In Case You Missed It – BC Extra Upgrades & Downgrades – 14-06-24

This story features COOPER ENERGY LIMITED, and other companies. For more info SHARE ANALYSIS: COE

Broker Rating Changes (Post Thursday Last Week)

Upgrade

COOPER ENERGY LIMITED ((COE)) Upgrade to Buy from Speculative Buy by Canaccord Genuity.B/H/S: 0/0/0

Canaccord Genuity highlights Cooper Energy’s strong position in the south-east gas market, with potential for significant free cash flow generation of $300-500m over three years.

The Otway Basin's development projects, including the Annie and OP3D wells, are progressing well, the analysts observe, targeting first production by 2028.

Financial forecasts have been revised, with FY24 EBITDA now expected at $122m. The broker remains optimistic about Cooper Energy’s growth prospects amid rising gas prices and strategic infrastructure investments.

Canaccord Genuity has upgraded Cooper Energy to Buy from Speculative Buy while raising the price target to $0.27 from $0.25.

DICKER DATA LIMITED ((DDR)) Upgrade to Neutral from Sell by Goldman Sachs.B/H/S: 0/0/0

Goldman Sachs assesses Dicker Data has made "good progress" on its EBITDA margins following the Hills SIT and Exeed acquisitions. The headwinds from the backlog are expected to materially ease while PC recovery may commence in the second half of FY24.

Goldman Sachs still downgrades 2024 and 2025 revenue estimates by -8% and -7%, respectively, given a tough operating environment and a slow start to the current year.

Risks are considered "fairly balanced" and the broker upgrades to Neutral from Sell.  Target is reduced to $9.85 from $10.50.

IPD GROUP LIMITED ((IPG)) Upgrade to Buy by Taylor Collison.B/H/S: 0/0/0

IPD Group has provided updated guidance for FY24 that includes adjusted EBITDA of $39-39.5m. Taylor Collison notes limited information beyond the numbers while new major project gains were mentioned without any specifics.

The broker estimates organic EBITDA growth of around 5% but awaits the full year result for more detail. Macro conditions are considered favourable for reaccelerating organic growth in FY25.

Catalysts include major infrastructure projects, a firm start date for the National Vehicle Emissions Standards and an investment boom in data centres. Rating is upgraded to Buy with around 15% upside considered to the broker's DCF valuation of $5.30.

SITEMINDER LIMITED ((SDR)) Upgrade to Overweight from Market Weight by Wilsons.B/H/S: 0/0/0

Wilsons believes consensus is underestimating the incremental gross profit contribution via Channels Plus and upgrades SiteMinder's rating to Overweight from Market Weight. It's felt the product is a game changer for the company's growth profile.

Channels Plus launches in the next two months, note the analysts, enabling Hoteliers to gain increased access to online travel agencies by directly connecting to SiteMinder, rather than Hoteliers managing each individual connection.

The product is a low touch “Free Option” bundled into base subscription fees, explains the broker.

The target is increased to $6.50 from $5.40.

Downgrade

BWP TRUST ((BWP)) Downgrade to Sell from Hold by Moelis.B/H/S: 0/0/0

Moelis updates its forecasts after BWP Trust moves to 100% ownership of Newmark Property REIT ((NPR)) from the prior 93% stake.

The broker downgrades its rating for BWP Trust to Sell from Hold following two months of strong share market performance, and reduces the target to $3.61 from $3.64.

The broker points to an ongoing capex burden for BWP Trust from repositioning as Bunnings vacates older assets. 

MINERAL RESOURCES LIMITED ((MIN)) Sell by Goldman Sachs.B/H/S: 0/0/0

Mineral Resources has sold its 49% stake in the Onslow iron-ore project, haul and road along with the project's $8.04 tolling fee for $1.2bn after tax, comprising an upfront cash payment of $1.1bn and the $200m balance is deferred subject to achieving a 35Mtpa run rate for any quarter before June 30, 2026.

Goldman Sachs observes the selldown is capped at 40Mtpa of production and adds the tolling fee will be reset at a lower rate after three years, and is subject to Foreign Investment Review Board approval.

Tolling payments above 40Mtpa will be 100% owned by Mineral Resources.

