Australian Broker Call

Bell Potter rates 360 as Buy (1) -

Key metrics in terms of MAU and paying circle growth from Life360's second quarter were ahead of Bell Potter's forecasts. EBITDA, which also beat estimates, was partly driven by a US$4m tariff refund.

2026 guidance is unchanged; 17%-20% growth in MAU is expected as well as US$130m–US$140m in adjusted EBITDA. The broker makes no changes to key assumptions and retains a Buy rating.

Target is reduced to $34 from $35.

Target price is $34.00 Current Price is $23.75 Difference: $10.25
If 360 meets the Bell Potter target it will return approximately 43% (excluding dividends, fees and charges).

Current consensus price target is $30.91, suggesting upside of 33.7% (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

Macquarie rates 360 as Outperform (1) -

Life360's first half monthly active user (MAU) performance was reasonable against lowered -17%-20% growth target, Macquarie suggests, with second half levers including the Apple Watch App and Pets launch.

Hardware partnerships such as AT&T Mexico & Disney further reinforce the MAU growth trajectory. Although the mix-shift to managed advertising is driving lower margins, the off-site opportunity is developing, Macquarie reports.

The current share price presents an asymmetric risk profile for investors, capitalising on a mature subscription growth profile with advertising as the growth option.

While the market does not seem to believe 2026 guidance, with growth accelerating and operating leverage potential, Macquarie sees upside to guidance. Target falls to $30.10 from $31.10, Outperform retained.

Target price is $30.10 Current Price is $23.75 Difference: $6.35
If 360 meets the Macquarie target it will return approximately 27% (excluding dividends, fees and charges).

Current consensus price target is $30.91, suggesting upside of 33.7% (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

Morgan Stanley rates 360 as Overweight (1) -

Morgan Stanley found the second quarter result from Life360 robust and in line with expectations. For the full year the broker believes MAU growth forecasts will be achievable and anticipates a 35:65 H1:H2 skew, with early momentum in the third quarter promising.

Morgan Stanley also believes better conversion could materially accelerate the higher-margin business and also notes a price increase for new Silver and Gold subscribers in the US, while history suggests a high probability of the back book being repriced at some point.

Target is reduced to $31.50 from $32.00. Overweight rating reiterated. Industry view: In Line.

Target price is $31.50 Current Price is $23.75 Difference: $7.75
If 360 meets the Morgan Stanley target it will return approximately 33% (excluding dividends, fees and charges).

Current consensus price target is $30.91, suggesting upside of 33.7% (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

Ord Minnett rates 360 as Buy (1) -

Ord Minnett remains positive on Life360 after 2Q26 revenue increased 38% to US$159m and adjusted EBITDA of US$31.1m exceeded consensus, although earnings benefited from a one-off tariff refund.

User metrics were also ahead of expectations, with 4.6m MAUs added and a record 185,000 net increase in paying circles, while average revenue per paying circle rose 5% y/y.

Management's FY26 guidance remains achievable, according to the analyst, with US subscription price increases, seasonally stronger revenue and lower marketing expenditure expected to support margins through 2H26.

FY26-FY28 EPS forecasts are reduced by -6.8%, -2.7% and -3.2%, respectively, mainly reflecting one-off costs.

Buy and the $27 target are retained, with Ord Minnett continuing to favour Life360's growth profile relative to other technology stocks under coverage.

Target price is $27.00 Current Price is $23.75 Difference: $3.25
If 360 meets the Ord Minnett target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $30.91, suggesting upside of 33.7% (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

Citi rates AGL as Buy (1) -

At first glance, AGL Energy achieved strong generation reliability and retail execution, which helped deliver FY26 underlying NPAT of $631m and EBITDA of $2.1bn, broadly matching expectations despite softer energy markets.

Citi views FY27 guidance as solid, with underlying EBITDA of $1.9bn-$2.2bn and NPAT of $470m-$670m, supported by a full-year contribution from the Liddell battery.

The main disappointment for the analyst is the Retail Transformation Program, which requires an additional -$100m-$150m of investment while expected annual benefits of $70m-$90m have been pushed out to FY30.

Citi also flags a weaker medium-term outlook for battery earnings, forecasting FY28 EBITDA around -32% below its previous assumption.

Buy. Target $11.

Target price is $11.00 Current Price is $8.23 Difference: $2.77
If AGL meets the Citi target it will return approximately 34% (excluding dividends, fees and charges).

Current consensus price target is $10.04, suggesting upside of 15.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.0

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

Macquarie rates AGL as Underperform (5) -

In an initial assessment, Macquarie found AGL Energy's FY26 result, while lower than the prior year, ahead of forecasts. Consumer EBITDA was slightly lower than the broker expected. Gas earnings were the most disappointing.

FY27 EBITDA guidance of $1.9bn-$2.2bn is in line with expectations. The broker assesses AGL is in a downgrade cycle with the wholesale base/volatility trending lower.

The focus is on FY28, with batteries only mitigating the decline to a small extent. The broker finds it curious that management flagged future volatility with coal closures.

Macquarie expects prices to recover but believes this lies beyond FY31, particularly if coal closures are delayed. Underperform. Target is $7.75.

Target price is $7.75 Current Price is $8.23 Difference: minus $0.48 (current price is over target).
If AGL meets the Macquarie target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $10.04, suggesting upside of 15.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.0

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

UBS rates AGL as Buy (1) -

At first glance, UBS views AGL Energy's FY26 result as broadly in line, with underlying EBITDA rising 4.5% to $2.1bn and underlying NPAT declining -1.4% to $631m.

The key positive is FY27 guidance, with the midpoint for underlying NPAT around 3.5% above market expectations, while the narrower 55%-60% dividend payout range is also considered supportive, the analyst explains.

Electricity and gas portfolio margins broadly met expectations, while battery EBITDA increased to $57m despite lower volatility and weaker energy prices.

The Retail Transformation Program has been extended by one year with an additional -$100m-150m of costs, although targeted annual savings of $70m-$90m from FY30 are unchanged.

The broker sees potential upside to medium-term earnings as thermal generation retirements tighten electricity supply from 2028.

Buy. Target $10.40.

Target price is $10.40 Current Price is $8.23 Difference: $2.17
If AGL meets the UBS target it will return approximately 26% (excluding dividends, fees and charges).

