Australian Broker Call *Extra* Edition – Mar 14, 2024

This story features ARGOSY MINERALS LIMITED, and other companies. For more info SHARE ANALYSIS: AGY

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)

AGY   ASX   AZJ   AZS   BPT   CU6   CXO   CY5   DLI   ELD   EOS   FBU   GL1   GLN   GT1   IGO   IMM   INR   LLL   LRS   LTR   NDO   PLL   PLS   PSC   PYC   SPZ   SYA   TLX   VUL   WC8   WR1  

AGY    ARGOSY MINERALS LIMITED

New Battery Elements – Overnight Price: $0.17

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Argosy Minerals falls to 27c from 35c and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $0.27 Current Price is $0.17 Difference: $0.1
If AGY meets the Canaccord Genuity target it will return approximately 59% (excluding dividends, fees and charges).
The company's fiscal year ends in December.

Forecast for FY23:

Canaccord Genuity forecasts a full year FY23 dividend of 0.00 cents.

Forecast for FY24:

Canaccord Genuity forecasts a full year FY24 dividend of 0.00 cents.

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

ASX    ASX LIMITED

Wealth Management & Investments – Overnight Price: $67.04

Jarden rates ((ASX)) as Neutral (3) –

Year-on-year daily futures volume growth on the ASX slowed to 5% from late February, following four consecutive months of more than 20% futures growth, while daily equity market turnover rose a modest 2% year-on-year. 

Positives for Jarden included the lifting of capital raising activity from cyclical lows, up 58% year-on-year, but with this remaining well below through the cycle averages the broker sees limited value appeal in the stock. 

The Neutral rating is retained and the target price increases to $62.10 from $62.00.

This report was published on March 6, 2024.

Target price is $62.10 Current Price is $67.04 Difference: minus $4.94 (current price is over target).
If ASX meets the Jarden target it will return approximately minus 7% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $62.68, suggesting downside of -6.5%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 210.70 cents and EPS of 247.90 cents.
At the last closing share price the estimated dividend yield is 3.14%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 27.04.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 245.8, implying annual growth of 50.0%.
Current consensus DPS estimate is 209.0, implying a prospective dividend yield of 3.1%.
Current consensus EPS estimate suggests the PER is 27.3.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 229.50 cents and EPS of 269.90 cents.
At the last closing share price the estimated dividend yield is 3.42%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 24.84.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 254.7, implying annual growth of 3.6%.
Current consensus DPS estimate is 216.1, implying a prospective dividend yield of 3.2%.
Current consensus EPS estimate suggests the PER is 26.3.

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

AZJ    AURIZON HOLDINGS LIMITED

Transportation & Logistics – Overnight Price: $3.92

Jarden rates ((AZJ)) as Neutral (3) –

While Aurizon Holdings is guiding to decline in coal yields over the second half, Jarden points out this doesn't have to mean a decline in earnings, which the market seems to have assumed will be a result of lower yields.

It is the broker's opinion that the market may be missing signs that suggest earnings could be stronger near-term. Second half market haulage estimates for half-on-half growth of 7% remain, and could underpin surprise upside to segment forecasts.

The Neutral rating and target price of $3.95 are retained.

This report was published on March 6, 2024.

Target price is $3.95 Current Price is $3.92 Difference: $0.03
If AZJ meets the Jarden target it will return approximately 1% (excluding dividends, fees and charges).
Current consensus price target is $3.93, suggesting upside of 0.3%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 19.50 cents and EPS of 25.90 cents.
At the last closing share price the estimated dividend yield is 4.97%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.14.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 24.9, implying annual growth of 66.1%.
Current consensus DPS estimate is 18.6, implying a prospective dividend yield of 4.7%.
Current consensus EPS estimate suggests the PER is 15.7.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 28.60 cents and EPS of 28.60 cents.
At the last closing share price the estimated dividend yield is 7.30%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.71.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 28.2, implying annual growth of 13.3%.
Current consensus DPS estimate is 22.8, implying a prospective dividend yield of 5.8%.
Current consensus EPS estimate suggests the PER is 13.9.

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

AZS    AZURE MINERALS LIMITED

Mining – Overnight Price: $3.64

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Azure Minerals falls to $3.70 from $3.95 and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $3.70 Current Price is $3.64 Difference: $0.06
If AZS meets the Canaccord Genuity target it will return approximately 2% (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.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents.

