Weekly Reports | 11:00 AM
A summary of the highlights from Broker Call Extra updates throughout the week past.
Broker Rating Changes (Post Thursday Last Week)
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ABACUS STORAGE KING ((ASK)) Upgrade to Buy from Hold by Shaw and Partners.B/H/S: 0/0/0
The broker upgrades Abacus Storage King to Buy from Hold with a $1.65 target price following recent share price weakness.
The analysts examine the growth outlook ahead of the potential transfer of management to Abacus Storage King from Abacus Group, which could lead to a divestment of the latter's 19.7% stake in the storage REIT.
Following the expected takeover of National Storage REIT ((NSR)) in May, commentary highlights the REIT will offer the only pure-play listed exposure to the Australian self-storage sector.
Internal portfolio mapping indicates an incremental $40-45m in EBITDA growth through FY32, representing a 35% increase.
The stock trades at a -22% discount to FY27 NTA, significantly wider than the -15% discount for the broader A-REIT index, on the broker's assessment.
EVOLUTION MINING LIMITED ((EVN)) Upgrade to Buy from Hold by Canaccord Genuity.B/H/S: 0/0/0
Following the MarQ'26 report, the broker maintains a Buy rating on Evolution Mining with a raised price target of $15.75.
Management expects production to remain on track for the remainder of 2026, supported by high-grade material at Cowal and Red Lake.
Commentary points out cost control measures are successfully offsetting broader inflationary pressures in the sector.
In a follow-up report, two days later, the broker maintained its Buy rating and $15.75 target price.
Financial forecasts have been updated to account for the stronger production outlook and current spot prices.
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TECHNOLOGY ONE LIMITED ((TNE)) Downgrade to Neutral from Buy by Jarden.B/H/S: 0/0/0
Jarden downgrades TechnologyOne to Neutral from Buy while maintaining a $30.00 target price following recent share price strength.
The broker observes the 30% rally since mid-February leaves the stock trading at 62.4x FY26 earnings, suggesting future growth is largely priced in.
Jarden expects a strong 1H26 result with revenue growth of 13% to $323m, although higher showcase event costs of -$8m-$9m will limit profit before tax growth to a high single digit percentage.
Medium-term estimates for FY27 and FY28 see upgrades due to a higher annual recurring revenue outlook of $1.13bn by FY30.
Strategic risks include increased AI-led competition and the potential rationalisation of technology spend due to local council mergers.
| Order | Company | New Rating | Old Rating | Broker | |
|---|---|---|---|---|---|
| Upgrade | |||||
| 1 | ABACUS STORAGE KING | Buy | Neutral | Shaw and Partners | |
| 2 | EVOLUTION MINING LIMITED | Buy | Neutral | Canaccord Genuity | |
| Downgrade | |||||
| 3 | TECHNOLOGY ONE LIMITED | Neutral | Buy | Jarden | |
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