Australian Broker Call

Macquarie rates BHP as Outperform (1) -

Disruptions caused BHP to miss iron ore production and earnings guidance in the first half but the broker forecasts a 23% increase in earnings in the second half driven by strong iron ore prices, accounting for 50% of group earnings.

The broker notes that were current spot prices used in its model instead of forecasts, earnings forecasts would be 44% higher in FY20 and 77% in FY21. Outperform and $41 target retained.

Target price is $41.00 Current Price is $37.20 Difference: $3.8
If BHP meets the Macquarie target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $36.86, suggesting downside of -0.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.3

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Macquarie rates COE as Outperform (1) -

The broker has downgraded its east coast gas price forecast to reflect lower LNG prices on increased volumes. This leads to earnings forecast cuts for Cooper Energy of -27-29% in FY19-20. That said, Cooper remains the broker's preferred mid-cap in the O&G space as it offers the largest leverage to pricing of uncontracted volumes.

The broker also believes the company boasts projects that may appeal to east coast gas end-users looking for vertical integration. Outperform and 60c target retained.

Target price is $0.60 Current Price is $0.51 Difference: $0.09
If COE meets the Macquarie target it will return approximately 18% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Credit Suisse rates CTX as Outperform (1) -

Credit Suisse observes the market update signals volatility continues in margins and Caltex has made some tactical adjustments for fuel retail markets.

The broker suggests a stabilisation of market share could be construed as a positive development. Credit Suisse assumes that tactical price competition will continue through the first half and be partly offset by a recovery in refining margins.

The broker maintains an Outperform rating and reduces the target to $30.50 from $31.12.

Target price is $30.50 Current Price is $26.60 Difference: $3.9
If CTX meets the Credit Suisse target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $29.16, suggesting upside of 9.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Deutsche Bank rates CTX as Hold (3) -

Deutsche Bank believes competitor discounting has been a bigger driver of retail margin weakness for Caltex than a rebound in the oil price, although the latter may be a factor.

This dynamic is expected to continue, as the alliance between Coles ((COL)) and Viva Energy ((VEA)) has a clear mandate to grow volumes.

With more vertical margins to play with and an opportunity to regain market share lost over the past few years, the broker believes Viva Energy will do well and it remains the preferred exposure in the sector.

Hold rating and $26 target maintained for Caltex.

Target price is $26.00 Current Price is $26.60 Difference: minus $0.6 (current price is over target).
If CTX meets the Deutsche Bank target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $29.16, suggesting upside of 9.6% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgan Stanley rates CTX as Underweight (5) -

Caltex has realised refiner margins of US$7.00/bbl for the first two months of 2019. As Morgan Stanley suspected, retail fuel margins were soft because of a combination of increasing oil prices and greater competition.

The broker believes Viva Energy's new pricing strategy poses a risk to margins in the second quarter, although there may be some oil price offset.

Target is $25. Underweight. Industry view: In-Line.

Target price is $25.00 Current Price is $26.60 Difference: minus $1.6 (current price is over target).
If CTX meets the Morgan Stanley target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $29.16, suggesting upside of 9.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Ord Minnett rates CTX as Hold (3) -

Ord Minnett is concerned about industry volumes and margins, following the new alliance between Coles ((COL)) and Viva Energy ((VEA)). This will make margin expansion more difficult for Caltex and market share losses are expected from the company's customer, Woolworths ((WOW)).

The broker is less confident in the execution of the convenience retail strategy, given earnings targets are being pushed back and not reiterated.

Underlying fuel and infrastructure growth has also slowed, as international growth moderates, and the Woolworths long-term contract is considered a burden in 2019. Hold rating and $27.50 target maintained.

Target price is $27.50 Current Price is $26.60 Difference: $0.9
If CTX meets the Ord Minnett target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $29.16, suggesting upside of 9.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

UBS rates CTX as Buy (1) -

Caltex has guided to first quarter convenience retail earnings (EBIT) of $160-180m. UBS suspects some of the retail margin headwinds will abate in the second half as crude prices drop and US production lifts.

