Daily Market Reports | Jun 02 2025
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)
3PL ALQ APE BRE BTR CIA CNB CWY EBR FPH (2) GMG GYG IAG IFT IPG MIN NXG PDI REA RXL SMP TLS VUL WEB (2)
3PL 3P LEARNING LIMITED
Education & Tuition - Overnight Price: $0.66
Taylor Collison rates ((3PL)) as Hold & Marketperform (3) -
Taylor Collison maintains a Hold rating on 3P Learning, citing positive early signs in US Reading Eggs usage and improved margin efficiencies, though broader revenue growth remains subdued.
The company transitioned to direct distribution of Reading Eggs in the United States starting in February 2024.
The broker points to an around 22% increase in US users over the last twelve months, attributing growth to the transition back to in-house sales and rising B2C demand amid reduced federal funding.
In Australia, the analyst observes traffic to the 3plearning.com domain is up 9% over the past six months, suggesting successful migration to the new 3 Essentials platform.
The UK market continues to underperform, notes Taylor Collison, with Mathletics usage halving year-on-year, although the broker expects bundling under the 3E package to aid recovery from the first half of 2026.
No target price is mentioned.
This report was published on May 23, 2025.
Current Price is $0.66. Target price not assessed.
The company's fiscal year ends in June.
Forecast for FY25:
Taylor Collison forecasts a full year FY25 dividend of 0.00 cents and EPS of 3.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.41.
Forecast for FY26:
Taylor Collison forecasts a full year FY26 dividend of 0.00 cents and EPS of 5.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.20.
Market Sentiment: 0.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
ALQ ALS LIMITED
Industrial Sector Contractors & Engineers - Overnight Price: $16.07
Jarden rates ((ALQ)) as Underweight (4) -
ALS Ltd reported FY25 profit of $312m, in line with guidance and consensus, notes Jarden. Life Sciences showed strong cost control, while Commodities delivered a better second half despite weaker pricing.
A $390m equity raise was announced, which the broker views as dilutive and unnecessary given existing funding capacity.
FY26 guidance implies to the analysts modest growth, with second-half skew and ongoing pricing pressure in Geochemistry.
Jarden cuts its EPS forecasts by up to -3.2% through FY28 due to mix and cost concerns. The target price falls to $14.60 from $15.00. Underweight rating.
This report was published on May 30, 2025.
Target price is $14.60 Current Price is $16.07 Difference: minus $1.47 (current price is over target).
If ALQ meets the Jarden target it will return approximately minus 9% (excluding dividends, fees and charges - negative figures indicate an expected loss).
Current consensus price target is $18.86, suggesting upside of 17.7%(ex-dividends)
The company's fiscal year ends in March.
Forecast for FY26:
Jarden forecasts a full year FY26 dividend of 42.20 cents and EPS of 71.40 cents.
At the last closing share price the estimated dividend yield is 2.63%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.51.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 73.0, implying annual growth of 38.0%.
Current consensus DPS estimate is 44.0, implying a prospective dividend yield of 2.7%.
Current consensus EPS estimate suggests the PER is 21.9.
Forecast for FY27:
Jarden forecasts a full year FY27 dividend of 49.00 cents and EPS of 81.60 cents.
At the last closing share price the estimated dividend yield is 3.05%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.69.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 81.9, implying annual growth of 12.2%.
Current consensus DPS estimate is 49.3, implying a prospective dividend yield of 3.1%.
Current consensus EPS estimate suggests the PER is 19.6.
Market Sentiment: 0.9
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: $17.36
Moelis rates ((APE)) as Hold (3) -
Moelis notes Eagers Automotive reported a stronger-than-expected year-to-date trading performance, with pre-tax profit (PBT) marginally ahead of the prior corresponding period as of April 2025.
Management re-iterated full-year guidance, citing solid order write and record performance from its Retail Joint Venture and easyauto123 platforms.
The company expects 2H25 to benefit from improving industry conditions, potential interest rate relief, and fewer external disruptions, notes the broker.
A new long-term agreement with BYD Australia is seen as a strategic growth driver, with Eagers positioned as a key retail partner.
Despite a positive outlook, the stock is trading at a high multiple, leading the broker to maintain a Hold rating with a target price of $18.02, up from $15.23.
This report was published on May 28, 2025.
Target price is $18.02 Current Price is $17.36 Difference: $0.66
If APE meets the Moelis target it will return approximately 4% (excluding dividends, fees and charges).
Current consensus price target is $16.86, suggesting downside of -1.5%(ex-dividends)
The company's fiscal year ends in December.
Forecast for FY25:
Moelis forecasts a full year FY25 dividend of 81.10 cents and EPS of 105.50 cents.
At the last closing share price the estimated dividend yield is 4.67%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.45.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 100.8, implying annual growth of 25.6%.
Current consensus DPS estimate is 70.0, implying a prospective dividend yield of 4.1%.
Current consensus EPS estimate suggests the PER is 17.0.
Forecast for FY26:
Moelis forecasts a full year FY26 dividend of 86.90 cents and EPS of 111.30 cents.
At the last closing share price the estimated dividend yield is 5.01%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.60.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 106.8, implying annual growth of 6.0%.
Current consensus DPS estimate is 70.3, implying a prospective dividend yield of 4.1%.
Current consensus EPS estimate suggests the PER is 16.0.
Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
BRE BRAZILIAN RARE EARTHS LIMITED
Rare Earth Minerals - Overnight Price: $1.99
Canaccord Genuity rates ((BRE)) as Speculative Buy (1) -
Canaccord Genuity highlights promising exploration progress for Brazilian Rare Earths at its Sulista project in Brazil. Diamond drilling at Sulista West has delivered shallow high-grade results such as 20.4m at 11.8% total rare earth oxides (TREO).
The company has also identified the Outcrop Ridge area as potentially more significant than Sulista West, notes the broker, with surface samples up to 20.6% TREO and geophysical anomalies suggesting a large mineralised system.
Nearby Sulista East adds further potential, suggest the analysts, with grab samples from weathered bedrock reaching 16.5% TREO; a 3,000m diamond drilling program has commenced there.
Canaccord retains a Speculative Buy rating and $5.00 price target.
This report was published on May 29, 2025.
Target price is $5.00 Current Price is $1.99 Difference: $3.01
If BRE meets the Canaccord Genuity target it will return approximately 151% (excluding dividends, fees and charges).
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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