Australian Broker Call

UBS rates AMP as Neutral (3) -

Weaker equity markets are likely to affect wealth managers, although UBS suggests value still exists.

Still, AMP remains among the more vulnerable and the broker reduces estimates for earnings per share by -10.3% in FY20 and -13.7% in FY21.

Neutral retained. Target is reduced to $1.55 from $1.80.

Target price is $1.55 Current Price is $1.37 Difference: $0.18
If AMP meets the UBS target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $1.79, suggesting upside of 30.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

UBS rates ASX as Upgrade to Neutral from Sell (3) -

Weaker equity markets are likely to affect wealth managers, although UBS suggests value still exists.

ASX trading revenue is likely to benefit from increased volatility, offsetting the potential for lower near-term corporate action revenue.

Rating is upgraded to Neutral from Sell and the target reduced to $68.50 from $72.25.

Target price is $68.50 Current Price is $67.95 Difference: $0.55
If ASX meets the UBS target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $73.32, suggesting upside of 7.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.4

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

UBS rates CGF as Neutral (3) -

Weaker equity markets are likely to affect wealth managers, although UBS suggests value still exists.

Challenger has been most resilient so far, with the broker noting the share price is down just -8.5%.

Neutral rating maintained. Target falls to $7.70 from $9.56.

Target price is $7.70 Current Price is $6.80 Difference: $0.9
If CGF meets the UBS target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $8.84, suggesting upside of 29.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.1

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

Citi rates CPU as Neutral (3) -

There remains too much uncertainty about how this business can and will perform in a rapidly changing global context, comment the analysts at Citi. On top of this uncertainty, they don't see any positive EPS momentum until FY22.

Now that management has rebased guidance for margin income, the analysts still see downside risk, but in a relatively modest fashion. EPS forecasts have been cut by -10%-17% with the analysts explaining revised projections also allow for the partially offsetting lower cost of floating rate debt.

Citi cannot get any more enthusiastic than a Neutral rating (unchanged), while the price target drops to $12.50 from $19.20.

Target price is $12.50 Current Price is $10.42 Difference: $2.08
If CPU meets the Citi target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $12.01, suggesting upside of 15.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.1

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

Credit Suisse rates CPU as Neutral (3) -

The company has sharply downgraded FY20 guidance for earnings per share, expecting a -25% fall in margin income and a further -35-40% fall in FY21.

This is based on the current interest-rate forward curve. Credit Suisse significantly re-bases earnings but also envisages further downside risk if the current interest-rate forward curve eventuates.

Neutral rating maintained. Target is reduced to $10.90 from $15.25.

Target price is $10.90 Current Price is $10.42 Difference: $0.48
If CPU meets the Credit Suisse target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $12.01, suggesting upside of 15.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.1

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

Macquarie rates CPU as Underperform (5) -

Due to plunging interest rates, Computershare has downgraded FY20 management earnings guidance to "down around -15%" from a previous "down around -5%" but more importantly, the broker notes, downgraded FY21 margin income guidance by -47% on the basis that negative knock-on effects could manifest for US mortgage servicing and corporate actions through FY21.

The broker cuts earnings forecasts by -10% and -22% in FY20-21. Target falls to $12.13 from $16.25. Underperform retained.

Target price is $12.13 Current Price is $10.42 Difference: $1.71
If CPU meets the Macquarie target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $12.01, suggesting upside of 15.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.1

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

Morgan Stanley rates CPU as Underweight (5) -

Morgan Stanley reduces estimates for earnings by -9% in FY20 and -17% in FY21-22, given new guidance for lower margin income.

Computershare expects margin income revenue of around US$185m in FY20 versus earlier guidance implying US$225m.

Underweight maintained. Target is reduced to $11 from $14. Industry view is In-Line.

Target price is $11.00 Current Price is $10.42 Difference: $0.58
If CPU meets the Morgan Stanley target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $12.01, suggesting upside of 15.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.1

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

Morgans rates CPU as Upgrade to Add from Hold (1) -

The company has downgraded guidance for FY20, expecting a contraction in earnings per share of -15%. This stems from the impact of recent cuts to global interest rates.

Morgans considers this reasonably conservative and downgrades FY20-21 forecasts by -9-15%.

