Weekly Reports | Oct 24 2025
A summary of the highlights from Broker Call Extra updates throughout the week past.
Broker Rating Changes (Post Thursday Last Week)
Upgrade
AIC MINES LIMITED ((A1M)) Upgrade to Buy from Hold by Moelis.B/H/S: 0/0/0
Moelis has upgaded AIC Mines to Buy from Hold after the miner's 1Q update. The broker notes Eloise delivered 3.2kt Cu and 1.6koz Au at AISC $4.97/lb, generating $11.8m net mine cashflow and closing cash of $67.8m.
The broker rolls spot copper (US$4.80/lb) into the next-12-months deck and argues funding headroom looks adequate as the -$156m Eloise/Jericho expansion advances; its cash-balance chart shows a trough around $28.1m by Dec-26 before rebuilding post-capex.
Forecasts are raised (FY26 EPS up by 58%) and the valuation steps up to a $0.54 target (44c in the week prior). Forecasts have noticeably improved.
COMPUTERSHARE LIMITED ((CPU)) Upgrade to Overweight from Neutral by Jarden.B/H/S: 0/0/0
Jarden believes Computershare is positioned for renewed growth despite a softer margin income outlook as global cash rates moderate. Margin income is expected to trough in FY27 before improving in later years.
A 48% increase in global deal activity and stronger US debt markets are supporting underlying earnings (EBIT ex-margin income).
Low gearing versus management's target is seen as providing capacity for up to 20% earnings accretion if debt capacity is deployed.
Jarden highlights the stock’s de-rating since the FY25 result, with its PE multiple now around -18% below the 10-year average.
The broker raises its target price to $38.50 from $36.50, reflecting modest earnings revisions, and upgrades to Overweight from Neutral.
XERO LIMITED ((XRO)) Upgrade to Buy from Overweight by Jarden.B/H/S: 0/0/0
Xero’s earlier-than-expected completion of the Melio acquisition prompts Jarden to lower its FY26 earnings forecast by -10% due to timing and tax effects. The FY27 forecast and beyond remain unchanged.
Xero’s share price had fallen -20.3% by October 17, since the June 25 announcement of deal completion, wiping around -$6.3bn in market value, equivalent to 137% of Melio’s purchase cost, highlights the broker.
Nonetheless, the analyst expects long-term benefits from the acquisition.
Jarden raises its rating to Buy from Overweight and maintains a $196 target price.
Downgrade
A2 MILK COMPANY LIMITED ((A2M)) Downgrade to Underweight from Neutral by Jarden.B/H/S: 0/0/0
Over FY22-25, Jarden points out a2 Milk Co has delivered a strong turnaround despite structural decline in the China infant milk formula (IMF) market.
The broker revises its earnings forecasts by 2% for FY26, -1% for FY27, and 4% for FY28, reflecting updated assumptions for the new product pipeline and supply chain transformation.
Jarden attributes 77% of its valuation to existing products and supply chain improvements, with NZ$1.85 per share reflecting future innovation.
The broker lifts its target to NZ$7.85 from NZ$7.80 and downgrades to Underweight from Neutral, viewing current valuation as fully pricing in foreseeable growth.
EROAD LIMITED ((ERD)) Downgrade to Underweight from Neutral by Jarden.B/H/S: 0/0/0
Eroad is set to benefit from the New Zealand’ government's transition to a GPS-based electronic road user charge (eRUC) system, with the company well positioned to service the light vehicle fleet, according to Jarden.
The broker estimates the eRUC opportunity could generate about NZ$138m in annual revenue, though the final framework will depend on legislation expected in 2026.
Jarden incorporates the eRUC upside into its valuation, lifting its target price to NZ$2.30 from NZ$1.20, including NZ$0.91 of value from the eRUC potential.
Given the recent share price re-rating since the government announcement, Jarden downgrades Eroad to Underweight from Neutral.
The full story is for FNArena subscribers only. To read the full story plus enjoy a free two-week trial to our service SIGN UP HERE
If you already had your free trial, why not join as a paying subscriber? CLICK HERE