Daily Market Reports | May 07 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.
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COMPANIES DISCUSSED IN THIS ISSUE
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The number next to the symbol represents the number of brokers covering it for this report -(if more than 1)
ALK APX BOE CKF DUG DXB GEM GOR IMB JDO LIN LRK LTR NIC NST NUZ OFX ORI PPS PYC TCG TPW VAU WOW
ALK ALKANE RESOURCES LIMITED
Gold & Silver - Overnight Price: $0.81
Moelis rates ((ALK)) as Buy (1) -
Alkane Resources' March quarter production and cash numbers were pre-reported, so the new information in the 3Q25 update centred around sales and costs. Both missed Moelis' forecast.
The broker expects $13m cash build in 4Q25 on production of 19koz, with the next big spend due in 2Q26 when stage two of capex program begins.
Before that, the recently announced merger with Mandalay Resources is expected to be completed (mid-2025), shifting the strategic focus.
Buy. Target lifted to $1.05 from $1.00 on mark-to-market March commodity and forex outcomes.
This report was published on May 4, 2025.
Target price is $1.05 Current Price is $0.81 Difference: $0.235
If ALK meets the Moelis target it will return approximately 29% (excluding dividends, fees and charges).
The company's fiscal year ends in June.
Forecast for FY25:
Moelis forecasts a full year FY25 dividend of 0.00 cents and EPS of 5.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.55.
Forecast for FY26:
Moelis forecasts a full year FY26 dividend of 0.00 cents and EPS of 10.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.55.
Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
APX APPEN LIMITED
IT & Support - Overnight Price: $0.80
Canaccord Genuity rates ((APX)) as Speculative Buy (1) -
Appen reported Q1 FY25 revenue of US$50.2m, up by 12% year-on-year, supported by growth in large language model (LLM) and China markets, though below Canaccord Genuity's US$55m estimate.
Earnings (EBITDA) were negative at -US$1.5m, but strong operating cash flow of US$16.6m, aided by working capital unwind and a late receipt, lifted the quarter-end cash to US$68m, explains the broker.
Canaccord expects a second-half revenue skew, projecting FY25 revenue of US$250m, in line with consensus. Operating costs remain controlled, and the outlook remains underpinned by improving demand in AI data services, suggests the analyst.
The broker lowers its target to $2.35 from $2.60 due to peer multiple compression but retains a Speculative Buy rating.
This report was published on April 30, 2025.
Target price is $2.35 Current Price is $0.80 Difference: $1.55
If APX meets the Canaccord Genuity target it will return approximately 194% (excluding dividends, fees and charges).
The company's fiscal year ends in December.
Forecast for FY25:
Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of minus 1.38 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 57.80.
Forecast for FY26:
Canaccord Genuity forecasts a full year FY26 dividend of 0.00 cents and EPS of minus 0.15 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 519.48.
Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
BOE BOSS ENERGY LIMITED
Uranium - Overnight Price: $3.54
Canaccord Genuity rates ((BOE)) as Speculative Buy (1) -
Boss Energy beat Canaccord Genuity's March quarter expectations across production, sales, realised price, and costs, with C1 cash costs of $33/lb outperforming guidance and consensus.
Management reaffirmed FY25 production guidance of 850klbs, implying 327klbs in the June quarter.
Operationally, columns 1-3 at Honeymoon are running near nameplate capacity, with wellfield B3 now online and columns 4-6 planned for ramp-up across FY26, explains the broker.
A shift to continuous precipitation and a focus on flow rates are expected to support near-term growth.
Boss ended the quarter with $63.8m in cash and $229m in liquidity.
Canaccord lowers FY25 sales and earnings forecasts due to accounting changes and revised costs but upgrades the FY27 earnings estimate.
Speculative Buy rating. Target falls to $5.15 from $5.35.
This report was published on April 30, 2025.
Target price is $5.15 Current Price is $3.54 Difference: $1.61
If BOE meets the Canaccord Genuity target it will return approximately 45% (excluding dividends, fees and charges).
Current consensus price target is $3.76, suggesting upside of 6.2%(ex-dividends)
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 minus 7.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 44.79.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 1.9, implying annual growth of -83.7%.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 186.3.
Forecast for FY26:
Canaccord Genuity forecasts a full year FY26 dividend of 0.00 cents and EPS of 26.66 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.28.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 21.7, implying annual growth of 1042.1%.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 16.3.
Market Sentiment: 0.9
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
CKF COLLINS FOODS LIMITED
Food, Beverages & Tobacco - Overnight Price: $8.17
Wilsons rates ((CKF)) as Overweight (1) -
Wilsons updates its forecasts following the recent strategic update at Collins Foods and observations by management on trading conditions.
The broker cuts FY25-27 earnings forecasts by -5-6% on a more tempered growth outlook for KFC Europe and Australia.
While exiting Taco Bell removes a drag on performance, it is offset by lower KFC Europe earnings and modest margin pressure in Australia, explain the analysts.
Wilsons expects a cyclical recovery in KFC Australia to drive a valuation re-rating, while execution on German store rollouts and operational leverage in Europe are seen as longer-term earnings drivers.
The broker lowers its 12-month target price to $10.13 from $10.72 and retains an Overweight rating.
This report was published on May 2, 2025.
Target price is $10.13 Current Price is $8.17 Difference: $1.96
If CKF meets the Wilsons target it will return approximately 24% (excluding dividends, fees and charges).
Current consensus price target is $9.78, suggesting upside of 19.7%(ex-dividends)
The company's fiscal year ends in April.
Forecast for FY25:
Wilsons forecasts a full year FY25 dividend of 22.50 cents and EPS of 36.70 cents.
At the last closing share price the estimated dividend yield is 2.75%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.26.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 37.9, implying annual growth of -21.1%.
Current consensus DPS estimate is 22.4, implying a prospective dividend yield of 2.7%.
Current consensus EPS estimate suggests the PER is 21.6.
Forecast for FY26:
Wilsons forecasts a full year FY26 dividend of 32.00 cents and EPS of 53.20 cents.
At the last closing share price the estimated dividend yield is 3.92%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.36.How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 51.9, implying annual growth of 36.9%.
Current consensus DPS estimate is 29.0, implying a prospective dividend yield of 3.5%.
Current consensus EPS estimate suggests the PER is 15.7.
Market Sentiment: 0.8
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources
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