Australian Broker Call *Extra* Edition – Jan 12, 2024

This story features AVITA MEDICAL INC, and other companies. For more info SHARE ANALYSIS: AVH

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)

AVH   AWC   CAI   CEL   CGF   CMM   DEG (2)   EVN (2)   GOR   MZZ   NST (2)   ORA   PDI   PNI   PRU   RED   RRL   RSG   RXL   S32   SGM   TTM   WGX  

AVH    AVITA MEDICAL INC

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $4.56

Wilsons rates ((AVH)) as Overweight (1) –

Avita Medical released preliminary Q4 and FY23 revenue data ahead of presenting at the JP Morgan Healthcare conference in the USA.

Wilsons observes indicated revenue for FY23 seems to have missed its own estimate by -4%. Guidance range for FY24 sits 5%-13% above the broker's forecast.

However, the broker stipulates, FY24 guidance relies on the company developing productive growth in new US centres, which has already been shown to take longer than anticipated.

Wilsons is not negative and looks forward to Avita Medical providing FY25 guidance in February (company is expected to reach profitability by FY25). Overweight rating and $5.39 target price retained.

This report was published on January 11, 2024.

Target price is $5.39 Current Price is $4.56 Difference: $0.83
If AVH meets the Wilsons target it will return approximately 18% (excluding dividends, fees and charges).

Forecast for FY23:

Forecast for FY24:

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

AWC    ALUMINA LIMITED

Aluminium, Bauxite & Alumina – Overnight Price: $1.13

Goldman Sachs rates ((AWC)) as Upgrade to Buy from Sell (1) –

The AWAC JV will be closing down its troubled, high-cost Kwinana refinery, having already partially curtailed the San Ciprian refinery in Spain.

Goldman Sachs notes there will be no dividend to protect the balance sheet with the JV having endured a challenging twelve months. The broker is anticipating a recovery in the alumina price, concluding the market is not priced for any supply disruptions.

As such, the conclusion is shares in Alumina Ltd look oversold/undervalued. Upgrade to Buy with a revised price target of $1.43 (banking on better dynamics on a 12-months horizon).

This report was published on January 10, 2024.

Target price is $1.43 Current Price is $1.13 Difference: $0.3
If AWC meets the Goldman Sachs target it will return approximately 27% (excluding dividends, fees and charges).
Current consensus price target is $1.02, suggesting downside of -8.9%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 0.00 cents and EPS of minus 3.02 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 37.44.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -1.8, 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 N/A.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 0.00 cents and EPS of 6.04 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 18.72.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 5.7, 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 19.6.

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 0.4
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

CAI    CALIDUS RESOURCES LIMITED

Gold & Silver – Overnight Price: $0.20

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

Calidus Resources' December quarter production got affected by bushfires and delays in completing a cutback in the Cuban pit. 

Canaccord Genuity seems confident 2024 should see improvement as the company is expected to bring satellite deposits online while also completing a cutback at the main Klondyke mine.

Speculative Buy retained, target remains 33c. A general sector review, published two days later, has pushed up the price target to 35c.

This report was published on January 10, 2024.

Target price is $0.35 Current Price is $0.20 Difference: $0.15
If CAI meets the Canaccord Genuity target it will return approximately 75% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY24:

Canaccord Genuity forecasts a full year FY24 dividend of 0.00 cents and EPS of 2.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.00.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 7.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 2.86.

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

CEL    CHALLENGER GOLD LIMITED

Gold & Silver – Overnight Price: $0.07

Canaccord Genuity rates ((CEL)) as No Rating (-1) –

Investors should expect gold and gold equities to outperfom in 2024 is the explicit message from the latest sector update by analysts at Canaccord Genuity.

The key driver behind this forecast is the prospect of Fed rate cuts later in the year. Historical precedents saw average increases of 40% in the 12 months following the first cut, report the analysts, with both gold and gold equities outperforming the ASX300 and S&P500 in each case.

Canaccord Genuity has lifted its long term gold price forecast in USD from 2027 by 8.4% to US$2,341/oz. In AUD, the long term forecast has increased to A$3,345/oz.

On the ASX, the broker's sector favourites are Resolute Mining, Westgold Resources, Predictive Discovery and De Grey Mining.

Rating and price target for Challenger Gold are currently under review. The prior rating was Spec Buy.

This report was published on January 12, 2024.

Current Price is $0.07. Target price not assessed.

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

CGF    CHALLENGER LIMITED

Wealth Management & Investments – Overnight Price: $6.48

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

Challenger is scheduled to report its interim financials on February 13. Goldman Sachs has marked-to-market, to update its modeling, while also previewing what to expect.

The broker sees plenty of opportunities across channels for ongoing growth in the life annuity book. Challenger's focus, the broker reminds us, remains on achieving higher margins through longer duration products.

Higher interest rates should assist the company in achieving its ambition, Goldman Sachs suggests. Normalised net profit before tax is expected to come out at $280.2m, with a dividend of 11.5c per share.

Buy rating with a target price of $7.0.

This report was published on January 10, 2024.

Target price is $7.00 Current Price is $6.48 Difference: $0.52
If CGF meets the Goldman Sachs target it will return approximately 8% (excluding dividends, fees and charges).
Current consensus price target is $6.78, suggesting upside of 5.5%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 23.00 cents and EPS of 58.00 cents.
At the last closing share price the estimated dividend yield is 3.55%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.17.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 50.4, implying annual growth of 19.6%.
Current consensus DPS estimate is 24.7, implying a prospective dividend yield of 3.8%.
Current consensus EPS estimate suggests the PER is 12.8.

Forecast for FY25:

Goldman Sachs forecasts a full year FY25 dividend of 25.00 cents and EPS of 63.00 cents.
At the last closing share price the estimated dividend yield is 3.86%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.29.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 57.4, implying annual growth of 13.9%.
Current consensus DPS estimate is 27.0, implying a prospective dividend yield of 4.2%.
Current consensus EPS estimate suggests the PER is 11.2.

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

CMM    CAPRICORN METALS LIMITED

Gold & Silver – Overnight Price: $4.53

Goldman Sachs rates ((CMM)) as Neutral (3) –

It is Goldman Sachs's view gold is on an accelerated path to higher pricing in 2024 on the back of a faster trajectory towards lower real rates in combination with continued strength in demand from EM central banks and retail investors/buyers.

The broker has identified three key themes for the year ahead; margin expansion for Aussie producers, production growth and sector M&A.

Among the larger names, Evolution Mining is most preferred. Among mid-caps, the preference lays with Gold Road Resources and De Grey Mining.

The broker's rating for Capricorn Metals remains Neutral with the price target lifting to $4.55.

This report was published on January 11, 2024.

Target price is $4.55 Current Price is $4.53 Difference: $0.02
If CMM meets the Goldman Sachs target it will return approximately 0% (excluding dividends, fees and charges).

Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

DEG    DE GREY MINING LIMITED

Gold & Silver – Overnight Price: $1.23

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

Investors should expect gold and gold equities to outperfom in 2024 is the explicit message from the latest sector update by analysts at Canaccord Genuity.

The key driver behind this forecast is the prospect of Fed rate cuts later in the year. Historical precedents saw average increases of 40% in the 12 months following the first cut, report the analysts, with both gold and gold equities outperforming the ASX300 and S&P500 in each case.

Canaccord Genuity has lifted its long term gold price forecast in USD from 2027 by 8.4% to US$2,341/oz. In AUD, the long term forecast has increased to A$3,345/oz.

On the ASX, the broker's sector favourites are Resolute Mining, Westgold Resources, Predictive Discovery and De Grey Mining.

De Grey Mining's rating is Speculative Buy. The price target shifts to $2.35 from $2.10.

This report was published on January 12, 2024.

Target price is $2.35 Current Price is $1.23 Difference: $1.12
If DEG meets the Canaccord Genuity target it will return approximately 91% (excluding dividends, fees and charges).
Current consensus price target is $1.75, suggesting upside of 44.6%(ex-dividends)

Forecast for FY24:

Current consensus EPS estimate is -0.7, 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 N/A.

Forecast for FY25:

Current consensus EPS estimate is N/A, 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 N/A.

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

It is Goldman Sachs's view gold is on an accelerated path to higher pricing in 2024 on the back of a faster trajectory towards lower real rates in combination with continued strength in demand from EM central banks and retail investors/buyers.

The broker has identified three key themes for the year ahead; margin expansion for Aussie producers, production growth and sector M&A.

Among the larger names, Evolution Mining is most preferred. Among mid-caps, the preference lays with Gold Road Resources and De Grey Mining.

The broker's rating for De Grey Mining remains Buy with a price target of $1.40.

This report was published on January 11, 2024.

Target price is $1.40 Current Price is $1.23 Difference: $0.17
If DEG meets the Goldman Sachs target it will return approximately 14% (excluding dividends, fees and charges).
Current consensus price target is $1.75, suggesting upside of 44.6%(ex-dividends)

Forecast for FY24:

Current consensus EPS estimate is -0.7, 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 N/A.

Forecast for FY25:

Current consensus EPS estimate is N/A, 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 N/A.

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

EVN    EVOLUTION MINING LIMITED

Gold & Silver – Overnight Price: $3.78

Canaccord Genuity rates ((EVN)) as Buy (1) –

Investors should expect gold and gold equities to outperfom in 2024 is the explicit message from the latest sector update by analysts at Canaccord Genuity.

The key driver behind this forecast is the prospect of Fed rate cuts later in the year. Historical precedents saw average increases of 40% in the 12 months following the first cut, report the analysts, with both gold and gold equities outperforming the ASX300 and S&P500 in each case.

Canaccord Genuity has lifted its long term gold price forecast in USD from 2027 by 8.4% to US$2,341/oz. In AUD, the long term forecast has increased to A$3,345/oz.

On the ASX, the broker's sector favourites are Resolute Mining, Westgold Resources, Predictive Discovery and De Grey Mining.

For Evolution Mining, the broker's rating remains Buy with a revised price target of $4.50 (was $4).

This report was published on January 12, 2024.

Target price is $4.50 Current Price is $3.78 Difference: $0.72
If EVN meets the Canaccord Genuity target it will return approximately 19% (excluding dividends, fees and charges).
Current consensus price target is $3.95, suggesting upside of 5.1%(ex-dividends)

Forecast for FY24:

Current consensus EPS estimate is 27.7, implying annual growth of 210.9%.
Current consensus DPS estimate is 6.2, implying a prospective dividend yield of 1.6%.
Current consensus EPS estimate suggests the PER is 13.6.

Forecast for FY25:

Current consensus EPS estimate is 31.0, implying annual growth of 11.9%.
Current consensus DPS estimate is 12.9, implying a prospective dividend yield of 3.4%.
Current consensus EPS estimate suggests the PER is 12.1.

Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

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

It is Goldman Sachs's view gold is on an accelerated path to higher pricing in 2024 on the back of a faster trajectory towards lower real rates in combination with continued strength in demand from EM central banks and retail investors/buyers.

The broker has identified three key themes for the year ahead; margin expansion for Aussie producers, production growth and sector M&A.

Among the larger names, Evolution Mining is most preferred. Among mid-caps, the preference lays with Gold Road Resources and De Grey Mining.

The broker's rating for Evolution Mining remains Buy with the price target lifting to $4.20.

This report was published on January 11, 2024.

Target price is $4.20 Current Price is $3.78 Difference: $0.42
If EVN meets the Goldman Sachs target it will return approximately 11% (excluding dividends, fees and charges).
Current consensus price target is $3.95, suggesting upside of 5.1%(ex-dividends)

Forecast for FY24:

Current consensus EPS estimate is 27.7, implying annual growth of 210.9%.
Current consensus DPS estimate is 6.2, implying a prospective dividend yield of 1.6%.
Current consensus EPS estimate suggests the PER is 13.6.

Forecast for FY25:

Current consensus EPS estimate is 31.0, implying annual growth of 11.9%.
Current consensus DPS estimate is 12.9, implying a prospective dividend yield of 3.4%.
Current consensus EPS estimate suggests the PER is 12.1.

Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

GOR    GOLD ROAD RESOURCES LIMITED

Gold & Silver – Overnight Price: $1.73

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

It is Goldman Sachs's view gold is on an accelerated path to higher pricing in 2024 on the back of a faster trajectory towards lower real rates in combination with continued strength in demand from EM central banks and retail investors/buyers.

The broker has identified three key themes for the year ahead; margin expansion for Aussie producers, production growth and sector M&A.

Among the larger names, Evolution Mining is most preferred. Among mid-caps, the preference lays with Gold Road Resources and De Grey Mining.

The broker's rating for Gold Road Resources remains Buy with the price target lifting to $2.10.

This report was published on January 11, 2024.

Target price is $2.10 Current Price is $1.73 Difference: $0.37
If GOR meets the Goldman Sachs target it will return approximately 21% (excluding dividends, fees and charges).
Current consensus price target is $2.13, suggesting upside of 24.3%(ex-dividends)

Forecast for FY23:

Current consensus EPS estimate is 12.2, implying annual growth of 88.0%.
Current consensus DPS estimate is 2.1, implying a prospective dividend yield of 1.2%.
Current consensus EPS estimate suggests the PER is 14.0.

Forecast for FY24:

Current consensus EPS estimate is 14.2, implying annual growth of 16.4%.
Current consensus DPS estimate is 3.5, implying a prospective dividend yield of 2.0%.
Current consensus EPS estimate suggests the PER is 12.0.

Market Sentiment: 0.8
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

MZZ    MATADOR MINING LIMITED

Gold & Silver – Overnight Price: $0.04

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

Investors should expect gold and gold equities to outperfom in 2024 is the explicit message from the latest sector update by analysts at Canaccord Genuity.

The key driver behind this forecast is the prospect of Fed rate cuts later in the year. Historical precedents saw average increases of 40% in the 12 months following the first cut, report the analysts, with both gold and gold equities outperforming the ASX300 and S&P500 in each case.

Canaccord Genuity has lifted its long term gold price forecast in USD from 2027 by 8.4% to US$2,341/oz. In AUD, the long term forecast has increased to A$3,345/oz.

On the ASX, the broker's sector favourites are Resolute Mining, Westgold Resources, Predictive Discovery and De Grey Mining.

Canaccord Genuity has kept Matador Mining on Speculative Buy, but its price target for the shares has declined to 12 from 22c.

This report was published on January 12, 2024.

Target price is $0.12 Current Price is $0.04 Difference: $0.08
If MZZ meets the Canaccord Genuity target it will return approximately 200% (excluding dividends, fees and charges).

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

NST    NORTHERN STAR RESOURCES LIMITED

Gold & Silver – Overnight Price: $12.84

Canaccord Genuity rates ((NST)) as Buy (1) –

Investors should expect gold and gold equities to outperfom in 2024 is the explicit message from the latest sector update by analysts at Canaccord Genuity.

The key driver behind this forecast is the prospect of Fed rate cuts later in the year. Historical precedents saw average increases of 40% in the 12 months following the first cut, report the analysts, with both gold and gold equities outperforming the ASX300 and S&P500 in each case.

Canaccord Genuity has lifted its long term gold price forecast in USD from 2027 by 8.4% to US$2,341/oz. In AUD, the long term forecast has increased to A$3,345/oz.

On the ASX, the broker's sector favourites are Resolute Mining, Westgold Resources, Predictive Discovery and De Grey Mining.

Buy rating retained for Northern Star Resources with a new price target of $16.30, up from $13.95 prior.

This report was published on January 12, 2024.

Target price is $16.30 Current Price is $12.84 Difference: $3.46
If NST meets the Canaccord Genuity target it will return approximately 27% (excluding dividends, fees and charges).
Current consensus price target is $12.98, suggesting upside of 1.1%(ex-dividends)

Forecast for FY24:

Current consensus EPS estimate is 50.5, implying annual growth of -0.6%.
Current consensus DPS estimate is 31.7, implying a prospective dividend yield of 2.5%.
Current consensus EPS estimate suggests the PER is 25.4.

Forecast for FY25:

Current consensus EPS estimate is 72.5, implying annual growth of 43.6%.
Current consensus DPS estimate is 36.0, implying a prospective dividend yield of 2.8%.
Current consensus EPS estimate suggests the PER is 17.7.

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

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Goldman Sachs rates ((NST)) as Neutral (3) –

It is Goldman Sachs's view gold is on an accelerated path to higher pricing in 2024 on the back of a faster trajectory towards lower real rates in combination with continued strength in demand from EM central banks and retail investors/buyers.

The broker has identified three key themes for the year ahead; margin expansion for Aussie producers, production growth and sector M&A.

Among the larger names, Evolution Mining is most preferred. Among mid-caps, the preference lays with Gold Road Resources and De Grey Mining.

The broker's rating for Northern Star Resources remains Neutral with the price target lifting to $13.10.

This report was published on January 11, 2024.

Target price is $13.10 Current Price is $12.84 Difference: $0.26
If NST meets the Goldman Sachs target it will return approximately 2% (excluding dividends, fees and charges).
Current consensus price target is $12.98, suggesting upside of 1.1%(ex-dividends)

Forecast for FY24:

Current consensus EPS estimate is 50.5, implying annual growth of -0.6%.
Current consensus DPS estimate is 31.7, implying a prospective dividend yield of 2.5%.
Current consensus EPS estimate suggests the PER is 25.4.

Forecast for FY25:

Current consensus EPS estimate is 72.5, implying annual growth of 43.6%.
Current consensus DPS estimate is 36.0, implying a prospective dividend yield of 2.8%.
Current consensus EPS estimate suggests the PER is 17.7.

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

ORA    ORORA LIMITED

Paper & Packaging – Overnight Price: $2.61

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

China’s Ministry of Commerce is conducting an anti-dumping investigation into cognac. Upon further investigation, Goldman Sachs finds any risks for Saverglass, which was recently acquired by Orora, are immaterial.

No changes made to Buy rating, $3.55 price target or forecasts.

This report was published on January 12, 2024.

Target price is $3.55 Current Price is $2.61 Difference: $0.94
If ORA meets the Goldman Sachs target it will return approximately 36% (excluding dividends, fees and charges).
Current consensus price target is $3.17, suggesting upside of 21.4%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 13.00 cents and EPS of 18.00 cents.
At the last closing share price the estimated dividend yield is 4.98%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.50.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 20.7, implying annual growth of 1.1%.
Current consensus DPS estimate is 16.0, implying a prospective dividend yield of 6.1%.
Current consensus EPS estimate suggests the PER is 12.6.

Forecast for FY25:

Goldman Sachs forecasts a full year FY25 dividend of 13.00 cents and EPS of 18.00 cents.
At the last closing share price the estimated dividend yield is 4.98%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.50.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 22.6, implying annual growth of 9.2%.
Current consensus DPS estimate is 17.4, implying a prospective dividend yield of 6.7%.
Current consensus EPS estimate suggests the PER is 11.5.

Market Sentiment: 0.6
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: $0.20

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

Investors should expect gold and gold equities to outperfom in 2024 is the explicit message from the latest sector update by analysts at Canaccord Genuity.

The key driver behind this forecast is the prospect of Fed rate cuts later in the year. Historical precedents saw average increases of 40% in the 12 months following the first cut, report the analysts, with both gold and gold equities outperforming the ASX300 and S&P500 in each case.

Canaccord Genuity has lifted its long term gold price forecast in USD from 2027 by 8.4% to US$2,341/oz. In AUD, the long term forecast has increased to A$3,345/oz.

On the ASX, the broker's sector favourites are Resolute Mining, Westgold Resources, Predictive Discovery and De Grey Mining.

Predictive Discovery's rating is Speculative Buy with a target price of 41c, up from 37c prior.

This report was published on January 12, 2024.

Target price is $0.41 Current Price is $0.20 Difference: $0.21
If PDI meets the Canaccord Genuity target it will return approximately 105% (excluding dividends, fees and charges).

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

PNI    PINNACLE INVESTMENT MANAGEMENT GROUP LIMITED

Wealth Management & Investments – Overnight Price: $10.03

Wilsons rates ((PNI)) as Overweight (1) –

Pinnacle Investment Management's market update, released yesterday, has been positively received at Wilsons. Performance fees were higher than forecast and the broker adds they were driven by nine separate affiliates.

Short term costs will prove a headwind, but Wilsons suspects management has a clearer insight into funds inflows. Performance fees tend to be stronger in H2, highlights the broker, due to Metrics and Palisade.

Overweight rating retained. Target shifts to $12.20 from $11.40.

This report was published on January 12, 2024.

Target price is $12.20 Current Price is $10.03 Difference: $2.17
If PNI meets the Wilsons target it will return approximately 22% (excluding dividends, fees and charges).
Current consensus price target is $9.58, suggesting downside of -4.4%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Wilsons forecasts a full year FY24 dividend of 31.00 cents and EPS of 39.10 cents.
At the last closing share price the estimated dividend yield is 3.09%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 25.65.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 39.7, implying annual growth of 0.9%.
Current consensus DPS estimate is 34.8, implying a prospective dividend yield of 3.5%.
Current consensus EPS estimate suggests the PER is 25.2.

Forecast for FY25:

Wilsons forecasts a full year FY25 dividend of 42.90 cents and EPS of 53.60 cents.
At the last closing share price the estimated dividend yield is 4.28%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 18.71.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 46.7, implying annual growth of 17.6%.
Current consensus DPS estimate is 39.9, implying a prospective dividend yield of 4.0%.
Current consensus EPS estimate suggests the PER is 21.5.

Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

PRU    PERSEUS MINING LIMITED

Gold & Silver – Overnight Price: $1.73

Canaccord Genuity rates ((PRU)) as Buy (1) –

Investors should expect gold and gold equities to outperfom in 2024 is the explicit message from the latest sector update by analysts at Canaccord Genuity.

The key driver behind this forecast is the prospect of Fed rate cuts later in the year. Historical precedents saw average increases of 40% in the 12 months following the first cut, report the analysts, with both gold and gold equities outperforming the ASX300 and S&P500 in each case.

Canaccord Genuity has lifted its long term gold price forecast in USD from 2027 by 8.4% to US$2,341/oz. In AUD, the long term forecast has increased to A$3,345/oz.

On the ASX, the broker's sector favourites are Resolute Mining, Westgold Resources, Predictive Discovery and De Grey Mining.

The broker has kept Perseus Mining on Buy with a revised price target of $2.55, up from $2.30.

This report was published on January 12, 2024.

Target price is $2.55 Current Price is $1.73 Difference: $0.82
If PRU meets the Canaccord Genuity target it will return approximately 47% (excluding dividends, fees and charges).
Current consensus price target is $2.17, suggesting upside of 26.7%(ex-dividends)

Forecast for FY24:

Current consensus EPS estimate is 20.8, implying annual growth of -33.5%.
Current consensus DPS estimate is 3.6, implying a prospective dividend yield of 2.1%.
Current consensus EPS estimate suggests the PER is 8.2.

Forecast for FY25:

Current consensus EPS estimate is 21.7, implying annual growth of 4.3%.
Current consensus DPS estimate is 3.5, implying a prospective dividend yield of 2.0%.
Current consensus EPS estimate suggests the PER is 7.9.

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

RED    RED 5 LIMITED

Gold & Silver – Overnight Price: $0.30

Canaccord Genuity rates ((RED)) as Upgrade to Buy from Hold (1) –

Investors should expect gold and gold equities to outperfom in 2024 is the explicit message from the latest sector update by analysts at Canaccord Genuity.

The key driver behind this forecast is the prospect of Fed rate cuts later in the year. Historical precedents saw average increases of 40% in the 12 months following the first cut, report the analysts, with both gold and gold equities outperforming the ASX300 and S&P500 in each case.

Canaccord Genuity has lifted its long term gold price forecast in USD from 2027 by 8.4% to US$2,341/oz. In AUD, the long term forecast has increased to A$3,345/oz.

On the ASX, the broker's sector favourites are Resolute Mining, Westgold Resources, Predictive Discovery and De Grey Mining.

Today's report includes an upgrade for Red 5's rating to Buy from Hold, with an upgraded price target of 39c (up from 32c).

This report was published on January 12, 2024.

Target price is $0.39 Current Price is $0.30 Difference: $0.09
If RED meets the Canaccord Genuity target it will return approximately 30% (excluding dividends, fees and charges).

Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

RRL    REGIS RESOURCES LIMITED

Gold & Silver – Overnight Price: $2.17

Goldman Sachs rates ((RRL)) as Downgrade to Neutral from Buy (3) –

It is Goldman Sachs's view gold is on an accelerated path to higher pricing in 2024 on the back of a faster trajectory towards lower real rates in combination with continued strength in demand from EM central banks and retail investors/buyers.

The broker has identified three key themes for the year ahead; margin expansion for Aussie producers, production growth and sector M&A.

Among the larger names, Evolution Mining ((EVN)) is most preferred. Among mid-caps, the preference lays with Gold Road Resources ((GOR)) and De Grey Mining ((DEG)).

The broker's rating for Regis Resources has shifted to Neutral from Buy, with an increased price target of $2.25.

This report was published on January 11, 2024.

Target price is $2.25 Current Price is $2.17 Difference: $0.08
If RRL meets the Goldman Sachs target it will return approximately 4% (excluding dividends, fees and charges).
Current consensus price target is $2.02, suggesting downside of -5.5%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 3.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 72.33.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 0.2, 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 1070.0.

Forecast for FY25:

Goldman Sachs forecasts a full year FY25 dividend of 2.00 cents and EPS of 14.00 cents.
At the last closing share price the estimated dividend yield is 0.92%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.50.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 17.4, implying annual growth of 8600.0%.
Current consensus DPS estimate is 1.0, implying a prospective dividend yield of 0.5%.
Current consensus EPS estimate suggests the PER is 12.3.

Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

RSG    RESOLUTE MINING LIMITED

Gold & Silver – Overnight Price: $0.40

Canaccord Genuity rates ((RSG)) as Buy (1) –

Investors should expect gold and gold equities to outperfom in 2024 is the explicit message from the latest sector update by analysts at Canaccord Genuity.

The key driver behind this forecast is the prospect of Fed rate cuts later in the year. Historical precedents saw average increases of 40% in the 12 months following the first cut, report the analysts, with both gold and gold equities outperforming the ASX300 and S&P500 in each case.

Canaccord Genuity has lifted its long term gold price forecast in USD from 2027 by 8.4% to US$2,341/oz. In AUD, the long term forecast has increased to A$3,345/oz.

On the ASX, the broker's sector favourites are Resolute Mining, Westgold Resources, Predictive Discovery and De Grey Mining.

Canaccord Genuity's rating for Resolute Mining is Buy with an increased price target of $1.15 (from 95c).

This report was published on January 12, 2024.

Target price is $1.15 Current Price is $0.40 Difference: $0.75
If RSG meets the Canaccord Genuity target it will return approximately 187% (excluding dividends, fees and charges).

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

RXL    ROX RESOURCES LIMITED

Gold & Silver – Overnight Price: $0.19

Canaccord Genuity rates ((RXL)) as Buy (1) –

Investors should expect gold and gold equities to outperfom in 2024 is the explicit message from the latest sector update by analysts at Canaccord Genuity.

The key driver behind this forecast is the prospect of Fed rate cuts later in the year. Historical precedents saw average increases of 40% in the 12 months following the first cut, report the analysts, with both gold and gold equities outperforming the ASX300 and S&P500 in each case.

Canaccord Genuity has lifted its long term gold price forecast in USD from 2027 by 8.4% to US$2,341/oz. In AUD, the long term forecast has increased to A$3,345/oz.

On the ASX, the broker's sector favourites are Resolute Mining, Westgold Resources, Predictive Discovery and De Grey Mining.

Canaccord Genuity has kept Rox Resources on Speculative Buy, but its price target for the shares has declined to 50c from 55c.

This report was published on January 12, 2024.

Target price is $0.50 Current Price is $0.19 Difference: $0.31
If RXL meets the Canaccord Genuity target it will return approximately 163% (excluding dividends, fees and charges).

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

S32    SOUTH32 LIMITED

Mining – Overnight Price: $3.55

Goldman Sachs rates ((S32)) as Upgrade to Buy from Neutral (1) –

Goldman Sachs has used a general sector update to upgrade its rating for South32 to Buy from Neutral. The price target has lifted to $3.80 from $3.20.

This report was published on January 11, 2024.

Target price is $3.80 Current Price is $3.55 Difference: $0.25
If S32 meets the Goldman Sachs target it will return approximately 7% (excluding dividends, fees and charges).
Current consensus price target is $3.96, suggesting upside of 10.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 EPS of 19.62 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 18.10.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 17.5, implying annual growth of N/A.
Current consensus DPS estimate is 7.3, implying a prospective dividend yield of 2.0%.
Current consensus EPS estimate suggests the PER is 20.6.

Forecast for FY25:

Goldman Sachs forecasts a full year FY25 EPS of 49.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.13.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 36.1, implying annual growth of 106.3%.
Current consensus DPS estimate is 15.2, implying a prospective dividend yield of 4.2%.
Current consensus EPS estimate suggests the PER is 10.0.

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

SGM    SIMS LIMITED

Steel & Scrap – Overnight Price: $14.05

Goldman Sachs rates ((SGM)) as Downgrade to Neutral from Buy (3) –

Goldman Sachs has used its latest sector update to downgrade Sims to Neutral from Buy. The price target has lifted to $16.20 from $15.70 earlier.

This report was published on January 11, 2024.

Target price is $16.20 Current Price is $14.05 Difference: $2.15
If SGM meets the Goldman Sachs target it will return approximately 15% (excluding dividends, fees and charges).
Current consensus price target is $13.90, suggesting upside of 0.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 EPS of 39.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 36.03.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 37.0, implying annual growth of -60.5%.
Current consensus DPS estimate is 23.5, implying a prospective dividend yield of 1.7%.
Current consensus EPS estimate suggests the PER is 37.6.

Forecast for FY25:

Goldman Sachs forecasts a full year FY25 EPS of 168.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.36.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 101.4, implying annual growth of 174.1%.
Current consensus DPS estimate is 45.8, implying a prospective dividend yield of 3.3%.
Current consensus EPS estimate suggests the PER is 13.7.

Market Sentiment: -0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

TTM    TITAN MINERALS LIMITED

Gold & Silver – Overnight Price: $0.03

Canaccord Genuity rates ((TTM)) as Buy (1) –

Investors should expect gold and gold equities to outperfom in 2024 is the explicit message from the latest sector update by analysts at Canaccord Genuity.

The key driver behind this forecast is the prospect of Fed rate cuts later in the year. Historical precedents saw average increases of 40% in the 12 months following the first cut, report the analysts, with both gold and gold equities outperforming the ASX300 and S&P500 in each case.

Canaccord Genuity has lifted its long term gold price forecast in USD from 2027 by 8.4% to US$2,341/oz. In AUD, the long term forecast has increased to A$3,345/oz.

On the ASX, the broker's sector favourites are Resolute Mining, Westgold Resources, Predictive Discovery and De Grey Mining.

Canaccord Genuity has kept Titan Minerals on Speculative Buy, but its price target for the shares has declined to 14 from 16c.

This report was published on January 12, 2024.

Target price is $0.14 Current Price is $0.03 Difference: $0.11
If TTM meets the Canaccord Genuity target it will return approximately 367% (excluding dividends, fees and charges).

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

WGX    WESTGOLD RESOURCES LIMITED

Gold & Silver – Overnight Price: $1.93

Canaccord Genuity rates ((WGX)) as Buy (1) –

Investors should expect gold and gold equities to outperfom in 2024 is the explicit message from the latest sector update by analysts at Canaccord Genuity.

The key driver behind this forecast is the prospect of Fed rate cuts later in the year. Historical precedents saw average increases of 40% in the 12 months following the first cut, report the analysts, with both gold and gold equities outperforming the ASX300 and S&P500 in each case.

Canaccord Genuity has lifted its long term gold price forecast in USD from 2027 by 8.4% to US$2,341/oz. In AUD, the long term forecast has increased to A$3,345/oz.

On the ASX, the broker's sector favourites are Resolute Mining, Westgold Resources, Predictive Discovery and De Grey Mining.

Canaccord Genuity's rating for Westgold Resources is Buy while the price target lifts to $2.75 from $2.35.

This report was published on January 12, 2024.

Target price is $2.75 Current Price is $1.93 Difference: $0.82
If WGX meets the Canaccord Genuity target it will return approximately 42% (excluding dividends, fees and charges).

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

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