Current consensus price target is $10.04, suggesting upside of 15.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.0

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

Citi rates AOV as Neutral (3) -

Post initial impressions below, Citi has come away from the management conference call with the view Amotiv remains an always "next year or two story".

The company continues to point to potential robust prospects including offshore growth and starting relationships with major Chinese OEMs, but headwinds continue to curb the short-term growth outlook. FY27 guidance remains "modest", the broker states.

Citi believes management is doing a good job with the cost base, but the industry remains challenged.

Neutral. Target $6.70.

***

At first take, Citi notes Amotiv announced underlying earnings (EBITA) for FY26 that were in line with expectations and guidance but slightly higher than consensus.

Net profit after tax came in well below consensus due to an impairment charge on intangibles in the 4WD segment, alongside restructuring and redundancy costs. The final DPS of 23c was higher than consensus.

The analyst highlights the 4WD segment was affected by weaker volumes, notably Ranger and Hilux, as well as cost inflation.

Management continues to do well on its cost-out program. FY27 guidance is for modest revenue and earnings (EBITA) growth with expectations of ongoing softness in new vehicle sales in SUV and ute segments.

The valuation remains undemanding but the analyst sees little reason for the stock to re-rate. Neutral with a $6.70 target price.

Target price is $6.70 Current Price is $6.41 Difference: $0.29
If AOV meets the Citi target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $8.60, suggesting upside of 29.6% (ex-dividends)

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 0.5

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

Macquarie rates AOV as Outperform (1) -

Amotiv's FY26 result was in line with guidance and consensus, with revenue up 2.7% year on year. Despite tough conditions in multiple end markets, the earnings margin beat consensus, Macquarie notes, showing disciplined cost control and benefits from Amotiv Unified program.

Management expects modest revenue and underlying earnings growth in FY27, despite challenging conditions from subdued A&NZ market.

Macquarie saw a resilient result despite subdued end-market conditions and an outlook supported by offshore growth, pricing initiatives and cost discipline. At less than 9x near term PE, the broker believes valuation remains attractive.

Target falls to $11.60 from $11.90, Outperform retained.

Target price is $11.60 Current Price is $6.41 Difference: $5.19
If AOV meets the Macquarie target it will return approximately 81% (excluding dividends, fees and charges).

Current consensus price target is $8.60, suggesting upside of 29.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 0.5

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

Morgans rates AOV as Downgrade to Hold from Accumulate (3) -

Morgans considers Amotiv's FY26 result solid, with sales up 3% to $1.02bn and EBITA up 2% to $195.1m, but sees little acceleration ahead.

FY27 is expected to deliver only modest earnings growth as offshore expansion and pricing benefits are tempered by weak A&NZ demand and some normalisation of LPE (Lighting, Power & Electrical) margins.

Cash generation was a highlight, with operating cash flow of $155.2m and leverage improving to 1.85x, while portfolio rationalisation continues.

FY27-FY29 EPS forecasts are reduced by -2%, -4% and -5%, respectively, as the broker adopts a more conservative valuation multiple.

Morgans downgrades to Hold from Accumulate and lowers the target to $6.21 from $7.54.

Target price is $6.21 Current Price is $6.41 Difference: minus $0.2 (current price is over target).
If AOV meets the Morgans target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $8.60, suggesting upside of 29.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 0.5

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

UBS rates AOV as Buy (1) -

On further inspection of the first take below, UBS believes management executed well in FY26 despite difficult A&NZ conditions.

Offshore expansion and increasing exposure to Chinese vehicle manufacturers are key growth drivers, while the Amotiv Unified program has generated $15m of cumulative net savings and cash conversion improved to 93%.

FY27 is expected to deliver modest growth as offshore demand and pricing initiatives counter subdued 4WD conditions in A&NZ, although the CEO departure adds some uncertainty.

FY27-FY29 EPS forecasts are lifted by 3%, with valuation considered attractive at 8.2x forward earnings and a 7% dividend yield. Buy is retained and the target increases to $9.90 from $9.80.

***

At first glance, UBS views Amotiv's FY26 result as a reasonable result against the difficult Australian trading conditions, with offshore growth, stronger 2H26 margins and cost control supporting an underlying 'beat'.

Lighting, Power & Electrical was the standout, with EBITA up 11% to $75m versus the broker and consensus at $72m, while operating cash flow rose 4.5% to $190m and leverage improved to 1.85x EBITDA.

Management's FY27 guidance points to modest revenue and underlying EBITA growth, as offshore expansion, pricing and Amotiv Unified benefits offset continued weakness across A&NZ.

UBS remains upbeat on offshore momentum and expansion with Chinese OEMs, while noting Australian demand remains subdued.

Buy rated. Target $9.80.

Target price is $9.90 Current Price is $6.41 Difference: $3.49
If AOV meets the UBS target it will return approximately 54% (excluding dividends, fees and charges).

Current consensus price target is $8.60, suggesting upside of 29.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 0.5

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

Bell Potter rates ASB as Hold (3) -

Austal has received an indicative offer from Hanwha to acquire its US business for around US$1.05bn-$1.20bn on a cash and debt-free basis. The board has granted Hanwha due diligence.

Bell Potter does not find a problem with the bid in terms of government approval but does envisage risks stemming from the due diligence process and, given the bid was made prior to a negative trading update, it could be reduced.

Austal expects FY26 EBIT to be a loss of -$113m which compares with previous guidance of a $110m profit, driven by the impact of onerous contracts without contractual releases stemming from Request for Equitable Adjustments which the company intends to submit.

The broker believes the divestment is an appropriate option, leaving Australasia attractively valued relative to peers. Hold rating. Target rises to $5.00 from $4.10.

Target price is $5.00 Current Price is $4.51 Difference: $0.49
If ASB meets the Bell Potter target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $5.52, suggesting upside of 24.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.3

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

Citi rates ASB as Upgrade to Neutral from Sell (3) -

On further inspection post the Hanwha announcement and trading update, as outlined below, Citi lifts the target price to $5.07 from $4.50 and upgrades the stock to Neutral from Sell.

Forecasts now reflect the FY26 earnings (EBIT) loss of -$113m. FY27 and FY28 forecasts remain unchanged.

