Australian Broker Call *Extra* Edition – Sep 25, 2023

This story features BANK OF QUEENSLAND LIMITED, and other companies. For more info SHARE ANALYSIS: BOQ

An additional news report on the recommendation, valuation, forecast and opinion changes and updates for ASX-listed equities.

In addition to The Australian Broker Call Report, which is published and updated daily (Mon-Fri), FNArena has now added The Australian Broker Call *Extra* Edition, featuring additional sources of research and insights on ASX-listed stocks, also enlarging the number of stocks that make up the FNArena universe.

One key difference is the *Extra* Edition will not be updated daily, but merely "regularly" depending on availability of suitable quality content. As such, the *Extra* Edition tries to build a bridge between daily updates via the Australian Broker Call Report and ad hoc news stories, that are not always timely for investors hungry for the next information update.

Investors using the *Extra* Edition as a source of input for their own share market research should thus take into account that information after publication may not be up to date, or yet awaiting another update by FNArena's team of journalists.

Similar to The Australian Broker Call Report, this *Extra* Edition includes concise but limited reviews of research recently published by Stockbrokers and other experts, which should be considered as information concerning likely market behaviour rather than advice on the securities mentioned. Do not act on the contents of this Report without first reading the important information included at the end of this Report.

The Australian Broker Call *Extra* Edition is a summary that has been prepared independently of the sources identified. Readers will check the full text of the recommendations and consult a Licenced Advisor before making any investment decision.

The copyright of this Report is owned by the publisher. Readers will not copy, forward or disseminate this Report to any other person. For more vital information about the sources included, see the bottom of this Report.

COMPANIES DISCUSSED IN THIS ISSUE

Click on a symbol for fast access.
The number next to the symbol represents the number of brokers covering it for this report -(if more than 1)

BOQ   BPT   CVN   CWY   EDV   FSF   GSS   KAR   KMD (2)   LIC   ORI   PDI   PMV   SPR   STO   WDS  

BOQ    BANK OF QUEENSLAND LIMITED

Banks – Overnight Price: $5.75

Jarden rates ((BOQ)) as Overweight (2) –

Jarden expects Bank of Queensland's second half will be affected by a sharp erosion of margins, negative mortgage growth and rising costs. On the positive side the capital position should be solid and support dividends.

The FY23 result will be reported on October 11 and Jarden expects $461m in cash profit. The focus will also be on an update to legacy risk issues and the new multi-year cost reduction program. Overweight rating retained. Target is $6.20.

This report was published on September 21, 2023.

Target price is $6.20 Current Price is $5.75 Difference: $0.45
If BOQ meets the Jarden target it will return approximately 8% (excluding dividends, fees and charges).
Current consensus price target is $6.37, suggesting upside of 11.1%(ex-dividends)
The company's fiscal year ends in August.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 40.00 cents and EPS of 64.00 cents.
At the last closing share price the estimated dividend yield is 6.96%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.98.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 63.0, implying annual growth of -4.9%.
Current consensus DPS estimate is 41.4, implying a prospective dividend yield of 7.2%.
Current consensus EPS estimate suggests the PER is 9.1.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 40.00 cents and EPS of 553.00 cents.
At the last closing share price the estimated dividend yield is 6.96%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 1.04.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 55.9, implying annual growth of -11.3%.
Current consensus DPS estimate is 42.4, implying a prospective dividend yield of 7.4%.
Current consensus EPS estimate suggests the PER is 10.3.

Market Sentiment: -0.2
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

BPT    BEACH ENERGY LIMITED

Crude Oil – Overnight Price: $1.62

Jarden rates ((BPT)) as Overweight (2) –

Recent action by OPEC-Plus to cut production has achieved the objectives of bringing supply/demand into balance and increasing prices to above US$90/bbl. Jarden increases Brent oil price forecasts which are partially offset by -4% reduction in forecast LNG prices.

The broker considers Beach Energy is in a holding pattern until CEO-elect, Brett Woods, commences in February. The main news flow is likely to revolve around exploration drilling in the Perth Basin. Overweight retained. Target is raised to $1.85 from $1.65.

This report was published on September 21, 2023.