Still, pressures from competition are likely to remain, and the broker reduces its estimates for retail earnings by -3-10%. UBS maintains a Buy rating and reduces the target to $30.20 from $32.50.

Target price is $30.20 Current Price is $26.60 Difference: $3.6
If CTX meets the UBS target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $29.16, suggesting upside of 9.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Macquarie rates KLL as Outperform (1) -

Kalium Lakes has signed a funding agreement with a German bank which, in addition to prior secured funding, satisfies the broker's assumption of the debt portion of capital needed to progress the Beyondie project.

Outperform and 70c target retained.

Target price is $0.70 Current Price is $0.49 Difference: $0.21
If KLL meets the Macquarie target it will return approximately 43% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 1.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Credit Suisse rates NHC as Downgrade to Neutral from Outperform (3) -

First half results missed expectations because of costs. Credit Suisse suspects investors are concerned that the syndicated loan the company has acquired is a signal for lower capital returns going forward.

The company has entered into a $600m secured loan facility to fund future growth projects. The broker was disappointed with the operating performance as unit costs increased in Queensland because of reduced feed available to wash plant and decreased yields.

New South Wales operations were also disappointing in terms of costs, affected by elevated fuel costs and increased repair & maintenance.

Credit Suisse downgrades to Neutral from Outperform, given the strong rally in the share price. Target is $4.

Target price is $4.00 Current Price is $3.35 Difference: $0.65
If NHC meets the Credit Suisse target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $3.93, suggesting upside of 17.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.3

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgans rates NHC as Hold (3) -

First half results were below expectations. Morgans finds that reconciling the results is complicated by the timing of assumptions regarding the company's move to an effective 80% economic exposure to Bengalla.

The company has drawn down on its debt facilities for the first time since 2006 to fund the acquisition of the 30% tranche of Bengalla. The broker believes this explains the prudent dividend, at $0.08 per share.

The broker considers the stock fairly valued and maintains a Hold rating. Target is reduced to $3.80 from $3.90.

Target price is $3.80 Current Price is $3.35 Difference: $0.45
If NHC meets the Morgans target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $3.93, suggesting upside of 17.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.3

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Macquarie rates NUF as Outperform (1) -

In initial response to today's interim report release, the analysts find the actual performance in line with their expectations, but the guidance is lower than previously indicated, and below what Macquarie analysts had been anticipating.

Target price is $7.19 Current Price is $4.24 Difference: $2.95
If NUF meets the Macquarie target it will return approximately 70% (excluding dividends, fees and charges).

Current consensus price target is $7.43, suggesting upside of 75.3% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.9

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgans rates OML as Initiation of coverage with Add (1) -

Stockbroker Morgans has initiated coverage with an Add rating and $4.08 price target seeing this company as a beneficiary from the continuing conversion of static billboards to digital signs, improving overall portfolio yield.

There should be additional synergy benefits on offer from the integration of Adshell, say the analysts. Industry trends look only slightly favourable at best for the near term, the report acknowledges. This company now controls circa 47% of all outdoor media ad revenues in Australia on the broker's assessment.

No dividends are expected for the foreseeable outlook.

Target price is $4.08 Current Price is $3.74 Difference: $0.34
If OML meets the Morgans target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $4.68, suggesting upside of 25.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.9

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Macquarie rates ORG as Outperform (1) -

LNG field performances suggest third party fields are performing well, the broker notes, particularly QCLNG. This suggests gas production will trend towards the top end of Origin's guidance.

FY20 will be a moderate revenue year, the broker notes, offset by cash flow from debt refinancing and gas pre-purchases. FY21 looks to be the year of acceleration on production ramp-up, de-bottlenecking and solid field performance. Outperform retained, target rises to $8.51 from $8.24.

Target price is $8.51 Current Price is $7.47 Difference: $1.04
If ORG meets the Macquarie target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $8.23, suggesting upside of 10.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.6

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgan Stanley rates SGF as Upgrade to Equal-weight from Underweight (3) -

Morgan Stanley observes the stock has sold off substantially since its AGM in October. The broker believes the business has sufficient levers to meet earnings expectations and a cost reduction strategy into the second half and FY20 should alleviate some of the top-line and margin pressure.

