Australian Broker Call

Citi rates ANZ as Upgrade to Neutral from Sell (3) -

Citi has reviewed the Australian banks sector following the recent trading pattern and ahead of the 1H25 result. The broker views the buying in these stocks as more a result of investors avoiding exposures like resources, tariff risks etc, than the price being paid.

The broker remains negative on the sector on stretched valuations and potential headwinds from rate cuts (factoring four RBA cuts to 3.1%) and economic slowdown. Other headwinds include a near lack of capital management and no further need at super funds to further increase their exposure.

For ANZ Bank, the broker's forecast is 4% ahead of consensus on 1H25 cash earnings due mainly to a forecast of -32% below consensus on bad debt expenses. The broker believes the current share price has factored in the new CEO risk.

Rating upgraded to Neutral from Sell, given relative underperformance. Target price lifted to $27.50 from $25.25.

Target price is $27.50 Current Price is $29.31 Difference: minus $1.81 (current price is over target).
If ANZ meets the Citi target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $28.33, suggesting downside of -3.9% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.0

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

Citi rates BSL as Buy (1) -

Citi highlights BlueScope Steel is priced at a discounted multiple to its US electric arc furnaces (EAF) peers despite outperforming the global iron and steel index in the last six months.

As a comparison, the company is pricing an 8x multiple at EBITDA of US$85/st, whereas the US EAF peers priced off an 8x multiple are at EBITDA of US$100-150/st.

The broker wonders if the valuation gap can be closed, noting the US business comprises 50% of its NAV.

Buy. Target unchanged at $26.50.

Target price is $26.50 Current Price is $22.93 Difference: $3.57
If BSL meets the Citi target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $27.04, suggesting upside of 16.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.7

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

Citi rates CBA as Sell (5) -

Citi has reviewed the Australian banks sector following the recent trading pattern and ahead of the 1H25 result. The broker views the buying in these stocks as more a result of investors avoiding exposures like resources, tariff risks etc, than the price being paid.

The broker remains negative on the sector on stretched valuations and potential headwinds from rate cuts (factoring four RBA cuts to 3.1%) and economic slowdown. Other headwinds include a near lack of capital management and no further need at super funds to further increase their exposure.

Ahead of CommBank's 3Q25 update, the broker is 1% ahead of consensus based on its 2H25 forecast. Overall, the broker lifted FY25 EPS forecast by 0.4% but cut FY26 by -1.1%.

Sell. Target price lifted to $100.00 from $90.75.

Target price is $100.00 Current Price is $162.85 Difference: minus $62.85 (current price is over target).
If CBA meets the Citi target it will return approximately minus 39% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $109.00, suggesting downside of -33.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: -1.0

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

UBS rates COL as Buy (1) -

UBS is forecasting total 3Q sales of $10.4bn, up by 3.5% on the prior year (consensus $10.5bn) when Coles Group reports on Wednesday.

The broker's target rises to $23.50 from $22.35 due to higher Supermarkets earnings (EBIT) forecasts, with slightly lower sales offset by a higher earnings margin. Buy retained.

Target price is $23.50 Current Price is $21.38 Difference: $2.12
If COL meets the UBS target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $21.61, suggesting upside of 1.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.6

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

Bell Potter rates CTT as Speculative Hold (3) -

Cettire's Q3 quarter trading update revealed sales revenue of $192.5m, broadly in line with consensus. However, an adjusted earnings (EBITDA) loss of -$4.7m (including a -$2.1m realised currency loss) materially missed forecasts by the broker and consensus.

Management flagged softer demand in Q4 due to US tariff developments affecting close to half of revenue and reported a cash balance of $76m, down from $90m a year ago.

The analysts also note negative demand impacts may arise from the potential extension of the abolishment of the 'De minimis' tax exemption beyond China.

The broker cuts near-term earnings forecasts materially, now expecting flat net revenue growth in the June quarter and a gradual recovery into FY26 and FY27, with earnings profitability expected to return from Q2 of 2026.

Bell Potter lowers its target to 47.5 cents from $1.25 on lower earnings forecasts and cash flow assumptions, and retains a Speculative Hold rating.

