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.
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)
CSC EGL FPH HVN MGH NXL PME (2) PPE QBE WEB WJL
EGL ENVIRONMENTAL GROUP LIMITED
Industrial Sector Contractors & Engineers - Overnight Price: $0.27
Moelis rates ((EGL)) as Initiation of coverage with Buy (1) -
Moelis initiates coverage with a Buy rating and 35c target for environmental solutions and industrial services provider, Environmental Group. A "solid" earnings growth profile is supported by strong industry tailwinds and mandated demand in regulated industries,
Recurring revenue now accounts for over 50% of total group revenue, providing more visible earnings certainty, highlight the analysts. Solid growth is set to continue in core operating segments, while commercialising water treatment technology provides potential upside.
An "exciting" option, according to Moelis, is the company's highly effective, safe, and cheap option to treat per- and polyfluoroalkyl substances (PFAS) contaminated water.
This report was published on November 28, 2024.
Target price is $0.35 Current Price is $0.27 Difference: $0.078
If EGL meets the Moelis target it will return approximately 29% (excluding dividends, fees and charges).
The company's fiscal year ends in June.
Forecast for FY25:
Moelis forecasts a full year FY25 dividend of 0.00 cents and EPS of 1.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 18.13.
Forecast for FY26:
Moelis forecasts a full year FY26 dividend of 0.00 cents and EPS of 1.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.32.
Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
FPH FISHER & PAYKEL HEALTHCARE CORPORATION LIMITED
Medical Equipment & Devices - Overnight Price: $34.52
Wilsons rates ((FPH)) as Downgrade to Market Weight from Overweight (3) -
Wilsons notes Fisher & Paykel Healthcare's first-half results included 19% revenue growth year-on-year, with solid performance in Hospital and Homecare segments.
Gross margin reached 61.9%, exceeding guidance, though the broker anticipates softer improvement ahead with potential headwinds in FY26.
NewApps consumables grew 27%, driven by adoption in new settings such as anaesthesia, while Homecare benefited from mask launches and durable resupply demand, explains the analyst.
Wilsons lowers profit forecasts by between -2% to -4% for FY25-FY27, reflecting expectations for slower gross margin development. The rating is downgraded to Market Weight from Overweight, and the target eases to $34.93 from $35.
This report was published on November 29, 2024.
Target price is $34.93 Current Price is $34.52 Difference: $0.41
If FPH meets the Wilsons target it will return approximately 1% (excluding dividends, fees and charges).
Current consensus price target is $23.06, suggesting downside of -33.2%(ex-dividends)
The company's fiscal year ends in March.
Forecast for FY25:
Wilsons forecasts a full year FY25 dividend of 39.04 cents and EPS of 53.19 cents.
At the last closing share price the estimated dividend yield is 1.13%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 64.90.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 53.9, implying annual growth of N/A.
Current consensus DPS estimate is 42.3, implying a prospective dividend yield of 1.2%.
Current consensus EPS estimate suggests the PER is 64.0.
Forecast for FY26:
Wilsons forecasts a full year FY26 dividend of 44.09 cents and EPS of 63.84 cents.
At the last closing share price the estimated dividend yield is 1.28%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 54.07.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 66.8, implying annual growth of 23.9%.
Current consensus DPS estimate is 48.4, implying a prospective dividend yield of 1.4%.
Current consensus EPS estimate suggests the PER is 51.7.
This company reports in NZD. 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
HVN HARVEY NORMAN HOLDINGS LIMITED
Consumer Electronics - Overnight Price: $4.76
Jarden rates ((HVN)) as Overweight (2) -
Jarden highlights a positive trading update for Harvey Norman, observing sales momentum meeting or exceeding expectations across most markets. Australia remains steady, Europe is improving, while Asia is weaker.
The broker notes favourable consumer spending trends and sales recovery, driven by the replacement cycle and growing adoption of AI-embedded products.
Management reports stronger sales heading into November and December, further supported by easing interest rates in New Zealand.
Jarden retains an Overweight rating for Harvey Norman and maintains the target price of $4.90.
This report was published on November 28, 2024.
Target price is $4.90 Current Price is $4.76 Difference: $0.14
If HVN meets the Jarden target it will return approximately 3% (excluding dividends, fees and charges).
Current consensus price target is $4.95, suggesting upside of 4.0%(ex-dividends)
The company's fiscal year ends in June.
Forecast for FY25:
Jarden forecasts a full year FY25 dividend of 27.00 cents and EPS of 34.70 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 13.72.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 32.1, implying annual growth of 13.5%.
Current consensus DPS estimate is 24.4, implying a prospective dividend yield of 5.1%.
Current consensus EPS estimate suggests the PER is 14.8.
Forecast for FY26:
Jarden forecasts a full year FY26 dividend of 32.00 cents and EPS of 41.20 cents.
At the last closing share price the estimated dividend yield is 6.72%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.55.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 35.2, implying annual growth of 9.7%.
Current consensus DPS estimate is 26.5, implying a prospective dividend yield of 5.6%.
Current consensus EPS estimate suggests the PER is 13.5.
Market Sentiment: 0.3
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
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