Target price is $1.85 Current Price is $1.62 Difference: $0.225
If BPT meets the Jarden target it will return approximately 14% (excluding dividends, fees and charges).
Current consensus price target is $1.80, suggesting upside of 12.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 7.00 cents and EPS of 20.60 cents.
At the last closing share price the estimated dividend yield is 4.31%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.89.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 17.8, implying annual growth of 1.3%.
Current consensus DPS estimate is 4.1, implying a prospective dividend yield of 2.5%.
Current consensus EPS estimate suggests the PER is 9.0.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 14.50 cents and EPS of 32.50 cents.
At the last closing share price the estimated dividend yield is 8.92%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 5.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 25.2, implying annual growth of 41.6%.
Current consensus DPS estimate is 9.6, implying a prospective dividend yield of 6.0%.
Current consensus EPS estimate suggests the PER is 6.4.

Market Sentiment: 0.3
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

CVN    CARNARVON ENERGY LIMITED

Crude Oil – Overnight Price: $0.17

Jarden rates ((CVN)) as Downgrade to Overweight from Buy (2) –

Recent action by OPEC-Plus to cut production has achieved the objectives of bringing supply/demand into balance and increasing prices to above US$90/bbl. Jarden increases Brent oil price forecasts which are partially offset by -4% reduction in forecast LNG prices.

Jarden continues to believe Carnarvon Energy is materially undervalued but suspects Dorado's final investment decision will slip beyond 2024 and the lack of positive catalysts in the near term may mean the valuation gap could take longer to close.

This underpins a reduction in the rating to Overweight from Buy. Target edges up to $0.25 from $0.24.

This report was published on September 21, 2023.

Target price is $0.25 Current Price is $0.17 Difference: $0.08
If CVN meets the Jarden target it will return approximately 47% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 0.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 85.00.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 0.00 cents and EPS of minus 0.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 85.00.

Market Sentiment: 0.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

CWY    CLEANAWAY WASTE MANAGEMENT LIMITED

Industrial Sector Contractors & Engineers – Overnight Price: $2.42

Jarden rates ((CWY)) as Neutral (3) –

Cleanaway Waste Management has provided details of its long-term incentive program for FY24. The main positive aspects Jarden assesses are targets related to emissions reductions and the reintroduction of return on invested capital (ROIC) hurdles instead of the minimum thresholds that featured in FY20-22.

The broker asserts the market is "flying somewhat blind on a number of key items" for the FY24 earnings outlook and believes investors need to be critical of why ROIC hurdles have been set at less than pre-pandemic levels despite no change to the company's view of the long-term earnings potential of the business.

Jarden retains a Neutral rating and $2.60 target.

This report was published on September 20, 2023.

Target price is $2.60 Current Price is $2.42 Difference: $0.18
If CWY meets the Jarden target it will return approximately 7% (excluding dividends, fees and charges).
Current consensus price target is $2.74, suggesting upside of 14.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 4.70 cents and EPS of 7.80 cents.
At the last closing share price the estimated dividend yield is 1.94%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 31.03.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 8.6, implying annual growth of 777.6%.
Current consensus DPS estimate is 5.6, implying a prospective dividend yield of 2.3%.
Current consensus EPS estimate suggests the PER is 27.9.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 5.70 cents and EPS of 9.50 cents.
At the last closing share price the estimated dividend yield is 2.36%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 25.47.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 10.3, implying annual growth of 19.8%.
Current consensus DPS estimate is 7.0, implying a prospective dividend yield of 2.9%.
Current consensus EPS estimate suggests the PER is 23.3.

Market Sentiment: 0.2
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

EDV    ENDEAVOUR GROUP LIMITED

Food, Beverages & Tobacco – Overnight Price: $5.26

Jarden rates ((EDV)) as Overweight (2) –

Jarden assesses the NSW state budget had no negative surprises for Endeavour Group and leaves forecasts unchanged.

The forecast is for 6.6% growth in hotels gaming tax revenue while the budget also included a further $100m to support an expanded cashless gaming trial. The requirement for casinos, not clubs/hotels, to be cashless by  August 30, 2024 was reiterated.

The broker considers the stock attractive as it becomes a leaner and more focused business. Overweight rating maintained. Target is $6.30.

This report was published on September 19, 2023.

