Daily Market Reports | 10:30 AM
An additional news report on the recommendation, valuation, forecast and opinion changes and updates 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.
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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)
ATA CBA CEN CMM COL FLT IFL LNW (2) NHF SVW XRO
CMM CAPRICORN METALS LIMITED
Gold & Silver - Overnight Price: $6.25
Jarden rates ((CMM)) as Buy (1) -
Jarden resumes coverage of Capricorn Metals following a recent $200m equity placement at $6.00/share.
The Karlawinda expansion, planned for completion by Q4 FY26, and the Mount Gibson Gold Project (MGGP) for FY27, collectively require an estimated capital outlay of -$420m, notes the broker.
Expenditure will be supported by a pro forma cash position of $290m as of September.
Looking ahead, the analysts anticipate significant growth, with MGGP reserves likely to surpass 2moz, boosting total group reserves to near 3.5moz, and foresee a production rate of 300-350kozpa from 2027.
Jarden lowers its target to $6.93 from $7.03, reflecting capital structure adjustments following the placement. The Buy rating is retained.
This report was published on November 14, 2024.
Target price is $6.93 Current Price is $6.25 Difference: $0.68
If CMM meets the Jarden target it will return approximately 11% (excluding dividends, fees and charges).
Current consensus price target is $7.24, suggesting upside of 15.9%(ex-dividends)
The company's fiscal year ends in June.
Forecast for FY25:
Jarden forecasts a full year FY25 dividend of 0.00 cents and EPS of 34.10 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 18.33.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 33.5, implying annual growth of 44.8%.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 18.7.
Forecast for FY26:
Jarden forecasts a full year FY26 dividend of 6.00 cents and EPS of 29.90 cents.
At the last closing share price the estimated dividend yield is 0.96%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.90.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 32.6, implying annual growth of -2.7%.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 19.2.
Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
COL COLES GROUP LIMITED
Food, Beverages & Tobacco - Overnight Price: $17.80
Goldman Sachs rates ((COL)) as Neutral (3) -
Goldman Sachs attended Coles Group's Strategy Day, where management outlined its "3D Strategy" focusing on Destination for Food and Drink, Accelerated by Digital, and consistent Delivery.
The broker notes CEO Leah Weckert highlighted key competitive advantages: reliable execution, exclusive brands, and efficiency-driven reinvestment.
The company is prioritising technology, data, and omni-channel execution, while emphasising productivity, cost control, and retail media scaling to support earnings growth.
Coles plans for strong cash conversion and an 80-90% dividend payout ratio.
The broker is positive on the strategy but notes intensifying competition from Woolworths Group ((WOW)), Amazon, Chemist Warehouse ((SIG)), and Bunnings ((WES)), as well as continued investment needs.
Neutral rating with a target price of $18.50.
This report was published on November 14, 2024.
Target price is $18.50 Current Price is $17.80 Difference: $0.7
If COL meets the Goldman Sachs target it will return approximately 4% (excluding dividends, fees and charges).
Current consensus price target is $19.54, suggesting upside of 9.8%(ex-dividends)
The company's fiscal year ends in June.
Forecast for FY25:
Goldman Sachs forecasts a full year FY25 dividend of 64.00 cents and EPS of 79.00 cents.
At the last closing share price the estimated dividend yield is 3.60%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.53.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 84.3, implying annual growth of 0.6%.
Current consensus DPS estimate is 70.3, implying a prospective dividend yield of 3.9%.
Current consensus EPS estimate suggests the PER is 21.1.
Forecast for FY26:
Goldman Sachs forecasts a full year FY26 dividend of 77.00 cents and EPS of 95.00 cents.
At the last closing share price the estimated dividend yield is 4.33%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 18.74.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 95.5, implying annual growth of 13.3%.
Current consensus DPS estimate is 79.6, implying a prospective dividend yield of 4.5%.
Current consensus EPS estimate suggests the PER is 18.6.
Market Sentiment: 0.6
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
FLT FLIGHT CENTRE TRAVEL GROUP LIMITED
Travel, Leisure & Tourism - Overnight Price: $17.33
Wilsons rates ((FLT)) as Overweight (1) -
Wilsons observed October results for Flight Centre Travel showed a strong recovery, with total transaction value and profit before tax up by 6% and 30% year-on-year, respectively.
The company's FY25 earnings guidance $365405m, with the midpoint at $385m, implies 20% growth from FY24. Management also flagged a higher-than-normal 2H weighting to earnings in FY25.
Wilsons highlights earnings risks remain for 1H25, as the 2Q25 earnings need to increase by 50% year-on-year to meet estimates. The analyst's earnings forecasts are under review due to potential downgrades related to the 2Q25 outlook.
Overweight rating with a target price of $22.29 retained.
This report was published on November 14, 2024.
Target price is $22.29 Current Price is $17.33 Difference: $4.96
If FLT meets the Wilsons target it will return approximately 29% (excluding dividends, fees and charges).
Current consensus price target is $22.81, suggesting upside of 31.6%(ex-dividends)
Forecast for FY25:
Current consensus EPS estimate is 125.7, implying annual growth of 97.3%.
Current consensus DPS estimate is 43.3, implying a prospective dividend yield of 2.5%.
Current consensus EPS estimate suggests the PER is 13.8.
Forecast for FY26:
Current consensus EPS estimate is 145.5, implying annual growth of 15.8%.
Current consensus DPS estimate is 55.9, implying a prospective dividend yield of 3.2%.
Current consensus EPS estimate suggests the PER is 11.9.
Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
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