Australian Broker Call

Bell Potter rates 360 as Buy (1) -

Life360 reported robust revenue growth for 1Q 2025, beating Bell Potter's estimate by 3% and rising 32%, largely due to other revenue, which advanced by 99% to US$12.8m.

Earnings (EBITDA) was positive at US$4.4m versus the broker's estimate of a loss of -US$2.8m, with adjusted earnings (EBITDA) almost double expectations.

Bell Potter highlights growth in paying circles of 137k on the previous quarter, with average revenue per paying circle up 8%, ahead of the analyst's 3% forecast.

Annualised monthly revenue was the standout, up 38%. The broker lifts earnings (EBITDA) estimates by 4%-5%. Buy rating retained. Target price rises to $31.26 from $28.15, up 11%.

Target price is $31.26 Current Price is $27.18 Difference: $4.08
If 360 meets the Bell Potter target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $30.12, suggesting upside of 1.8% (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

Morgan Stanley rates 360 as Overweight (1) -

Life360's 1Q25 subscription revenue beat Morgan Stanley's forecast, but hardware was lower than expected.

The company reiterated FY25 revenue guidance, which, the broker explains, was effectively a cut to the hardware revenue forecast but an upgrade to subscription revenue.

The broker highlights hardware, tariffs, and margins will be a challenge looking ahead. On the other hand, a catalyst for profitability and unit economics will be the ability to sell directly rather than through the app store, the broker notes.

Overweight. Target rises to $32.00 from $28.60 on stronger upgrades to subscription revenue forecasts in FY26-27.

Target price is $32.00 Current Price is $27.18 Difference: $4.82
If 360 meets the Morgan Stanley target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $30.12, suggesting upside of 1.8% (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

Ord Minnett rates 360 as Buy (1) -

Ord Minnett notes Life360 achieved a robust 1Q25 result with earnings (EBITDA) well above both the broker's and consensus expectations by 18% and 75%, respectively.

Revenue beat consensus forecasts considerably and was just above the broker's estimate. Paying circle net adds at 137k were also better than anticipated, up 43% on a year earlier and the best in the company's history.

Management retained 2025 guidance and announced two new partnerships with Aura/MetLife and AccuWeather, post other deals with Uber, Hubble, Arity, and Placer, the analyst remarks.

Ord Minnett believes with an expanding base of 84m monthly average users, the higher-margin partnerships add upside optionality.

Buy rating retained. Target price moves to $27.10 from $24.88.

Target price is $27.10 Current Price is $27.18 Difference: minus $0.08 (current price is over target).
If 360 meets the Ord Minnett target it will return approximately minus 0% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $30.12, suggesting upside of 1.8% (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

Ord Minnett rates ALD as Buy (1) -

Ampol has sold its loss-making Australasian retail electricity operations to Meridian Energy ((MEZ)) and AGL Energy ((AGL)) for $65m, shifting its focus toward renewable fuels and electric vehicle charging.

Ord Minnett expects the removal of these businesses to boost operating earnings (EBITDA) by approximately $30m annually by the end of 2025. This is expected to add to $50m in already flagged cost savings, mostly from the fuels and infrastructure division.

A one-off charge of around -$10m is anticipated in relation to associated redundancies and separation costs.

The target price is increased to $35 from $34. Ord Minnett retains a Buy rating.

Target price is $35.00 Current Price is $26.32 Difference: $8.68
If ALD meets the Ord Minnett target it will return approximately 33% (excluding dividends, fees and charges).

Current consensus price target is $29.90, suggesting upside of 11.7% (ex-dividends)

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

Bell Potter rates ALQ as Buy (1) -

Bell Potter comments on ALS Ltd's April trading update with underlying net profit after tax expected in the range of $310m–$313m for FY25 results, which are due out on May 27.

The minerals division registered better volume growth to 2.5% by March 31 versus -0.5% at September 30, which implies to the broker an inflection in growth over 2H25.

Life sciences and environmental generated around 10% organic growth for FY25, with integration of York, Wessling and Nuvisan going well and running ahead of management's expectations.

Bell Potter notes rolling 6 months junior equity raisings advanced 41% on a year earlier in April, largely due to gold financings.

