Weekly Reports | Oct 06 2023
This story features CALIDUS RESOURCES LIMITED. For more info SHARE ANALYSIS: CAI
Broker Rating Changes (Post Thursday Last Week)
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CALIDUS RESOURCES LIMITED ((CAI)) Downgrade to Hold from Speculative Buy by Canaccord Genuity.B/H/S: 0/0/0
Following challenges in grade reconciliation at the Warrawoona Gold project in WA, management at Calidus Resources has revised reserves and resources. Canaccord Genuity notes this project has disappointed since operations began in mid-2022.
The overall resource estimate has been decreased by -16% or 260koz compared to the September 2022 update while the reserve estimate has fallen by -37%.
In some good news, the overall reserve grade has jumped to 2.1g/t Au from 1.4g/t Au, which the broker suggests will provide a
buffer should reconciliation or dilution issues persist.
Canaccord Genuity now risks its valuation 50% in line with other struggling early-stage producers under coverage and the target falls to 15c from 65c.
The rating is also lowered to Hold from Speculative Buy on valuation.
Price Target Changes (Post Thursday Last Week)
| Company | Last Price | Broker | New Target | Old Target | Change | |
|---|---|---|---|---|---|---|
| BOQ | Bank of Queensland | $5.62 | Goldman Sachs | 5.59 | 5.60 | -0.18% |
| CAI | Calidus Resources | $0.13 | Canaccord Genuity | 0.15 | 0.80 | -81.25% |
| Canaccord Genuity | 0.15 | 0.85 | -82.35% | |||
| GNX | Genex Power | $0.15 | Canaccord Genuity | 0.27 | 0.24 | 12.50% |
| IPD | ImpediMed | $0.17 | Canaccord Genuity | 0.21 | 0.20 | 5.00% |
| LTR | Liontown Resources | $2.96 | Goldman Sachs | 1.35 | 1.40 | -3.57% |
| MEI | Meteoric Resources | $0.23 | Petra Capital | 0.32 | 0.25 | 28.00% |
| NUF | Nufarm | $4.73 | Moelis | 5.01 | 5.47 | -8.41% |
| NXS | Next Science | $0.45 | Canaccord Genuity | 0.60 | 0.85 | -29.41% |
| PMV | Premier Investments | $23.39 | Goldman Sachs | 21.50 | 21.30 | 0.94% |
| Jarden | 24.50 | 23.00 | 6.52% | |||
| Company | Last Price | Broker | New Target | Old Target | Change | |
More Highlights
CIA CHAMPION IRON LIMITED
Iron Ore – Overnight Price: $6.30
Jarden rates ((CIA)) as Initiation of coverage with Buy (1) –
Jarden initiates coverage on Champion Iron with a Buy rating and $7.33 target. The broker points out iron ore with the lowest carbon footprint will likely receive increasing premiums into the future, given the pressure to produce "green" steel.
Champion Iron offers exposure via scalable low carbon production with options to further beneficiate its product. In the case of Bloom Lake, Canada, by virtue of abundant hydroelectricity, there is already some of the lowest carbon intensity iron ore produced globally.
This report was published on September 27, 2023.
Target price is $7.33 Current Price is $6.30 Difference: $1.03
If CIA meets the Jarden target it will return approximately 16% (excluding dividends, fees and charges).
The company's fiscal year ends in March.
Forecast for FY24:
Jarden forecasts a full year FY24 EPS of 59.72 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.55.
Forecast for FY25:
Jarden forecasts a full year FY25 EPS of 48.56 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.97.
This company reports in CAD. 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
IAG INSURANCE AUSTRALIA GROUP LIMITED
Insurance – Overnight Price: $5.68
Jarden rates ((IAG)) as Overweight (2) –
The Reserve Bank of New Zealand has produced a final policy consultation for general insurers, and for Insurance Australia Group, which operates subsidiaries and holds regulatory capital in New Zealand, Jarden assesses "contagion risks" are in focus.
The main risks largely relate to higher regulatory costs as the RBNZ takes a more proactive supervisory approach, as well as potential reductions in group capital and cost efficiencies should capacity to use intra-group transactions such as reinsurance and outside services change.
There also may be dividend restrictions when an insurance group is under pressure. Overweight rating and $6.15 target.
This report was published on September 27, 2023.
Target price is $6.15 Current Price is $5.68 Difference: $0.47
If IAG meets the Jarden target it will return approximately 8% (excluding dividends, fees and charges).
Current consensus price target is $5.85, suggesting upside of 3.0%(ex-dividends)
The company's fiscal year ends in June.
Forecast for FY24:
Jarden forecasts a full year FY24 dividend of 27.00 cents and EPS of 37.70 cents.
At the last closing share price the estimated dividend yield is 4.75%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.07.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 34.9, implying annual growth of 2.9%.
Current consensus DPS estimate is 26.8, implying a prospective dividend yield of 4.7%.
Current consensus EPS estimate suggests the PER is 16.3.
Forecast for FY25:
Jarden forecasts a full year FY25 dividend of 31.00 cents and EPS of 43.00 cents.
At the last closing share price the estimated dividend yield is 5.46%.
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 39.3, implying annual growth of 12.6%.
Current consensus DPS estimate is 31.0, implying a prospective dividend yield of 5.5%.
Current consensus EPS estimate suggests the PER is 14.5.
Market Sentiment: 0.2
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
M7T MACH7 TECHNOLOGIES LIMITED
Healthcare services – Overnight Price: $0.77
Wilsons rates ((M7T)) as Initiation of coverage with Overweight (1) –
Mach7 Technologies might still be considered a new provider of Enterprise Imaging software, but the company has already established contracts with top Integrated Delivery Networks and imaging chains.
Wilsons initiates coverage on Mach7 Technologies, ahead of what it considers to be an important year for the company.
The broker considers Mach7 Technologies primed to beat expectations given upcoming contract renewals and a material catalyst in the outcome of the Phase 2 VA contract, due in early March and worth $48m.
The broker initiates with an Overweight rating and a target price of $1.15.
This report was published on October 3, 2023.
Target price is $1.15 Current Price is $0.77 Difference: $0.38
If M7T meets the Wilsons target it will return approximately 49% (excluding dividends, fees and charges).
The company's fiscal year ends in June.
Forecast for FY24:
Wilsons forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 0.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 85.56.
Forecast for FY25:
Wilsons forecasts a full year FY25 dividend of 0.00 cents and EPS of 1.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 77.00.
Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
PPS PRAEMIUM LIMITED
Wealth Management & Investments – Overnight Price: $0.59
Moelis rates ((PPS)) as Initiation of coverage with Buy (1) –
As the number three by scale specialist platform provider, Moelis initiates coverage on Praemium with the opinion that industry dynamics continue to create long-term opportunity for the company.
Among other factors, the broker sees the divestment of the platform's loss-making United Kingdom operations in the last financial year, improving group profitability, and multiple strategic initiatives set to drive organic growth as likely to benefit shareholder returns.
Moelis initiates coverage on Praemium with a Buy rating and a target price of $0.92.
This report was published on September 28, 2023.
Target price is $0.92 Current Price is $0.59 Difference: $0.325
If PPS meets the Moelis target it will return approximately 55% (excluding dividends, fees and charges).
The company's fiscal year ends in June.
Forecast for FY24:
Moelis forecasts a full year FY24 dividend of 1.60 cents and EPS of 2.70 cents.
At the last closing share price the estimated dividend yield is 2.69%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.04.
Forecast for FY25:
Moelis forecasts a full year FY25 dividend of 1.90 cents and EPS of 3.20 cents.
At the last closing share price the estimated dividend yield is 3.19%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 18.59.
Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
SLH SILK LOGISTICS HOLDINGS LIMITED
Transportation & Logistics – Overnight Price: $1.85
Moelis rates ((SLH)) as Initiation of coverage with Buy (1) –
Moelis initiates coverage on Silk Logistics with a Buy rating and $2.75 target. The broker believes the business is well-positioned for growth with a tier one designation in port logistics, supported by the recent acquisition of Secon to bolster its Victorian presence.
Beyond the port the warehousing and distribution capability completes of a fully integrated service offering. Around 75% of warehouse revenue is from contracted customers with which the company has long-term relationships.
The stock is trading at an estimated 8.3x FY24 PE, representing a deep -55% discount to peers, the broker adds.
This report was published on September 27, 2023.
Target price is $2.75 Current Price is $1.85 Difference: $0.9
If SLH meets the Moelis target it will return approximately 49% (excluding dividends, fees and charges).
The company's fiscal year ends in June.
Forecast for FY24:
Moelis forecasts a full year FY24 dividend of 10.20 cents and EPS of 21.00 cents.
At the last closing share price the estimated dividend yield is 5.51%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.81.
Forecast for FY25:
Moelis forecasts a full year FY25 dividend of 12.80 cents and EPS of 26.10 cents.
At the last closing share price the estimated dividend yield is 6.92%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.09.
Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
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