Positive catalysts, nevertheless, are some way off and the broker's upgrade to Equal-weight from Underweight is centred on valuation. New vehicle sales continue to be disappointing, particularly in NSW and Victoria. Target is $2.60. Industry view is In-Line.

Target price is $2.60 Current Price is $2.45 Difference: $0.15
If SGF meets the Morgan Stanley target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $2.89, suggesting upside of 18.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.7

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Macquarie rates SXY as Outperform (1) -

Data from neighbouring wells west of Atlas suggest volumes are in line with the broker's modelling. The broker has downgraded its uncontracted east coast gas price forecast to account for weaker LNG prices, the recent performance of CSG fields and reduced exports.

The broker believes Senex possesses a number of early development assets that could be attractive to end-users looking for vertical integration, including Gemba and Don Juan. Outperform and 50c target retained.

Target price is $0.50 Current Price is $0.36 Difference: $0.14
If SXY meets the Macquarie target it will return approximately 39% (excluding dividends, fees and charges).

Current consensus price target is $0.46, suggesting upside of 28.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Citi rates TPM as Sell (5) -

Citi found strong growth in the corporate division stood out in the first half result, as the NBN continues to compress consumer margins.

The broker expects corporate earnings will overtake consumer earnings in FY20 and this is the main attribute TPG Telecom brings to its proposed merger with Vodafone Australia.

The broker maintains a Sell rating and reduces the target to $6.70 from $6.75.

Target price is $6.70 Current Price is $6.87 Difference: minus $0.17 (current price is over target).
If TPM meets the Citi target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.50, suggesting downside of -5.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.3

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Credit Suisse rates TPM as Underperform (5) -

First half results were ahead of estimates, with Credit Suisse noting support emanating from a benign impact in Singapore mobile, lower depreciation & amortisation and lower finance costs.

FY19 guidance for operating earnings (EBITDA) of $800-820m was maintained, largely from an expected increase in NBN access costs in the second half. The broker maintains an Underperform rating and $5.60 target.

Target price is $5.60 Current Price is $6.87 Difference: minus $1.27 (current price is over target).
If TPM meets the Credit Suisse target it will return approximately minus 18% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.50, suggesting downside of -5.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.3

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Macquarie rates TPM as No Rating (-1) -

TPG posted a strong first half in the face of NBN margin headwinds, the broker suggests. The second half will be trickier nonetheless, as wholesale input costs rise.

The broker is advising with regard the proposed merger and as such is currently restricted from making a recommendation.

Current Price is $6.87. Target price not assessed.

Current consensus price target is $6.50, suggesting downside of -5.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.3

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgan Stanley rates TPM as Overweight (1) -

First half results were slightly ahead of Morgan Stanley's expectations. The main positive was from further cost reductions and better earnings for the corporate division.

The broker estimates the company now needs second half operating earnings of $376-396m to achieve full year guidance.

The broker maintains an Overweight rating and $7.15 target. Industry view is In-Line.

Target price is $7.15 Current Price is $6.87 Difference: $0.28
If TPM meets the Morgan Stanley target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $6.50, suggesting downside of -5.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.3

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgans rates TPM as Hold (3) -

First half results were in line with expectations. Excluding mobile network impairments, underlying operating earnings (EBITDA) were up 3%. Morgans believes this was a strong result in the face of NBN margin pressure.

The near term outlook is dependent on whether or not the ACCC will allow the merger with Vodafone Australia. The company expects a final decision in May.

Morgans believes the deal should be allowed to proceed, as having a stronger and better funded third operator is better for consumers in the medium term. Hold rating and $6.65 target maintained.

Target price is $6.65 Current Price is $6.87 Difference: minus $0.22 (current price is over target).
If TPM meets the Morgans target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.50, suggesting downside of -5.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.3

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Ord Minnett rates TPM as Hold (3) -

The company has reported a first half underlying net profit of $225.2m, ahead of Ord Minnett's forecasts. The broker applauds management's cost discipline, although notes significant structural headwinds.