No change to Buy rating. Target price rises to $20 from $18. The analyst lifts EPS forecasts by 2% in FY25/FY26.

Target price is $20.00 Current Price is $17.81 Difference: $2.19
If ALQ meets the Bell Potter target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $18.15, suggesting upside of 1.4% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.9

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

Citi rates ASK as Buy (1) -

Citi notes Abacus Storage King rejected the conditional, non-binding takeover proposal from a consortium to acquire its securities at $1.47. In the company's view, the offer did not reflect fair value.

While there's now a risk of a deal cancellation or a revised offer, the broker believes the consortium would present a higher offer or restructure the now-rejected offer.

Buy. Target unchanged at $1.40.

Target price is $1.40 Current Price is $1.53 Difference: minus $0.125 (current price is over target).
If ASK 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 $1.47, suggesting downside of -3.5% (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

Citi rates AX1 as Buy (1) -

Following the completion of the strategic deal with Frasers Group, Accent Group now has the right to run Sports Direct in Australia/New Zealand. The company plans an initial roll-out of at least 50 stores over six years, with a long-term target of over 100 stores.

Citi estimates annualised EBITDA from the Sports Direct business would be $52m if half of the 100-store target is met by 2033.

For now, the broker cut the net profit forecast for FY26 by -3% due to costs related to brand publicity. FY25 EPS forecast cut by -2% and FY26 by -9% on share dilution.

Target price rises to $2.61 from $2.57 on expectations of long-term benefit from Sports Direct. Buy retained.

Target price is $2.61 Current Price is $1.99 Difference: $0.625
If AX1 meets the Citi target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $2.43, suggesting upside of 24.1% (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

Ord Minnett rates BRI as Buy (1) -

Ord Minnett maintains a Buy rating on Big River Industries, citing early signs of recovery in Australia’s housing market, to which the company is highly leveraged.

Total dwelling approvals rose by 19.6% in the March quarter, with 12-month trailing approvals up 9.6% year-on-year.

The broker notes potential tailwinds including expected RBA rate cuts, continuity in housing policy from a re-elected Labor government, and infrastructure benefits from the Brisbane 2032 Olympics.

While the company has remained resilient, some minor earnings forecast downgrades were made to reflect recent Queensland floods and longer-term adjustments.

The target price falls to $1.70 from $1.76 and Ord Minnett retains its Buy rating due to valuation support and sectoral recovery momentum.

Target price is $1.70 Current Price is $1.19 Difference: $0.51
If BRI meets the Ord Minnett target it will return approximately 43% (excluding dividends, fees and charges).

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 BSL as Upgrade to Buy from Accumulate (1) -

Ord Minnett has upgraded its rating for BlueScope Steel to Buy from Accumulate, following a model update reflecting stronger US steel spreads and weaker Australian spreads.

The North Star business in the US has maintained steel spreads around US$500/t since February, while conditions in the Australian Steel Products division have softened, observes the analyst.

As a result, the broker raised EPS forecasts by 7.6% for FY25 and 11.3% for FY26, with FY27 largely unchanged. Capital expenditure remains elevated due to major projects, but free cash flow is expected to improve from FY27 onwards as spending winds down.

Ord Minnett's target price is raised to $29 from $27.50, supported by a positive operational and cash flow outlook.

Target price is $29.00 Current Price is $23.75 Difference: $5.25
If BSL meets the Ord Minnett target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $27.34, suggesting upside of 14.8% (ex-dividends)

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

Morgans rates CVW as Add (1) -

ClearView Wealth retained FY25 guidance and reaffirmed FY26 targets at the Morgans Sydney Conference.

The broker notes gross premium income rose 9% year-on-year since 1H25, and increased 13% in 3Q on 2Q.

Total in-force premiums are up 9%. Morgans maintains an Add rating and lifts the target price to 67c from 65c. No change to earnings forecasts.

Target price is $0.67 Current Price is $0.47 Difference: $0.205
If CVW meets the Morgans target it will return approximately 44% (excluding dividends, fees and charges).

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

Morgan Stanley rates DDR as Overweight (1) -

Morgan Stanley first thought about Dicker Data's 1Q25 dividend guidance of 11c was that it was lower than expected, as it implies 44c annualised EPS vs the consensus of 50c. 