The company has entered a $750m drawdown facility which the broker expects will be cancelled on or before the project's completion.

All up, the broker considers the transaction to be strategically astute and a plus for the company's balance sheet. Sell rating and $47 target price retained pending deal completion.

SKYCITY ENTERTAINMENT GROUP LIMITED ((SKC)) Downgrade to Overweight from Buy by Jarden.B/H/S: 0/0/0

Jarden downgrades its rating for SkyCity Entertainment to Overweight from Buy and reduces the target to NZ$1.75 from NZ$2.90 after a profit warning, maiden guidance for FY25 and suspension of dividends until FY26.

Dividends are impacted while management conducts a wider capital structure review, including consideration of asset sales.

Earnings (EBITDA) guidance for FY24 was lowered to NZ$280-285m, down around -3% compared to the broker's forecast, due to the impact of a challenging economic environment on customer spend. FY25 underlying earnings guidance is NZ$250-270m.

There has also been a further delay to the Horizon Hotel opening (now set for August), and a potential increase in duty expense at the Adelaide casino following a recent South Australian Court of Appeal ruling, explain the analysts.

REJECT SHOP LIMITED ((TRS)) Downgrade to Overweight from Buy by Jarden.B/H/S: 0/0/0

Jarden downgrades its rating for Reject Shop to Overweight from Buy, the broker observing a recovery from supermarkets to volume growth and expansion of private label and everyday essentials as inflation moderates.

This means discounters will have their work cut out to remain competitive, especially given intensifying online trade from retailers such as Temu.

Jarden expects sales will grow slower than previously forecast but the outlook is still rosy, the broker forecasting a three-year compound annual growth rate of 34%.

The broker says the company now has to propel the flywheel to boost purchase frequency. Target price falls to $5.80 from $6.

Order	Company	New Rating	Old Rating	Broker
Upgrade
1	COOPER ENERGY LIMITED	Buy	Buy	Canaccord Genuity
2	DICKER DATA LIMITED	Neutral	Sell	Goldman Sachs
3	IPD GROUP LIMITED	Buy	N/A	Taylor Collison
4	SITEMINDER LIMITED	Buy	Neutral	Wilsons
Downgrade
5	BWP TRUST	Sell	Neutral	Moelis
6	MINERAL RESOURCES LIMITED	Sell	Neutral	Goldman Sachs
7	REJECT SHOP LIMITED	Buy	Buy	Jarden
8	SKYCITY ENTERTAINMENT GROUP LIMITED	Buy	Buy	Jarden

Price Target Changes (Post Thursday Last Week)

Company		Last Price	Broker	New Target	Old Target	Change
APM	APM Human Services International	$1.38	Canaccord Genuity	1.45	1.30	11.54%
AQZ	Alliance Aviation Services	$3.09	Wilsons	4.49	4.47	0.45%
ASX	ASX	$58.14	Jarden	63.70	63.30	0.63%
BCB	Bowen Coking Coal	$0.06	Petra Capital	0.11	0.48	-77.08%
BMN	Bannerman Energy	$3.95	Petra Capital	5.23	4.93	6.09%
BRE	Brazilian Rare Earths	$3.25	Canaccord Genuity	4.25	3.20	32.81%
			Canaccord Genuity	5.50	3.20	71.87%
			Petra Capital	5.13	4.29	19.58%
BWP	BWP Trust	$3.62	Moelis	3.61	3.64	-0.82%
CCP	Credit Corp	$14.27	Canaccord Genuity	20.90	21.90	-4.57%
CIA	Champion Iron	$6.51	Goldman Sachs	9.30	9.40	-1.06%
			Jarden	8.01	7.95	0.75%
CNB	Carnaby Resources	$0.50	Petra Capital	1.44	1.45	-0.69%
COE	Cooper Energy	$0.21	Canaccord Genuity	0.27	0.22	22.73%
			Jarden	0.24	0.23	4.35%
DDR	Dicker Data	$9.64	Goldman Sachs	9.85	10.50	-6.19%
GDF	Garda Property	$1.19	Moelis	1.63	1.60	1.87%
GNC	GrainCorp	$8.79	Wilsons	8.61	8.27	4.11%
IEL	IDP Education	$15.11	Goldman Sachs	21.75	25.30	-14.03%
			Jarden	17.75	19.70	-9.90%
LGL	Lynch Group	$1.36	Jarden	2.00	2.50	-20.00%
LOV	Lovisa Holdings	$31.15	Canaccord Genuity	29.00	27.30	6.23%
			Jarden	33.08	28.69	15.30%
			Wilsons	30.40	22.90	32.75%
MDR	MedAdvisor	$0.45	Moelis	0.58	0.41	41.46%
MIN	Mineral Resources	$63.11	Jarden	47.20	47.10	0.21%
NCK	Nick Scali	$13.98	Wilsons	18.30	16.20	12.96%
NWC	New World Resources	$0.03	Canaccord Genuity	0.12	0.15	-20.00%
SDR	SiteMinder	$4.87	Wilsons	6.50	N/A	–
SFR	Sandfire Resources	$8.65	Jarden	7.40	6.50	13.85%
SFX	Sheffield Resources	$0.32	Petra Capital	0.69	1.11	-37.84%
SNL	Supply Network	$22.63	Moelis	26.00	21.26	22.30%
SSM	Service Stream	$1.23	Canaccord Genuity	1.45	1.24	16.94%
TLX	Telix Pharmaceuticals	$16.46	Jarden	16.62	13.94	19.23%
TPW	Temple & Webster	$10.00	Petra Capital	12.20	12.00	1.67%
TRS	Reject Shop	$3.11	Jarden	5.80	6.00	-3.33%
TWE	Treasury Wine Estates	$11.97	Goldman Sachs	13.00	12.60	3.17%
			Goldman Sachs	13.40	12.60	6.35%
VVA	Viva Leisure	$1.49	Petra Capital	2.60	2.52	3.17%
Company		Last Price	Broker	New Target	Old Target	Change

More Highlights

AQZ    ALLIANCE AVIATION SERVICES LIMITED

Transportation & Logistics – Overnight Price: $3.02

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

Alliance Aviation's recent guidance outpaced consensus and the company announced engine sales yielding a $25m gross profit.

Wilsons says the former points to sustained earnings growth from fleet expansion and the latter to strong  earnings contribution from the Aviation Services division. 

The broker considers risk to be to the upside.

Overweight rating unchanged. Target price edges up to $4.49 from $4.47.

This report was published on June 7, 2024.

Target price is $4.49 Current Price is $3.02 Difference: $1.47
If AQZ meets the Wilsons target it will return approximately 49% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY24:

Wilsons forecasts a full year FY24 dividend of 0.00 cents and EPS of 36.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.21.

Forecast for FY25:

Wilsons forecasts a full year FY25 dividend of 0.00 cents and EPS of 38.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.78.

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

BMN    BANNERMAN ENERGY LIMITED

Uranium – Overnight Price: $3.88

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

Canaccord Genuity remains bullish on the uranium market as restarts and brownfield expansions will likely prove insufficient to restore equilibrium to the market.

Increasing recognition of nuclear energy's positive contributions to decarbonisation, energy security and the provision of economically dispatchable electricity will drive substantial demand growth, in the broker's view.

While the U3O8 spot price is down slightly year-to-date, the more important contract price is 13% higher, note the analysts.

The Speculative Buy rating and $4.65 target are kept for Bannerman Energy.

Canaccord Genuity researches six other ASX-listed uranium companies and further notes a number of juniors (not currently under coverage) which are making significant progress with their respective developments.

In alphabetical order these juniors are: Alligator Energy ((AGE)), Aura Energy ((AEE)), Berkeley Energia ((BKY)), Cauldron Energy ((CXU)), DevEx Resources ((DEV)), Elevate Uranium ((EVE)), Global Uranium and Enrichment ((GUE)), Laramide Resources ((LAM)), Orpheus Uranium ((ORP)) and Toro Energy ((TOE)).

This report was published on June 13, 2024.

Target price is $4.65 Current Price is $3.88 Difference: $0.77
If BMN meets the Canaccord Genuity target it will return approximately 20% (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 minus 6.70 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 57.88.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of minus 7.01 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 55.36.

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

CSC    CAPSTONE COPPER CORP

Copper – Overnight Price: $10.15

Moelis rates ((CSC)) as Initiation of coverage with Buy (1) –

Moelis initiates coverage on Capstone Copper with a Buy rating and $14.50 target, as the recent listing of the stock on ASX has provided domestic investors with an opportunity to gain exposure to a large Canadian-listed copper play that has four assets across the US, Mexico and Chile.

The broker further suggests exposure arrives at a time of limited investment choice locally and a persistent view that copper fundamentals are likely to be very supportive of the commodity price.

Moelis calculates, on current trading, the stock represents an EV/EBITDA multiple of 8.7x, 6.5x and 4.9x on FY24, FY25 and FY26 respectively.

This report was published on June 3, 2024.

Target price is $14.50 Current Price is $10.15 Difference: $4.35
If CSC meets the Moelis target it will return approximately 43% (excluding dividends, fees and charges).

Forecast for FY24:

Moelis forecasts a full year FY24 EPS of 0.61 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 1666.67.

Forecast for FY25:

Moelis forecasts a full year FY25 EPS of 0.91 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 1110.50.

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

CCP    CREDIT CORP GROUP LIMITED

Business & Consumer Credit – Overnight Price: $14.23

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

Canaccord Genuity believes the retreat in Credit Corp's share price to historic lows in terms of both absolute and relative valuation represents a good opportunity for entry, attributing most of the fall to sentiment.

The company has said it believes US operational challenges are behind it and the broker observes net profit after tax is finally gaining traction after a period of flat earnings growth.

Canaccord Genuity notes Credit Corp's gross loan book and annualised revenue remain firm, the company writing $204m of loans in the first half of 2024, which management expects will translate into strong FY25 earnings.

FY25 EPS forecasts fall -4% as the broker realigns its figures with past performance.

Buy rating retained. Target price falls to $20.90 from $21.90.

This report was published on June 6, 2024.

Target price is $20.90 Current Price is $14.23 Difference: $6.67
If CCP meets the Canaccord Genuity target it will return approximately 47% (excluding dividends, fees and charges).
Current consensus price target is $18.24, suggesting upside of 26.4%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY24:

Canaccord Genuity forecasts a full year FY24 dividend of 48.00 cents and EPS of 120.00 cents.
At the last closing share price the estimated dividend yield is 3.37%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.86.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 76.2, implying annual growth of -43.2%.
Current consensus DPS estimate is 52.3, implying a prospective dividend yield of 3.6%.
Current consensus EPS estimate suggests the PER is 18.9.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 70.00 cents and EPS of 139.00 cents.
At the last closing share price the estimated dividend yield is 4.92%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.24.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 131.9, implying annual growth of 73.1%.
Current consensus DPS estimate is 67.3, implying a prospective dividend yield of 4.7%.
Current consensus EPS estimate suggests the PER is 10.9.

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

CLG    CLOSE THE LOOP LIMITED

Industrial Sector Contractors & Engineers – Overnight Price: $0.35

Canaccord Genuity rates ((CLG)) as Initiation of coverage with Buy (1) –

Canaccord Genuity initiates coverage of Close the Loop with a Buy rating and 65c target price, which the broker considers to be conservative.

Close the Loop is leveraged to the circularity megatrend and is involved in sustainable packaging, printer cartridge recycling and the repurposing of personal and enterprise electronic equipment for OEMs (the broker believes the latter opportunity to be the most compelling).

The broker observes the company, which is a circularity pioneer, enjoys relationships with 17 leading operating equipment manufacturers, most of which either have or will be establishing circularity divisions/enterprises. 

The company is profitable across the P&L and boasts good free cash flow, which Canaccord Genuity expects will continue over FY24 to FY26, during which period it expects 17% EPS growth.

Canaccord Genuity observes the company is free cash flow positive and boasts a cheap valuation.

This report was published on June 12, 2024.

Target price is $0.65 Current Price is $0.35 Difference: $0.3
If CLG meets the Canaccord Genuity target it will return approximately 86% (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 4.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.14.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 5.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 6.60.

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

DXB    DIMERIX LIMITED

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $0.57

Petra Capital rates ((DXB)) as Initiation of coverage with Buy (1) –

Petra Capital initiates coverage of Dimerix with a Buy rating and $1.36 target price.

The broker says the company's late stage Phase 3 trial for DMX-200, which targets a rare kidney disease, Focal Segmental Glomerular Sclerosis) is set "to deliver". 

Petra Capital observes there are no approved treatments for the disease and high unmet need and that positive results from the company's trial suggest the company may apply for accelerated approval. 

The broker estimates the addressable market at US$10bn. The company held $35.2m cash at March 2024 and the broker says it is fully funded for the Phase 3 trial through its key analysis stages.

Dimerix expects to complete dosing of last patient for its Part 2 interim analysis in September-October 2024; finalising licensing deals for US and China markets; and get Part 2 ACTION3 results for the product mid 2025.

This report was published on May 31, 2024.

Target price is $1.36 Current Price is $0.57 Difference: $0.785
If DXB meets the Petra Capital target it will return approximately 137% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY24:

Petra Capital forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 2.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 23.96.

Forecast for FY25:

Petra Capital forecasts a full year FY25 dividend of 0.00 cents and EPS of 2.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.12.

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

EMR    EMERALD RESOURCES NL

Gold & Silver – Overnight Price: $3.66

Canaccord Genuity rates ((EMR)) as Initiation of coverage with Buy (1) –

Canaccord Genuity initiates coverage of Emerald Resources with a Buy rating and $4.60 target price.

The broker observes the company is an established single-asset, low-cost, mid-tier producer but is set to become a three-mine 300koz a year producer by 2026, yielding a 10% dividend yield.

The company owns the Okvau gold mine in Cambodia and is developing its Memot gold deposit nearby, and the North Laverton Bullseye asset in WA.

The broker expects Memot will include a low capex (-$80m funded by cash flow) concentrator and the concentrate would be shipped to Okvau for final processing.

This report was published on June 11, 2024.

Target price is $4.60 Current Price is $3.66 Difference: $0.94
If EMR meets the Canaccord Genuity target it will return approximately 26% (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 17.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.53.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 24.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.25.

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

LIN    LINDIAN RESOURCES LIMITED

Aluminium, Bauxite & Alumina – Overnight Price: $0.10

Petra Capital rates ((LIN)) as Buy (1) –

Petra Capital expects the capital expenditure component of Lindian Resources' updated resource estimate for its Kangankunde Rare Earths Project in Malawi will prove a positive surprise.

The broker estimates a figure in the region of -$60m, which it compares with normal pre-production figures in the region of half a billion dollars.

While weak prices remain a challenge, the broker expects the study outcomes will lead to "renewed interest in one of the world's largest and highest grade REO projects".

Buy rating and 69c target price retained.

This report was published on June 11, 2024.

Target price is $0.69 Current Price is $0.10 Difference: $0.585
If LIN meets the Petra Capital target it will return approximately 557% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY24:

Petra Capital forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 0.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 35.00.

Forecast for FY25:

Petra Capital forecasts a full year FY25 dividend of 0.00 cents and EPS of minus 2.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 4.77.

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

MAC    METALS ACQUISITION LIMITED

Copper – Overnight Price: $21.46

Moelis rates ((MAC)) as Initiation of coverage with Buy (1) –

Moelis initiates coverage on Metals Acquisition, an Australian (listed early 2024) and New York-listed copper producer, with a Buy rating and $27 target.

In 2023 the company formally completed a deal to acquire the CSA Cobar, NSW, mine from Glencore.

Going forward, the broker expects volume growth of 13% to FY26 and EBITDA growth of 31%, suggesting this is an attractive proposition for investors in the domestic market keen on copper exposure.

This report was published on June 3, 2024.

Target price is $27.00 Current Price is $21.46 Difference: $5.54
If MAC meets the Moelis target it will return approximately 26% (excluding dividends, fees and charges).
The company's fiscal year ends in December.

Forecast for FY24:

Moelis forecasts a full year FY24 EPS of 47.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 45.08.

Forecast for FY25:

Moelis forecasts a full year FY25 EPS of 124.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.28.

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

MMC    MITRE MINING CORPORATION LIMITED

Gold & Silver – Overnight Price: $0.66

Canaccord Genuity rates ((MMC)) as Initiation of coverage with Speculative Buy (1) –

Canaccord Genuity initiates coverage of Chilean silver-gold developer Mitre Mining with a Speculative Buy and $2.30 target price.

The broker expects the company to post rapid resource growth, the company pegging an aspirational target of 100Moz. Drilling is scheduled to start in June.

The company has a 300 square kilometre holding in the Laguna Verde district and a well-funded exploration program observes the broker and expects the company could prove an attractive takeover target as its resource grows.

Canaccord Genuity cites the Silver Institute's forecast of a silver deficit for the foreseeable future, which is expected to grow 17% year on year in 2024.

This report was published on June 6, 2024.

Target price is $2.30 Current Price is $0.66 Difference: $1.645
If MMC meets the Canaccord Genuity target it will return approximately 251% (excluding dividends, fees and charges).

NWC    NEW WORLD RESOURCES LIMITED

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

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

Wilsons initiates coverage of New World Resources (roughly $100m market cap) with an Overweight rating and 6c target price.

The company's main asset is its 100% owned Antler Copper/Base Metals project in Arizona which Wilsons says is one of the highest grade copper projects it has observed globally.

The company's scoping study last year outlined a 13-year 1.3Mt to 1.5Mt operation, producing 16.4ktpa copper but is still a few years away from production.

The mine's prefeasibility test is due by the end of this month.

The broker also appreciates the geological prospectivity of the adjacent areas and expects an "upsizing" of the resource (and possibly operational scale) over time.

This report was published on June 3, 2024.

Target price is $0.06 Current Price is $0.04 Difference: $0.023
If NWC meets the Wilsons target it will return approximately 62% (excluding dividends, fees and charges).

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

OBM    ORA BANDA MINING LIMITED

Gold & Silver – Overnight Price: $0.34

Canaccord Genuity rates ((OBM)) as Initiation of coverage with Speculative Buy (1) –

Canaccord Genuity initiates coverage of gold producer Ora Banda Mining with a Speculative Buy rating and 50c target price.

The company owns the Davyhurst Gold project in WA, north of Kalgoorlie.

The broker believes the appointment of Northern Star Resources' ((NST)) chief operations officer as managing director proved a strategic watershed for the company, which now focuses on underground over open-pit development.

In FY26, the broker expects the company will boast the most compelling free cash flow yield of any Australian-based gold producer in its coverage (the broker estimates 32% in FY26 and 13% in FY25).

This report was published on June 11, 2024.

Target price is $0.50 Current Price is $0.34 Difference: $0.165
If OBM meets the Canaccord Genuity target it will return approximately 49% (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 1.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 33.50.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 5.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 6.70.

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

SDR    SITEMINDER LIMITED

Travel, Leisure & Tourism – Overnight Price: $4.79

Wilsons rates ((SDR)) as Upgrade to Overweight from Market Weight (1) –

Wilsons believes consensus is underestimating the incremental gross profit contribution via Channels Plus and upgrades SiteMinder's rating to Overweight from Market Weight. It's felt the product is a game changer for the company's growth profile.

Channels Plus launches in the next two months, note the analysts, enabling Hoteliers to gain increased access to online travel agencies by directly connecting to SiteMinder, rather than Hoteliers managing each individual connection.

The product is a low touch “Free Option” bundled into base subscription fees, explains the broker.

The target is increased to $6.50 from $5.40.

This report was published on June 11, 2024.

Target price is $6.50 Current Price is $4.79 Difference: $1.71
If SDR meets the Wilsons target it will return approximately 36% (excluding dividends, fees and charges).
Current consensus price target is $6.52, suggesting upside of 34.8%(ex-dividends)
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 8.10 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 59.14.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -8.3, 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:

Wilsons forecasts a full year FY25 dividend of 0.00 cents and EPS of minus 1.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 299.38.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -1.5, 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 N/A.

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

Click to view our Glossary of Financial Terms