The broker also envisages significant downside potential if the proposed merger with Vodafone Australia does not eventuate and the ACCC is yet to provide its approval. Ord Minnett maintains a Hold rating and $6.50 target.

Target price is $6.50 Current Price is $6.87 Difference: minus $0.37 (current price is over target).
If TPM meets the Ord Minnett target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.50, suggesting downside of -5.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.3

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

UBS rates TPM as Sell (5) -

Operating earnings in the first half were in line with UBS estimates. FY19 guidance has been reiterated for operating earnings of $800-820m but UBS considers this conservative.

Second half earnings are expected to slip sequentially because of the cessation of the "Focus on 50" discounts but the broker still expects other drivers of the first half performance to be maintained in the second half, such as cost reductions, Vodafone contract uplifts and growth in corporate business ex Vodafone.

The focus remains on ACCC approval of the proposed merger with Vodafone Australia. UBS maintains a Sell rating and $6.40 target.

Target price is $6.40 Current Price is $6.87 Difference: minus $0.47 (current price is over target).
If TPM meets the UBS target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.50, suggesting downside of -5.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.3

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Citi rates WBC as Buy (1) -

Westpac will exit the advice business, which has been sold to Viridian Advisory. Citi finds the elimination of the BT wealth division and integrating insurance into the consumer division makes sense.

The broker revises down FY19 estimates for earnings per share by -3%. Buy rating and $30 target maintained.

Target price is $30.00 Current Price is $26.34 Difference: $3.66
If WBC meets the Citi target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $27.10, suggesting upside of 2.9% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.1

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Credit Suisse rates WBC as Neutral (3) -

Westpac will exit the personal advice business and expects to incur costs of $250m, the majority in the first half. Remaining wealth businesses will be re-aligned into the business and consumer divisions.

Credit Suisse believes the announcement is a small positive as it removes a loss-making business. The broker maintains a Neutral rating and $28 target.

Target price is $28.00 Current Price is $26.34 Difference: $1.66
If WBC meets the Credit Suisse target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $27.10, suggesting upside of 2.9% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.1

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Deutsche Bank rates WBC as Sell (5) -

Westpac will exit its advice business and integrate the superannuation, platforms and private wealth into its business division and insurance into its consumer division.

A restructuring charge of $250-300m will be recognised. The bank has guided to a accretive outcome by FY20, given the advice business has been loss-making. Deutsche Bank maintains a Sell rating and $22 target.

Target price is $22.00 Current Price is $26.34 Difference: minus $4.34 (current price is over target).
If WBC meets the Deutsche Bank target it will return approximately minus 16% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $27.10, suggesting upside of 2.9% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.1

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Macquarie rates WBC as Neutral (3) -

The broker is not surprised Westpac has announced the restructure of its wealth management business, including the sale of its financial advice business, but the announced restructuring charge seems excessive. Westpac has led on reducing fees, resulting in industry-wide margin pressure.

To that end, the broker believes the bank's 83% dividend payout ratio looks elevated. Capital will need to be supported by a dilutive DRP or dividend cut, particularly in the face of a proposed capital requirement increase from the RBNZ. Neutral retained, target rises to $27.00 from $26.75.

Target price is $27.00 Current Price is $26.34 Difference: $0.66
If WBC meets the Macquarie target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $27.10, suggesting upside of 2.9% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.1

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgan Stanley rates WBC as Underweight (5) -

Westpac will exit personal financial advice and has entered a sale agreement with Viridian Advisory. The advice business incurred a loss of -$53m in FY18 and exit/restructure costs are expected to be $250-300m.

Morgan Stanley accepts the move simplifies the wealth management business, although the underlying earnings outlook for residual wealth activities remains uncertain and the liability for future remediation costs is unclear.

The broker maintains an Underweight rating and $24.30 target. Industry view: In Line.