Note the company usually pays dividend equal to 100% of EPS.

However, the broker considered the company's comment of greater 2H skew in earnings this year, and hence believes the implied dividend guidance is conservative (i.e. management expects to pay out more in H2).

Overweight. Target unchanged at $10.30.

Target price is $10.30 Current Price is $8.70 Difference: $1.6
If DDR meets the Morgan Stanley target it will return approximately 18% (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

Ord Minnett rates EXP as Buy (1) -

Ord Minnett assesses Experience Co delivered a strong trading update, with underlying earnings (EBITDA) rising by 40% to $19m for the ten months to April 30. The Skydiving division showed recovery, with 8% volume growth at like-for-like sites.

The positive result occurred despite despite weather disruptions in Queensland that impacted its Reef Unlimited division, observe the analysts.

The broker anticipates further upside due to an inbound tourism recovery, particularly short-term holiday arrivals, which improved materially in March.

While Chinese visitor numbers remain circa -40% below pre-covid levels, trends are considered positive overall.

The broker's EPS estimates have been downgraded by around -13% across FY25-26 due to weather and revised revenue assumptions.

Ord Minnett retains a Buy rating but lowers the target price to 32c from 34c.

Target price is $0.32 Current Price is $0.10 Difference: $0.22
If EXP meets the Ord Minnett target it will return approximately 220% (excluding dividends, fees and charges).

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 HUM as Buy (1) -

Humm Group announced CEO Stuart Grimshaw has stepped down from May 9, with the previous Group Executive for Strategy, Tech and Transformation, Angelo Demasi, taking up the role, Ord Minnett notes.

The company also offered a 3Q25 trading update which was weaker than the broker's expectations, with a decline in commercial volumes of -2.8% on a year earlier due to a slowing SME market.

Ord Minnett lowers the target price to 81c from 90c, with a decline in cash net profit forecasts of -6% to -13% for FY25–FY27.

No change to Buy rating.

Target price is $0.81 Current Price is $0.53 Difference: $0.285
If HUM meets the Ord Minnett target it will return approximately 54% (excluding dividends, fees and charges).

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 IEL as Neutral (3) -

UBS notes the UK government released a white paper on high immigration levels to address and potentially reduce them.

The paper points to significantly reducing net immigration, though no overall cap is set. On balance, UBS believes the positive shift in policy with the Labour Party now in power is better for IDP Education, relative to the challenges and negative sentiment under the Conservatives.

The latest paper, however, reintroduces a level of uncertainty with the recommendation to shorten work rights to 18 months from 24 months, which may raise concerns for the UK as a study destination.

Neutral rating stays with an unchanged $12 target price. No change to the broker's EPS forecasts.

Target price is $12.00 Current Price is $9.93 Difference: $2.07
If IEL meets the UBS target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $14.74, suggesting upside of 56.9% (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

Bell Potter rates JBH as Buy (1) -

JB Hi-Fi's performance in Q3 of FY25 was broadly in line with Bell Potter's expectations, with JBH Australia (71% of group earnings) recording 6% comparable sales growth, while JB Hi-Fi NZ rose by 7.5%, and The Good Guys by 4.1%.

The broker leaves its near-term forecasts unchanged, but lifts FY27 earnings expectations. The latter is based on an assumed further rise in average selling prices from home appliance price increases and ongoing demand for AI-enabled consumer electronics.

JB Hi-Fi is also supported by strong productivity metrics, such as leading revenue per square meter and solid operating margins, point out the analysts.

Bell Potter raises its target price to $114 from $99 and retains a Buy rating.

Target price is $114.00 Current Price is $102.81 Difference: $11.19
If JBH meets the Bell Potter target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $97.80, suggesting downside of -5.7% (ex-dividends)

The company's fiscal year ends in June.

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

Shaw and Partners rates LAU as Buy (1) -

Lindsay Australia is acquiring Tasmanian refrigerated transport solutions company SRT Logistics for $108.2m, which Shaw and Partners believes makes sound strategic sense.

The deal will be funded with a combination of share issue of $30.2m and balance via assumption of SRT's debt. 