While the current operating environment is difficult, Morgans assesses the stock offers long-term value and upgrades to Add from Hold. Target drops to $14.34 from $17.51.

Target price is $14.34 Current Price is $10.42 Difference: $3.92
If CPU meets the Morgans target it will return approximately 38% (excluding dividends, fees and charges).

Current consensus price target is $12.01, suggesting upside of 15.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.1

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

Ord Minnett rates CPU as Lighten (4) -

FY20 guidance has been downgraded on interest rate pressures and lower margin balances. Ord Minnett assesses the stock has de-rated significantly and valuation risks are now less.

Still, concerns linger regarding the UK mortgage servicing business. Moreover, with the reduction in earnings gearing levels are likely to be quite elevated.

The broker retains a Lighten rating and reduces the target to $10.50 from $16.00.

Target price is $10.50 Current Price is $10.42 Difference: $0.08
If CPU meets the Ord Minnett target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $12.01, suggesting upside of 15.3% (ex-dividends)

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.1

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

UBS rates CPU as Upgrade to Buy from Neutral (1) -

Weaker equity markets are likely to affect wealth managers, although UBS suggests value still exists.

Among diversified financials Computershare is considered the most affected.

With margin income guidance re-based for lower yield curves and a 12-month PE at the lower end of historical ranges, UBS considers the stock now offers compelling value.

Rating is upgraded to Buy from Neutral and the target is lowered to $12.70 from $17.50.

Target price is $12.70 Current Price is $10.42 Difference: $2.28
If CPU meets the UBS target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $12.01, suggesting upside of 15.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.1

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

UBS rates CTD as Buy (1) -

As the corporate travel market has slowed, UBS recognises a higher degree of uncertainty around short-term earnings. Nevertheless the long-term outlook is intact.

The broker believes the company is well-positioned to record above-market growth and leverage its strong balance sheet. The main difficulty will be in balancing costs while still maintaining capacity to leverage a recovery.

Buy rating maintained. The broker reduces estimates for earnings per share by -11% for FY20. Target is reduced to $25.50 from $28.00.

Target price is $25.50 Current Price is $8.60 Difference: $16.9
If CTD meets the UBS target it will return approximately 197% (excluding dividends, fees and charges).

Current consensus price target is $21.08, suggesting upside of 145.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.6

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

Morgans rates FCT as Add (1) -

First half results were largely in line with expectations. Meaningful cash inflow is expected in the third quarter to fund the business in the current half year.

Morgans suspects the market is under appreciating the fact billing partners have grown to 13 in January from just 3 in June 2019 and are expected to be more than 18 by the end of June 2020.

Speculative Buy (Add) maintained. Target is reduced to $0.24 from $0.33.

Target price is $0.24 Current Price is $0.13 Difference: $0.11
If FCT meets the Morgans target it will return approximately 85% (excluding dividends, fees and charges).

Market Sentiment: 1.0

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

UBS rates FLT as Buy (1) -

UBS reduces estimates for earnings per share by -35% for FY20 and -8% for FY21. This reflects the accelerating impact of coronavirus and follows the Qantas ((QAN)) announcement that it will reduce capacity.

The broker expects earnings will recover in FY21 and benefit from a more aggressive cost reduction program. Buy rating maintained. Target is reduced to $44 from $46.

Target price is $44.00 Current Price is $19.56 Difference: $24.44
If FLT meets the UBS target it will return approximately 125% (excluding dividends, fees and charges).

Current consensus price target is $38.24, suggesting upside of 95.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.3

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

Morgan Stanley rates GXY as Equal-weight (3) -

Grades have been bumped up at Mt Cattlin but Morgan Stanley points out this is reliant on yield optimisation benefits which have not yet been tested.

The reserve is 8.2mt at 1.29% and the resource 10.2mt at 1.28%. Equal-weight rating and 95c target maintained. Industry view: In Line.

Target price is $0.95 Current Price is $0.72 Difference: $0.23
If GXY meets the Morgan Stanley target it will return approximately 32% (excluding dividends, fees and charges).

Current consensus price target is $1.09, suggesting upside of 51.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.1

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

Morgans rates HLO as Hold (3) -

Helloworld has withdrawn FY20 guidance in the wake of the coronavirus outbreak and the impact on travel plans. Morgans stresses uncertainty remains high in the short term and assumes the impact is felt in the first half of FY21 as well.

