Australian Broker Call

Bell Potter rates 360 as Buy (1) -

Bell Potter envisages some downside risk around MAU growth in the first half compared with consensus estimates for Life360, although forecasts still imply an exit run rate close to 5m, considered good given the Android issues that persisted in April and into May.

Conversely, upside risk is envisaged around paying circle growth versus consensus. The stock is considered reasonable value and deserving to trade on a similar, if not higher, multiple than TechnologyOne ((TNE)), given it is a market leader and has higher forecast earnings growth. Buy rating and $35 target maintained.

Target price is $35.00 Current Price is $28.47 Difference: $6.53
If 360 meets the Bell Potter target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $31.41, suggesting upside of 6.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY26:

Forecast for FY27:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgans rates ACE as Speculative Buy (1) -

Acusensus has won its third state-wide work zone enforcement contract in Kentucky, leveraging a pilot program into a formal multi-year contract. The company will supply and operate a 12-camera trailer fleet in the state with a US$2.1m annualised contract value.

This lifts Morgans' EBITDA forecasts by 1%-2% for FY27-FY28. The broker continues to envisage a number of catalysts ahead for the business and reiterates a Speculative Buy rating. Target is reduced to $2.00 from $2.30.

Target price is $2.00 Current Price is $1.11 Difference: $0.89
If ACE meets the Morgans target it will return approximately 80% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Ord Minnett rates ACE as Buy (1) -

Acusensus has an agreement to undertake work zone speed enforcement in Kentucky with a statewide deal for an initial two years at a total contract value of $6m. There is scope to extend the deal.

This is the company's second state-level deal which Ord Minnett believes gives credence to its technology. The international growth story is considered underappreciated and a Buy rating is maintained. Target is steady at $1.49. The broker forecasts $101m in total revenue in FY27.

Target price is $1.49 Current Price is $1.11 Difference: $0.38
If ACE meets the Ord Minnett target it will return approximately 34% (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

Morgans rates ACF as Buy (1) -

Morgans considers the acquisition of Ausgroup Industrial Services and Preston SuperDeck highly complementary for Acrow, given both cost and revenue synergies.

Surplus funds from the capital raising will be used to pay down debt and strengthen the balance sheet, which addresses a key investor concern. The broker estimates the deal will be EPS neutral in FY27.

The outlook for the business is strong on the back of increased civil infrastructure activity and opportunities in industrial access. A tailwind should come over the longer term from Brisbane Olympics-related activity. Buy rating retained. Target edges up to $1.30 from $1.28.

Target price is $1.30 Current Price is $0.87 Difference: $0.43
If ACF meets the Morgans target it will return approximately 49% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Ord Minnett rates ANN as Accumulate (2) -

Ord Minnett makes some changes to forecasts ahead of the Ansell result on 24 August. This factors in exchange rate movements as well as updating working capital and buyback assumptions. FY26 EPS estimates are lowered by -1.4% and FY27 by -1.2%.

A positive development, the broker notes, is that input costs for latex have eased in recent months and Southeast Asian nitrile prices are down almost -20% from April.

Whether this can be sustained depends on the situation in the Middle East but, if so, the first half of FY27 should derive some benefit. Accumulate rating maintained with a target of $34.55, reduced from $34.80.

Target price is $34.55 Current Price is $33.86 Difference: $0.69
If ANN meets the Ord Minnett target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $33.69, suggesting downside of -2.8% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.1

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Bell Potter rates ATX as Speculative Buy (1) -

Amplia Therapeutics has signed a clinical trial collaboration and supply agreement with Eli Lilly. It will commence a phase 1b/2b trial in non-small cell lung cancer that will combine its FAK inhibitor narmafotinib with the Eli Lilly KRAS G12C inhibitor called olomorasib.

The trial should start in late 2026 across Australian and US sites. Bell Potter assesses the announcement provides credibility and validation for the company's drug. Speculative Buy rating retained along with a $0.42 target.

Target price is $0.42 Current Price is $0.16 Difference: $0.265
If ATX meets the Bell Potter target it will return approximately 171% (excluding dividends, fees and charges).

The company's fiscal year ends in March.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Macquarie rates CCP as Outperform (1) -

Macquarie highlights the market was let down by the FY27 outlook on the purchase debt ledger (PDL) with Credit Corp aiming for $100m-$130m US PDL investment and $100m-$150m in A&NZ.

FY26 US PDL net profit rose 57% to $26.2m, and collections lifted 24% with productivity up 37%. The analyst notes 4Q26 legal channel growth of 36% boosted the result.

A&NZ PDL net profit lifted 5% while investment rose to $136m on credit card run-off book acquisition in 3Q26.

Management has established medium to long-term targets which could underpin earnings growth above both the broker's and consensus expectations if achieved.