The company also provided EBITDA guidance for FY25, which was -4.1% below the broker's previous forecast at midpoint, prompting the broker to lower its FY25 EBITDA forecast. 

EPS forecast for FY25 cut by -10.7% but FY26 lifted by 10.2%. Buy. Target unchanged at $1.

Target price is $1.00 Current Price is $0.70 Difference: $0.3
If LAU meets the Shaw and Partners target it will return approximately 43% (excluding dividends, fees and charges).

Current consensus price target is $0.94, suggesting upside of 34.3% (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

Bell Potter rates MAH as Initiation of coverage with Buy (1) -

Bell Potter initiates reserach coverage on Macmahon Holdings with a Buy rating and a 40c target, citing attractive valuation, strong cash generation, and long-term earnings visibility.

A contract mining and civil infrastructure company with operations in Australia and Southeast Asia, Macmahon's core business spans surface and underground mining, surmarises the broker.

The focus is on gold (54% of revenue), metallurgical coal (20%), and lithium (8%), alongside a growing civil division following the 2024 acquisition of Decmil.

The company operates capital-intensive, long-term projects, with mining EBITDA margins around 17%, while its civil segment operates on leaner capital with lower but more scalable margins of around 7%, observes Bell Potter.

Commentary highlights growth drivers include a 50% targeted uplift in underground mining over two to three years, international expansion in Indonesia, and civil project wins post-Decmil integration.

Management also sees upside potential from asset divestments and future M&A once balance sheet strength is restored.

Target price is $0.40 Current Price is $0.28 Difference: $0.125
If MAH meets the Bell Potter target it will return approximately 45% (excluding dividends, fees and charges).

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

Shaw and Partners rates PDN as Buy (1) -

Paladin Energy is now also listed on the Toronto Stock Exchange, requiring it to publish quarterly updates with full financials.

The first such report contained details on ore stockpiles impairment that was not disclosed in the operational quarterly published for ASX purposes. 

Shaw and Partners notes the -US$20m impairment wasn't a surprise and a lot less than the hit the stock took when the issue was revealed in the September quarterly.

FY25 earnings forecast lowered to account for the impairment, but FY26 lifted on lower amortisation charges. Buy. Target unchanged at $10.10.

Target price is $10.10 Current Price is $6.39 Difference: $3.71
If PDN meets the Shaw and Partners target it will return approximately 58% (excluding dividends, fees and charges).

Current consensus price target is $8.51, suggesting upside of 29.3% (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 PMT as Speculative Buy (1) -

Patriot Battery Metals has announced an updated Mineral Resource Estimate (MRE) for its Shaakichiuwaanaan Lithium Project in Quebec, totalling 141mt at 1.4% Li2O

This includes 108mt now in the Indicated category, up from 80mt previously, notes Bell Potter, providing a stronger foundation for the upcoming CV5 Ore Reserve and Feasibility Study due in the September quarter.

The MRE incorporates high-grade Nova and Vega zones, with potential by-products including tantalum, cesium and gallium, explain the analysts.

The company remains on track to deliver first production by 2029, in Bell Potter's opinion, supported by a well-funded balance sheet with CA$101m in pro forma cash following Volkswagen’s CA$69m investment.

The broker maintains a Speculative Buy rating and 40c target. 

Target price is $0.40 Current Price is $0.24 Difference: $0.16
If PMT meets the Bell Potter target it will return approximately 67% (excluding dividends, fees and charges).

Current consensus price target is $0.63, suggesting upside of 164.2% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY25:

Forecast for FY26:

This company reports in CAD. 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

Shaw and Partners rates PMT as Buy (1) -

Patriot Battery Metals updated the mineral resource estimate for the Shaakichiuwaanaan project, which was a 30% increase in lithium oxide inferred resource and a whopping 306% increase in the Indicated category vs the August update.

Shaw and Partners notes the updated resource will be used for a feasibility study due in the September quarter, and the maiden ore reserve for CV5.

Buy. Target unchanged at $1.50.

Target price is $1.50 Current Price is $0.24 Difference: $1.26
If PMT meets the Shaw and Partners target it will return approximately 525% (excluding dividends, fees and charges).

Current consensus price target is $0.63, suggesting upside of 164.2% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY25:

Forecast for FY26:

This company reports in CAD. 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 RWC as Upgrade to Add from Hold (1) -

Morgans upgrades Reliance Worldwide to Add from Hold and lifts the target price to $5.45 from $4.00.

The broker highlights trade negotiations in Geneva over the past weekend between China and the US, noting the decline in tariffs is a boost to Reliance Worldwide as some concerns are alleviated.

In the May 8 update, management indicated around 48% of the Americas’ cost of goods sold were sourced outside the US and were potentially subject to tariffs. The company is transitioning its sourcing from China to Vietnam, Taiwan, Korea, and Thailand.

Morgans now estimates the tariff impact to be around -US$6m in FY26. The analyst believes the balance of risks is now skewed to the upside.

Target price is $5.45 Current Price is $4.73 Difference: $0.72
If RWC meets the Morgans target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $5.06, suggesting upside of 4.3% (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: 0.6

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

Bell Potter rates SKY as Initiation of coverage with Speculative Buy (1) -

Bell Potter initiates coverage on Sky Metals with a Speculative Buy rating and an 8c target

The company is advancing its flagship Tallebung tin-tungsten project in New South Wales toward development, supported by an updated mineral resource estimate (MRE) of 15.6mt at 0.15% tin and 0.03% tungsten.

A Resource upgrade incorporating recent high-grade drill results is due in Q1 FY26, with a mine development study expected in 2H 2025 and first production targeted for 2H 2027.

The project is highly amenable to ore sorting, highlights the broker, enabling up to 98% waste rejection and significant reductions in plant size and costs.

Bell Potter models a notional 6-year mine life with annual steady-state production of 3.5kt tin and 540t tungsten, generating steady earnings (EBITDA) of $56m. 

Sky Metals also holds early-stage tenements across NSW with exposure to tin, tungsten, copper, and gold, including Narriah and Doradilla. The company has $5.2m in cash and is expected to raise $5m over the next year to fund development, highlights Bell Potter.

Target price is $0.80 Current Price is $0.05 Difference: $0.75
If SKY meets the Bell Potter target it will return approximately 1500% (excluding dividends, fees and charges).

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

Citi rates TPW as Buy (1) -

Citi has analysed datasets related to Temple & Webster, including its Research Innovation Lab, to update thoughts on how sales and brand awareness are tracking.

The broker notes the company spends a higher proportion of sales on marketing, and forecasts a gradual slowing to 11% by FY32 from 16% in 1H25. On competition from Amazon, the broker believes it will largely be on price and delivery but the company's advantage will remain because of the range and exclusive products it offers.

The analyst also highlights the company is faring well on ratings and social media trends, and in most cases offers better service vs competitors.

Buy. Target price unchanged at $21.10. 

Target price is $21.10 Current Price is $19.22 Difference: $1.88
If TPW meets the Citi target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $16.91, suggesting downside of -12.8% (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

Citi rates TUA as Buy (1) -

Citi believes 1Q25 update from STAR pointed to fierce competition in the value-end space in mobile, but expects this to benefit Tuas as its plans provide attractive prices on the 5G network and roaming.

The broker also expects the company to gain in the broadband space from increasing demand for higher-speed plans.

Buy. Target unchanged at $7.10.

Target price is $7.10 Current Price is $5.97 Difference: $1.13
If TUA meets the Citi target it will return approximately 19% (excluding dividends, fees and charges).

The company's fiscal year ends in July.

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 XRO as Buy (1) -

Citi expects solid FY25 results from Xero and is 1% ahead of consensus on revenue growth, which it estimates to be up 24% y/y on ARPU growth.

The broker, however, remains concerned about the trend in operating expenses. As a result, it lowered the FY26-27 EBITDA forecast by -2% and -3%, respectively, on higher executive remuneration and brand investment expenses in the US.

For FY25 the broker lifted the EBITDA forecast by 1% as a weaker NZD is expected to boost revenue.

Buy. Target rises to $200 from $198.

Target price is $200.00 Current Price is $174.38 Difference: $25.62
If XRO meets the Citi target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $196.48, suggesting upside of 13.0% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY25:

Forecast for FY26:

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

Market Sentiment: 0.7

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