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)
A2M AD8 (2) AHX AOV ASL AZJ BSL CEN CQR (2) GPT HGO MTM NAB OML S32 SLC TPW TWE
A2M A2 MILK COMPANY LIMITED
Dairy - Overnight Price: $8.66
Jarden rates ((A2M)) as Downgrade to Neutral from Overweight (3) -
a2 Milk Co delivered FY25 revenue of NZ$1.9bn, up 14% year-on-year and in line with Jarden’s forecast, with infant milk formula (IMF) sales rising 10% to NZ$1.3bn.
Earnings (EBITDA) increased 17% to NZ$274m at a 14.4% margin, while profit rose 21% to NZ$203m.
The analysts highlight a2 Milk Co gained share in China, now the No 4 IMF brand with 8% value share, with China Label at a record 5.5% and English Label sales up double digits.
The China IMF market decline has moderated to -3% from double-digit falls previously, with A2 protein growing 12% and now accounting for 21% of IMF value, highlight the analysts.
Channel mix continues to shift online, while new user recruitment in early-stage products remains strong, according to the broker.
Management is advancing a supply chain reset, acquiring the Pokeno facility and divesting Mataura Valley Milk (a dairy processing facility in Southland, New Zealand) with a flagged NZ$300m special dividend subject to regulatory approvals over the next 12 months.
Target falls to NZ$7.80 from NZ$7.90. The broker's rating is downgraded to Neutral from Overweight on limited valuation support.
This report was published on August 18, 2025.
Current Price is $8.66. Target price not assessed.
Current consensus price target is $8.28, suggesting downside of -4.4%(ex-dividends)
The company's fiscal year ends in June.
Forecast for FY26:
Jarden forecasts a full year FY26 dividend of 19.55 cents and EPS of 25.85 cents.
At the last closing share price the estimated dividend yield is 2.26%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 33.50.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 26.5, implying annual growth of N/A.
Current consensus DPS estimate is 20.0, implying a prospective dividend yield of 2.3%.
Current consensus EPS estimate suggests the PER is 32.7.
Forecast for FY27:
Jarden forecasts a full year FY27 dividend of 24.02 cents and EPS of 29.87 cents.
At the last closing share price the estimated dividend yield is 2.77%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 28.99.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 30.6, implying annual growth of 15.5%.
Current consensus DPS estimate is 37.7, implying a prospective dividend yield of 4.4%.
Current consensus EPS estimate suggests the PER is 28.3.
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
AD8 AUDINATE GROUP LIMITED
Hardware & Equipment - Overnight Price: $5.21
Canaccord Genuity rates ((AD8)) as Buy (1) -
Audinate Group reported FY25 revenue of $62m, down -33% year-on-year but in line with expectations, observes Canaccord Genuity.
Hardware sales fell -50% while software rose 11%, lifting gross margins to 82% but leaving gross profit down -26% to $51m. Earnings (EBITDA) were $1.9m at a 2% margin, below the broker's forecasts, with higher opex from headcount and sales investment.
The analysts note investors reacted negatively to the 25% increase in FY26 opex guidance to -$78m, which is set to fund the Iris platform launch and Dante expansion.
This guidance implies to the analysts accelerating losses despite only modest gross profit growth of 13-15%.
FY26 revenue guidance of circa $70m is slightly below consensus, with tariffs and deferred spending weighing on near-term demand, explains the broker.
Adoption of Dante solutions remains strong, notes Canaccord, with more OEM products and design wins.
The broker highlights video growth slowed but the Iris acquisition should expand addressable units by around 1m devices and strengthen control capabilities.
While cash burn remains high, net cash of $73m provides funding for growth, though free cash flow positivity is delayed to FY29.
Canaccord lowers its target price to $8.50 from $10.50 and maintains a Buy rating.
This report was published on August 19, 2025.
Target price is $8.50 Current Price is $5.21 Difference: $3.29
If AD8 meets the Canaccord Genuity target it will return approximately 63% (excluding dividends, fees and charges).