While the share price has been savagely oversold, the broker considers it too early to start buying travel stocks. Hold maintained. Target is lowered to $2.45 from $4.50.

Target price is $2.45 Current Price is $1.85 Difference: $0.6
If HLO meets the Morgans target it will return approximately 32% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.5

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

UBS rates IFL as Upgrade to Neutral from Sell (3) -

Weaker equity markets are likely to affect wealth managers, although UBS suggests value still exists. Among the platforms, IOOF carries greater exposure to lower equity markets than Netwealth Group ((NWL)).

Despite the PE looking particularly compelling, UBS upgrades to Neutral from Sell, rather than Buy, to reflect re-pricing risks. Target is reduced to $4.80 from $6.40.

Target price is $4.80 Current Price is $4.02 Difference: $0.78
If IFL meets the UBS target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $6.96, suggesting upside of 73.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

UBS rates MFG as Upgrade to Neutral from Sell (3) -

Weaker equity markets are likely to affect wealth managers, although UBS suggests value still exists.

With Magellan Financial's share price sliding -20% in the year to date, despite more resilient funds under management, downside risks have abated, in the broker's view.

Rating is upgraded to Neutral from Sell and the target is lowered to $46.00 from $54.30.

Target price is $46.00 Current Price is $41.46 Difference: $4.54
If MFG meets the UBS target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $55.90, suggesting upside of 34.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.7

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

UBS rates MPL as Upgrade to Neutral from Sell (3) -

The impact of coronavirus on health insurers is likely to mean lower travel insurance revenue while lower bond yields will also have an impact.

There remains little empirical evidence domestically as to how private health insurance volumes may be impacted by the epidemic, although elective surgery in Asia has declined.

With hospital utilisation set to slow if the outbreak continues to spread, UBS believes Medibank Private could experience greater earnings support.

Rating is upgraded to Neutral from Sell and the target is reduced to $2.70 from $2.80.

Target price is $2.70 Current Price is $2.62 Difference: $0.08
If MPL meets the UBS target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $2.87, suggesting upside of 9.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.4

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

Citi rates NCM as Neutral (3) -

Newcrest Mining's market update was heavily overshadowed by the -18% downgrade to guidance regarding Lihir's gold output, comment the analysts at Citi. It is their view that in order to increase investors' comfort with the concentration in assets, management must increase operational stability/reliability.

The analysts note the recent share price pullback has the miner now trading at around1.0x Net Asset Value (NAV) which is considered "reasonable", but not yet compelling. As such, the Neutral rating remains unchanged while the price target falls to $30.40 from $31.30.

Target price is $30.40 Current Price is $24.57 Difference: $5.83
If NCM meets the Citi target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $28.27, suggesting upside of 15.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.1

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

Morgan Stanley rates NCM as Overweight (1) -

The downgrade to Lihir production guidance was greater than Morgan Stanley expected. The issues appear isolated to FY20 and Cadia continues to perform strongly.

Guidance at Cadia and Red Chris has been upgraded by 30,000t collectively. Drilling at Red Chris has confirmed a high grade pod and studies will evaluate stoping before bulk methods.

Overweight rating, In-Line industry view and $32.20 target.

Target price is $32.20 Current Price is $24.57 Difference: $7.63
If NCM meets the Morgan Stanley target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $28.27, suggesting upside of 15.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.1

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

Ord Minnett rates NCM as Hold (3) -

The company has issued downgraded production guidance. Lihir is largely the operation at fault while the last of production from Gosowong is upgraded and there is early commercial production from Fruta del Norte.

Already well below guidance, Ord Minnett reduces production forecasts by another -12%.

The broker expects the respective value propositions from Red Chris and Havieron will be clearer in the second half of 2020. Hold rating and $26 target maintained.

Target price is $26.00 Current Price is $24.57 Difference: $1.43
If NCM meets the Ord Minnett target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $28.27, suggesting upside of 15.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.1

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

UBS rates NCM as Sell (5) -

Newcrest has downgraded FY20 production guidance to 2.1-2.2m ounces. The cause is mostly Lihir, where production is now expected to be 775-825,000 ounces.

UBS assesses guidance was already looking difficult to achieve, given the production issues in the first half and these appear to have continued into the second.

As the stock trades at a premium valuation to peers, and the current operating performance does not warrant this, UBS maintains a Sell rating. Target is reduced to $26 from $28.

Target price is $26.00 Current Price is $24.57 Difference: $1.43
If NCM meets the UBS target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $28.27, suggesting upside of 15.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.1

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

UBS rates NHF as Upgrade to Buy from Neutral (1) -

The impact of coronavirus on health insurers is likely to mean lower travel insurance revenue while lower bond yields will also have an impact.

There remains little empirical evidence domestically as to how private health insurance volumes may be impacted by the epidemic, although elective surgery in Asia has declined.

UBS upgrades nib Holdings to Buy from Neutral, as the stock is down -40% in the year to date and there is attractive medium-term upside. Target is reduced to $4.75 from $5.34.

Target price is $4.75 Current Price is $3.62 Difference: $1.13
If NHF meets the UBS target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $5.15, suggesting upside of 42.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

UBS rates NWL as Upgrade to Neutral from Sell (3) -

Weaker equity markets are likely to affect wealth managers, although UBS suggests value still exists.

Lower cost-to-income, divisional diversification and fee thresholds are expected to temper the impact of the market rout.

Although Netwealth Group's platform revenue margins are likely to compress significantly in FY21, UBS considers the value risks are low.

The broker upgrades to Neutral from Sell. Target is reduced to $6.50 from $7.40.

Target price is $6.50 Current Price is $5.52 Difference: $0.98
If NWL meets the UBS target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $7.68, suggesting upside of 39.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

UBS rates PDL as Upgrade to Buy from Sell (1) -

Weaker equity markets are likely to affect wealth managers, although UBS suggests value still exists.

While JO Hambro remains a headwind for performance fees and flows, Pendal Group shares now provide significantly greater appeal for the broker.

Rating is upgraded to Buy from Sell and the target reduced to $6.15 from $7.75.

Target price is $6.15 Current Price is $4.84 Difference: $1.31
If PDL meets the UBS target it will return approximately 27% (excluding dividends, fees and charges).

Current consensus price target is $8.13, suggesting upside of 68.0% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

Credit Suisse rates QAN as Neutral (3) -

Qantas has announced a -23% cut to international capacity and a -5% cut to domestic. Guidance has been withdrawn because of the unknowns surrounding coronavirus.

Credit Suisse expects the capacity reductions will remain in place for 2020 and this should limit the revenue decline to low single-digit percentages. Neutral maintained. Target is reduced to $4.30 from $6.50.

Target price is $4.30 Current Price is $3.68 Difference: $0.62
If QAN meets the Credit Suisse target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $5.82, suggesting upside of 58.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

UBS rates QBE as Buy (1) -

The impact of coronavirus on insurers relates to travel insurance and business interruption cover. UBS believes claims impacts are likely to be relatively limited and lower travel insurance revenue is the key issue.

UBS expects lower investment income yields for QBE Insurance because of a reduction in global risk-free rates amid increased credit spreads.

Buy rating retained. Target is lowered to $13.60 from $15.85.

Target price is $13.60 Current Price is $10.35 Difference: $3.25
If QBE meets the UBS target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $15.30, suggesting upside of 47.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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 RAP as Downgrade to Hold from Add (3) -

The US FDA has not approved the de novo application for the ResApp-DX diagnostic, which Morgans suggests highlights the difficulties in obtaining clearance through this pathway.

Moreover, Sanofi has allowed its option for exclusive negotiations to expire. Morgans withdraws its US commercialisation assumptions from forecasts until more clarity is provided.

Rating is downgraded to Hold from Speculative Buy (Add). Target is lowered to 8.6c from 40c.

Target price is $0.09 Current Price is $0.09 Difference: minus $0.004 (current price is over target).
If RAP meets the Morgans target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

Morgans rates RCW as Add (1) -

First half results were stronger than expected, with revenue from operations up 36%. Morgans was pleased with the progress through the half.

Despite this the share price remains weak, which the broker suspects is a function of low liquidity and a tight cash balance.

Speculative Buy (Add) rating retained. Target is reduced to 31c from 35c.

Target price is $0.31 Current Price is $0.22 Difference: $0.09
If RCW meets the Morgans target it will return approximately 41% (excluding dividends, fees and charges).

Market Sentiment: 1.0

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

Citi rates SXY as Upgrade to Buy from Neutral (1) -

Citi analysts are of the view that management at Senex Energy has materially de-risked the company over the year past, including the balance sheet and performance of the coal seams. As such an upgrade to Buy from Neutral seems appropriate.

The company's guidance for FY22 is seen as in-line with Citi's projections. Following a savage sell-off across the energy sector, the analysts report the share price, post sell-off, implies unrealistic modeling inputs such as a long term oil price of US$15/bbl.

Citi has set a target price of 39c (down from 46c) which implies oil priced at US$55/bbl explain the analysts.

Target price is $0.39 Current Price is $0.20 Difference: $0.19
If SXY meets the Citi target it will return approximately 95% (excluding dividends, fees and charges).

Current consensus price target is $0.43, suggesting upside of 114.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Macquarie rates SXY as Outperform (1) -

Roma North has achieved initial capacity with significantly less well drilled, the broker notes, and development focus has now shifted to Atlas.

More importantly, Senex Energy has hedged over 60% of its next 18 months oil production at A$90/bbl (around US$59/bbl on today's exchange rate) and has some 95% of 2020 gas contracted, proving pricing security.

Lower oil price forecasts lead to a target cut to 45c from 50c. Outperform retained.

Target price is $0.45 Current Price is $0.20 Difference: $0.25
If SXY meets the Macquarie target it will return approximately 125% (excluding dividends, fees and charges).

Current consensus price target is $0.43, suggesting upside of 114.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Morgan Stanley rates SXY as Overweight (1) -

Morgan Stanley assesses de-risking is on track and guidance at the asset level is in line with assumptions. Guidance is for $70-90m in free cash although this does not include exploration expenditure in the Cooper Basin.

The broker notes the stock is being sold off with the broader market and maintains an Overweight rating. Target is $0.45. Industry view: In-Line.

Target price is $0.45 Current Price is $0.20 Difference: $0.25
If SXY meets the Morgan Stanley target it will return approximately 125% (excluding dividends, fees and charges).

Current consensus price target is $0.43, suggesting upside of 114.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Ord Minnett rates SXY as Upgrade to Buy from Hold (1) -

Ord Minnett believes the stock is looking increasingly attractive and upgrades to Buy from Hold.

Well performance has been better than expected, with positive implications for capital expenditure and operating expenses.

Moreover, the company has limited exposure to benchmark commodity prices. Target is raised to 38c from 37c.

Target price is $0.38 Current Price is $0.20 Difference: $0.18
If SXY meets the Ord Minnett target it will return approximately 90% (excluding dividends, fees and charges).

Current consensus price target is $0.43, suggesting upside of 114.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Morgans rates SYD as Add (1) -

The company has indicated the spread of coronavirus has had a deleterious impact on airport traffic. Morgan revises forecasts lower and now assumes the distribution in 2020 is held at 2019 levels.

Value is envisaged at current prices, assuming passenger numbers rebound to trend once the threats pass. Add retained. Target is reduced to $8.54 from $9.10.

Target price is $8.54 Current Price is $6.16 Difference: $2.38
If SYD meets the Morgans target it will return approximately 39% (excluding dividends, fees and charges).

Current consensus price target is $7.74, suggesting upside of 25.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

UBS rates SYD as Upgrade to Buy from Neutral (1) -

The early disclosure of traffic numbers has revealed a much lower run rate, with international traffic down -25% and domestic down -6% in February.

With evidence of a more protracted and deeper impact on traffic, UBS factors in a -25% decline in international traffic and -5% decline in domestic traffic until September, followed by a gradual recovery and rebound in 2021.

Cash flow estimates are downgraded by -10% for 2020 as a result. The broker upgrades to Buy from Neutral.

Bond rates have further compressed and the government stimulus measures are likely to keep rates lower for longer, which in the broker's view should enhance valuation appeal. Target is reduced to $7.70 from $8.50.

Target price is $7.70 Current Price is $6.16 Difference: $1.54
If SYD meets the UBS target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $7.74, suggesting upside of 25.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

Macquarie rates TNE as Upgrade to Outperform from Neutral (1) -

The market sell-off means TechnologyOne is trading well below Macquarie's target price, which the broker has upgraded to $9.75 from $9.60.

TechnologyOne is a high quality software business with a long track record of growth within its core market verticals, the broker notes. Revenue has seen compound annual growth of 12% from FY04 to FY19, emphasizing the strength of the business and quality customer base.

Macquarie highlights some 85% revenue stems from government, education and health verticals that are highly defensive and where the company has more than 99% retention. Upgrade to Outperform from Neutral.

Target price is $9.75 Current Price is $6.78 Difference: $2.97
If TNE meets the Macquarie target it will return approximately 44% (excluding dividends, fees and charges).

Current consensus price target is $8.19, suggesting upside of 20.8% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

Credit Suisse rates WEB as Neutral (3) -

The company has withdrawn previous FY20 operating earnings (EBITDA) guidance of $147-165m. There has been a material escalation in cancellation rates for near-term travel and a reduction in overall travel booking activity.

Credit Suisse reduces estimates for earnings per share in FY20 and FY21 by -49% and -48% respectively.

For investors willing to look through the reduced earnings base from an external shock over the near term, the broker believes there is material value on hand while the balance sheet appears secure.

Neutral maintained. Target is reduced to $7.30 from $14.00.

Target price is $7.30 Current Price is $5.64 Difference: $1.66
If WEB meets the Credit Suisse target it will return approximately 29% (excluding dividends, fees and charges).

Current consensus price target is $10.70, suggesting upside of 89.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

Morgan Stanley rates WEB as Underweight (5) -

Webjet has retracted February guidance on the back of the coronavirus outbreak, and Morgan Stanley is not surprised.

The broker notes the travel sector has been severely affected and isolates the near-term issues from the longer-term competitive concerns surrounding the consumer business.

Underweight rating maintained. Target is $10.00. Industry View is In-Line.

Target price is $10.00 Current Price is $5.64 Difference: $4.36
If WEB meets the Morgan Stanley target it will return approximately 77% (excluding dividends, fees and charges).

Current consensus price target is $10.70, suggesting upside of 89.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

Morgans rates WEB as Hold (3) -

The company has withdrawn FY20 guidance because of the impact of the spread of coronavirus and the escalation in cancellation rates for near-term travel.

Morgans now assumes the threat impacts on the first half of FY21 and that FY22 will represent a return to more normal travel demand.

Hold rating maintained. Target is lowered to $7.72 from $14.20.

Target price is $7.72 Current Price is $5.64 Difference: $2.08
If WEB meets the Morgans target it will return approximately 37% (excluding dividends, fees and charges).

Current consensus price target is $10.70, suggesting upside of 89.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

Ord Minnett rates WEB as Buy (1) -

The withdrawal of FY20 guidance highlights two aspects for Ord Minnett. The first is that downgrades are rarely priced in and the second is that the share price is rapidly approaching "super cheap" levels.

The broker expects the coronavirus outbreak will affect earnings until the end of 2020. Subsequently the business should be well placed to take advantage of the industry fall-out.

Buy rating maintained. Target is reduced to $10.47 from $11.04.

Target price is $10.47 Current Price is $5.64 Difference: $4.83
If WEB meets the Ord Minnett target it will return approximately 86% (excluding dividends, fees and charges).

Current consensus price target is $10.70, suggesting upside of 89.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

UBS rates WEB as Buy (1) -

Travel demand has slumped sharply and there are high levels of uncertainty over the next 6-12 months. Hence Webjet has withdrawn FY20 guidance.

Still, UBS considers the business displays higher quality characteristics versus the broader travel market, with a history of above-market growth and a strong balance sheet.

The company has initiated further cost controls, generating $10m in savings for the remainder of FY20. UBS maintains a Buy rating and reduces the target to $18.00 from $19.50.

Target price is $18.00 Current Price is $5.64 Difference: $12.36
If WEB meets the UBS target it will return approximately 219% (excluding dividends, fees and charges).

Current consensus price target is $10.70, suggesting upside of 89.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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