Target price is $6.30 Current Price is $5.26 Difference: $1.04
If EDV meets the Jarden target it will return approximately 20% (excluding dividends, fees and charges).
Current consensus price target is $5.95, suggesting upside of 14.7%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 22.00 cents and EPS of 29.30 cents.
At the last closing share price the estimated dividend yield is 4.18%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.95.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 29.2, implying annual growth of -1.2%.
Current consensus DPS estimate is 20.9, implying a prospective dividend yield of 4.0%.
Current consensus EPS estimate suggests the PER is 17.8.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 21.00 cents and EPS of 32.60 cents.
At the last closing share price the estimated dividend yield is 3.99%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.13.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 31.0, implying annual growth of 6.2%.
Current consensus DPS estimate is 22.1, implying a prospective dividend yield of 4.3%.
Current consensus EPS estimate suggests the PER is 16.7.

Market Sentiment: 0.1
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

FSF    FONTERRA SHAREHOLDERS FUND

Dairy – Overnight Price: $3.28

Jarden rates ((FSF)) as Overweight (2) –

Jarden notes a strong FY23 result  from Fonterra Shareholders Fund. FY24 EPS guidance of NZ$0.45-60 is in line with forecasts at the lower end yet the broker now upgrades expectations to NZ$0.63 because the results were stronger at the core collection/processing of NZ milk.

The company has taken steps to reposition its balance sheet following meaningful divestments and Jarden will continue to monitor the Australian business closely.

If the company were to exit Australia and achieve close to book value, this would allow for a significant return of capital to farmers from a business that is not delivered in the last 10 years and where current returns seem marginal to the broker.

Overweight rating. Target raised to NZ$4.15 from NZ$3.42.

This report was published on September 21, 2023.

Current Price is $3.28. Target price not assessed.
The company's fiscal year ends in July.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 34.55 cents and EPS of 57.58 cents.
At the last closing share price the estimated dividend yield is 10.53%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 5.70.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 27.27 cents and EPS of 45.42 cents.
At the last closing share price the estimated dividend yield is 8.31%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.22.

This company reports in NZD. 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

GSS    GENETIC SIGNATURES LIMITED

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $0.51

Taylor Collison rates ((GSS)) as Outperform (2) –

Genetic Signatures has submitted an application for US FDA clearance for marketing its EasyScreen gastrointestinal parasite detection kit.

Taylor Collison likes the fact the molecular testing for gastrointestinal pathogens is already reimbursed in the US and the kit replaces low-value, microscope-based testing.

The broker will review pricing assumptions post the FDA clearance and highlights the risk that additional funds may be required in FY24 or FY25.

Outperform rating maintained. Target is $2.19.

This report was published on September 12, 2023.

Target price is $2.19 Current Price is $0.51 Difference: $1.685
If GSS meets the Taylor Collison target it will return approximately 334% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY24:

Taylor Collison forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 8.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 6.16.

Forecast for FY25:

Taylor Collison forecasts a full year FY25 dividend of 0.00 cents and EPS of minus 3.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 14.43.

Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

KAR    KAROON ENERGY LIMITED

Crude Oil – Overnight Price: $2.50

Jarden rates ((KAR)) as Upgrade to Buy from Overweight (1) –

Recent action by OPEC-Plus to cut production has achieved the objectives of bringing supply/demand into balance and increasing prices to above US$90/bbl. Jarden increases Brent oil price forecasts which are partially offset by -4% reduction in forecast LNG prices.

Karoon Energy is the key beneficiary on the local bourse of the recent spike in oil prices as it coincides with higher oil production. Jarden upgrades to Buy from Overweight and lifts the target to $3.00 from $2.50.

This report was published on September 21, 2023.

Target price is $3.00 Current Price is $2.50 Difference: $0.5
If KAR meets the Jarden target it will return approximately 20% (excluding dividends, fees and charges).
Current consensus price target is $2.87, suggesting upside of 16.5%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 10.00 cents and EPS of 49.40 cents.
At the last closing share price the estimated dividend yield is 4.00%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 5.06.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 77.0, implying annual growth of N/A.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 3.2.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 8.00 cents and EPS of 38.00 cents.
At the last closing share price the estimated dividend yield is 3.20%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 6.58.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 60.3, implying annual growth of -21.7%.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 4.1.

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

KMD    KMD BRANDS LIMITED

Sports & Recreation – Overnight Price: $0.79

Canaccord Genuity rates ((KMD)) as Hold (3) –

Canaccord Genuity remains constructive about the medium-term strategy and growth options for KMD Brands yet retains a Hold rating given near-term uncertainty.