Current consensus price target is $7.76, suggesting upside of 49.0%(ex-dividends)
The company's fiscal year ends in June.
Forecast for FY26:
Canaccord Genuity forecasts a full year FY26 dividend of 0.00 cents and EPS of minus 10.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 47.80.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is -12.4, 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 N/A.
Forecast for FY27:
Canaccord Genuity forecasts a full year FY27 dividend of 0.00 cents and EPS of minus 6.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 81.41.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is -12.2, 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 N/A.
Market Sentiment: 0.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
Moelis rates ((AD8)) as Buy (1) -
Following a "noisy" FY25 result from Audinate, Moelis highlights the growth of Dante-enabled devices and sustained underlying demand for Audinate’s networking solution.
Commentary states the outlook for FY26 clearly communicated a willingness to invest ahead of an ambitious growth strategy.
But a 25% increase in guided FY26 costs well exceeds Moelis' forecast of 16.5%. Audinate aims to deliver value to end customers by creating efficiencies through software-enabled definition and control of large, distributed AV networks, the report stipulates.
At this stage of strategic evolution, Moelis suggests, profit maximisation is not the primary goal.
Guidance is for 13-15% profit growth, down from 21% in 2H25, but it is rare to find an ASX-listed small company with a global leadership position, Moelis notes, that consistently delivers double-digit topline growth.
The broker recently raised its rating to Buy, where it remains. Target $9.43, down from $9.86.
This report was published on August 18, 2025.
Target price is $9.43 Current Price is $5.21 Difference: $4.22
If AD8 meets the Moelis target it will return approximately 81% (excluding dividends, fees and charges).
Current consensus price target is $7.76, suggesting upside of 49.0%(ex-dividends)
The company's fiscal year ends in June.
Forecast for FY26:
Moelis forecasts a full year FY26 dividend of 0.00 cents and EPS of minus 14.70 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 35.44.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is -12.4, 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 N/A.
Forecast for FY27:
Moelis forecasts a full year FY27 dividend of 0.00 cents and EPS of minus 6.70 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 77.76.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is -12.2, 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 N/A.
Market Sentiment: 0.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
AHX APIAM ANIMAL HEALTH LIMITED
Healthcare services - Overnight Price: $0.80
Canaccord Genuity rates ((AHX)) as Downgrade to Hold from Buy (3) -
Apiam Animal Health has received a non-binding indicative proposal from Adamantem Capital to acquire all shares at 88cps, valuing the company at $162m.
Canaccord Genuity notes this represents a 64% premium to the last traded price. The proposal includes a rollover option into unlisted shares and is conditional on exclusivity for due diligence.
The broker notes Adamantem has secured a call option over around 19.9% of shares held by founder Chris Richards, exercisable only if a competing proposal emerges. An Independent Board Committee has been formed to assess the offer alongside other inbound interest.
Canaccord highlights the 11.9 times FY25 earnings (EBITDA) multiple compares with previous veterinary sector acquisitions, which ranged between 9.8-13.1 times.
General Vet clinics make up around 65% of Apiam’s business, with the balance across equine, feedlot and laboratory services.
The broker raises its target price to 88c from 63c and downgrades to Hold from Buy.
This report was published on August 18, 2025.
Target price is $0.88 Current Price is $0.80 Difference: $0.08
If AHX meets the Canaccord Genuity target it will return approximately 10% (excluding dividends, fees and charges).
The company's fiscal year ends in June.
Forecast for FY25:
Canaccord Genuity forecasts a full year FY25 dividend of 2.00 cents and EPS of 3.40 cents.
At the last closing share price the estimated dividend yield is 2.50%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.53.
Forecast for FY26:
Canaccord Genuity forecasts a full year FY26 dividend of 2.00 cents and EPS of 4.00 cents.
At the last closing share price the estimated dividend yield is 2.50%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.00.
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
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