Underlying net profit after tax guidance for FY27 was $110m-$118m, or growth of 4%-12%, Macquarie states.

EPS forecasts are trimmed by -5% for FY27 and -6% for FY28. Target price slips -3.5% to $13.34 from $13.82. Outperform retained.

Target price is $13.34 Current Price is $12.79 Difference: $0.55
If CCP meets the Macquarie target it will return approximately 4% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgans rates CCP as Buy (1) -

Credit Corp has delivered FY26 net profit of $105.5m, in line with expectations. Net profit guidance for FY27 is $110m–$118m, which Morgans assesses as "solid", albeit the investment outlook could be considered negative as ledger investment guidance is down –21% and US purchasing guidance down –31%.

The broker assesses execution in the US is required to return the company to medium-term growth and to improve investor sentiment more broadly.

Improved execution along with a valuation de-rating from historic multiples should provide a favourable risk/reward, Morgans adds. Buy rating retained. Target is reduced to $18.25 from $19.15.

Target price is $18.25 Current Price is $12.79 Difference: $5.46
If CCP meets the Morgans target it will return approximately 43% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Bell Potter rates COF as Sell (5) -

Centuria Office REIT delivered a FY26 result that was in line with Bell Potter's estimates at FFO/share of 11.2c. FY27 guidance is for FFO/share of 11.3c and a distribution of 9c.

The distribution guidance is -10.9% below FY26, the broker observes, with the payout ratio rebased to 80% of FFO, a level which management considered sustainable.

Despite the cut, the distribution is still above the broker's FY27 estimate, implying it will again be topped up with capital. Gearing remains elevated at 43.7%.

Bell Potter envisages earnings risks to the downside with elevated gearing suggesting further divestments. Sell rating and $0.85 target maintained.

Target price is $0.85 Current Price is $0.89 Difference: minus $0.035 (current price is over target).
If COF meets the Bell Potter target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $0.88, suggesting downside of -1.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: -0.8

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

UBS rates COF as Neutral (3) -

Centuria Office REIT's FY26 result was -1% below UBS' forecast, while FY27 funds from operations guidance came in around -3% below expectations but 1% above consensus.

The weaker guidance is attributed to downtime from "key vacancies", the analyst states.

The dividend per unit has been rebased to around 80% of funds from operations, down from 90%, which is considered a positive, but only goes part of the way towards restoring investor interest in the REIT.

Following the sale of 154 Melbourne, FY27/FY28 gearing is expected to decline to around 40%. However, a further circa $225m in asset sales is required to reduce gearing to what UBS views as a more appropriate level of around 32%-33%.

The target price slips by -2% to 88c, with no change to the Neutral rating.

Target price is $0.88 Current Price is $0.89 Difference: minus $0.005 (current price is over target).
If COF meets the UBS target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $0.88, suggesting downside of -1.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: -0.8

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Ord Minnett rates CQE as Buy (1) -

Charter Hall Social Infrastructure REIT delivered a 13.1% increase in FY26 operating earnings to 17.3c per unit and an 11.8% increase in distributions to 17c per unit. Guidance is for FY27 operating earnings to be no less than 18.1c per unit with distributions of 18c per unit.

Ord Minnett found the results and guidance broadly in line with expectations. Forecasts are revised to reflect higher net property income forecasts as well as increased interest costs from higher gearing.

The broker believes the company shares offer "decent upside" and good visibility given the long lease expiries. Buy rating retained. Target is $3.05.

Target price is $3.05 Current Price is $2.77 Difference: $0.28
If CQE meets the Ord Minnett target it will return approximately 10% (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

UBS rates FDC as Initiation of coverage with Buy (1) -

UBS initiates coverage of FDC Consolidated with a Buy rating and a $4.15 target price. The recently listed company provides non-residential construction, fit-out and refurbishment services.

Over the past 35 years, the contractor has generated organic growth at a CAGR of around 18%. The addressable market is estimated at more than $55bn and is forecast to grow at a 3% CAGR between FY26 and FY30.

Given FDC's expertise and capabilities, the analyst believes management should be able to scale the business at above-market growth rates.

Expansion beyond NSW is expected to secure more complex projects with higher contract values, the broker states. Data centres and build-to-rent projects are identified as key segments that could boost the pipeline outlook

Target price is $4.15 Current Price is $3.39 Difference: $0.76
If FDC meets the UBS target it will return approximately 22% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

UBS rates GYG as Downgrade to Neutral from Buy (3) -

UBS downgrades Guzman y Gomez to Neutral from Buy following a 15% rally in the share price since 1 January and the company's 1H26 earnings result.

The analyst highlights the PER multiple has expanded to 22x from 17x in May, when the company's exit from the US market was announced.

The market is likely to focus on domestic FY26 same-store sales growth, how the QSR operator has traded at the start of 1H27, if provided, and management's FY27 EBITDA margin guidance.

The target price is raised to $28 from $24 on a higher valuation.

Target price is $28.00 Current Price is $24.98 Difference: $3.02
If GYG meets the UBS target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $26.15, suggesting upside of 5.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.6

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Macquarie rates MGH as Outperform (1) -

As noted by Macquarie, Maas Group announced new electrical infrastructure work for Firmus of around $855m to be executed over the next 18 months.

Management also updated FY26 guidance of $300m–$310m, of which Firmus constitutes between $55m–$60m; $130m–$135m of continuing operations and around $115m of non-continuing operations.

The guidance compares to $250m–$280m, previously. EPS forecasts are trimmed –15% for FY26 and lifted by 6% for FY27 and 31% for FY28.

The group has also entered into an agreement to acquire an additional $300m of Firmus shares and preference shares bringing the total investment to $410m, the analyst points out, or a circa 3.2% stake.

Target price is upgraded by 20% to $6.30 from $5.25. The valuation does not include the Firmus stake which could be worth around $1.37cps using a reported valuation of $15.5bn. Outperform rated.

Target price is $6.30 Current Price is $5.36 Difference: $0.94
If MGH meets the Macquarie target it will return approximately 18% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgans rates MGH as Buy (1) -

Securing a further $855m order from Firmus (delivered over eighteen months) sees Morgans' baseline earnings forecasts "step up materially".

In addition, the company will also be investing a further -$300m in Firmus. Commentary notes this takes Maas' equity stake to 3.2%, including a marked-to-market gain on the initial stake.

The broker emphasises execution risk remains elevated, thus a -20% discount to the peer multiple has been discounted in its SOTP modelling, and a 1.4 beta in deriving the DCF valuation.

Morgans believes the opportunity ahead is "immense". "Whilst not without its risks, we see the potential for outsized returns", the report concludes.

Buy. Target price shifts to $7.30 from $6 on increased forecasts. Management has upgraded FY26 underlying EBITDA guidance to $300m-$310m (previously $250m-$280m), principally on the back of Firmus revaluation gains.

Target price is $7.30 Current Price is $5.36 Difference: $1.94
If MGH meets the Morgans target it will return approximately 36% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Macquarie rates MHJ as Outperform (1) -

Michael Hill announced FY26 constant currency same-store sales growth of 5.2%. A&NZ and Canada all improved substantially over the 2H26, which lowered the jewellery company's reliance on Canada as the main generator of earnings growth, Macquarie explains.

The analyst emphasises the sales growth didn't convert into comparable FY26 earnings (EBIT) guidance which came in lower than the broker's forecast of $28m, at $22m–$24m.

This infers a 2H26 comparable earnings (EBIT) loss of around −$8m, which aligns with the −$8m loss a year earlier.

EPS forecasts are cut by around −20% for FY26 and circa −5% for FY27/FY28. An Outperform rating is retained with a lower target price of 70c from 75c.

Target price is $0.70 Current Price is $0.36 Difference: $0.34
If MHJ meets the Macquarie target it will return approximately 94% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgans rates MLG as Speculative Buy (1) -

Morgans makes minor changes to forecasts for MLG Oz ahead of the FY26 result on 20 August, as guidance signals the second half will be broadly in line with the first.

The broker reduces FY26 EBITDA estimates by -3% and FY27-FY28 EBITDA by -5%. Speculative Buy rating maintained along with a $1.20 target.

Target price is $1.20 Current Price is $0.77 Difference: $0.435
If MLG meets the Morgans target it will return approximately 57% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Citi rates NCK as Neutral (3) -

Ahead of Nick Scali's FY26 results on Friday, Citi highlights the market is likely to concentrate on whether the expected cut to FY27 outlook sufficiently discounts the slowdown in the Australian housing market.

Neutral. Target $14.15.

Target price is $14.15 Current Price is $16.37 Difference: minus $2.22 (current price is over target).
If NCK meets the Citi target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $16.66, suggesting downside of -0.5% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.4

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgan Stanley rates NIC as Equal-weight (3) -

Nickel Industries has strengthened its position as it transitions to a more diversified Indonesian nickel producer via the ENC acquisition. Morgan Stanley observes the revised acquisition terms and debt refinancing have strengthened the company's capital structure.

While the operating environment remains challenging, amid ongoing global nickel oversupply, Indonesian supply discipline has become more supportive, the broker adds.

Morgan Stanley's forecasts for the nickel price remain below consensus and, even considering production upside, the stock is considered fairly valued. Equal-weight. Target is raised to $0.80 from $0.65. Industry view is Attractive.