The business appears to have navigated recent "tricky" months quite well, although the broker suspects around $20-40m of incremental Kathmandu sales were missed as a result of weak winter trading. In addition, the unwinding of working capital was also the "hope" over FY23 which did not happen.

Canaccord Genuity awaits more evidence for FY24 of an improved like-for-like performance and expects a more material step up in earnings into FY25. Target is reduced to $0.79 from $0.94.

This report was published on September 21, 2023.

Target price is $0.79 Current Price is $0.79 Difference: $0.005
If KMD meets the Canaccord Genuity target it will return approximately 1% (excluding dividends, fees and charges).
Current consensus price target is $0.80, suggesting upside of 2.6%(ex-dividends)
The company's fiscal year ends in July.

Forecast for FY24:

Canaccord Genuity forecasts a full year FY24 dividend of 5.53 cents and EPS of 6.45 cents.
At the last closing share price the estimated dividend yield is 7.04%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.17.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 7.1, implying annual growth of N/A.
Current consensus DPS estimate is 5.4, implying a prospective dividend yield of 6.9%.
Current consensus EPS estimate suggests the PER is 11.0.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 6.45 cents and EPS of 8.29 cents.
At the last closing share price the estimated dividend yield is 8.22%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.47.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 8.8, implying annual growth of 23.9%.
Current consensus DPS estimate is 8.3, implying a prospective dividend yield of 10.6%.
Current consensus EPS estimate suggests the PER is 8.9.

This company reports in NZD. 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

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Jarden rates ((KMD)) as Buy (1) –

KMD Brands revealed a material slowdown in activity occurred in the seasonally important fourth quarter while underlying EBITDA of NZ$105.9m for FY23 was in line with expectations.

Jarden notes group sales are down -6.4% for August with Kathmandu the key source of weakness. Going forward, wholesale markets appear tough as participants look to de-stock.

The broker points out, should consumers sales proof more resilient, additional mid-season purchases could occur that are typically higher margin for the business.

The company has reiterated its medium-term underlying EBITDA margin target of 15%. Jarden believes caution is well reflected in the share price and retains a Buy rating. Target is reduced to NZ$1.20 from NZ$1.25.

This report was published on September 20, 2023.

Current Price is $0.79. Target price not assessed.
Current consensus price target is $0.80, suggesting upside of 2.6%(ex-dividends)
The company's fiscal year ends in July.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 5.53 cents and EPS of 6.36 cents.
At the last closing share price the estimated dividend yield is 7.04%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.35.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 7.1, implying annual growth of N/A.
Current consensus DPS estimate is 5.4, implying a prospective dividend yield of 6.9%.
Current consensus EPS estimate suggests the PER is 11.0.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 5.99 cents and EPS of 8.66 cents.
At the last closing share price the estimated dividend yield is 7.63%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.06.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 8.8, implying annual growth of 23.9%.
Current consensus DPS estimate is 8.3, implying a prospective dividend yield of 10.6%.
Current consensus EPS estimate suggests the PER is 8.9.

This company reports in NZD. 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

LIC    LIFESTYLE COMMUNITIES LIMITED

Aged Care & Seniors – Overnight Price: $16.42

Goldman Sachs rates ((LIC)) as Buy (1) –

Goldman Sachs is increasingly confident that Lifestyle Communities can accelerate settlements, earnings and cash flow across FY24-26. This should allow the business to invest in growth and re-focus investor attention on the long-term opportunity.

Potential upside to medium-term guidance could be driven by stronger settlement rates among communities in the strongest performing areas outside of north-west Melbourne, along with an uplift in housing sentiment that leads to improved sales and settlement conversion.

The broker reiterates a Buy rating and raises the target to $25.25 from $25.15.

This report was published on September 24, 2023.

Target price is $25.25 Current Price is $16.42 Difference: $8.83
If LIC meets the Goldman Sachs target it will return approximately 54% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 17.00 cents and EPS of 81.00 cents.
At the last closing share price the estimated dividend yield is 1.04%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.27.

Forecast for FY25:

Goldman Sachs forecasts a full year FY25 dividend of 21.00 cents and EPS of 115.00 cents.
At the last closing share price the estimated dividend yield is 1.28%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.28.

Market Sentiment: 0.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

ORI    ORICA LIMITED

Mining Sector Contracting – Overnight Price: $15.22

Jarden rates ((ORI)) as Buy (1) –

Amid updated and improved ESG targets from its sustainability briefing, Jarden is more confident in the outlook for Orica. FY24 should include no extra uplift from re-contracting of zero-margin Burrup ammonium nitrate tonnage.

While FY24 is a relatively heavy "turnaround" year, unlike FY23 it does not include a turnaround at the lowest-margin plant, Burrup.

The company could have provided greater clarity on the potential impacts from the Kooragang Island turnaround and Jarden awaits further disclosure at the FY23 results.

The broker believes progress in green ammonia innovation is necessary to assuage longer-term concerns regarding the future of the ageing KI plant. Buy rating and $17.10 target maintained.

This report was published on September 20, 2023.

Target price is $17.10 Current Price is $15.22 Difference: $1.88
If ORI meets the Jarden target it will return approximately 12% (excluding dividends, fees and charges).
Current consensus price target is $17.93, suggesting upside of 19.0%(ex-dividends)
The company's fiscal year ends in September.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 39.00 cents and EPS of 77.40 cents.
At the last closing share price the estimated dividend yield is 2.56%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.66.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 80.6, implying annual growth of 117.4%.
Current consensus DPS estimate is 41.4, implying a prospective dividend yield of 2.7%.
Current consensus EPS estimate suggests the PER is 18.7.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 46.20 cents and EPS of 90.90 cents.
At the last closing share price the estimated dividend yield is 3.04%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.74.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 96.8, implying annual growth of 20.1%.
Current consensus DPS estimate is 48.7, implying a prospective dividend yield of 3.2%.
Current consensus EPS estimate suggests the PER is 15.6.

Market Sentiment: 0.7
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

PDI    PREDICTIVE DISCOVERY LIMITED

Gold & Silver – Overnight Price: $0.21

Canaccord Genuity rates ((PDI)) as Speculative Buy (1) –

Predictive Discovery has a scoping study for the Bankan project targeted for release in the December quarter and Canaccord Genuity models an outlook for the mine, expecting this will pave the way for project permits in 2024 that could be a share price catalyst.

The broker only considers the indicated portion of the open pit resource at the NEB and BC deposits and assumes 65% of the current NEB underground resource converts to a mine inventory. The company has recently announced a 29% increase in resources to 5.4m ounces for the project.

The broker maintains a Speculative Buy rating and $0.37 target, and considers the stock an attractive M&A target, noting Guinea could be the next "hot spot" for African gold.

This report was published on September 21, 2023.

Target price is $0.37 Current Price is $0.21 Difference: $0.155
If PDI meets the Canaccord Genuity target it will return approximately 72% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

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

PMV    PREMIER INVESTMENTS LIMITED

Apparel & Footwear – Overnight Price: $24.97

Goldman Sachs rates ((PMV)) as Sell (5) –

Goldman Sachs conducts a deep dive into the potential of Premier Investments in the wake of the strategic review announcement, and the increase in the stock price of 21% amid speculation of a potential spin-off of certain assets.

The broker highlights peer analysis that signals the business has attributes that could facilitate a successful global expansion.

Goldman Sachs emphasises the parameters of the strategic review are broad and takes no view on the outcome, noting the company has expanded globally in the past with mixed success. Sell rating and $21.30 target retained.

This report was published on September 20, 2023.

Target price is $21.30 Current Price is $24.97 Difference: minus $3.67 (current price is over target).
If PMV meets the Goldman Sachs target it will return approximately minus 15% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $24.82, suggesting upside of 0.3%(ex-dividends)
The company's fiscal year ends in July.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 116.00 cents and EPS of 189.00 cents.
At the last closing share price the estimated dividend yield is 4.65%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.21.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 173.4, implying annual growth of -3.3%.
Current consensus DPS estimate is 127.2, implying a prospective dividend yield of 5.1%.
Current consensus EPS estimate suggests the PER is 14.3.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 102.00 cents and EPS of 147.00 cents.
At the last closing share price the estimated dividend yield is 4.08%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.99.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 145.1, implying annual growth of -16.3%.
Current consensus DPS estimate is 100.0, implying a prospective dividend yield of 4.0%.
Current consensus EPS estimate suggests the PER is 17.0.

