Daily Market Reports | Feb 27 2025
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)
ABG CEH CRN GDI GNP GOR (2) LBL MXI MYX QBE SFR SKC SLC (2) SLX SUL TAH TCL TRS TYR UNI WAF WES
ABG ABACUS GROUP
REITs - Overnight Price: $1.19
Moelis rates ((ABG)) as Buy (1) -
Abacus Group's reported funds from operations of 4.5cps, beating Moelis' forecast of 4.3c.
However, the trend in office earnings is labelled marginally weak with occupancy falling sequentially to 89.9% from 90.2%, and a further 5% of income is up for expiry in 2H. Leasing weighted average expiry also fell slightly to 3.7 years.
The broker revised forecasts to reflect office vacancy and leasing assumptions, lowering FY25 net profit forecast by -2.8%. Target price drops to $1.41 from $1.45, and Buy retained.
This report was published on February 24, 2025.
Target price is $1.41 Current Price is $1.19 Difference: $0.22
If ABG meets the Moelis target it will return approximately 18% (excluding dividends, fees and charges).
Current consensus price target is $1.26, suggesting upside of 5.9%(ex-dividends)
The company's fiscal year ends in June.
Forecast for FY25:
Moelis forecasts a full year FY25 dividend of 8.50 cents and EPS of 9.00 cents.
At the last closing share price the estimated dividend yield is 7.14%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.22.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 9.0, implying annual growth of N/A.
Current consensus DPS estimate is 8.5, implying a prospective dividend yield of 7.1%.
Current consensus EPS estimate suggests the PER is 13.2.
Forecast for FY26:
Moelis forecasts a full year FY26 dividend of 8.60 cents and EPS of 9.30 cents.
At the last closing share price the estimated dividend yield is 7.23%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.80.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 8.7, implying annual growth of -3.3%.
Current consensus DPS estimate is 8.6, implying a prospective dividend yield of 7.2%.
Current consensus EPS estimate suggests the PER is 13.7.
Market Sentiment: 0.9
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
CEH COAST ENTERTAINMENT HOLDINGS LIMITED
Travel, Leisure & Tourism - Overnight Price: $0.47
Canaccord Genuity rates ((CEH)) as Buy (1) -
Canaccord Genuity notes Coast Entertainment's 1H25 result was in line with expectation, and January trading was better due to a boost from the long-awaited Rivertown precinct.
The bigger news was some progress on the Gold Coast land development application which is now back to Council for final approval. the broker places the value at $20-60m assuming formal approval is received.
Minor revisions to FY25-26 revenue and EBITDA forecasts. Buy rating maintained and target price is unchanged at 60c.
This report was published on February 21, 2025.
Target price is $0.60 Current Price is $0.47 Difference: $0.135
If CEH meets the Canaccord Genuity target it will return approximately 29% (excluding dividends, fees and charges).
The company's fiscal year ends in June.
Forecast for FY25:
Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 0.00 cents.
Forecast for FY26:
Canaccord Genuity forecasts a full year FY26 dividend of 0.00 cents and EPS of 0.00 cents.
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
CRN CORONADO GLOBAL RESOURCES INC
Coal - Overnight Price: $0.55
Goldman Sachs rates ((CRN)) as Buy (1) -
Coronado Global Resources delivered 2024 underlying earnings that were in line, being largely pre-reported.
Goldman Sachs notes EBITDA was the second lowest on record for the company with the Curragh mine generating just US$3m because of higher costs from waste stripping and lower metallurgical coal prices.
Wth the metallurgical coal price under pressure, the broker asserts a balancing act is required to maximise operating cash flow until the onerous Stanwell rebate goes in early 2027.
Estimates for 2025 and 2026 EBITDA are reduced by -3%. Buy rating is maintained on valuation with the target unchanged at $1.05.
This report was published on February 21, 2025.
Target price is $1.05 Current Price is $0.55 Difference: $0.505
If CRN meets the Goldman Sachs target it will return approximately 93% (excluding dividends, fees and charges).
Current consensus price target is $0.92, suggesting upside of 67.3%(ex-dividends)
The company's fiscal year ends in December.
Forecast for FY25:
Goldman Sachs forecasts a full year FY25 dividend of 1.53 cents and EPS of 6.11 cents.
At the last closing share price the estimated dividend yield is 2.80%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.92.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 1.4, implying a prospective dividend yield of 2.5%.
Current consensus EPS estimate suggests the PER is 183.3.
Forecast for FY26:
Goldman Sachs forecasts a full year FY26 dividend of 6.11 cents and EPS of 7.64 cents.
At the last closing share price the estimated dividend yield is 11.21%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.14.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 13.4, implying annual growth of 4366.7%.
Current consensus DPS estimate is 4.3, implying a prospective dividend yield of 7.8%.
Current consensus EPS estimate suggests the PER is 4.1.
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
GDI GDI PROPERTY GROUP
REITs - Overnight Price: $0.64
Moelis rates ((GDI)) as Buy (1) -
GDI Property's 1H25 funds from operations of 3.1cps fell short of Moelis' forecast but distribution of 2.5cps was consistent with FY25 guidance of 5cps.
Net tangible assets (NTA) was unchanged at $1.19 per security as higher debt for capex and distribution offset valuation increases for the WS complex.
The broker made minor changes to forecasts, resulting in a small drop in target price to 97c from 98c. Buy retained.
This report was published on February 24, 2025.
Target price is $0.97 Current Price is $0.64 Difference: $0.33
If GDI meets the Moelis target it will return approximately 52% (excluding dividends, fees and charges).
The company's fiscal year ends in June.
Forecast for FY25:
Moelis forecasts a full year FY25 dividend of 5.00 cents and EPS of 6.50 cents.
At the last closing share price the estimated dividend yield is 7.81%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.85.
Forecast for FY26:
Moelis forecasts a full year FY26 dividend of 5.50 cents and EPS of 7.80 cents.
At the last closing share price the estimated dividend yield is 8.59%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.21.
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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