Market Sentiment: 0.0
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: $1.68

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

Wilsons believes a successful drilling program could increase Beach Energy's existing Otway resources by circa 40% and provide meaningful backfill volumes to the Otway gas plant, unlocking up to 41cps of value.

The analysts suggest the market is not factoring in an increased work program for Beach Energy which includes four wells and capex of around -$200m.

Overweight rating. The target rises to $1.96 from $1.84.

This report was published on March 7, 2024.

Target price is $1.96 Current Price is $1.68 Difference: $0.28
If BPT meets the Wilsons target it will return approximately 17% (excluding dividends, fees and charges).
Current consensus price target is $1.93, suggesting upside of 15.1%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Wilsons forecasts a full year FY24 dividend of 5.00 cents and EPS of 15.00 cents.
At the last closing share price the estimated dividend yield is 2.98%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.20.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 14.9, implying annual growth of -15.2%.
Current consensus DPS estimate is 3.6, implying a prospective dividend yield of 2.1%.
Current consensus EPS estimate suggests the PER is 11.3.

Forecast for FY25:

Wilsons forecasts a full year FY25 dividend of 8.00 cents and EPS of 27.20 cents.
At the last closing share price the estimated dividend yield is 4.76%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 6.18.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 24.9, implying annual growth of 67.1%.
Current consensus DPS estimate is 7.1, implying a prospective dividend yield of 4.2%.
Current consensus EPS estimate suggests the PER is 6.7.

Market Sentiment: 0.6
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

CU6    CLARITY PHARMACEUTICALS LIMITED

Medical Equipment & Devices – Overnight Price: $2.79

Wilsons rates ((CU6)) as Overweight (1) –

Wilsons identifies two potential positives from recent COBRA trial data showing detection of small lesions (2-5mm) may be possible with Clarity Pharmaceuticals' 64Cu-SAR-bisPSMA PET diagnostic agent.

Such detection may be an additional clinical differentiator to competing products, and could open up a new cohort of patients where small lesion detection and delayed imaging could be optimal, explains the broker.

The analysts await to see if this can be proven via an upcoming Phase III registrational program. Overweight rating. Target $2.78.

This report was published on March 7, 2024.

Target price is $2.78 Current Price is $2.79 Difference: minus $0.01 (current price is over target).
If CU6 meets the Wilsons target it will return approximately minus 0% (excluding dividends, fees and charges – negative figures indicate an expected loss).

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

CXO    CORE LITHIUM LIMITED

New Battery Elements – Overnight Price: $0.20

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The 19c target and Hold rating for Core Lithium is maintained.

This report was published on March 8, 2024.

Target price is $0.19 Current Price is $0.20 Difference: minus $0.01 (current price is over target).
If CXO meets the Canaccord Genuity target it will return approximately minus 5% (excluding dividends, fees and charges – negative figures indicate an expected loss).
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 minus 5.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 4.00.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 0.00 cents.

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

CY5    CYGNUS METALS LIMITED

Overnight Price: $0.05

Canaccord Genuity rates ((CY5)) as Speculative Buy (1) –

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Cygnus Metals falls to 30c from 60c and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $0.30 Current Price is $0.05 Difference: $0.249
If CY5 meets the Canaccord Genuity target it will return approximately 488% (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

DLI    DELTA LITHIUM LIMITED

New Battery Elements – Overnight Price: $0.34

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Delta Lithium falls to 70c from $1.05 and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $0.70 Current Price is $0.34 Difference: $0.365
If DLI meets the Canaccord Genuity target it will return approximately 109% (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

ELD    ELDERS LIMITED

Agriculture – Overnight Price: $8.96

Wilsons rates ((ELD)) as Market Weight (3) –

Wilsons explains a wetter-than-expected summer has improved sentiment and prospects for winter cropping activity levels. In addition, supply chain challenges in the previous corresponding period, should result in increased FY24 fertiliser earnings for Elders.

Elevated livestock turn-off rates and acquisitions such as livestock and real estate agency business Charles Stewart are expected to deliver material volume growth.

The turn-off rate is defined as the rate at which cattle are fattened and sold for either processing or export.

The target price rises to $8.26 from $7.02 as the broker elects to drop its previous -10% discount to fundamental valuation, given the improved seasonal conditions.

This report was published on March 7, 2024.

Target price is $8.26 Current Price is $8.96 Difference: minus $0.7 (current price is over target).
If ELD meets the Wilsons target it will return approximately minus 8% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $8.09, suggesting downside of -9.7%(ex-dividends)
The company's fiscal year ends in September.

Forecast for FY24:

Wilsons forecasts a full year FY24 dividend of 35.00 cents and EPS of 60.40 cents.
At the last closing share price the estimated dividend yield is 3.91%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.83.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 60.9, implying annual growth of -5.5%.
Current consensus DPS estimate is 37.0, implying a prospective dividend yield of 4.1%.
Current consensus EPS estimate suggests the PER is 14.7.

Forecast for FY25:

Wilsons forecasts a full year FY25 dividend of 38.00 cents and EPS of 68.60 cents.
At the last closing share price the estimated dividend yield is 4.24%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.06.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 68.0, implying annual growth of 11.7%.
Current consensus DPS estimate is 41.0, implying a prospective dividend yield of 4.6%.
Current consensus EPS estimate suggests the PER is 13.2.

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

EOS    ELECTRO OPTIC SYSTEMS HOLDINGS LIMITED

Hardware & Equipment – Overnight Price: $2.00

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

Electro Optic Systems' FY23 gross profit beat Canaccord Genuity's forecast by 3%. Margins expanded to 44% from 34% in the previous corresponding period due to a shift of sales mix to include newer, margin accretive contracts.

Having lost -$15m in the 1H of FY23, earnings (EBITDA) swung to $6m for the full financial year.

Management did not issue formal guidance but notes "market conditions are very supportive" and expects margins will remain above 40% regardless of the contract mix in future years.

Canaccord Genuity raises earnings forecasts across FY24-26 by 9%, 2% and 5%, respectively, and the target rises to $1.95 from $1.35 after a valuation roll-forward and a de-risking of the sales backlog. Buy.

This report was published on March 5, 2024.

Target price is $1.95 Current Price is $2.00 Difference: minus $0.05 (current price is over target).
If EOS meets the Canaccord Genuity target it will return approximately minus 3% (excluding dividends, fees and charges – negative figures indicate an expected loss).
The company's fiscal year ends in December.

Forecast for FY24:

Canaccord Genuity forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 8.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 22.73.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 3.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 52.63.

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

FBU    FLETCHER BUILDING LIMITED

Building Products & Services – Overnight Price: $3.91

Jarden rates ((FBU)) as Buy (1) –

Fletcher Building's share price hit a three-year low in mid-February, although has recovered 15% since then. 

The weeks prior saw the company increase write-downs on legacy contracts, increase its exposure to the Iplex burst pipe issue, materially downgrade full year earnings, and announce the exit of its Tradelink business and the stepping down of both the CEO and Chair.

Jarden sees ongoing operational issues for Fletcher Building, and feels the departure of the CEO and Chair heightens the challenge to navigate through these.

The broker expects the company's diversification should allow it to outperform single-sector companies, but the company may need to consider a slimmed down organisation. 

The Buy rating and target price of NZ$4.61 are retained.

This report was published on March 6, 2024.

Current Price is $3.91. Target price not assessed.
Current consensus price target is $4.59, suggesting upside of 17.3%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 8.35 cents and EPS of 32.36 cents.
At the last closing share price the estimated dividend yield is 2.13%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.08.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 29.5, implying annual growth of N/A.
Current consensus DPS estimate is 3.7, implying a prospective dividend yield of 0.9%.
Current consensus EPS estimate suggests the PER is 13.3.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 22.26 cents and EPS of 36.07 cents.
At the last closing share price the estimated dividend yield is 5.69%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.84.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 28.1, implying annual growth of -4.7%.
Current consensus DPS estimate is 14.9, implying a prospective dividend yield of 3.8%.
Current consensus EPS estimate suggests the PER is 13.9.

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

GL1    GLOBAL LITHIUM RESOURCES LIMITED

New Battery Elements – Overnight Price: $0.60

Canaccord Genuity rates ((GL1)) as Speculative Buy (1) –

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Global Lithium Resources falls to $1.40 from $2.80 and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $1.40 Current Price is $0.60 Difference: $0.8
If GL1 meets the Canaccord Genuity target it will return approximately 133% (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

GLN    GALAN LITHIUM LIMITED

New Battery Elements – Overnight Price: $0.42

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Galan Lithium falls to $2.25 from $2.60 and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $2.25 Current Price is $0.42 Difference: $1.825
If GLN meets the Canaccord Genuity target it will return approximately 429% (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.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents.

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

GT1    GREEN TECHNOLOGY METALS LIMITED

New Battery Elements – Overnight Price: $0.17

Canaccord Genuity rates ((GT1)) as Buy (1) –

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Green Technology Metals falls to 70c from $1.80 and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $0.70 Current Price is $0.17 Difference: $0.535
If GT1 meets the Canaccord Genuity target it will return approximately 324% (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

IGO    IGO LIMITED

Nickel – Overnight Price: $7.55

Canaccord Genuity rates ((IGO)) as Sell (5) –

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The $6.00 target for IGO and the Sell rating are unchanged.

This report was published on March 8, 2024.

Target price is $6.00 Current Price is $7.55 Difference: minus $1.55 (current price is over target).
If IGO meets the Canaccord Genuity target it will return approximately minus 21% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $7.83, suggesting upside of 3.7%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Canaccord Genuity forecasts a full year FY24 dividend of 10.00 cents and EPS of 48.00 cents.
At the last closing share price the estimated dividend yield is 1.32%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.73.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 63.4, implying annual growth of -12.6%.
Current consensus DPS estimate is 12.4, implying a prospective dividend yield of 1.6%.
Current consensus EPS estimate suggests the PER is 11.9.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 11.00 cents and EPS of 23.00 cents.
At the last closing share price the estimated dividend yield is 1.46%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 32.83.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 31.9, implying annual growth of -49.7%.
Current consensus DPS estimate is 10.8, implying a prospective dividend yield of 1.4%.
Current consensus EPS estimate suggests the PER is 23.7.

Market Sentiment: 0.6
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

IMM    IMMUTEP LIMITED

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $0.38

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

New data from Immutep suggests the company's efti treatment continues to be safe and well tolerated by patients when administered at higher doses.

The latest study saw the company test efti, in conjunction with chemotherapy, at three times higher doses than previous studies.

As per Wilsons, the combination of high dose efti and chemotherapy showed good clinical response, with an overall response rate of 50% and a disease control rate of 100%. The key takeaway, says Wilsons, is the treatment's incredibly good safety profile.

The Overweight rating and target price of 90 cents are retained.

This report was published on March 5, 2024.

Target price is $0.90 Current Price is $0.38 Difference: $0.525
If IMM meets the Wilsons target it will return approximately 140% (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

INR    IONEER LIMITED

New Battery Elements – Overnight Price: $0.17

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for ioneer falls to 35c from 50c and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $0.35 Current Price is $0.17 Difference: $0.185
If INR meets the Canaccord Genuity target it will return approximately 112% (excluding dividends, fees and charges).

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

LLL    LEO LITHIUM LIMITED

New Battery Elements – Overnight Price: $0.51

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Leo Lithium falls to 80c from $2.00 and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $0.80 Current Price is $0.51 Difference: $0.295
If LLL meets the Canaccord Genuity target it will return approximately 58% (excluding dividends, fees and charges).
The company's fiscal year ends in December.

Forecast for FY24:

Canaccord Genuity forecasts a full year FY24 dividend of 0.00 cents.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents.

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

LRS    LATIN RESOURCES LIMITED

Mining – Overnight Price: $0.21

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Latin Resources falls to 65c from 70c and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $0.65 Current Price is $0.21 Difference: $0.435
If LRS meets the Canaccord Genuity target it will return approximately 202% (excluding dividends, fees and charges).
The company's fiscal year ends in December.

Forecast for FY24:

Canaccord Genuity forecasts a full year FY24 dividend of 0.00 cents.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents.

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

LTR    LIONTOWN RESOURCES LIMITED

New Battery Elements – Overnight Price: $1.40

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Liontown Resources falls to $1.10 from $1.20 and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $1.10 Current Price is $1.40 Difference: minus $0.295 (current price is over target).
If LTR meets the Canaccord Genuity target it will return approximately minus 21% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $1.17, suggesting downside of -16.1%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Canaccord Genuity forecasts a full year FY24 dividend of 0.00 cents.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -1.7, 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:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 0.5, 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 279.0.

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

NDO    NIDO EDUCATION LIMITED

Childcare – Overnight Price: $0.93

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

In an endorsement of Nido Education's credentials in child care centre operation, according to Wilsons, Busy Bees has extended its management agreement for the 34 centres managed by Nido.

In a further positive, according to the broker, the extension to June 30 2025 from October 21 2024 means management at Nido now won't be distracted by transition work in mid-2024 during the 2025 enrolment period.

Nido receives a management fee of $100k per year (paid monthly) for each centre, with Busy Bees employing all child care workers.

The broker forecasts marginally higher earnings for Nido as a result of the extended agreement and the target rises to $1.47 from $1.45. The Overweight rating is unchanged.

This report was published on March 7, 2024.

Target price is $1.47 Current Price is $0.93 Difference: $0.54
If NDO meets the Wilsons target it will return approximately 58% (excluding dividends, fees and charges).
The company's fiscal year ends in December.

Forecast for FY24:

Wilsons forecasts a full year FY24 dividend of 4.30 cents and EPS of 9.50 cents.
At the last closing share price the estimated dividend yield is 4.62%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.79.

Forecast for FY25:

Wilsons forecasts a full year FY25 dividend of 5.20 cents and EPS of 8.60 cents.
At the last closing share price the estimated dividend yield is 5.59%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.81.

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

PLL    PIEDMONT LITHIUM INC

New Battery Elements – Overnight Price: $0.20

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Piedmont Lithium falls by -57% to 60c. Speculative Buy.

This report was published on March 8, 2024.

Target price is $0.60 Current Price is $0.20 Difference: $0.395
If PLL meets the Canaccord Genuity target it will return approximately 193% (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

PLS    PILBARA MINERALS LIMITED

New Battery Elements – Overnight Price: $4.18

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The $4.25 target for Pilbara Minerals and the Buy rating are unchanged.

This report was published on March 8, 2024.

Target price is $4.25 Current Price is $4.18 Difference: $0.07
If PLS meets the Canaccord Genuity target it will return approximately 2% (excluding dividends, fees and charges).
Current consensus price target is $3.64, suggesting downside of -12.9%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Canaccord Genuity forecasts a full year FY24 dividend of 5.00 cents and EPS of 14.00 cents.
At the last closing share price the estimated dividend yield is 1.20%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 29.86.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 11.1, implying annual growth of -86.1%.
Current consensus DPS estimate is 0.4, implying a prospective dividend yield of 0.1%.
Current consensus EPS estimate suggests the PER is 37.7.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 10.00 cents and EPS of 21.00 cents.
At the last closing share price the estimated dividend yield is 2.39%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.90.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 13.8, implying annual growth of 24.3%.
Current consensus DPS estimate is 2.9, implying a prospective dividend yield of 0.7%.
Current consensus EPS estimate suggests the PER is 30.3.

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

PSC    PROSPECT RESOURCES LIMITED

New Battery Elements – Overnight Price: $0.08

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Prospect Resources falls to 13c from 14c and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $0.13 Current Price is $0.08 Difference: $0.053
If PSC meets the Canaccord Genuity target it will return approximately 69% (excluding dividends, fees and charges).

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

PYC    PYC THERAPEUTICS LIMITED

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $0.09

Wilsons rates ((PYC)) as Initiation of coverage with Overweight (1) –

Wilsons initiates coverage on PYC Therapeutics, believing now is the time for investors to revisit the stock with PYC Therapeutics having undergone a material company and management pivot.

According to the broker, PYC Therapeutics is now focused on the in-house development of its own value accretive therapeutic assets, and 2024 is set to be a seminal year for the company amid its first human clinical data readouts.

Readouts have potential to de-risk assets, and Wilsons sees material opportunity for the company if it can deliver on that front. 

The broker initiates with an Overweight rating and a target price of 39 cents.

This report was published on March 6, 2024.

Target price is $0.39 Current Price is $0.09 Difference: $0.305
If PYC meets the Wilsons target it will return approximately 359% (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 0.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 10.63.

Forecast for FY25:

Wilsons forecasts a full year FY25 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 9.44.

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

SPZ    SMART PARKING LIMITED

Hardware & Equipment – Overnight Price: $0.45

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

Smart Parking will draw upon its existing cash balance to outlay -$5.8m to acquire UK-based Local Parking Security which covers 126 sites, including 72 utilising automatic number plate recognition (ANPR) technology.

Canaccord Genuity expects 50% of the 54 manual sites will convert to ANPR technology within a year.

ANPR sites generate multiple revenue streams, explains the broker, including parking breach notice (PBN), management fees, along with Pay and Display revenue share.

Following the acquisition, the analysts note Smart Parking will have more than 1,314 ANPR sites and require a run rate of 18 site additions/month to reach management's December 2024 target of 1,500.

The target rises to 52c from 50c and the Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $0.52 Current Price is $0.45 Difference: $0.075
If SPZ meets the Canaccord Genuity target it will return approximately 17% (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 1.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 24.72.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 3.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.83.

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

SYA    SAYONA MINING LIMITED

New Battery Elements – Overnight Price: $0.04

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The 6c target for Sayona Mining is unchanged and the rating is upgraded to Speculative Buy from Hold. 

This report was published on March 8, 2024.

Target price is $0.06 Current Price is $0.04 Difference: $0.02
If SYA 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 FY24:

Canaccord Genuity forecasts a full year FY24 dividend of 0.00 cents and EPS of 0.01 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 400.00.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 0.02 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 200.00.

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

TLX    TELIX PHARMACEUTICALS LIMITED

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $11.20

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

Telix Pharmaceuticals has announced an expansion of the North American manufacturing footprint with the acquisition of Canadian-based ARTMS. 

The purchase is set to cost Telix Pharmaceuticals -US$42.5m upfront, with -US$39.5m available to ARTMS in additional earn out payments.

ARTMS's core technology platform supports high efficiency production of medical isotropes, including those relevant to Telix Pharmaceuticals' pipeline. Wilsons explains the ability to furnish higher activity Illucix opens a range of potential benefits.

The Overweight rating and target price of $12.48 are retained.

This report was published on March 5, 2024.

Target price is $12.48 Current Price is $11.20 Difference: $1.28
If TLX meets the Wilsons target it will return approximately 11% (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

VUL    VULCAN ENERGY RESOURCES LIMITED

New Battery Elements – Overnight Price: $3.04

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

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Vulcan Energy Resources falls to $11.50 from $12.25 and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $11.50 Current Price is $3.04 Difference: $8.46
If VUL meets the Canaccord Genuity target it will return approximately 278% (excluding dividends, fees and charges).

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

WC8    WILDCAT RESOURCES LIMITED

Overnight Price: $0.71

Canaccord Genuity rates ((WC8)) as Speculative Buy (1) –

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Wildcat Resources falls to $1.00 from $1.10 and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $1.00 Current Price is $0.71 Difference: $0.29
If WC8 meets the Canaccord Genuity target it will return approximately 41% (excluding dividends, fees and charges).

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

WR1    WINSOME RESOURCES LIMITED

New Battery Elements – Overnight Price: $0.92

Canaccord Genuity rates ((WR1)) as Speculative Buy (1) –

Canaccord Genuity sees opportunities for investors with some currently attractive valuations for lithium companies under research coverage. Incumbent producers and low-capex, near-term-development plays are preferred.

The broker now expects minor surpluses for lithium markets over 2024-25 and sees potential for surpluses to swing to deficits, providing pricing upside risk.

While Canaccord's long-term price forecasts remain at US$22,500/t for chemicals and US$1,500/t for concentrate, prices should rally in the 1H of 2024 to around US$16,000/t and US$1,200/t, respectively. 

As these 1H price forecasts are lower than the broker's original forecasts, price targets for developers/explorers and producers under research coverage fall on average by -16% and -11%, respectively.

The target for Winsome Resources falls to $1.90 from $3.00 and the Speculative Buy rating is unchanged.

This report was published on March 8, 2024.

Target price is $1.90 Current Price is $0.92 Difference: $0.98
If WR1 meets the Canaccord Genuity target it will return approximately 107% (excluding dividends, fees and charges).

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

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The content of this information does in no way reflect the opinions of FNArena, or of its journalists. In fact we don't have any opinion about the stock market, its value, future direction or individual shares. FNArena solely reports about what the main experts in the market note, believe and comment on. By doing so we believe we provide experienced, intelligent investors with a valuable tool that helps them in making up their own minds, reading market trends and getting a feel for what is happening beneath the surface.

This document is provided for informational purposes only. It does not constitute an offer to sell or a solicitation to buy any security or other financial instrument. FNArena employs very experienced journalists who base their work on information believed to be reliable and accurate, though no guarantee is given that the daily report is accurate or complete. Investors should contact their personal adviser before making any investment decision.

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