Market Sentiment: 0.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

SPR    SPARTAN RESOURCES LIMITED

Overnight Price: $0.40

Canaccord Genuity rates ((SPR)) as Resume Coverage with Speculative Buy (1) –

Since suspending operations in November 2022 Spartan Resources has undertaken a recapitalisation and grown its Never Never deposit by 573% to 721,000 ounces at 5.90g/t.

Canaccord Genuity assesses the outlook for the company has markedly changed after being a business that historically struggled with low-grade ore feed to one that is re-starting production with one of the highest grade Australian gold discoveries in recent years.

The business is well funded with $34m in cash and no debt that should allow it to traverse multiple resource and reserve updates and be in a position by mid 2024 to provide a robust mine plan.

The broker updates to Speculative Buy and with a $0.60 target after having placed the stock under review.

This report was published on September 21, 2023.

Target price is $0.60 Current Price is $0.40 Difference: $0.2
If SPR meets the Canaccord Genuity target it will return approximately 50% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY23:

Canaccord Genuity forecasts a full year FY23 EPS of minus 9.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 4.44.

Forecast for FY24:

Canaccord Genuity forecasts a full year FY24 EPS of minus 1.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 40.00.

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

STO    SANTOS LIMITED

NatGas – Overnight Price: $7.64

Jarden rates ((STO)) as Downgrade to Neutral from Overweight (3) –

Recent action by OPEC-Plus to cut production has achieved the objectives of bringing supply/demand into balance and increasing prices to above US$90/bbl. Jarden increases Brent oil price forecasts which are partially offset by -4% reduction in forecast LNG prices.

While higher oil prices are good for Santos, Jarden downgrades to Neutral from Overweight on concerns around the progress on Barossa LNG as well as costs.

The drilling environmental plan for Barossa LNG was cancelled in 2022 and a revised plan has been submitted, with the broker noting there is "little wriggle room left" if further slippage in approvals is incurred. Target is steady at $8.05.

This report was published on September 21, 2023.

Target price is $8.05 Current Price is $7.64 Difference: $0.41
If STO meets the Jarden target it will return approximately 5% (excluding dividends, fees and charges).
Current consensus price target is $9.47, suggesting upside of 24.5%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 22.70 cents and EPS of 65.55 cents.
At the last closing share price the estimated dividend yield is 2.97%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.65.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 68.7, implying annual growth of N/A.
Current consensus DPS estimate is 31.8, implying a prospective dividend yield of 4.2%.
Current consensus EPS estimate suggests the PER is 11.1.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 35.63 cents and EPS of 70.67 cents.
At the last closing share price the estimated dividend yield is 4.66%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.81.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 68.7, implying annual growth of N/A.
Current consensus DPS estimate is 29.0, implying a prospective dividend yield of 3.8%.
Current consensus EPS estimate suggests the PER is 11.1.

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

WDS    WOODSIDE ENERGY GROUP LIMITED

NatGas – Overnight Price: $36.25

Jarden rates ((WDS)) as Underweight (4) –

Recent action by OPEC-Plus to cut production has achieved the objectives of bringing supply/demand into balance and increasing prices to above US$90/bbl. Jarden increases Brent oil price forecasts which are partially offset by -4% reduction in forecast LNG prices.

After factoring in the higher oil price, Jarden raises the target for Woodside Energy to $35.00 from $33.90.

The broker envisages the near future will be dominated by the news flow around the challenge to the environmental plan awarded to record seismic over gas fields being developed for Scarborough. This is the first of four environmental plans that require approval. Underweight.

This report was published on September 21, 2023.

Target price is $35.00 Current Price is $36.25 Difference: minus $1.25 (current price is over target).
If WDS meets the Jarden target it will return approximately minus 3% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $36.75, suggesting upside of 1.8%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 224.03 cents and EPS of 280.26 cents.
At the last closing share price the estimated dividend yield is 6.18%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.93.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 257.4, implying annual growth of N/A.
Current consensus DPS estimate is 206.0, implying a prospective dividend yield of 5.7%.
Current consensus EPS estimate suggests the PER is 14.0.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 255.60 cents and EPS of 321.00 cents.
At the last closing share price the estimated dividend yield is 7.05%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.29.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 246.7, implying annual growth of -4.2%.
Current consensus DPS estimate is 197.3, implying a prospective dividend yield of 5.5%.
Current consensus EPS estimate suggests the PER is 14.6.

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

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