The broker highlights uncertainties ahead as the company cycles through a weak cash position along with a low growth environment.

Target price is $0.48 Current Price is $0.47 Difference: $0.005
If CTT meets the Bell Potter target it will return approximately 1% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: -0.5

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

Shaw and Partners rates CY5 as Buy (1) -

Cygnus Metals reported March quarter results including the merger with Dore Copper Mining Corp, Shaw and Partners notes, with exploration drilling started and two rigs spinning, the analyst states.

Dore owns the Chibougamau copper-gold project in Quebec with a CuEq resource of 10.8mt at 3.5%, including a processing facility of 900ktpa and a 250km radius of milling infrastructure.

The broker explains Cygnus is developing three lithium projects in James Bay, Canada, with an initial resource at Pontax of 10.1mt at 1.04% Li2O.

The company finished the quarter with cash of $10.3m.

Shaw maintains a Buy rating, High risk, and a 25c target price.

Target price is $0.25 Current Price is $0.09 Difference: $0.158
If CY5 meets the Shaw and Partners target it will return approximately 172% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 1.0

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

UBS rates EDV as Buy (1) -

Prior to Endeavour Group's 3Q results on May 5, UBS lowers its FY25 and FY26 EPS forecasts after assuming operating de-leverage across Retail.

The broker also lowers its valuation multiple due to the de-rating of global alcohol peers.

The analysts are forecasting 3Q total sales of $2.91bn, up 0.6% on the prior year (consensus $2.92bn).

The target falls to $4.50 from $5.00. Buy.

Target price is $4.50 Current Price is $4.01 Difference: $0.49
If EDV meets the UBS target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $4.55, suggesting upside of 12.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

Morgan Stanley rates GDG as Overweight (1) -

Morgan Stanley highlights Generation Development shares declined -15% after the 3Q25 results, which were mixed, the broker states, with investment bonds and Lonsec Managed Account inflows better than expected, but market movements and inflows from Evidentia impacted the latter's funds under management (FUM).

The analyst stresses Evidentia now needs a substantial gain in FUM for 4Q25 to achieve guidance of $18.5bn.

Investment bonds continued the robust momentum into the March quarter with inflows rising 63% on a year earlier, and this could grow if the Labour government is re-elected and passes legislation to double the tax rate on Super account balances over $3m to 30%.

The broker explains the tailwinds are positive for Evidentia and managed accounts, with the problems in this quarter due to timing issues.

Morgan Stanley lowers EPS estimates by -2% to -5% for FY25/FY26, with target price slipping to $5.65 from $6.30.

Overweight rating retained. Industry view: In-Line.

Target price is $5.65 Current Price is $4.19 Difference: $1.46
If GDG meets the Morgan Stanley target it will return approximately 35% (excluding dividends, fees and charges).

Current consensus price target is $5.62, suggesting upside of 33.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 1.0

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

Macquarie rates ILU as Outperform (1) -

Macquarie highlights Iluka Resources is advancing two key projects, Balranald and Eneabba Phase 3, each presenting significant complexity and potential value.

The upcoming Strategy Day in May should provide important updates on these projects, notes the analyst, particularly regarding Balranald’s underground mining commissioning scheduled for H2 of 2025 and life extension opportunities at Jacinth-Ambrosia.

While the market remains cautious over Balranald's novel extraction method, the broker sees encouraging proof points from prior trials, with recovery performance to be a critical focus.

Macquarie retains an Outperform rating and maintains the $6.50 target price.

Target price is $6.50 Current Price is $4.02 Difference: $2.48
If ILU meets the Macquarie target it will return approximately 62% (excluding dividends, fees and charges).

Current consensus price target is $5.15, suggesting upside of 22.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

Citi rates IMD as Neutral (3) -

After a strong February, exploration projects fell -34% m/m to 203, Citi highlights, putting cold water on optimism around near-term recovery. This has little implication for Imdex's FY25 earnings, however, due to favourable forex and capitalisation of a greater proportion of R&D expenses.

For FY26, the broker has a cautious view on the company because of the additional risk seen in junior financing levels in recent data. This is partly offset by some optimism from industry feedback for accelerated growth in directional core drilling.

The broker believes the exploration view for 2025 will need to be reviewed from a flat forecast currently.