***

Citi views Hanwha's indicative US$1.05-US$1.20bn offer for Austal's US operations positively, given execution risks around several early-stage defence programs and the historical challenges managing the business.

At the offer midpoint, the broker estimates Austal's remaining Australasian operations are valued at around 8.6x FY26 EBIT, which is considered undemanding given the defence pipeline.

Management announced it expects a FY26 EBIT loss of -$113m versus consensus for a $110m profit after recognising a non-cash provision against legacy US contractual claims.

The analyst notes Australasian FY26 EBIT of $62m is well ahead of $48m consensus, although Citi expects margins to ease in FY27 as new programs ramp up.

Sell retained with a $4.50 target.

Target price is $5.07 Current Price is $4.51 Difference: $0.56
If ASB meets the Citi target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $5.52, suggesting upside of 24.7% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.3

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

Macquarie rates ASB as Outperform (1) -

Austal has received a non-binding offer from Korean-based Hanwha to acquire Austal's US operations on a cash-free, debt-free basis. Austal will provide Hanwha a four-week period to conduct due diligence, and regulatory approvals would be required, Macquarie notes.

US FY26 earnings guidance has been cut to a -$113m loss from prior guidance of a $110m profit, driven by provisions, while Austal expects to deliver A&NZ FY26 earnings of $62m.

Austal's Australasian business has never been better positioned, Macquarie suggests, with an order book of $5bn across the Medium and Heavy Landing Craft programs, and also potential to work on the General Purpose Frigate Program with the final eight vessels to be built in WA.

The Hanwha bid appears attractive to Macquarie, removing Austal's US operational challenges, and implies a compelling valuation for Australasian ahead of strong FY27-FY29 growth from the landing craft program ramp-up.

Target falls to $6.50 from $7.55, Outperform retained.

Target price is $6.50 Current Price is $4.51 Difference: $1.99
If ASB meets the Macquarie target it will return approximately 44% (excluding dividends, fees and charges).

Current consensus price target is $5.52, suggesting upside of 24.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.3

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

Citi rates BAP as Sell (5) -

In a first take, Citi notes Bapcor has extended its covenant relief for FY27. The broker finds this a proactive move, given industry headwinds are building as fuel prices are increasing and Bunnings ((WES)) is continuing with the expansion into automotive.

The broker's feedback is that the latter has been more disruptive than previously thought.

This is the third time in seven months the company has sought covenant relief and it is unclear to the broker how the interest margin on the debt will be affected. Sell rating maintained. Target is $0.40. The company has reiterated EBITDA guidance for FY26 of $144m-$150m.

Target price is $0.40 Current Price is $0.42 Difference: minus $0.02 (current price is over target).
If BAP meets the Citi target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $0.41, suggesting downside of -6.8% (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

Morgans rates BB1 as Speculative Buy (1) -

Morgans views BlinkLab's European ADHD study as an encouraging step towards broadening its smartphone-based diagnostic platform beyond autism.

The study achieved 82% sensitivity and 83% specificity across 208 children, supporting further development of the AI-driven Dx2 diagnostic model.

A US pilot study is planned before a pivotal FDA study, with the broker seeing ADHD as a potentially larger commercial opportunity than paediatric autism.

BlinkLab reported an FY26 net loss of -$7.2m and finished with $17.9m cash, providing funding into calendar 2027 as autism study results approach.

Morgans retains its Speculative Buy rating and $1.76 target, comprising $1.06 for autism and $0.70 for ADHD.

Target price is $1.76 Current Price is $0.72 Difference: $1.04
If BB1 meets the Morgans target it will return approximately 144% (excluding dividends, fees and charges).

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

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

Morgan Stanley believes the main questions for smaller banks are how effectively they can sustain growth, protect margins and manage costs.

The broker remains cautious about the revenue outlook for Bank of Queensland, given ongoing mortgage run-off and emerging margin pressures.

The bank is making progress on costs through its productivity agenda and the broker retains an Equal-weight rating. Target is reduced to $6.20 from $6.30. Industry view: Cautious.

Target price is $6.20 Current Price is $6.62 Difference: minus $0.42 (current price is over target).
If BOQ meets the Morgan Stanley target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.37, suggesting downside of -1.9% (ex-dividends)

The company's fiscal year ends in August.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: -0.3

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

Morgans rates BOQ as Accumulate (2) -

Bank of Queensland's $295m capital return is viewed as supportive for shareholders, comprising a 15c special dividend and $196m on-market buyback, but as noted by the analyst, earnings forecasts have been materially downgraded as lending and deposits contract.

The completion of the ME customer migration is an important step in the digital transformation, although the broker now expects the $250m productivity target to be achieved in FY27.

FY26-FY28 cash EPS forecasts fall -12%, -13% and -5%, respectively, reflecting a smaller balance sheet, revised costs and a lower buyback than previously assumed.

Morgans remains cautious on the bank's exposure to competitive housing lending and its scale, funding and technology disadvantages relative to the majors.

Accumulate is retained, but the target falls to $6.94 from $7.39.

Target price is $6.94 Current Price is $6.62 Difference: $0.32
If BOQ meets the Morgans target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $6.37, suggesting downside of -1.9% (ex-dividends)

The company's fiscal year ends in August.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: -0.3

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

Ord Minnett rates BRL as Speculative Buy (1) -

Ord Minnett remains positive on Bathurst Resources despite FY27 earnings guidance falling short of its forecasts.

The company exited FY26 with NZ$145m cash after a strong final quarter, but lower coal pricing and increased operating costs are expected to reduce FY27 EBITDA to NZ$30m-NZ$40m.

The broker's longer-term thesis remains centred on substantial production expansion through FY31, with Buller offering further upside as permitting advances.

Valuation remains supportive at around 0.4x P/NAV. Speculative Buy is retained, while the target is reduced to $0.78 from $0.88.

Target price is $0.78 Current Price is $0.45 Difference: $0.335
If BRL meets the Ord Minnett target it will return approximately 75% (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

Bell Potter rates C79 as Buy (1) -

Chrysos delivered a FY26 result that revealed underlying EBITDA of $27.2m, slightly below Bell Potter's estimates yet up 69%. A significant uplift in AAC stemmed from higher Photon Assay fleet utilisation as increased global exploration activity meant more samples were processed.

The company has guided to FY27 revenue in the range of $108m–$118m and EBITDA in the range of $35m–$42m. A doubling of the fleet to 92 units is expected over the next three years.

Bell Potter upgrades EPS forecasts by 85% for FY27 and 40% for FY28, largely because of material reduction in depreciation following the extension of deployed units' useful life being applied prospectively. Buy rating. Target rises to $8.70 from $7.80.

Target price is $8.70 Current Price is $7.56 Difference: $1.14
If C79 meets the Bell Potter target it will return approximately 15% (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

Citi rates CAR as Buy (1) -

Citi believes Car Group can sustain solid medium-term growth despite softer economic conditions weighing on the FY26 exit rate.

A&NZ activity should improve and continued strength at Trader Interactive is expected to support an acceleration through FY27, with group revenue forecast to rise around 11% in constant currency terms.

The analyst also sees scope for margins to outperform management's cautious assumptions as cost growth remains controlled, while AI initiatives and recent acquisitions should strengthen dealer engagement.

FY27 and FY28 NPAT forecasts fall marginally by -1% and -2%, respectively, due to FX, higher D&A and revised margin assumptions. Buy is retained and the target increases to $33.30 from $30.55.

Target price is $33.30 Current Price is $29.37 Difference: $3.93
If CAR meets the Citi target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $33.24, suggesting upside of 14.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 0.9

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

Citi rates CBA as Sell (5) -

At first take, Citi views Commonwealth Bank's FY26 result as broadly in line at the underlying level, with cash earnings of $10.98bn around 1% ahead of consensus largely due to lower bad debts.

Revenue met expectations and 2H26 NIM of 2.06% was in line, although weaker asset pricing was offset by portfolio mix and treasury and markets.

Costs rose around 6% to $13.76bn, with FY27 investment spending capped at -$2.4bn and gross AI productivity benefits expected to double from around $200m in FY26, the analyst notes.

Asset quality remains sound overall, although corporate troublesome and non-performing exposures increased by 5bps during 2H26, while CET1 finished at 12%.

Compositionally the result was viewed as somewhat "softer" with the market likely to focus on the BDD trend against a deteriorating macro backdrop and the potential AI benefits in FY27.

The market is expected to receive the results negatively as expectations were high. Sell rated. Target $135.

Target price is $135.00 Current Price is $173.92 Difference: minus $38.92 (current price is over target).
If CBA meets the Citi target it will return approximately minus 22% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $123.69, suggesting downside of -28.4% (ex-dividends)

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 CBA as Underperform (5) -

Macquarie, in an initial view, found CommBank's results for FY26 "relatively clean" and in line with expectations. The main issue the broker has is with the valuation, as the stock continues to trade on elevated multiples and a strong premium to peers.

Impairments surprised to the downside while second half volume growth was strong across all divisions. No guidance was provided.

Given slowing mortgage growth the bank has witnessed a -15% drop in mortgage applications since the federal budget, the broker envisages modest downside to consensus expectations.

Underperform rating. Target is $111.

Target price is $111.00 Current Price is $173.92 Difference: minus $62.92 (current price is over target).
If CBA meets the Macquarie target it will return approximately minus 36% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $123.69, suggesting downside of -28.4% (ex-dividends)

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 CBA as Sell (5) -

UBS considers Commonwealth Bank's FY26 result broadly in line at the operating level, with the modest earnings beat largely attributable to lower credit impairment charges.

Pre-provision profit was $16.5bn, while diluted cash EPS of 656c was slightly ahead of forecasts and the full-year dividend reached 505c, representing a 77% payout ratio.

The broker highlights increasing competition in mortgages and deposits, with mortgage applications down -15% since May and housing lending contributing 2bps of NIM pressure in 2H26, although business lending remains strong.

CET1 finished at 12%, while FY27 investment spending is expected to remain at $2.4bn and the existing $1bn buyback will not be extended beyond the $300m completed.

UBS retains Sell and its $135 target, arguing the result offers insufficient upside given the stock trades at around 25.9x forward earnings.

Target price is $135.00 Current Price is $173.92 Difference: minus $38.92 (current price is over target).
If CBA meets the UBS target it will return approximately minus 22% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $123.69, suggesting downside of -28.4% (ex-dividends)

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 CEN as Neutral (3) -

Contact Energy’s share price has underperformed the broader NZ utilities sector by -8% over the past three months, which UBS attributes to the sharp decline in FY27 and FY28 electricity futures prices and the company’s exposure as a net generator.

Despite this backdrop, FY26 EBITDAF reached a record $1.01bn, ahead of forecasts, supported by gas contract wins, stronger C&I returns, hydro optimisation and Manawa synergies.

The analyst expects earnings growth to plateau over the next three years as weaker wholesale prices and moderating customer pricing offset further Manawa benefits, before new geothermal capacity provides another potential growth leg beyond FY29.

The broker also sees longer-term optionality from a proposed 250MW data centre development with CDC at Stratford, alongside batteries and industrial electrification.

UBS retains Neutral and lowers the target to NZ$9.60 from NZ$9.75.

This report was published on August 11th.

Current Price is $7.37. Target price not assessed.

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

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

Market Sentiment: 0.5

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

Bell Potter rates CIP as Hold (3) -

Centuria Industrial REIT delivered FFO/share of 18.2 cents in FY26, slightly below Bell Potter's estimates. FY27 guidance is for FFO/share of 18.8 cents-19.2 cents.

The broker found the result "solid" with the forward earnings outcome to be driven by two leasing campaigns, Fairfield East and Bundamba. Estimates for FY27-FY29 are adjusted upwards by 2%-3%. Hold maintained. Target price rises to $3.35 from $3.25.

Target price is $3.35 Current Price is $3.13 Difference: $0.22
If CIP meets the Bell Potter target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $3.23, suggesting upside of 4.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 0.2

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

Macquarie rates CIP as Neutral (3) -

Centuria Industrial REIT's FY26 funds from operations, up 4%, were at the low end of the guidance range and slightly below consensus, Macquarie notes. FY27 guidance equates to 3.3-5.5% growth on FY26; above consensus.

Guidance assumes a contribution from leases over the two 100%-vacant assets Bundamba and Fairfield East. CIP has strong leads over the space; Macquarie reports, but certain deals may be subject to the tenant winning customers contracts.

The REIT has an identified pathway to potential 250MW-plus data centre capacity. Thomastown and Clayton in Victoria represent the near term larger opportunities. No value for the data centre development options is included in Macquarie's current asset values.

Target falls to $3.02 from $3.09, Neutral retained.

Target price is $3.02 Current Price is $3.13 Difference: minus $0.11 (current price is over target).
If CIP meets the Macquarie target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.23, suggesting upside of 4.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 0.2

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

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

Centuria Industrial REIT delivered FY26 earnings that were at the lower end of guidance and FY27 guidance is slightly ahead of Morgan Stanley's expectations at FFO/share of 18.8 cents–19.2 cents or growth of 3.3%–5.5%.

The broker acknowledges, with the benefit of hindsight, that the company had flagged the downtime in FY26 had affected earnings and presumes the FY27 guidance is "some of the lost rent coming back to the portfolio".

The business is considered positioned for a rate cut, which could provide a material tailwind should the Reserve Bank embark on a rate reduction cycle within the next 12 months, Morgan Stanley assesses.

Target is steady at $3.35. Equal-weight retained. Industry view: In-Line.

Target price is $3.35 Current Price is $3.13 Difference: $0.22
If CIP meets the Morgan Stanley target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $3.23, suggesting upside of 4.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 0.2

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

Ord Minnett rates CIP as Downgrade to Hold from Accumulate (3) -

Ord Minnett sees Centuria Industrial REIT entering FY27 with favourable leasing conditions after FY26 FFO increased 4% to 18.2c per unit and portfolio valuations rose 3.1%.

With rents across the portfolio averaging -17% below market, the broker believes strong rental resets can support FY27 FFO towards the upper end of management's 18.8c-19.2c guidance.

Further growth could come from data centres, with more than 250MW of potential capacity identified across existing properties, including a proposed 40MW development at Clayton.

FY27-FY29 FFO forecasts increase by 2.0%, 2.4% and 2.9%, respectively, as higher property income more than offsets increased financing costs.

The target falls to $3.05 from $3.35 on a higher discount rate, prompting a downgrade to Hold from Accumulate.

Target price is $3.05 Current Price is $3.13 Difference: minus $0.08 (current price is over target).
If CIP meets the Ord Minnett target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.23, suggesting upside of 4.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 0.2

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

UBS rates CIP as Buy (1) -

UBS sees Centuria Industrial REIT's FY27 outlook as a key positive, with FFO guidance of 18.8-19.2c per unit around 2% above consensus at the midpoint and implying another year of earnings growth.

The analyst points out leasing remains central to the outlook, with progress on major vacancies offering scope to reach at least 19c, while potential deployment of asset sale proceeds into the buyback could provide further accretion.

FFO forecasts raised by around 2%, reflecting lower assumed vacancies, additional development activity and a larger FY27 buyback.

The broker also highlights longer-term potential from data centres, which is not yet included in its forecasts or valuation.

Buy is retained, with CIP trading around -22% below NTA despite an expected three-year FFO growth rate of approximately 6%.

Target price is raised to $3.45 from $3.39.

Target price is $3.45 Current Price is $3.13 Difference: $0.32
If CIP meets the UBS target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $3.23, suggesting upside of 4.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 0.2

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

UBS rates CMM as Buy (1) -

Higher underground volumes and grades at Mt Gibson have prompted UBS to lift its valuation for Capricorn Metals, although the broker remains cautious on the timing of State approvals.

The updated PFS supports around 50% more underground ore than previously assumed, alongside grades of around 2.4g/t versus its prior 2g/t forecast, bringing more ounces forward in the mine plan.

The analyst sees further potential to extend underground inventory beyond the current seven-year study life, while permitting remains the main near-term risk, with final State approval potentially only arriving around the end of December.

UBS also introduced an initial, heavily risked valuation for Golden Range, which could provide another source of production growth longer term.

UBS retains Buy and raises its target to $19.50 from $17.00. This report was published on August 11.

Target price is $19.50 Current Price is $16.15 Difference: $3.35
If CMM meets the UBS target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $18.55, suggesting upside of 14.3% (ex-dividends)

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 CNU as Outperform (1) -

FY26 should confirm that Chorus has transitioned from the heavy-build phase into a cleaner, fibre led infrastructure model with better earnings visibility, rising dividend capacity, and declining copper complexity, Macquarie believes.

The result is unlikely to change the investment case materially, but it should reinforce the core thesis: modest revenue growth can translate into stronger reported earnings as fibre pricing, speed migration, cost discipline and lower depreciation do the heavy lifting.

With copper depreciation falling away further, annual fibre price increases embedded, and copper retirements largely complete in Chorus fibre areas, FY27 should make the operating leverage of the simplified model more visible, Macquarie suggests.

Outperform and NZ$10.26 target retained.

Current Price is $8.05. Target price not assessed.

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

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

Market Sentiment: 0.5

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

UBS rates CNU as Neutral (3) -

UBS has updated its earnings forecasts for Chorus ahead of the FY26, accounting for higher fibre penetration, speedier withdrawal of copper and a change in the mix to lower speed fibre products. This is expected to weigh on the fibre ARPU growth.

The changes to the forecasts are relatively minor on balance, the analyst explains, including higher satellite penetration based on Starlink releases and a plateauing of wireless broadband.

Target price rises to NZ$9.75 from NZ$9.35. No change to Neutral rating.

The report was published on August 11.

Current Price is $8.05. Target price not assessed.

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

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

Market Sentiment: 0.5

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

Citi rates CPU as Neutral (3) -

Citi highlights employee share plans were the standout contributor to Computershare's FY26 performance, accounting for more than all of the growth in EBIT excluding margin income, while Issuer Services declined and Corporate Trust was broadly flat.

The result met market expectations, although stronger-than-anticipated margin income provided some support.

FY27 guidance points to around 6% management EPS growth, which the broker considers achievable and potentially conservative given assumptions for lower margin income balances and some improvement in the underlying businesses.

Citi makes largely compositional changes to FY27 forecasts and lifts FY28 forecast EPS by 2%. Neutral is retained and the target rises to $43.20 from $40.

Target price is $43.20 Current Price is $42.51 Difference: $0.69
If CPU meets the Citi target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $38.35, suggesting downside of -5.1% (ex-dividends)

Forecast for FY27:

Forecast for FY28:

This company reports in USD. 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

UBS rates CPU as Neutral (3) -

Strong transactional activity drove a modest FY26 earnings beat for Computershare, with management NPAT of $850m around 1% ahead of UBS forecasts, although accelerating costs limited the benefit to earnings.

Employee share plan trading and corporate actions supported revenue growth, while 2H26 operating cost growth accelerated to 6.5%, the analyst notes.

FY27 guidance implies around 5% constant currency EPS growth, with UBS encouraged by management's target for cost growth below 3% and a further $17m of savings.

Leverage fell to 0.11x and the final dividend increased to 65c per share. Neutral is retained and the target rises to $42.95 from $39.70.

Target price is $42.95 Current Price is $42.51 Difference: $0.44
If CPU meets the UBS target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $38.35, suggesting downside of -5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

This company reports in USD. 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

Bell Potter rates CRN as Speculative Sell (5) -

Coronado Global Resources reported an underlying EBITDA loss of -US$83m, in line with Bell Potter's estimates. At Curragh the reset program is underway and the new mine plan is targeting improved geometry and optimised strip ratios in order to lift productivity.

2026 guidance signals a material improvement in the second half, with the company also indicating volume and unit costs guidance may vary as higher-margin tonnage is prioritised.

The broker retains a Speculative Sell rating, recognising heightened risks to the balance sheet. Target is reduced to $0.15 from $0.17.

Target price is $0.15 Current Price is $0.17 Difference: minus $0.02 (current price is over target).
If CRN 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 $0.19, suggesting upside of 16.7% (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: -0.3

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

Macquarie rates CRN as Downgrade to Neutral from Outperform (3) -

With Coronado Global Resources' production increasing 37% in the June Q, earnings also improved, Macquarie notes, providing an evidence point of the operational reset. This has helped the cost base to normalise, with cash costs falling -28% quarter on quarter.

Yet a first half underlying loss of -US$241m missed consensus by -20% on higher net finance costs and a lower tax benefit.

Following a reduction in the broker's realised price outlook which leads to -30% cuts in the forward earnings outlook, Macquarie has cut its target price by 50% to 20c and downgraded to Neutral from Outperform in the absence of a more attractive met-coal market backdrop.

Target price is $0.20 Current Price is $0.17 Difference: $0.03
If CRN meets the Macquarie target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $0.19, suggesting upside of 16.7% (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: -0.3

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

Citi rates CSC as Buy (1) -

On further analysis post Capstone Copper's 2Q26 results, Citi raises the target price to $18.70 from $16.60 and reiterates its Buy rating on the stock.

The analyst emphasises the market is too focused on the risks around higher sulphuric acid costs and margin pressures from the Chilean operations.

Any impacts are expected to be offset by Mantoverde with lower acid exposure, more robust by-product credits, higher copper prices, and the tailwinds from Mantoverde Optimised.

Earnings (EBITDA) forecasts are raised by 7%-21% across FY26-FY28 with production forecasts retained in line with consensus.

Capstone Copper is considered an "attractive" copper growth story with a strengthening balance sheet.

Target price is $18.70 Current Price is $15.89 Difference: $2.81
If CSC meets the Citi target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $17.50, suggesting upside of 8.9% (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: 1.0

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

Citi rates GOZ as Buy (1) -

Citi views Growthpoint Properties Australia's -$267.7m sale of its Perth Woolworths ((WOW)) distribution centre as a positive step in strengthening the balance sheet and reallocating capital.

The transaction is expected to reduce gearing by around -4% from 41.2% when it settles in early calendar 2027, and generate an unlevered property return of approximately 12% since acquisition in 2009.

The broker sees merit in selling a mature, fully occupied industrial asset at a relatively tight yield, initially using the proceeds to repay debt and potentially pursuing higher-return opportunities later.

FY26 earnings and distributions should be largely unaffected given the settlement timing, with distribution guidance of 18.4c per unit unchanged.

Citi retains Buy and its $2.60 target.

Target price is $2.60 Current Price is $2.24 Difference: $0.36
If GOZ meets the Citi target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $2.49, suggesting upside of 12.2% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.8

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

Macquarie rates HLI as Underperform (5) -

Helia Group delivered an earnings beat in 1H26, driven by negative claims from reserve releases and claims experience.

However, with material risks of house price declines after several years of significant reserve reductions since covid, the tailwinds Helia previously benefitted from are likely to end, Macquarie warns.

Helia announced a bigger capital return than expected by including a $75m buyback. However, Helia has had buyback programs in place in the past without executing, Macquarie notes.

The property market is already showing clear signs of softening, and momentum continues to slow. Despite this, Helia trades at near-record levels. Hence Macquarie retains Underperform. Target rises to $3.80 from $3.60 reflecting capital returns.

Target price is $3.80 Current Price is $5.64 Difference: minus $1.84 (current price is over target).
If HLI meets the Macquarie target it will return approximately minus 33% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company's fiscal year ends in December.

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 IDX as Buy (1) -

Integral Diagnostics is viewed as entering FY27 with scope for operational improvement under its new CEO and incoming CFO Jenny Martin, according to Ord Minnett.

Preliminary FY26 revenue of around $789m and adjusted NPAT of approximately $47.5m were each -1% below consensus, although EBITDA margin improved 80bps to 20.9% and leverage declined to 2.3x.

The broker believes stronger GP activity and further development of MRI referral networks could improve growth from FY27, while margins remain below major industry peers.

The analyst also sees re-rating potential if new management can lift organic earnings and continue strengthening the balance sheet, noting the stock trades well below recent sector transaction multiples.

Buy rating and the $3.20 target are retained.

Target price is $3.20 Current Price is $2.22 Difference: $0.98
If IDX meets the Ord Minnett target it will return approximately 44% (excluding dividends, fees and charges).

Current consensus price target is $3.44, suggesting upside of 54.8% (ex-dividends)

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 LOV as Downgrade to Neutral from Buy (3) -

UBS considers the share price performance of Lovisa Holdings has been mixed over the year to date, being down -11% since January while up 29% since the low in March.

Given the most recent share price performance and one-year forward PE multiple re-rating, the broker believes the risk/reward is now balanced and downgrades to Neutral from Buy, despite the attractive growth outlook.

UBS suspects the business enjoys options regarding Jewells, with multi-year losses unlikely to be tolerated and investment in the store fit-out is likely to moderate the competitive threat from Harli + Harpa, although the expansion remains a risk.

The broker revises estimates for FY26 and FY27 EPS up by 0.2% and 0.4% because of slightly higher margins. Target is raised to $28 from $26.

Target price is $28.00 Current Price is $26.18 Difference: $1.82
If LOV meets the UBS target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $30.02, suggesting upside of 19.4% (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

UBS rates MP1 as Buy (1) -

UBS reckons CoreWeave's 2Q26 result provides a positive read-through for Megaport's Latitude business, with strong AI compute demand supporting pricing and margins despite increasing competition.

Of particular relevance, CoreWeave continues to find attractive demand for older NVIDIA GPUs, including a new contract extending A100 capacity to 2029, which the analyst sees as supportive for Latitude's ability to redeploy ageing hardware.

Rapid growth in inference workloads is also absorbing available capacity, while CoreWeave upgraded FY26 revenue and operating income guidance and lifted planned capex by 12% to US$35bn-US$39bn.

UBS believes the update strengthens the near-term outlook for Latitude, particularly around equipment utilisation, recontracting and potential returns.

Buy rated. Target $24.20.

Target price is $24.20 Current Price is $19.92 Difference: $4.28
If MP1 meets the UBS target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $20.85, suggesting upside of 1.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.7

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) -

ENC has produced its first nickel cathode, which Morgan Stanley hails as a significant milestone following maiden MHP production in July.

Commentary posits Nickel Industries has become a more diversified Indonesian nickel producer via the ENC acquisition.

Data collection can now commence for LME brand registration, and the broker continues to model MHP at ENC in its base case. Equal-weight. Target is $0.80. Industry view is Attractive.

Target price is $0.80 Current Price is $0.85 Difference: minus $0.045 (current price is over target).
If NIC meets the Morgan Stanley target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.35, suggesting upside of 60.7% (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 REH as Buy (1) -

Ord Minnett sees US peer Ferguson's latest result as supportive for Reece's upcoming results.

US market conditions remain steady as strength in non-residential activity offsets subdued housing demand.

Ferguson lifted its sales outlook after 2Q26 US revenue increased 5%, providing further evidence of resilience across commercial and industrial markets, Ord Minnett comments.

For Reece, the broker expects A&NZ earnings to begin recovering from cyclical lows as residential activity improves, with FY26 dwelling approvals up 9%.

US earnings recovery is expected to take longer, although Ord Minnett sees consensus margin assumptions as conservative relative to historical levels.

Buy is retained. Target $18.

Target price is $18.00 Current Price is $17.27 Difference: $0.73
If REH meets the Ord Minnett target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $16.07, suggesting downside of -8.2% (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

Citi rates SEK as Buy (1) -

On further inspection, post the first take below, Citi sees the post-result share price decline as excessive despite the weaker FY27 earnings outlook.

Around -4% of the FY27 NPAT downgrade relates to higher non-cash D&A following changes to asset useful lives, while management expects operating cost growth to remain below 5%.

The broker sees scope for A&NZ volumes to prove more resilient than Seek's assumptions, while medium-term yield growth of more than 10% is supported by premium products, dynamic pricing and new recruiter tools.

Asia is expected to improve in FY27, while the Growth Fund provides additional value through more than $1bn of potential asset sales over time. Buy. Target $18.80.

****

Seek posted net profit of $199m in FY26, up 28% and in line, while revenue was slightly ahead of Citi's forecast at first glance.

The broker notes Australasian yield growth of 14% was stronger than expected while the volume decline of -12% in Asia was greater than forecast.

****

Against the backdrop of both Car Group ((CAR)) and REA Group ((REA)) re-rating post results due to the low market expectations ahead of the announcements, Citi points out Seek could experience the same share price bounce.

Consensus expectations for the FY26 result are quite reserved and have come down a lot.

Seek is Buy rated with an $18.80 target.

Target price is $18.80 Current Price is $16.07 Difference: $2.73
If SEK meets the Citi target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $19.26, suggesting upside of 39.6% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.8

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

Bell Potter rates SGH as Downgrade to Hold from Buy (3) -

The FY26 result from SGH Ltd delivered EBIT of $1.55bn, missing Bell Potter's estimates by -2%. The miss was driven by a softer performance across industrial services. FY27 growth guidance is set at "flat to low single-digits".

The company continues to target cost reductions, and improved sales execution in order to support stronger price realisation.

The broker downgrades to Hold from Buy, being underwhelmed by the growth guidance. The organic growth profile is considered "relatively unattractive" compared with other mid-large industrial peers. Target is reduced to $45 from $51.

Target price is $45.00 Current Price is $41.58 Difference: $3.42
If SGH meets the Bell Potter target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $49.57, suggesting upside of 19.4% (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

Macquarie rates SGH as Outperform (1) -

SGH Ltd reported FY26 results slightly below market expectations. Boral’s operational improvement and WesTrac product support growth were offset by softer WesTrac capital sales and continued weakness at Coates, Macquarie notes.

SGH is likely to start executing its $500m buyback with the BlueScope Steel ((BSL)) bid now looking unlikely, Macquarie suggests.. M&A is another key focus, with SGH likely now seeking bolt-ons to existing businesses.

Weaker conditions create opportunities for disciplined capital deployment, and SGH’s track record lifts Macquarie's confidence in execution. Target falls to $46.40 from $51.25, Outperform retained.

Target price is $46.40 Current Price is $41.58 Difference: $4.82
If SGH meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $49.57, suggesting upside of 19.4% (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

Morgan Stanley rates SGH as Overweight (1) -

Morgan Stanley points out the FY26 results from SGH Ltd were in line, although FY27 guidance was softer than expected. Crux will add a new earnings stream from FY28.

FY27 is considered to be a "transition year" with an -$80m FX headwind from WesTrac masking stronger underlying growth, the broker adds, and demand remains intact.

The near-term swing factor is Caterpillar's six-monthly parts pricing reset rather than end demand, the broker observes.

Boral EBIT rose 14% with the margin expanding to 14.1%, underpinned by volume, price and operating leverage. While Coates EBIT fell -7%, the broker highlights "green shoots" are emerging.

Morgan Stanley retains a positive outlook, believing the stock is a high-quality industrial with privileged assets and any weakness in the share price is an opportunity to add.

Overweight rating reiterated and the target is lowered to $48 from $49. Industry view is In-Line.

Target price is $48.00 Current Price is $41.58 Difference: $6.42
If SGH meets the Morgan Stanley target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $49.57, suggesting upside of 19.4% (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

Morgans rates SGH as Buy (1) -

Morgans believes SGH faces a consolidation year in FY27 after guidance for flat to low-single-digit EBIT growth fell below expectations, largely due to currency pressure and softer capital sales at WesTrac.

FY26 underlying EBIT rose 1% to $1.55bn, with margins expanding 40bps to 14.7% and EBITDA cash conversion reaching 99%.

The broker expects earnings momentum to strengthen from FY28, supported by first gas from Crux, property realisations and potential acquisitions, with around $2bn of additional debt capacity available.

FY27-FY29 EPS forecasts are reduced by -4%, -4% and -3%, respectively, while the $500m buyback should provide modest earnings accretion.

Morgans retains Buy but lowers the target to $50 from $52.75, with the longer-term investment case supported by Boral margin improvement and future capital deployment.

Target price is $50.00 Current Price is $41.58 Difference: $8.42
If SGH meets the Morgans target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $49.57, suggesting upside of 19.4% (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 SGH as Buy (1) -

Ord Minnett believes the market reaction to SGH's FY26 result was overly negative despite softer near-term growth expectations.

Group EBIT increased 1% to $1.6bn, with weakness at Coates and lower WesTrac equipment sales partly offset by another strong performance from Boral, where EBIT rose 14% and margins reached 14.1%, the analyst explains.

FY27 guidance points to flat to low-single-digit EBIT growth, including a currency-related reduction in WesTrac parts pricing, before the broker expects momentum to improve in FY28 as equipment demand and fleet replacement activity strengthen.

Strong cash generation has reduced leverage to 1.8x, providing capacity for the $500m buyback and potential acquisitions.

FY27-FY29 earnings forecasts are lowered by -8.7%, -4.3% and -3.7%, respectively.

Target price slips to $50 from $55, while retaining Buy.

Target price is $50.00 Current Price is $41.58 Difference: $8.42
If SGH meets the Ord Minnett target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $49.57, suggesting upside of 19.4% (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 SHL as Buy (1) -

Bell Potter believes the FY26 result will offer an opportunity for the new CEO of Sonic Healthcare to address several issues and set a clear direction.

Guidance for FY27 is the focus and there is some potential for optimism, the broker adds, if the company can demonstrate margin benefits from the Swiss and German acquisitions and continued strength in the UK.

Further news on German insurance fee reform should also garner attention. An update is expected of the sale and leaseback program after the completion of the Brisbane Hub Laboratory.

Unchanged Buy rating and $28.75 target.

Target price is $28.75 Current Price is $22.60 Difference: $6.15
If SHL meets the Bell Potter target it will return approximately 27% (excluding dividends, fees and charges).

Current consensus price target is $23.10, suggesting upside of 3.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.3

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

Citi rates SUN as Neutral (3) -

At first look, Suncorp Group announced FY26 cash earnings of $1,042m, slightly lower than Citi's forecast but above consensus.

The difference is attributed to a loss of -$45m offset by marginally better income on shareholders' funds and lower non-controlling interests.

Gross written premium growth of 2.7% was generated with net investment revenue growth of 5.5%, which was a slight beat on the analyst's forecast and a slight miss on consensus.

Management announced a capital return of around $350m versus $400m expected, albeit the broker points out the difference is the special DPS rather than the buyback.

FY27 guidance seems basically in line with an additional 10c special dividend. The results are labelled largely in line as is guidance.

Neutral rated. Target $19.25.

Target price is $19.25 Current Price is $18.56 Difference: $0.69
If SUN meets the Citi target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $19.89, suggesting upside of 3.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.5

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

UBS rates SUN as Buy (1) -

In the first assessment, UBS notes FY26 cash net profit from Suncorp Group was ahead of expectations amid higher reserve releases. Capital returns were stronger than expected, with a $0.10 special dividend and $250m buyback.

Guidance for FY27 is for gross written premium growth between 3%-5%. Buy rating and $20.80 target.

Target price is $20.80 Current Price is $18.56 Difference: $2.24
If SUN meets the UBS target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $19.89, suggesting upside of 3.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.5

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

UBS rates SXL as Neutral (3) -

FY26 results from Southern Cross Media were in line with UBS estimates while the outlook around FY27 appears limited for the radio and TV advertising market as the first quarter trading has so far been relatively flat.

The broker believes, absent a meaningful advertising market recovery, EBITDA will be supported by the ongoing cost reduction program that will help offset inflationary pressures and future investments.

Assuming the top line remains flat, UBS expects 2% growth in operating expenditure to flow through to a -14% decline in FY27 EBITDA. Upside risk exists if the top line recovers before the end of the cost reduction program. Neutral rating reiterated. Target is $0.58.

Target price is $0.58 Current Price is $0.54 Difference: $0.04
If SXL meets the UBS target it will return approximately 7% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY27:

Forecast for FY28:

Market Sentiment: 0.5

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

Citi rates TLS as Neutral (3) -

Citi expects Telstra Group will announce an in-line FY26 result and is forecasting net profit after tax of $2.4bn, some 2% above consensus.

FY26 mobile revenue is expected to rise 4% to $11.4bn, with postpaid ARPU up 4% and wholesale the strongest contributor, although subscriber numbers will be distorted by the MTData divestment.

Consumer & Small Business revenue is forecast to decline –2% to $4.2bn as subscriber losses outweigh higher ARPU, while group operating costs are expected to fall –2%.

Looking into FY27, Citi forecasts underlying EBITDAaL of $8.7bn, up 4%, and cash EBIT of $5bn, up 6%, both 1% above consensus, despite revenue pressure from the Versent divestment and softer fixed enterprise and C&SB assumptions.

The broker expects Telstra to declare a final dividend of 10.8c per share, 2% above consensus, and assumes a new $1bn share buyback.

Unchanged $5.50 target and Neutral rating.

Target price is $5.50 Current Price is $4.98 Difference: $0.52
If TLS meets the Citi target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $5.35, suggesting upside of 7.5% (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