Daily Market Reports | Feb 08 2024
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.
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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)
ALL AND CAR CIA CMM DHG IGO IPD LNW NUF NXT PBH PRN QOR REA SEK SFR SPK SYA TLS TPG
ALL ARISTOCRAT LEISURE LIMITED
Gaming - Overnight Price: $43.86
Jarden rates ((ALL)) as Buy (1) -
In an incremental positive for Aristocrat Leisure, Quebec in Canada has announced its much anticipated video lottery terminal (VLT) replacement orders. It's expected the company will place 1,000 units per annum across the province.
Outright sales to business-to-government (B2G), semi-commercial entities tend to be largely directed to the incumbent IGT, Aristocrat and Light & Wonder, explains the broker.
Target $47.20. Buy.
This report was published on January 31, 2024.
Target price is $47.20 Current Price is $43.86 Difference: $3.34
If ALL meets the Jarden target it will return approximately 8% (excluding dividends, fees and charges).
Current consensus price target is $45.24, suggesting upside of 3.1%(ex-dividends)
The company's fiscal year ends in September.
Forecast for FY24:
Jarden forecasts a full year FY24 dividend of 77.00 cents and EPS of 220.00 cents.
At the last closing share price the estimated dividend yield is 1.76%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.94.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 212.9, implying annual growth of -4.3%.
Current consensus DPS estimate is 69.4, implying a prospective dividend yield of 1.6%.
Current consensus EPS estimate suggests the PER is 20.6.
Forecast for FY25:
Jarden forecasts a full year FY25 dividend of 87.00 cents and EPS of 249.00 cents.
At the last closing share price the estimated dividend yield is 1.98%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.61.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 228.7, implying annual growth of 7.4%.
Current consensus DPS estimate is 74.8, implying a prospective dividend yield of 1.7%.
Current consensus EPS estimate suggests the PER is 19.2.
Market Sentiment: 0.9
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
AND ANSARADA GROUP LIMITED
Software & Services - Overnight Price: $1.80
Canaccord Genuity rates ((AND)) as Buy (1) -
Ansarada Group's 2Q revenue beat Canaccord Genuity's forecast by 8%. Management stated "the (calendar) year ended well with momentum continuing and January kicked off strongly”.
The group is benefiting from a greater uptake of customers on multi-product solutions, explains the broker, and active customer growth
remains sequentially strong.
Consensus forecasts are likely underestimating the company's operating leverage to a pick-up in capital markets, according to the analysts. It's felt the group remains in the early-stage of an upgrade cycle.
The Buy rating is maintained and the target is increased to $2.20 from $2.00 on the broker's higher forecasts for earnings.
This report was published on February 2, 2024.
Target price is $2.20 Current Price is $1.80 Difference: $0.395
If AND meets the Canaccord Genuity target it will return approximately 22% (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 3.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 51.57.
Forecast for FY25:
Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 5.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 30.59.
Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
CAR CAR GROUP LIMITED
Automobiles & Components - Overnight Price: $33.43
Goldman Sachs rates ((CAR)) as Neutral (3) -
It is clear to Goldman Sachs that market expectations for interest rates will be a significant determinant of share price performance and shareholder returns for its domestic telecoms, media and technology (TMT) coverage through the coming year.
Overall, the broker sees the TMT space as well-positioned to continue to deliver robust earnings growth. It expects rate cuts to underpin a renewed focus on growth.
Goldman Sachs expects to see an increased focus on international business for classifieds following recent merger and acquisition activity, with REA Group ((REA)) and Seek ((SEK)) pursuing investment in India and Asia respectively.
For CAR Group, the Neutral rating is retained and the target price increases to $32.00 from $29.00.
This report was published on January 30, 2024.
Target price is $32.00 Current Price is $33.43 Difference: minus $1.43 (current price is over target).
If CAR meets the Goldman Sachs target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).
Current consensus price target is $30.85, suggesting downside of -7.7%(ex-dividends)
Forecast for FY24:
Current consensus EPS estimate is 81.7, implying annual growth of -54.9%.
Current consensus DPS estimate is 61.9, implying a prospective dividend yield of 1.9%.
Current consensus EPS estimate suggests the PER is 40.9.
Forecast for FY25:
Current consensus EPS estimate is 94.0, implying annual growth of 15.1%.
Current consensus DPS estimate is 71.3, implying a prospective dividend yield of 2.1%.
Current consensus EPS estimate suggests the PER is 35.6.
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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