Neutral. Target unchanged at $2.85.

Target price is $2.85 Current Price is $2.75 Difference: $0.1
If IMD meets the Citi target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $2.94, suggesting upside of 1.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.2

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

Bell Potter rates LTR as Speculative Buy (1) -

Bell Potter maintains its Speculative Buy rating and 90c target for Liontown Resources following March quarter reporting.

The company revealed spodumene concentrate production of 96kt for the period and sales of 94kt (Bell Potter 89kt), supporting revenues of $104m, in line with the analysts' forecast.

Unit operating costs of US$512/dmt and costs (AISC) of US$678/dmt at Kathleen Valley were better than forecast by the broker, while average realised prices of US$815/t were marginally below the spot price.

Management maintained second half FY25 production guidance and remains on track with the transition to underground mining by early 2026, highlights Bell Potter.

Target price is $0.90 Current Price is $0.54 Difference: $0.36
If LTR meets the Bell Potter target it will return approximately 67% (excluding dividends, fees and charges).

Current consensus price target is $0.62, suggesting upside of 10.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.0

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

Citi rates LTR as Neutral (3) -

Citi assesses Liontown Resources' 3Q25 update as mixed, with the highlight being a higher rate of recovery of 64% vs its 60% forecast. The company maintained the 3Q26 target of 70%.

Capex was lower than expected but the FY25 guidance was maintained. The broker expects 4Q to be a catch-up quarter and now sees FY25 capex at the top end of the guidance range. 

The company disclosed -$103m was spent on stockpiles, which will provide the majority of the June quarter feed. As a result, the broker cut EBITDA forecast for FY25 and FY26.

Neutral. Target unchanged at 50c.

Target price is $0.50 Current Price is $0.54 Difference: minus $0.04 (current price is over target).
If LTR 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 $0.62, suggesting upside of 10.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.0

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

Macquarie rates LTR as Neutral (3) -

Macquarie notes Liontown Resources' 3Q25 spodumene production beat consensus by 8% and costs beat by 8%. The company maintained 2H25 production guidance but expects costs to be at the upper end of the $1,170-1,290/t range.

The positive from strong production was offset by cash decline during the quarter (-$20m) as a result of weak lithium pricing environment. On a brighter note, the broker sees upside risk to the company's 70% recoveries target for 3Q26, given the 10% q/q increase seen in 3Q25.

EPS forecast for FY25 upgraded by 6%. Neutral with 65c target.

Target price is $0.65 Current Price is $0.54 Difference: $0.11
If LTR meets the Macquarie target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $0.62, suggesting upside of 10.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.0

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

Citi rates MQG as Sell (5) -

Citi has reviewed the Australian banks sector following the recent trading pattern and ahead of the 1H25 result. The broker views the buying in these stocks as more a result of investors avoiding exposures like resources, tariff risks etc, than the price being paid.

The broker remains negative on the sector on stretched valuations and potential headwinds from rate cuts (factoring four RBA cuts to 3.1%) and economic slowdown. Other headwinds include a near lack of capital management and no further need at super funds to further increase their exposure.

For Macquarie Group, the broker's cash earnings forecast for FY25 (result due May 9) is 0.4% ahead of consensus.

The broker will be more focused on the outlook commentary, given the global tariff and trade uncertainty will clearly have an impact on transactional activity for Macquarie Asset Management.

Sell. Target unchanged at $177.

Target price is $177.00 Current Price is $192.92 Difference: minus $15.92 (current price is over target).
If MQG meets the Citi target it will return approximately minus 8% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $206.31, suggesting upside of 5.9% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: -0.1

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

Macquarie rates MVF as Outperform (1) -

Macquarie notes total IVF cycles rose 5.5% y/y in 3Q25 for Monash IVF, comprising of 4.2% increase in fresh cycles and a 7.2% rise in frozen. The broker expects total cycle growth of 2.4% in 2H25 on an unchanged market share forecast of 20bps despite recent embryo mix-up incident.

The broker, however, expects the impact to be seen in FY26 and FY27, now estimating market share loss of -30bps in 1H and -15bps in 2H, and a further -11bps loss in FY27 as potential patients seek other providers.

FY25 EPS forecast cut by -0.75% and FY26 by -2.25%.

Outperform. Target cut to $1.60 from $1.65.

Target price is $1.60 Current Price is $0.81 Difference: $0.795
If MVF meets the Macquarie target it will return approximately 99% (excluding dividends, fees and charges).

Current consensus price target is $1.30, suggesting upside of 54.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.8

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

Citi rates NAB as Sell (5) -

Citi has reviewed the Australian banks sector following the recent trading pattern and ahead of the 1H25 result. The broker views the buying in these stocks as more a result of investors avoiding exposures like resources, tariff risks etc, than the price being paid.

The broker remains negative on the sector on stretched valuations and potential headwinds from rate cuts (factoring four RBA cuts to 3.1%) and economic slowdown. Other headwinds include a near lack of capital management and no further need at super funds to further increase their exposure.

The broker's 1H25 cash earnings forecast for National Australia Bank's is in line with the consensus. The analyst believes the stock-specific key headwind is recent management changes, which could put its premium valuation under pressure.

Sell. Target price lifted to $30.50 from $26.50.

Target price is $30.50 Current Price is $35.70 Difference: minus $5.2 (current price is over target).
If NAB meets the Citi target it will return approximately minus 15% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $33.31, suggesting downside of -7.2% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: -0.7

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

Citi rates NEM as Buy (1) -

Following 1Q25 result, Citi has updated its model for Newmont Corp with changes including a more bullish forecast for gold around US$3,040/oz for FY25.

This pushed up FY25 EBITDA forecast by 4%. Target price unchanged at $95, based on 1.2 NAV on a US$2,200/oz gold price.

Buy maintained.

Target price is $95.00 Current Price is $84.12 Difference: $10.88
If NEM meets the Citi target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $94.60, suggesting upside of 13.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY25:

Forecast for FY26:

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

Macquarie rates NEM as Outperform (1) -

Newmont Corp's 1Q25 update beat Macquarie's forecast on gold production by 6%, costs by 12% and underlying EBITDA by 18%. Costs are, however, expected to peak in 2Q due to a push back from 1Q spend.

Net debt was lower than expected due to stronger free cash flow, and the broker notes the company's commentary suggested potential for more share buybacks on the gold price-related strong cash flow trend.

EPS forecast for FY25 lifted by 1% on strong 1Q result, partly offset by higher costs forecast for 2Q.

Outperform. Target price $94.

Target price is $94.00 Current Price is $84.12 Difference: $9.88
If NEM meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $94.60, suggesting upside of 13.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY25:

Forecast for FY26:

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

Morgans rates NEM as Add (1) -

Morgans extolls the strength of Newmont Corp's March quarter production, cost management, and cash flow results, which were boosted by a record gold price.

Gold production of 1.54moz was 3% above consensus and 10% higher than the broker's estimate but down -18% on the previous quarter due to less contribution from non-core divested assets. Gold cost of sales was US$1,227/oz, lower than consensus by -3% and -5% below Morgans.

All-in-sustaining-costs of US$1,651/oz were also below expectations. Cash flow came in above consensus by 44% and the analyst's estimate by 30%.

Management retired around US$1bn in debt and repurchased US$755m of shares since the start of 2025.

Target price lifts to $97 from $84 with no change to Add rating. Morgans raises EPS forecasts by 7% in 2025 and 2026.

Target price is $97.00 Current Price is $84.12 Difference: $12.88
If NEM meets the Morgans target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $94.60, suggesting upside of 13.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY25:

Forecast for FY26:

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

Bell Potter rates ONE as Buy (1) -

Bell Potter highlights materially improved 1Q results for Oneview Healthcare, with cash receipts rising by circa 177.6% quarter-on-quarter, partly due to timing issues from the 4Q.

The broker notes negotiations are underway with four prospective customers, including one of the top ten US health systems, for a commercial pilot scheduled to commence in August.

The company is also preparing to implement its new Smart Terminal for a top-ten US hospital client in the June quarter and is targeting contract wins in Saudi Arabia and the UK during the second half of 2025, highlight the analysts.

Bell Potter sees upside potential from operating leverage and a strong sales pipeline but retains conservative forecasts pending contract conversion milestones.

Bell Potter retains its Buy rating and 45 cent target.

Target price is $0.45 Current Price is $0.28 Difference: $0.17
If ONE meets the Bell Potter target it will return approximately 61% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY25:

Forecast for FY26:

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

Market Sentiment: 1.0

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

Bell Potter rates PDN as Buy (1) -

Paladin Energy’s March quarter result delivered a significant uplift in tonnes processed, up 20% quarter-on-quarter, and a 4% improvement in grade, resulting in production exceeding Bell Potter's forecast.

Production was 745klbs (the broker forecast 570klbs) U3O8 on 0.9mt material compared to the analysts' 0.7mt estimate, processed at an average grade of 419ppm, beating Bell Potter's 404ppm forecast.

The broker explains mining has shifted from the planned G-Pit to the alternate G2A pit, which was less impacted by the significant rainfall event. While disruptions continued into early April, plant operations have now returned to normal.

The current stock price implies deep-value at current levels (implying US$50/lb into perpetuity), suggest the analysts. The Buy rating is maintained and the target rises to $6.50 from $6.30.

Target price is $6.50 Current Price is $5.65 Difference: $0.85
If PDN meets the Bell Potter target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $8.41, suggesting upside of 35.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

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

Market Sentiment: 1.0

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

Bell Potter rates REA as Buy (1) -

Stronger national residential property listings in March, according to REA Group's property data subsidiary PropTrack, supports Bell Potter's current FY25 forecasts for the group.

Improving accessibility to home ownership amid relatively static supply is expected to support rising house prices, in the analysts' view, particularly against the backdrop of an RBA cutting cycle.

The broker's Buy rating and $264 target are maintained.

Target price is $264.00 Current Price is $242.75 Difference: $21.25
If REA meets the Bell Potter target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $269.43, suggesting upside of 9.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.6

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

Macquarie rates RMD as Outperform (1) -

ResMed's 3Q25 revenue fell -2% short of Macquarie's forecast but was largely in line with consensus as stronger masks revenue offset lower devices growth.

The company guided 4Q margins to be in line with 3Q, which the broker sees as 59.6% but with upside risks should USD remain weak. Importantly, the company assessed negligible impact from tariffs as chronic respiratory-related products will be exempt, prompting the broker to revise tariff-related forecasts it previously included.

Medium-term positive catalyst is expected from demand for GLP-1 and wearables, while near-term could come from margin expansion.

Outperform. Target $48.

Target price is $48.00 Current Price is $36.93 Difference: $11.07
If RMD meets the Macquarie target it will return approximately 30% (excluding dividends, fees and charges).

Current consensus price target is $45.42, suggesting upside of 23.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

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

Market Sentiment: 1.0

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

Morgan Stanley rates RMD as Overweight (1) -

According to Morgan Stanley, ResMed reported group revenue which was in line with the broker's forecast and consensus expectations. America revenue rose on the quarter but was slightly below expectations, with Americas masks and accessories better than anticipated.

Gross margin of 59.9% was above the analyst's forecast by 0.4% and above consensus by 0.5%, while operating cash flow advanced by 17%.

Importantly, management expects minimal impacts from US tariffs, and ResMed will continue to increase US manufacturing capacity in Calabasas, California, which will double the size over the next few years.

The company has cash on hand of US$260m, with share buybacks to rise to US$100m from 4Q25 and selective M&A on the horizon.

No change to the analyst's US$280 target price and Overweight rating for ResMed. Industry View: In-Line.

Current Price is $36.93. Target price not assessed.

Current consensus price target is $45.42, suggesting upside of 23.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

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

Market Sentiment: 1.0

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

Morgans rates RMD as Add (1) -

Morgans highlights ResMed reported better than anticipated 3Q25 results with adjusted EPS of US$2.48 against consensus of US$2.29 and revenue coming in 8% higher than the forecast and 9% above consensus.

Gross profit margin rose 140bps to 59.9% on efficiencies derived from manufacturing and logistics. US mask growth was sustained above industry growth and residential software sales were better than expected.

The company's tariff-exemption status was most importantly confirmed, Morgans emphasises, alongside an expanding US manufacturing footprint and new technology to improve adoption.

Target price lifts to $44.07 from $43.60 with an Add rating maintained.

Target price is $44.07 Current Price is $36.93 Difference: $7.14
If RMD meets the Morgans target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $45.42, suggesting upside of 23.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

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

Market Sentiment: 1.0

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

Ord Minnett rates RMD as Upgrade to Buy from Accumulate (1) -

ResMed reported March quarter results ahead of Ord Minnett's expectations, with gross margin expansion driven by a stronger product mix and manufacturing efficiencies, and announced an increase in its share buyback program from June 30.

Revenue grew by 9% year-on-year, and EPS rose by 17%, supported by broad-based strength across both US and rest-of-world markets, explains the broker, with mask sales up 13% and CPAP device sales up 6%.

These numbers alleviate concerns around the impact of weight-loss drugs on patient volumes, suggests the analyst. Strong operating leverage is expected to continue, supported by further gross margin expansion, tight cost control, and production improvements.

The broker views ResMed’s balance sheet as capable of sustaining increased buybacks while supporting ongoing growth initiatives.

The target price rises to $45.60 from $44.80 and the rating is upgraded to Buy from Accumulate.

Target price is $45.60 Current Price is $36.93 Difference: $8.67
If RMD meets the Ord Minnett target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $45.42, suggesting upside of 23.8% (ex-dividends)

Forecast for FY25:

Forecast for FY26:

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

Market Sentiment: 1.0

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

Macquarie rates RSG as Outperform (1) -

Macquarie notes Resolute Mining's 1Q25 group production was largely in line with its forecast, but costs were 4% higher on lower q/q production volumes and higher royalty costs.

The implied net cash build was -US$10m below the estimate, but the broker still considers it a stable operational performance.

The company stated the Ravenwood mine is being sold with a likely completion date in 2025, and the broker is forecasting a $167m contingent payment in 4Q. For context, the contingent payment is part of the agreement when Resolute sold the mine in 2020.

Minor changes to EPS forecasts. Outperform with target price of 55c.

Target price is $0.55 Current Price is $0.50 Difference: $0.055
If RSG meets the Macquarie target it will return approximately 11% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY25:

Forecast for FY26:

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

Bell Potter rates SEK as Buy (1) -

Bell Potter lowers its volume forecasts for Seek in A&NZ for FY25, with yield assumptions unchanged. Both yield and volume forecasts for Asia through FY25-27 are also lowered due to heightened sensitivity to economic downturn risks linked to tariff-related disruptions.

Seek’s March employment report for Australia showed an accelerating decline in job ads year-on-year, reversing the trend of progressively narrowing declines seen over the past ten months, highlights the broker.

The analysts remain positive for volume growth generally despite the moderated macroeconomic outlook.

Bell Potter retains a Buy rating. The target falls to $25.80 from $27.00 due to earnings forecast downgrades as well as an increase in the broker's risk discount for Seek's Growth Fund.

Target price is $25.80 Current Price is $21.17 Difference: $4.63
If SEK meets the Bell Potter target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $27.81, suggesting upside of 30.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 1.0

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

Ord Minnett rates SFX as Hold (3) -

Ord Minnett highlights Sheffield Resources delivered its strongest operational quarter to date, generating $32m in operational cash flows, supported by record zircon sales of 82kt, as pre-released earlier in April.

Management plans to reduce unit costs by increasing mining rates from 12mtpa to 16mtpa using its existing dozer fleet, which the broker expects will lower production costs by around -$80/t and add $3-5m of free cash flow per quarter.

While Stage 2 expansion plans have been deferred indefinitely, the analyst notes Sheffield aims to reach 16mtpa throughput by September quarter 2026.

Ord Minnett raises the target price to 20c from 19c and retains a Hold rating given a cautious view pending a debt restructure, given the current amortisation profile was set under more favourable market conditions.

Target price is $0.19 Current Price is $0.18 Difference: $0.015
If SFX meets the Ord Minnett target it will return approximately 9% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.0

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

Macquarie rates SUN as Neutral (3) -

Macquarie believes global tariffs could have significant impacts on insurance products and hence insurance stocks via channels like economic slowdown and lower interest rates.

Australia/New Zealand-specific impacts include dumping-related deflation that would result in a lower premium rate cycle.

In such a scenario, the broker expects better claims and margin for Suncorp Group but notes its increased sensitivity to lower investment income.

Neutral. Target $19.20.

Target price is $19.20 Current Price is $19.68 Difference: minus $0.48 (current price is over target).
If SUN meets the Macquarie target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $20.92, suggesting upside of 5.7% (ex-dividends)

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

Shaw and Partners rates SX2 as Buy (1) -

Shaw and Partners observes the latest drilling results from the Apollo prospect with 28.6m at 10.9g/t AuEq from 845m and 1.2m at 47.7g/t Au from 957m.

The broker highlights only around 5% of the total trend has been drilled, offering upside in exploration beyond the current area.

The broker highlights Southern Cross has a cash balance of circa $16m, well funded with a forecast average expenditure rate of -$1.4m per month.

The analyst notes Resources Victoria has approved the mining license for the Gosven Mineral Sands project.

Buy, High Risk rating and $6.03 target maintained. Southern Cross Gold remains one of Shaw's key gold developer picks.

Target price is $6.03 Current Price is $5.60 Difference: $0.43
If SX2 meets the Shaw and Partners target it will return approximately 8% (excluding dividends, fees and charges).

The company's fiscal year ends in May.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 1.0

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

Citi rates WBC as Sell (5) -

Citi has reviewed the Australian banks sector following the recent trading pattern and ahead of the 1H25 result. The broker views the buying in these stocks as more a result of investors avoiding exposures like resources, tariff risks etc, than the price being paid.

The broker remains negative on the sector on stretched valuations and potential headwinds from rate cuts (factoring four RBA cuts to 3.1%) and economic slowdown. Other headwinds include a near lack of capital management and no further need at super funds to further increase their exposure.

For Westpac, the broker's forecast is -2% below consensus on 1H25 cash earnings due mainly to a forecast of -2bps below consensus on net interest margin. The broker cut cash earnings estimate by -4-12% for FY25-27 on moderate loan growth forecasts and lower net interest margin.

Sell. Target price lifted to $27.75 from $26.25.

Target price is $27.75 Current Price is $32.30 Difference: minus $4.55 (current price is over target).
If WBC meets the Citi target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $29.51, suggesting downside of -9.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: -0.5

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

Ord Minnett rates WDS as Hold (3) -

Woodside Energy reported March quarter production of 49.1mmboe, in line with Ord Minnett's expectation, while stronger-than-expected realised oil and gas pricing lifted sales revenue to US$3.3bn, well above consensus.

The broker expects production for 2025 to trend towards the high end of FY25 guidance (186-196mmboe), underpinned by strong performance at the Sangomar project, with capital expenditure forecast at the upper end of the US$4.5-5.0bn range.

While no new detail was provided on the Louisiana LNG project, the broker notes final investment decision remains targeted for the June quarter, with execution risks and funding needs likely to keep balance sheet flexibility constrained near-term.

Ord Minnett raises the target price to $27.00 from $26.50 and maintains a Hold rating.

Target price is $27.00 Current Price is $20.36 Difference: $6.64
If WDS meets the Ord Minnett target it will return approximately 33% (excluding dividends, fees and charges).

Current consensus price target is $25.47, suggesting upside of 23.6% (ex-dividends)

Forecast for FY25:

Forecast for FY26:

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

Market Sentiment: 0.2

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

UBS rates WOW as Neutral (3) -

Given 3Q results are due on May 1 for Woolworths Group, UBS is forecasting total sales of $17.6bn, a 4.6% increase on a year ago, while consensus is aiming for $16.6bn.

The broker retains a Neutral rating, noting challenges persist in Australian Food and Big W, yet a renewed focus on costs and portfolio return on funds employed (ROFE) offers a potential path to improved performance.

The target rises by $1.00 to $31.50 after the analysts allow for an increase in peer multiples.

Target price is $31.50 Current Price is $31.74 Difference: minus $0.24 (current price is over target).
If WOW meets the UBS target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $32.29, suggesting upside of 2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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