Daily Market Reports | Jul 03 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.
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)
ALL BXB DLI ERD IGO IMM JHX KAR PDN SGLLV SLH SXE
ERD EROAD LIMITED
Transportation & Logistics - Overnight Price: $1.04
Canaccord Genuity rates ((ERD)) as Buy (1) -
Eroad has announced yet another contract win to a New Zealand customer and an existing 6k unit-contract has been renewed for three years with a two-year extension option.
Canaccord Genuity considers FY25 revenue guidance to be conservative, believing the above contract suggests its is already likely to pass the bottom end of guidance.
The broker expects a consensus re-rating if the company continues on its growth path while managing costs, and believes FY27 will prove to be a breakout year.
Buy rating and $1.60 target price retained.
This report was published on June 26, 2024.
Current Price is $1.04. Target price not assessed.
The company's fiscal year ends in March.
Forecast for FY25:
Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 3.89 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 26.77.
Forecast for FY26:
Canaccord Genuity forecasts a full year FY26 dividend of 0.00 cents and EPS of 10.36 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.04.
This company reports in NZD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
IGO IGO LIMITED
Nickel - Overnight Price: $5.63
Jarden rates ((IGO)) as Buy (1) -
Jarden asserts that IGO's Greenbushes asset performance has fallen short of expectations and that even the best assets do not perform when lowering production due to low offtake nominations.
Rather, the broker says, such circumstances should be used as an opportunity to consolidate one's position in the industry and cost curve.
IGO is not operating Greenbushes given its minority interest and this poses problems for the company, says Jarden, but observes management does have some available levers if it brings pressure to bear.
Buy rating retained. Target price falls to $8.53 from $9.82.
This report was published on June 26, 2024.
Target price is $8.53 Current Price is $5.63 Difference: $2.9
If IGO meets the Jarden target it will return approximately 52% (excluding dividends, fees and charges).
Current consensus price target is $6.87, suggesting upside of 22.0%(ex-dividends)
The company's fiscal year ends in June.
Forecast for FY24:
Jarden forecasts a full year FY24 dividend of 4.00 cents and EPS of 47.80 cents.
At the last closing share price the estimated dividend yield is 0.71%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.78.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 66.8, implying annual growth of -7.9%.
Current consensus DPS estimate is 14.7, implying a prospective dividend yield of 2.6%.
Current consensus EPS estimate suggests the PER is 8.4.
Forecast for FY25:
Jarden forecasts a full year FY25 dividend of 1.00 cents and EPS of 43.60 cents.
At the last closing share price the estimated dividend yield is 0.18%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.91.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 27.4, implying annual growth of -59.0%.
Current consensus DPS estimate is 9.4, implying a prospective dividend yield of 1.7%.
Current consensus EPS estimate suggests the PER is 20.5.
Market Sentiment: -0.2
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: $0.29
Wilsons rates ((IMM)) as Overweight (1) -
Immutep has enjoyed a "stellar" month on the clinical-data and big pharma checkpoint franchise front, observes Wilsons.
The broker says topline results from TACTI-003 are imminent - an important validation in a "head-to-head trial design against Merck's blockbuster Keytruda".
Wilsons concedes the capital raising was unexpected but believes it is justified in the grand scheme of things.
Overweight rating retained. Target price is $1.13.
This report was published on June 26, 2024.
Target price is $1.13 Current Price is $0.29 Difference: $0.84
If IMM meets the Wilsons target it will return approximately 290% (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 3.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 8.06.
Forecast for FY25:
Wilsons forecasts a full year FY25 dividend of 0.00 cents and EPS of minus 4.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 6.44.
Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
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