cloud services – Overnight Price: $46.35

Goldman Sachs rates ((WTC)) as Initiation of coverage with Neutral (3) –

Goldman Sachs initiates coverage on logistics software provider WiseTech Global with a Neutral rating given a high valuation compared to peers and due to a lack of transparency on future growth.

In addition, the broker applies a Neutral rating in the expectation of limited margin upside for the company's cloud-based platform, CargoWise. Nonetheless, the platform is helping to achieve de facto software standard status for the freight forwarding industry.

Increasing CargoWise adoption drives significant network benefits for the platform, and allows greater investment in functionality, benefiting all subscribers, explains the analyst. The target price is set at $53.

This report was published on April 19, 2022.

Target price is $53.00 Current Price is $46.35 Difference: $6.65
If WTC meets the Goldman Sachs target it will return approximately 14% (excluding dividends, fees and charges).
Current consensus price target is $48.34, suggesting upside of 4.3%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 7.00 cents and EPS of 49.00 cents.
At the last closing share price the estimated dividend yield is 0.15%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 94.59.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 51.1, implying annual growth of 53.6%.
Current consensus DPS estimate is 9.9, implying a prospective dividend yield of 0.2%.
Current consensus EPS estimate suggests the PER is 90.7.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 9.00 cents and EPS of 62.00 cents.
At the last closing share price the estimated dividend yield is 0.19%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 74.76.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 67.7, implying annual growth of 32.5%.
Current consensus DPS estimate is 13.2, implying a prospective dividend yield of 0.3%.
Current consensus EPS estimate suggests the PER is 68.5.

Market Sentiment: 0.4
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

XRO    XERO LIMITED

Accountancy – Overnight Price: $100.95

Goldman Sachs rates ((XRO)) as Buy (1) –

After a review of various data points for Xero, and after obtaining industry feedback, Goldman Sachs expects revenue acceleration into FY22 to drive outperformance. For the long term, growth is expected from strong unit economics.

The current share price is regarded as an attractive entry point for the broker's preferred large cap technology exposure in A&NZ. The Buy rating is maintained, while the target price slips by -1% to $133.

The analyst notes positive Xero app download momentum in the US and rest of the world during the second half, and sees a tailwind from the recent Australian federal budget. The latter will enable SMEs to expense -120% of cloud accounting/e-invoicing software.

This report was published on April 19, 2022.

Target price is $133.00 Current Price is $100.95 Difference: $32.05
If XRO meets the Goldman Sachs target it will return approximately 32% (excluding dividends, fees and charges).
Current consensus price target is $120.77, suggesting upside of 19.6%(ex-dividends)
The company's fiscal year ends in March.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 0.00 cents and EPS of 2.26 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 4464.84.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 6.9, implying annual growth of N/A.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 1463.0.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 0.00 cents and EPS of 22.61 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 446.44.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 41.3, implying annual growth of 498.6%.
Current consensus DPS estimate is 2.3, implying a prospective dividend yield of 0.0%.
Current consensus EPS estimate suggests the PER is 244.4.

This company reports in NZD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 0.4
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

XTE    XTEK LIMITED

Industrial Sector Contractors & Engineers – Overnight Price: $0.37

Taylor Collison rates ((XTE)) as Speculative Buy (1) –

XTEK has recently received several orders for ballistic armour and one for drones. Taylor Collison feels the orders provide some validation for the company, and notes the company is currently bidding for two major contracts with the Australian Defence Force.

Following first half results back in March, the analyst notes the Australian and US operations experienced a significant increase in costs
incurred in right-sizing operations.

Recent sales of equipment are a major boost to XTEK, believes the broker, with the cash received helping to maintain operations.

The Speculative Buy rating is retained. 

This report was published on April 19, 2022.

Current Price is $0.37. Target price not assessed.
The company's fiscal year ends in June.

Forecast for FY22:

Taylor Collison forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 2.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 13.21.

Forecast for FY23:

Taylor Collison forecasts a full year FY23 dividend of 0.00 cents and EPS of 2.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.42.

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

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The content of this information does in no way reflect the opinions of FNArena, or of its journalists. In fact we don't have any opinion about the stock market, its value, future direction or individual shares. FNArena solely reports about what the main experts in the market note, believe and comment on. By doing so we believe we provide intelligent investors with a valuable tool that helps them in making up their own minds, reading market trends and getting a feel for what is happening beneath the surface. This document is provided for informational purposes only. It does not constitute an offer to sell or a solicitation to buy any security or other financial instrument. FNArena employs very experienced journalists who base their work on information believed to be reliable and accurate, though no guarantee is given that the daily report is accurate or complete. Investors should contact their personal adviser before making any investment decision.

As part of emerging new trends overseas, The Australian Broker Call *Extra* Edition also includes providers of sponsored research. Readers should bear in mind, sponsored research, while not necessarily of lower quality, has the embedded complication that the company that is the subject of the research has paid for this research. Providers of sponsored research that can potentially be included in this Report are Breakaway Research, Edison Investment Research, Independent Investment Research, NDF Research, Pitt Street Research, and TMT Analytics.

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