Target price is $0.80 Current Price is $0.82 Difference: minus $0.02 (current price is over target).
If NIC meets the Morgan Stanley target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.35, suggesting upside of 58.8% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY26:

Forecast for FY27:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.8

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Ord Minnett rates PLA as Buy (1) -

Pacific Lime and Cement delivered a June quarter update that revealed slightly higher capital costs compared with Ord Minnett's estimates, amid rising shipping rates.

The PNG government has exercised its equity participation rights which will mean it invests US$16.3m to acquire a 13% stake in the Central Lime Project.

The broker modifies capital expenditure estimates, increasing stage 1 assumptions, and expects quicklime operations and positive cash flow will start from April 2027. EPS is expected to turn positive in FY28. Target rises to $0.55 from $0.50 and a Buy rating is retained.

Target price is $0.55 Current Price is $0.37 Difference: $0.18
If PLA meets the Ord Minnett target it will return approximately 49% (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

Macquarie rates PNI as Outperform (1) -

Pinnacle Investment Management announced underlying net profit after tax growth for FY26 up 21%, with FUM up 28% and net inflows of 19% growth. FUM was around -5% to -7% below consensus expectations, Macquarie points out.

Affiliate base fees advanced by 35% y/y while affiliate gross performance fees declined -5% y/y but generated $25.6m to Pinnacle's net profit after tax.

Pacific Asset Management (PAM) generated $6.5m from April 24, which infers an annual run rate of $26m-plus, the analyst extrapolates, with the company now fully owned.

EPS forecasts changes are negligible but the target price is lowered to $23.95 from $25.11 on an updated discount rate and minor changes to earnings forecasts. Outperform rating retained.

Target price is $23.95 Current Price is $17.76 Difference: $6.19
If PNI meets the Macquarie target it will return approximately 35% (excluding dividends, fees and charges).

Current consensus price target is $22.00, suggesting upside of 14.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 0.8

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

UBS rates PNI as Neutral (3) -

Pinnacle Investment Management announced a "messy" FY26 result, according to UBS.

The analyst points out June FUM and 4Q net flows were better than expected, providing a positive outlook for FY27.

However, realised profits over 2H26 were a considerable miss, with FY26 net profit after tax of $63m, some -22% below consensus and -25% below the broker's expectations.

The parent company also recorded higher operating costs, while growth appears to be concentrated in affiliates where Pinnacle has lower ownership stakes.

On the positive side, Pacific Asset Management reported 20% h/h growth in AUM, while Lifecycle grew 42% and Metrics increased 10%.

Pinnacle continues to trade at around a -24% discount to its five-year historical average. UBS has retained its Neutral rating and $18.00 target price.

Target price is $18.00 Current Price is $17.76 Difference: $0.24
If PNI meets the UBS target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $22.00, suggesting upside of 14.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 0.8

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Bell Potter rates REA as Sell (5) -

Ahead of the FY26 result from REA Group, Bell Potter examines sensitivities for FY27 earnings against two key factors: listings growth and EBITDA margin.

The broker is largely in line with consensus for FY26, forecasting 11% EPS growth on a like-for-like basis. Downside risk is envisaged for both earnings and the share price depending on the listings and margin outlook.

The target is raised to $144 from $137 given the company's exit from India and the rolling forward of the broker's model. A Sell rating is maintained.

Target price is $144.00 Current Price is $163.56 Difference: minus $19.56 (current price is over target).
If REA meets the Bell Potter target it will return approximately minus 12% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $187.25, suggesting upside of 12.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.4

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Citi rates TWE as Buy (1) -

Pre the Treasury Wine Estates' FY26 result due on August 13, the Citi analyst anticipates earnings (EBITS) will meet guidance which was updated on June 4.

The broker anticipates management will reconfirm FY27 earnings (EBITS) guidance, at a minimum equal to FY26.

Management is also likely to point to depletions in China and some slight improvement in the US operations. Both factors are considered as relevant to improving confidence in the new CEO, the broker stresses.

With the high short interest in the stock which was around double the 12-month average in July, Citi views there to be little downside risk to earnings and believes the stock can continue to outperform.

Buy rating retained. Target unchanged at $5.50.

Target price is $5.50 Current Price is $5.34 Difference: $0.16
If TWE meets the Citi target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $5.12, suggesting downside of -2.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.2

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Bell Potter rates VFY as Speculative Buy (1) -

Vitrafy Life Sciences delivered a net loss in FY26 that was slightly better than Bell Potter estimated as grant funding was higher than expected.

Operating cash outflow was double the prior year but slightly better than the broker had anticipated as the company ramped up its commercial, scientific and regulatory costs to establish the US business and FDA submission.

While Vitrafy Life Sciences is not yet funded to reach breakeven, Bell Potter expects substantial commercial progress before the next funding round in 12-18 months. Speculative Buy rating and $5.15 target retained.

Target price is $5.15 Current Price is $3.69 Difference: $1.46
If VFY meets the Bell Potter target it will return approximately 40% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources