Australian Broker Call *Extra* Edition – Aug 15, 2024

This story features LIFE360 INC, and other companies. For more info SHARE ANALYSIS: 360

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)

360   ANZ   AOV   APA   AVH   AZJ   COE   CSL   JHX   NCK   NEU   NWL   TWE   WDS  

360    LIFE360 INC

Software & Services – Overnight Price: $17.79

Canaccord Genuity rates ((360)) as Buy (1) –

Canaccord Genuity observes Life360 reported “solid” results for the 2Q2024 and the first as a listed US company.

Monthly active users advanced to around 70.6m, some 2% above consensus and meeting the broker’s expectations.

Paying circles, revenue were better than consensus forecasts.

Management’s updated 2024 guidance was higher than anticipated. Canaccord Genuity raises the EPS forecasts by 5.5% for 2024 and 24.2% for 2025.

Target price is US$40, unchanged with a Buy rating.

This report was published on August 12, 2024.

Current Price is $17.79. Target price not assessed.
Current consensus price target is $20.09, suggesting upside of 12.9%(ex-dividends)
The company’s fiscal year ends in December.

Forecast for FY24:

Canaccord Genuity forecasts a full year FY24 EPS of minus 0.44 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is minus 4024.89.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 19.6, 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 90.8.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 EPS of 0.17 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 10589.29.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 48.2, implying annual growth of 145.9%.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 36.9.

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 0.8
All consensus data are updated until yesterday. FNArena’s consensus calculations require a minimum of three sources

ANZ    ANZ GROUP HOLDINGS LIMITED

Banks – Overnight Price: $28.73

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

Goldman Sachs adjusts EPS forecasts and tweaks the ANZ Bank target price to $29.42 for management’s updated CET1 ratio due to the Suncorp Bank acquisition.

Buy rated and $29.42 target price.

This report was published on August 12, 2024.

Target price is $29.42 Current Price is $28.73 Difference: $0.69
If ANZ meets the Goldman Sachs target it will return approximately 2% (excluding dividends, fees and charges).
Current consensus price target is $27.66, suggesting downside of -3.7%(ex-dividends)
The company’s fiscal year ends in September.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 166.00 cents and EPS of 223.00 cents.
At the last closing share price the estimated dividend yield is 5.78%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 12.88.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 225.7, implying annual growth of -4.7%.
Current consensus DPS estimate is 165.0, implying a prospective dividend yield of 5.7%.
Current consensus EPS estimate suggests the PER is 12.7.

Forecast for FY25:

Goldman Sachs forecasts a full year FY25 dividend of 166.00 cents and EPS of 225.00 cents.
At the last closing share price the estimated dividend yield is 5.78%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 12.77.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 223.9, implying annual growth of -0.8%.
Current consensus DPS estimate is 167.3, implying a prospective dividend yield of 5.8%.
Current consensus EPS estimate suggests the PER is 12.8.

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

AOV    AMOTIV LIMITED

Automobiles & Components – Overnight Price: $10.59

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

Out of GUD Holdings, Amotiv is born with the company expected to set a new five year strategic direction, according to Canaccord Genuity.

The broker revises the target price to $14.40 from $14.60 as a result of earnings forecast changes.

Buy rated.

This report was published on August 9, 2024.

Target price is $14.40 Current Price is $10.59 Difference: $3.81
If AOV meets the Canaccord Genuity target it will return approximately 36% (excluding dividends, fees and charges).
Current consensus price target is $12.92, suggesting upside of 22.0%(ex-dividends)
The company’s fiscal year ends in June.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 50.00 cents and EPS of 90.00 cents.
At the last closing share price the estimated dividend yield is 4.72%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 11.77.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 85.0, implying annual growth of N/A.
Current consensus DPS estimate is 46.2, implying a prospective dividend yield of 4.4%.
Current consensus EPS estimate suggests the PER is 12.5.

Forecast for FY26:

Current consensus EPS estimate is 93.7, implying annual growth of 10.2%.
Current consensus DPS estimate is 47.1, implying a prospective dividend yield of 4.4%.
Current consensus EPS estimate suggests the PER is 11.3.

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

APA    APA GROUP

Infrastructure & Utilities – Overnight Price: $7.91

Jarden rates ((APA)) as Overweight (2) –

In anticipation of FY24 results and FY25 guidance, Jarden forecasts a FY25 dividend of 57.5cps.

A key point will be the level of franking for FY25 dividends, suggests the broker, given management has flagged it expects tax paid to materially increase in FY25 compared to FY24.

Overweight rating. Target $8.70.

This report was published on August 9, 2024.

Target price is $8.70 Current Price is $7.91 Difference: $0.79
If APA meets the Jarden target it will return approximately 10% (excluding dividends, fees and charges).
Current consensus price target is $8.80, suggesting upside of 11.3%(ex-dividends)
The company’s fiscal year ends in June.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 56.00 cents and EPS of 17.90 cents.
At the last closing share price the estimated dividend yield is 7.08%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 44.19.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 21.1, implying annual growth of -5.3%.
Current consensus DPS estimate is 56.0, implying a prospective dividend yield of 7.1%.
Current consensus EPS estimate suggests the PER is 37.5.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 57.50 cents and EPS of 19.80 cents.
At the last closing share price the estimated dividend yield is 7.27%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 39.95.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 21.8, implying annual growth of 3.3%.
Current consensus DPS estimate is 57.3, implying a prospective dividend yield of 7.2%.
Current consensus EPS estimate suggests the PER is 36.3.

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

AVH    AVITA MEDICAL INC

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $2.86

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

Avita Medical offered 3Q24 guidance revenue including a strong July, but revised down the FY24 guidance range which equated to a -14% downgrade, Wilsons notes.

The broker notes the market ignored the guidance update and pushed the stock higher in the US on the back of good early progress in Recell Go, which reduces the potential revenue gap from the launch of the full-thickness skin defects product. 

The analyst highlights the pull forward of revenue income from Recell assists with debt covenants and capital management.

Market Weight retained. Target price revised to $2.75.

This report was published on August 12, 2024.

Target price is $2.75 Current Price is $2.86 Difference: minus $0.11 (current price is over target).
If AVH meets the Wilsons target it will return approximately minus 4% (excluding dividends, fees and charges – negative figures indicate an expected loss).
The company’s fiscal year ends in December.

Forecast for FY24:

Wilsons forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 62.86 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is minus 4.55.

Forecast for FY25:

Wilsons forecasts a full year FY25 dividend of 0.00 cents and EPS of minus 27.92 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is minus 10.24.

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 0.8
All consensus data are updated until yesterday. FNArena’s consensus calculations require a minimum of three sources

AZJ    AURIZON HOLDINGS LIMITED

Transportation & Logistics – Overnight Price: $3.37

Jarden rates ((AZJ)) as Downgrade to Underweight from Neutral (4) –

Aurizon Holdings reported FY24 core earnings -11% below Jarden’s estimate. The large earnings miss was driven by higher-than-forecast net interest expenses, which the company expects to remain at this level in FY25.

With rising capital intensity, the broker sees a path to lower near-term earnings growth, which it believes will likely weigh on Aurizon’s share price.

With the expectation of significant downgrades to the consensus earnings outlook and the considerable difference between Jarden’s earnings forecasts and consensus, the broker downgrades to Underweight from Neutral. Target falls to $3.25 from $3.75.

This report was published on August 14, 2024.

Target price is $3.25 Current Price is $3.37 Difference: minus $0.12 (current price is over target).
If AZJ meets the Jarden target it will return approximately minus 4% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $3.52, suggesting upside of 4.5%(ex-dividends)
The company’s fiscal year ends in June.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 19.20 cents and EPS of 23.90 cents.
At the last closing share price the estimated dividend yield is 5.70%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 14.10.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 76.7, implying annual growth of 247.7%.
Current consensus DPS estimate is 20.1, implying a prospective dividend yield of 6.0%.
Current consensus EPS estimate suggests the PER is 4.4.

Forecast for FY26:

Jarden forecasts a full year FY26 dividend of 20.90 cents and EPS of 26.00 cents.
At the last closing share price the estimated dividend yield is 6.20%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 12.96.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 27.1, implying annual growth of -64.7%.
Current consensus DPS estimate is 22.6, implying a prospective dividend yield of 6.7%.
Current consensus EPS estimate suggests the PER is 12.4.

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

COE    COOPER ENERGY LIMITED

Crude Oil – Overnight Price: $0.22

Jarden rates ((COE)) as Overweight (2) –

At upcoming FY24 results for Cooper Energy, Jarden forecasts FY25 production guidance of 4.27mmboe ahead of the consensus projection for 4.14mmboe.

Some of the key risks include lower-than-forecast gas plant performance at Orbost and Athena, highlights the broker.

Overweight rating and 26c target unchanged.

This report was published on August 9, 2024.

Target price is $0.26 Current Price is $0.22 Difference: $0.04
If COE meets the Jarden target it will return approximately 18% (excluding dividends, fees and charges).
Current consensus price target is $0.26, suggesting upside of 18.2%(ex-dividends)
The company’s fiscal year ends in June.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 0.10 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is minus 220.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 0.3, 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 73.3.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 0.00 cents and EPS of 0.30 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 73.33.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 1.3, implying annual growth of 333.3%.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 16.9.

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

CSL    CSL LIMITED

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $300.77

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

The two controlling factors leading into CSL’s FY24 result for Wilsons were Behring gross margin improvement and that Vifor would at least do no harm.

Although Behring GM was awarded a conceded pass’, the broker saw little incremental progress and the outlook to a greater than 60% promised land remains somewhat faith based’.

It also turned out that Wilsons didn’t downgrade Vifor hard enough in February. Vifor remains a starless division where its growth efforts are not proximal enough to combat what’s happening today in real time, the broker opines.

CSL’s relative expensiveness versus global peers could be a challenge for the share price, the broker suggests, given how thoroughly owned the stock is domestically versus internationally.

Market Weight retained, target falls to $291.78 from $297.02.

This report was published on August 14, 2024.

Target price is $291.78 Current Price is $300.77 Difference: minus $8.99 (current price is over target).
If CSL meets the Wilsons target it will return approximately minus 3% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $324.90, suggesting upside of 8.0%(ex-dividends)
The company’s fiscal year ends in June.

Forecast for FY25:

Wilsons forecasts a full year FY25 dividend of 437.90 cents and EPS of 1003.05 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 29.99.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 1067.1, implying annual growth of N/A.
Current consensus DPS estimate is 472.8, implying a prospective dividend yield of 1.6%.
Current consensus EPS estimate suggests the PER is 28.2.

Forecast for FY26:

Wilsons forecasts a full year FY26 dividend of 492.07 cents and EPS of 1124.81 cents.
At the last closing share price the estimated dividend yield is 1.64%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 26.74.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 1210.9, implying annual growth of 13.5%.
Current consensus DPS estimate is 565.6, implying a prospective dividend yield of 1.9%.
Current consensus EPS estimate suggests the PER is 24.8.

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 0.9
All consensus data are updated until yesterday. FNArena’s consensus calculations require a minimum of three sources

JHX    JAMES HARDIE INDUSTRIES PLC

Building Products & Services – Overnight Price: $48.84

Jarden rates ((JHX)) as Buy (1) –

In the FY24 earnings report from James Hardie Industries management offered a FY25 guidance change which is expected to result in circa -10% consensus earnings downgrades.

Notably, the US market has continued to weaken. The analyst revises down the FY25 net profit forecast by -5.5%.

Jarden rates the stock a Buy, remaining committed to the ability of James Hardie Industries to self fund growth and take “profitable” market share.

Target price tweaked to $55 from $54.

This report was published on August 12, 2024.

Target price is $55.00 Current Price is $48.84 Difference: $6.16
If JHX meets the Jarden target it will return approximately 13% (excluding dividends, fees and charges).
Current consensus price target is $56.68, suggesting upside of 16.0%(ex-dividends)
The company’s fiscal year ends in March.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 0.00 cents and EPS of 234.67 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 20.81.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 229.6, 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 21.3.

Forecast for FY26:

Jarden forecasts a full year FY26 dividend of 0.00 cents and EPS of 272.20 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 17.94.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 274.1, implying annual growth of 19.4%.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 17.8.

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 0.7
All consensus data are updated until yesterday. FNArena’s consensus calculations require a minimum of three sources

NCK    NICK SCALI LIMITED

Furniture & Renovation – Overnight Price: $14.70

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

Nick Scali reported FY24 earnings which met consensus forecasts, according to Wilsons.

The company has experienced site availability challenges since FY21, so 5-7 new group stores for FY25 in that context is viewed positively by the analyst.

Wilsons looks beyond the near term freight charge headwinds and the softer trading conditions in A&NZ in June/July to the longer term global opportunity for the company.

Net profit estimates are adjusted by -14% for FY25 and -4% for FY26, with a revision in the target price of -5% to $17.40. Overweight rating.

This report was published on August 12, 2024.

Target price is $17.40 Current Price is $14.70 Difference: $2.7
If NCK meets the Wilsons target it will return approximately 18% (excluding dividends, fees and charges).
Current consensus price target is $16.26, suggesting upside of 10.6%(ex-dividends)
The company’s fiscal year ends in June.

Forecast for FY25:

Wilsons forecasts a full year FY25 dividend of 53.00 cents and EPS of 75.70 cents.
At the last closing share price the estimated dividend yield is 3.61%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 19.42.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 89.4, implying annual growth of -9.5%.
Current consensus DPS estimate is 60.5, implying a prospective dividend yield of 4.1%.
Current consensus EPS estimate suggests the PER is 16.4.

Forecast for FY26:

Wilsons forecasts a full year FY26 dividend of 69.70 cents and EPS of 99.60 cents.
At the last closing share price the estimated dividend yield is 4.74%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 14.76.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 92.9, implying annual growth of 3.9%.
Current consensus DPS estimate is 62.6, implying a prospective dividend yield of 4.3%.
Current consensus EPS estimate suggests the PER is 15.8.

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

NEU    NEUREN PHARMACEUTICALS LIMITED

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $15.60

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

Canaccord Genuity revises earnings forecasts for Neuren Pharmaceuticals due to the 2Q2024 results from Daybue, the distribution company, which were lower than expectations and 2024 sales guidance was cut by -10%.

The broker believes the disappointment is only short term, with the longer term prospects for Daybue intact.

The target price is revised to $29 from $31. Buy rated.

This report was published on August 12, 2024.

Target price is $29.00 Current Price is $15.60 Difference: $13.4
If NEU meets the Canaccord Genuity target it will return approximately 86% (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 and EPS of 58.00 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 26.90.

Forecast for FY25:

Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 88.00 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 17.73.

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

NWL    NETWEALTH GROUP LIMITED

Wealth Management & Investments – Overnight Price: $20.68

Wilsons rates ((NWL)) as Downgrade to Market Weight from Overweight (3) –

Netwealth Group’s FY24 result was softer than Wilsons’ lofty expectations, although the broker was towards the top end of consensus and needing to revise funds under administration estimates downward following recent markets ructions.

Increased reinvestment assumptions and a reduced revenue forecast drive low-teens earnings downgrades across Wilsons’ medium term forecasts.

The broker continues to remain attracted to the Netwealth story both in the short and medium-term, observing adviser movements to key customers and peer-forced Platform migration efforts as offering supplemental tailwinds to already impressive growth.

But for now, downgrade to Market Weight from Overweight. Target falls to $21.04 from $23.52.

This report was published on August 14, 2024.

Target price is $21.04 Current Price is $20.68 Difference: $0.36
If NWL meets the Wilsons target it will return approximately 2% (excluding dividends, fees and charges).
Current consensus price target is $21.98, suggesting upside of 6.3%(ex-dividends)
The company’s fiscal year ends in June.

Forecast for FY25:

Wilsons forecasts a full year FY25 dividend of 32.20 cents and EPS of 44.00 cents.
At the last closing share price the estimated dividend yield is 1.56%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 47.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 42.4, implying annual growth of 24.1%.
Current consensus DPS estimate is 37.1, implying a prospective dividend yield of 1.8%.
Current consensus EPS estimate suggests the PER is 48.8.

Forecast for FY26:

Wilsons forecasts a full year FY26 dividend of 40.50 cents and EPS of 53.00 cents.
At the last closing share price the estimated dividend yield is 1.96%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 39.02.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 52.6, implying annual growth of 24.1%.
Current consensus DPS estimate is 43.4, implying a prospective dividend yield of 2.1%.
Current consensus EPS estimate suggests the PER is 39.3.

Market Sentiment: 0.4
All consensus data are updated until yesterday. FNArena’s consensus calculations require a minimum of three sources

TWE    TREASURY WINE ESTATES LIMITED

Food, Beverages & Tobacco – Overnight Price: $12.11

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

Goldman Sachs assesses the US wine sales, applying NielsonQ scan data and Wine Australia export data to establish how Treasury Wine Estates is performing.

The NielsonQ data cover some 50% of the US retail sales, offering market share and sales trends. The results across US brands were mixed for the four weeks to July 13 in the US market. 

Between April to June, Australian wine exports to China sat at around 80% of 2019 levels, while Hong Kong is -23% lower due to a larger December 2023 shipment.

Buy rating and $14.70 target.

This report was published on August 12, 2024.

Target price is $14.70 Current Price is $12.11 Difference: $2.59
If TWE meets the Goldman Sachs target it will return approximately 21% (excluding dividends, fees and charges).
Current consensus price target is $13.76, suggesting upside of 13.7%(ex-dividends)
The company’s fiscal year ends in June.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 EPS of 52.00 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 23.29.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 54.3, implying annual growth of 55.6%.
Current consensus DPS estimate is 34.9, implying a prospective dividend yield of 2.9%.
Current consensus EPS estimate suggests the PER is 22.3.

Forecast for FY25:

Goldman Sachs forecasts a full year FY25 dividend of 43.00 cents and EPS of 61.00 cents.
At the last closing share price the estimated dividend yield is 3.55%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 19.85.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 62.7, implying annual growth of 15.5%.
Current consensus DPS estimate is 41.6, implying a prospective dividend yield of 3.4%.
Current consensus EPS estimate suggests the PER is 19.3.

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

WDS    WOODSIDE ENERGY GROUP LIMITED

NatGas – Overnight Price: $25.49

Jarden rates ((WDS)) as Neutral (3) –

Jarden points to ongoing frustration on lack of clarity around Woodside Energy’s two recent acquisitions, which will likely weigh on the share price on 1H results day and through the next few months.

The analysts anticipate gearing at the end of 2024 will reach 18.9% if both the proposed Tellurian and OCI ammonia plant acquisitions are completed. OCI is a global producer and distributor of nitrogen product.

Jarden retains its Neutral rating and $26.60 target.

This report was published on August 9, 2024.

Target price is $26.60 Current Price is $25.49 Difference: $1.11
If WDS meets the Jarden target it will return approximately 4% (excluding dividends, fees and charges).
Current consensus price target is $31.08, suggesting upside of 21.9%(ex-dividends)
The company’s fiscal year ends in December.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 175.47 cents and EPS of 221.39 cents.
At the last closing share price the estimated dividend yield is 6.88%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 11.51.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 198.6, implying annual growth of N/A.
Current consensus DPS estimate is 158.2, implying a prospective dividend yield of 6.2%.
Current consensus EPS estimate suggests the PER is 12.8.

Forecast for FY25:

Jarden forecasts a full year FY25 dividend of 114.43 cents and EPS of 179.74 cents.
At the last closing share price the estimated dividend yield is 4.49%.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 14.18.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 177.6, implying annual growth of -10.6%.
Current consensus DPS estimate is 150.1, implying a prospective dividend yield of 5.9%.
Current consensus EPS estimate suggests the PER is 14.4.

This company reports in USD. 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

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Disclaimer:
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