Target price is $24.30 Current Price is $26.34 Difference: minus $2.04 (current price is over target).
If WBC meets the Morgan Stanley target it will return approximately minus 8% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $27.10, suggesting upside of 2.9% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.1

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgans rates WBC as Add (1) -

Westpac will exit the personal financial advice business and move its wealth and insurance into expanded business and consumer divisions. Changes are expected to be positive for earnings in FY20.

The bank has entered into a sale agreement with Viridian Advisory that will mean many BT Financial advice customers will be offered an opportunity to transfer to Viridian. A number of the salaried financial advisors and support staff will also move to Viridian.

Morgans reduces FY19 cash estimates for earnings per share by -2.8% because of the one-off costs associated with the exit. Add rating and $33 target maintained.

Target price is $33.00 Current Price is $26.34 Difference: $6.66
If WBC meets the Morgans target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $27.10, suggesting upside of 2.9% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.1

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Ord Minnett rates WBC as Hold (3) -

The bank will reorganise its wealth business and exit loss-making personal financial advice. Ord Minnett expects the changes to be modestly accretive to earnings in the medium term.

The broker envisages retail banking headwinds offset the bank's solid capital position. Net profit forecasts are reduced by -2% for FY19 because of separation costs and lower advice revenue.

The broker maintains a Hold rating and reduces the target to $28.00 from $28.70.

Target price is $28.00 Current Price is $26.34 Difference: $1.66
If WBC meets the Ord Minnett target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $27.10, suggesting upside of 2.9% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.1

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

UBS rates WBC as Sell (5) -

Westpac will make changes to its wealth management and no longer provide personal financial advice via salaried financial advisers or authorised representatives.

The bank is entering a sale agreement with Viridian Advisory and a number of its advisers and customers will migrate to that business. UBS reduces FY19 estimates for earnings per share by -3%, given the exit costs, but upgrades FY20 by 0.6%.

Sell rating and $24.50 target maintained.

Target price is $24.50 Current Price is $26.34 Difference: minus $1.84 (current price is over target).
If WBC meets the UBS target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $27.10, suggesting upside of 2.9% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.1

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Macquarie rates WGN as Underperform (5) -

Boral ((BLD)) has sent a note to Wagners pointing out it can buy cement a lot cheaper from some one else, so either drop your price or suspend sales for six months. Wagners has chosen suspension. The broker has reduced forecast earnings by -14-15% in FY19-20 and its target to $1.70 from $2.00.

The broker remains concerned over earnings visibility and notes the balance sheet is looking stretched. Underperform retained.

Target price is $1.70 Current Price is $2.32 Difference: minus $0.62 (current price is over target).
If WGN meets the Macquarie target it will return approximately minus 27% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.85, suggesting upside of 22.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Morgans rates WGN as Downgrade to Hold from Add (3) -

The company has advised that its largest cement customer, Boral ((BLD)), has issued a pricing notice. Morgans observes this is significant, given the take-or-pay contract is a cornerstone of Wagner's earnings profile in a volatile south-east Queensland construction market.

The broker notes the south-east Queensland cement market is highly concentrated and assumes the third-party providing the lower quote to Boral might be Cement Australia.

If so, this will support the view that demand conditions are weaker than expected, in the absence of major infrastructure projects and a slowdown in residential activity.

The company has suspended cement deliveries to Boral for six months as the dispute is addressed. Morgans downgrades to Hold from Add and reduces the target to $3.04 from $3.38.

Target price is $3.04 Current Price is $2.32 Difference: $0.72
If WGN meets the Morgans target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $2.85, suggesting upside of 22.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.0

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

Citi rates WTC as Buy (1) -

The company will make a $280m capital raising to fund acquisitions. WiseTech Global plans to grow its presence geographically, supplemented with expansion of capability. Citi expects growth to accelerate.

The company has reiterated FY19 guidance for operating earnings (EBITDA) of $100-105m, signalling growth of 28-35%. Citi maintains a Buy rating and $21.31 target.

Target price is $21.31 Current Price is $23.00 Difference: minus $1.69 (current price is over target).
If WTC meets the Citi target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $19.86, suggesting downside of -13.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.5

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources