Australian Broker Call

Morgans rates ALL as Add (1) -

Morgans has taken its time to respond to Aristocrat Leisure's interim result, labelled as a "rare slip at the top".

The broker does acknowledge it was likely going to be a messy release after the divestment of Plarium and with limited visibility on the Interactive unit.

The -5% shortfall in the core land-based division was not envisioned and came as a negative surprise. The broker refers to the shares trading at a relatively high valuation beforehand.

Morgans highlights management has stuck with its qualitative guidance. The broker itself sees no change in the company's abilities and/or market dynamics. Add. Target $71 (was $73).

EPS forecasts have been lowered, but DPS estimates have gone up.

Target price is $71.00 Current Price is $62.86 Difference: $8.14
If ALL meets the Morgans target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $73.23, suggesting upside of 16.9% (ex-dividends)

The company's fiscal year ends in September.

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

Ord Minnett rates AQZ as Buy (1) -

At its investor day, Alliance Aviation Services downgraded FY25 profit before tax (PBT) guidance to $80-85m from $92.9m, citing weather impact and damage to aircraft.

On the positive side, the company outlined an improved net debt profile on higher operating cash flows and surplus asset sales. Ord Minnett notes net debt is expected to decline to $315-360m by end-FY26 from $425-430m estimated by end-FY25.

The broker cut FY25 pre-tax profit forecast by -10% to $83.6m. No change to $3.70 target price. Buy retained.

Target price is $3.70 Current Price is $2.60 Difference: $1.1
If AQZ meets the Ord Minnett target it will return approximately 42% (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 CBA as Sell (5) -

Citi argues the ASX Bank sector has recently been supported by its status as a ‘safe haven’ due to relatively stable earnings. Ongoing negative earnings revisions from the current reporting season are now expected to place renewed pressure on the sector.

Following recent reporting, the broker observes forward earnings downgrades for ANZ Bank ((ANZ)), National Australia Bank ((NAB)), and Westpac ((WBC)) have continued.

These downgrades raise the question for Citi of when CommBank may follow suit, placing its record-high share price at risk of underperformance.

The $100 target and Sell rating are maintained.

Target price is $100.00 Current Price is $169.66 Difference: minus $69.66 (current price is over target).
If CBA meets the Citi target it will return approximately minus 41% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $109.25, suggesting downside of -36.2% (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

Citi rates CQR as Buy (1) -

Within REITs, Citi sees a stronger argument for value in Retail relative to other sub sectors with larger fundamental headwinds and lower net rental growth such as Office. 

The broker points to supportive factors such as lower interest rates and tax cuts throughout 2025 as supportive of discretionary spending power, though risk of a potential rise in unemployment rates remains a headwind.

Scentre Group, GPT Group and Vicinity Centres continue to demonstrate solid operational performance, note the analysts, underpinned by high occupancy levels, CPI-linked rental escalations, and positive leasing spreads.

Following a recent site visit, the broker highlights ongoing income and earnings growth for Charter Hall Retail REIT, driven by its non-discretionary tenant base.

These exposures remain well supported, particularly among retailers able to pass through inflationary cost pressures, explains the analyst.

No change to Buy rating and $4 target.

Target price is $4.00 Current Price is $3.85 Difference: $0.15
If CQR meets the Citi target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $3.77, suggesting downside of -2.5% (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

Macquarie rates DHG as No Rating (-1) -

Australian residential listings volumes declined -11% year-on-year in April due to Easter timing and the lead-up to the Federal election, although FY25 year-to-date growth remains positive at 2%, observes Macquarie.

Looking ahead, the broker remains uncertain about how much of the disrupted April volume was brought forward into March or deferred to May, June, or even into FY26.

Macquarie is currently under research restriction and offers no target or rating for Domain Holdings Australia.

Current Price is $4.40. Target price not assessed.

Current consensus price target is $3.45, suggesting downside of -21.1% (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

Morgan Stanley rates DXS as Underweight (5) -

Morgan Stanley explains Dexus' funds platform could be made to divest around 27% of APAC, an unlisted company which owns Melbourne and Launceston airports.

The APAC board has alleged Dexus breached the Shareholder Deed during the sale process of equity in APAC last year. In return, the broker details, Dexus has offered around a 27% stake in APAC to fulfill redemptions.

The analyst highlights the complexity of the legal situation, which comes on top of the Court decision for the forced sale by Dexus of its managed fund's $830m stake in Macquarie Park shopping centre, with an additional circa $2bn in other redemptions in its funds management operations.

Underweight retained. Target price $7.75.

Target price is $7.75 Current Price is $7.23 Difference: $0.52
If DXS meets the Morgan Stanley target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $8.07, suggesting upside of 13.8% (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

Macquarie rates FBU as Underperform (5) -

Fletcher Building will disband its Australian division and merge it into two trans-Tasman units, alongside a broader corporate restructure targeting -NZ$200m of cost savings for FY25., observes Macquarie.

The broker believes this change could result in workforce or plant rationalisation, particularly where trans-Tasman overlap exists.

Trading conditions remain weak across residential and infrastructure segments and management has observed no material market improvement since February.

Macquarie lowers its FY25-27 earnings forecasts by between -1% to -6%, and reduces its target price to NZ$1.85 from NZ$1.95. Underperform rating kept.

Current Price is $3.11. Target price not assessed.

Current consensus price target is $3.04, suggesting upside of 1.3% (ex-dividends)

The company's fiscal year ends in June.

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: 0.0

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

UBS rates FBU as Neutral (3) -

Fletcher Building announced a restructuring plan that shifts the company to a more decentralised structure.

The plan includes restructuring into light and heavy building products divisions, the departure of Australia CEO Gareth O'Reilly and corporate head office cost reduction initiatives.

The plan met UBS' expectations, and the broker will wait for more details around the operating model, portfolio review and capital structure at the investor day on June 24.

The company confirmed a lack of improvement in market conditions since February. The broker notes this trend from industry contacts and its FY26 EBIT estimate is already -8% below consensus.

Neutral. Target price unchanged at NZ$3.40.

Current Price is $3.11. Target price not assessed.

Current consensus price target is $3.04, suggesting upside of 1.3% (ex-dividends)

The company's fiscal year ends in June.

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: 0.0

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

Citi rates GMG as Buy (1) -

Citi’s May Goodman Group ((GMG)) Jobs tracker, developed with the Research Innovation Lab, monitors global job ads to gauge Goodman’s expansion of technical teams.

The broker sees this tracker as a potential lead indicator for upcoming data centre activity in regions or cities.

The analysis aligns with management's stated intention to commence $10bn in developments by June 2026.

Citi sees the hiring data as supportive of sustained momentum in Goodman’s development pipeline.

The Buy rating and $40 target are maintained.

Target price is $40.00 Current Price is $31.82 Difference: $8.18
If GMG meets the Citi target it will return approximately 26% (excluding dividends, fees and charges).

Current consensus price target is $36.44, suggesting upside of 15.2% (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 GPT as Buy (1) -

GPT Group has advanced its funds management strategy, observes Citi, via a new $960m logistics joint venture with Canada’s QuadReal. GPT will retain a 20% co-investment and operational control.

The deal is expected to generate around $410m in net proceeds, with no material earnings impact in 2025, according to management.

Citi views the transaction as a positive step, strengthening an already successful logistics relationship and expanding the potential for growth across other segments such as student housing.

The group continues to trade at an around -12% discount to net tangible assets (NTA), implying to the broker the market assigns little value to its funds management business, which the analysts see as an opportunity.

Separately, within REITs, Citi sees a stronger argument for value in Retail relative to other sub sectors with larger fundamental headwinds and lower net rental growth such as Office. 

The broker points to supportive factors such as lower interest rates and tax cuts throughout 2025 as supportive of discretionary spending power, though risks of a potential rise in unemployment rates remains a headwind.

Scentre Group, GPT Group and Vicinity Centres continue to demonstrate solid operational performance, note the analysts, underpinned by high occupancy levels, CPI-linked rental escalations, and positive leasing spreads.

Citi maintains a Buy rating with a $5.00 target price.

Target price is $5.00 Current Price is $4.79 Difference: $0.21
If GPT meets the Citi target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $5.25, suggesting upside of 12.1% (ex-dividends)

The company's fiscal year ends in December.

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

Morgan Stanley rates GPT as Overweight (1) -

Morgan Stanley highlights the new Logistics Partnership between GPT Group and QuadReal, to be known as GQLT2, to hold mostly Sydney and Brisbane assets as 20/80 partners.

GQLT2 will have targeted assets of $960m and at the start GPT will transfer some $400m in assets into the joint venture. An additional $50m of core–non-core acquisitions are aimed for. QuadReal will contribute $400m for 80%, which infers to the analyst gearing of between 45%–50%.

The broker notes post the sell-down, Logistics will become the smaller segment of GPT's $12bn asset exposure with Retail at $4.9bn and Office at $3.6bn. The deal is viewed as a slight positive.

Morgan Stanley believes the injection of more capital partners across other segments could enhance the group's assets under management to over $85bn. Target $5.67. Overweight. Industry View: In-Line.

Target price is $5.67 Current Price is $4.79 Difference: $0.88
If GPT meets the Morgan Stanley target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $5.25, suggesting upside of 12.1% (ex-dividends)

The company's fiscal year ends in December.

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

Macquarie rates IAG as Outperform (1) -

Allianz, Australia's fourth-largest general insurer, reported 6.1% underlying gross written premium (GWP) growth in the March 2025 quarter, supported by 7.5% premium rate increases, highlights Macquarie.

Given Allianz’s diversified product and geographic footprint, the broker views it as the most relevant read-through for Insurance Australia Group and Suncorp Group in terms of pricing trends, margin performance, and catastrophe exposure.

The analyst believes Suncorp is best placed to benefit from these trends in FY26.

For Insurance Australia Group, the Outperform rating and $8.50 target are retained.

Target price is $8.50 Current Price is $8.65 Difference: minus $0.15 (current price is over target).
If IAG 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 $8.75, suggesting upside of 2.1% (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

UBS rates IAG as Downgrade to Neutral from Buy (3) -

UBS notes Insurance Australia Group's strategic alliance with Royal Automobile Club of WA, including the purchase of RAC Insurance and a 20-year distribution agreement for RAC Home & Motor Products.

The deal is subject to ACCC approval and will increase the group's market share in WA for Home & Motor to around 55% from 8%, with total consideration of $1.35bn to be funded internally.

UBS expects the transaction to be EPS positive and meet management's insurance margin target of 15%.

UBS lifts EPS estimates by 1.6% and 0.1% for FY25/FY26. Target price rises to $9.30 from $8.30 due to higher market valuation ascribed to the stock.

The broker downgrades the stock to Neutral from Buy as there is believed to be "modest" upside from here.

Target price is $9.30 Current Price is $8.65 Difference: $0.65
If IAG meets the UBS target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $8.75, suggesting upside of 2.1% (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

Macquarie rates JHX as Neutral (3) -

Macquarie expects James Hardie Industries to deliver FY25 earnings (EBITDA) of US$1.076bn and net profit of US$646.4m, slightly ahead of consensus.

The broker notes market conditions are deteriorating, particularly in the US repair and remodel segment, and suggests upcoming commentary may turn more cautious. 

Management is targeting a -US$100m cost-out program, and Macquarie believes cost control will be critical in offsetting the higher debt burden from the proposed US$4.25bn Azek acquisition. 

No changes have been made to financial forecasts. Macquarie retains a Neutral rating and the target price remains unchanged at $40.20.

Target price is $40.20 Current Price is $38.40 Difference: $1.8
If JHX meets the Macquarie target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $50.91, suggesting upside of 32.8% (ex-dividends)

The company's fiscal year ends in March.

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

Citi rates LLC as Buy (1) -

Citi notes management at Lendlease Group has confirmed the finalisation of a joint venture, 50/50 with The Crown Estate, for the sale of six UK development sites.

Citi flags the deal is believed to be generating a potential $300m -plus in capital and expected profits of $10–$30m for the group in FY26.

The broker notes Lendlease is anticipated to invest -$110m–$150m until the end of 2025 on the portfolio; longer term, the sale will save capex of -$125m.

The group also announced a new $1.2bn mandate for the management of Aurora Place in Sydney, with Citi highlighting finalisation of $2.5bn in capital recycling from a target of $2.8bn.

Management pointed to ongoing progress on the share buyback, which, the broker suggests, may infer more asset sales.

The latest update supports Citi's upgrade to Buy last week from Neutral, the analyst emphasises. Target $7.50.

Target price is $7.50 Current Price is $5.53 Difference: $1.97
If LLC meets the Citi target it will return approximately 36% (excluding dividends, fees and charges).

Current consensus price target is $6.91, suggesting upside of 25.4% (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

Shaw and Partners rates LM8 as Buy, High Risk (1) -

Lunnon Metals has confirmed high-grade gold mineralisation, including visible gold, at Defiance West, highlights Shaw and Partners.

As per commentary, key intersections include 1m at 8.50g/t gold supporting the prospectivity of the Foster Thrust structure.

Defiance West is one of several advanced targets Lunnon plans to progress following mining completion at Lady Herial, explains the broker.

A Buy, High Risk rating and a 60c target price are maintained.

Target price is $0.60 Current Price is $0.24 Difference: $0.365
If LM8 meets the Shaw and Partners target it will return approximately 155% (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

Morgans rates MND as Add (1) -

Morgans highlights contract announcements from Monadelphous Group to the value of $180m across Maintenance and C&C in resources and energy sectors, with the analyst estimating around $60m from E&C.

The broker is increasingly more positive the company will generate over $1bn in revenue from E&C in FY26, higher than consensus expectations at $946m.

Morgans believes this will be higher-margin oil & gas work, placing Monadelphous in a good position to achieve higher than anticipated earnings for FY26.

The analyst raises FY26 net profit after tax forecasts by 5%, with a corresponding increase in the target price to $19.50 from $17.50.

Target price is $19.50 Current Price is $17.10 Difference: $2.4
If MND meets the Morgans target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $17.23, suggesting downside of -0.2% (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

Ord Minnett rates NGI as Buy (1) -

Navigator Global Investments firmed up its FY25 guidance, an effective upgrade from previous guidance that adjusted EBITDA would be higher than FY24. The company expects FY25 adjusted EBITDA of US$106-110m, 17-22% higher than FY24.

The latest guidance is 11% higher than Ord Minnett's previous forecast, leading the broker to increase earnings forecasts over FY25-27.

Buy. Target rises to $2.65 from $2.50.

Target price is $2.65 Current Price is $1.78 Difference: $0.87
If NGI meets the Ord Minnett target it will return approximately 49% (excluding dividends, fees and charges).

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

Citi rates NUF as Sell (5) -

Citi forecasts Nufarm will deliver 1H revenue of $1,869m when reporting on Wednesday, which implies 6% year-on-year growth.

The broker expects Nufarm’s first-half earnings (EBITDA) to mark the bottom of the current cycle. The analysts forecast $227m, which is -5% below consensus due to continued pricing pressure in Crop Protection and a weaker Seed Technologies contribution.

The broker sees volume trends improving as the industry exits de-stocking, although price stability remains vulnerable to high Chinese supply and rising competition, particularly in generics.

Sell. Target unchanged at $3.75.

Target price is $3.75 Current Price is $4.07 Difference: minus $0.32 (current price is over target).
If NUF 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 $4.33, suggesting upside of 8.7% (ex-dividends)

The company's fiscal year ends in September.

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

Morgans rates ORA as Hold (3) -

At Orora's investor day, the company outlined cans volumes were stronger in 2H25, up around 4% year-to-date, which is in line with Morgans' expectations.

Saverglass is experiencing a weakening in orders around tariff uncertainties for March and April against the November to February period. The product mix is reported as skewed to premium wine and champagne compared to higher value-add spirits, the analyst explains.

Morgans highlights the company is managing to maintain pricing and market share for Saverglass, while management noted inventory has declined -50% since the December 2023 peak.

The company retained 2H25 guidance in line with 2H24, including some corporate costs of $8m which, taken into account, suggests to the analyst updated earnings before interest and tax guidance is below previous 2H25 guidance.

Morgans lowers earnings before interest and tax by -3%, -4% and -1% for FY25, FY26 and FY27. Hold unchanged. Target price slips to $2.03 from $2.32

Target price is $2.03 Current Price is $1.96 Difference: $0.075
If ORA meets the Morgans target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $2.24, suggesting upside of 16.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.3

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

UBS rates ORA as Neutral (3) -

Post Orora's investor day with updated guidance for 2H25, UBS lowers EPS estimate for FY25 by -2% to reflect the reallocation of corporate overheads to the beverage division, the broker explains, post the sale of OPS.

The analyst expects management to refocus on improving the operational performance of Saverglass and continue to aim to increase the Cans capacity.

Management also lowered FY25 capex, including the cessation of the Rocklea cans expansion project, with the leverage target lowered to 1.5x–2.5x against 2x–2.5x previously.

No change to Neutral rating. Target price falls to $2.10 from $2.40.

Target price is $2.10 Current Price is $1.96 Difference: $0.145
If ORA meets the UBS target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $2.24, suggesting upside of 16.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.3

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

Macquarie rates PFP as Outperform (1) -

Death registrations across Australia and New Zealand fell -2.0% year-on-year in the March quarter, notes Macquarie, driven by a -6.0% decline in Queensland, while full-year-to-date volumes remain up 2.1%.

The broker expects volumes to return to growth in the June quarter, which is seasonally stronger and is cycling weak prior-year data.

Propel Funeral Partners has deployed only -$13m into acquisitions in 2025 to-date, well below its -$30-40m per annum average, though the analyst sees the pipeline as strong and funding capacity of $144m as sufficient.

Macquarie retains its earnings forecasts. The broker maintains a $6.65 target and Outperform rating.

Target price is $6.65 Current Price is $4.78 Difference: $1.87
If PFP meets the Macquarie target it will return approximately 39% (excluding dividends, fees and charges).

Current consensus price target is $6.42, suggesting upside of 32.9% (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

Bell Potter rates PPS as Buy (1) -

Bell Potter initiates coverage of Praemium with a Buy rating and $1 target price.

The broker believes the company is well positioned to advance market share due to the rollout of the next Investor Directed Portfolio Service platform, alongside a loyal customer base and technology.

Praemium is viewed as a potential takeover target, and Bell Potter notes the ongoing integration of OneVue, which is expected to generate EPS accretion in the mid-teens once consolidated.

Target price is $1.00 Current Price is $0.74 Difference: $0.265
If PPS meets the Bell Potter target it will return approximately 36% (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

Macquarie rates REA as Neutral (3) -

Australian residential listings volumes declined -11% year-on-year in April due to Easter timing and the lead-up to the Federal election, although FY25 year-to-date growth remains positive at 2%, observes Macquarie.

Looking ahead, the broker remains uncertain about how much of the disrupted April volume was brought forward into March or deferred to May, June, or even into FY26.

The Neutral rating and $265 target are maintained for REA Group.

Target price is $265.00 Current Price is $248.03 Difference: $16.97
If REA meets the Macquarie target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $269.57, suggesting upside of 6.9% (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 RSG as Outperform (1) -

Resolute Mining has acquired the Doropo and ABC projects in Cote d’Ivoire from AngloGold Ashanti for -US$150m, positioning the company to diversify away from Mali, highlights Macquarie.

The broker expects group production to exceed 300koz from 2028, driven by Doropo, with average output of 170koz and higher costs (AISC) of US$1,488/oz, though capital requirements are also high at -US$450m.

Despite short-term earnings pressure, the broker expects longer-term upside with forecast earnings (EBITDA) increasing 77% in 2029 and production up 68% against earlier forecasts.

Macquarie revises earnings forecasts down -1% to -50% across 2025-28 and lifts its production outlook from 2028. The target price rises to 65c from 55c. Macquarie retains an Outperform rating.

Target price is $0.65 Current Price is $0.58 Difference: $0.07
If RSG meets the Macquarie target it will return approximately 12% (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

Citi rates SCG as Buy (1) -

Within REITs, Citi sees a stronger argument for value in Retail relative to other sub sectors with larger fundamental headwinds and lower net rental growth such as Office. 

The broker points to supportive factors such as lower interest rates and tax cuts throughout 2025 as supportive of discretionary spending power, though risks of a potential rise in unemployment rates remains a headwind.

Scentre Group, GPT Group and Vicinity Centres continue to demonstrate solid operational performance, note the analysts, underpinned by high occupancy levels, CPI-linked rental escalations, and positive leasing spreads.

The target price for Buy-rated Scentre Group is $3.90.

Target price is $3.90 Current Price is $3.64 Difference: $0.26
If SCG meets the Citi target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $3.77, suggesting upside of 3.9% (ex-dividends)

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.3

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

Citi rates SFR as Neutral (3) -

Management at Sandfire Resources has guided to copper equivalent production of 90-100ktpa from Matsa through to FY28, consistent with FY25 levels. This suggests to Citi confidence in the medium-term mine plan.

High-priority drilling at Magdalena and Aguas Tenidas confirms mineralisation extensions at Matsa, while FY26 is set to mark a step-up in regional exploration across Spain and Portugal, observes the broker.

The analysts' group-level earnings forecasts have been upgraded by 2-6% across FY25-27 on higher assumed base metal prices and stronger Matsa output, particularly zinc.

Citi raises its target price to $11.00 from $10.50 and retains a Neutral rating.

Target price is $11.00 Current Price is $10.73 Difference: $0.27
If SFR meets the Citi target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $10.89, suggesting upside of 3.6% (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: 0.3

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

Macquarie rates SGH as Outperform (1) -

Macquarie anticipates limited updates at SGH Ltd's investor day on May 21, but highlights growing interest in the company’s next strategic move.

The broker notes Boral’s performance could exceed guidance if rainfall remains favourable and sees WesTrac earnings recovering as parts deflation subsides.

Macquarie points to strong earnings (EBITDA) momentum driven by operational efficiencies and leverage to an A&NZ housing recovery, supported by solid results from Coates and Energy.

The broker has made no changes to its financial forecasts. The target price remains unchanged at $56.10. Outperform rating.

Target price is $56.10 Current Price is $52.79 Difference: $3.31
If SGH meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $56.31, suggesting upside of 7.4% (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 SUN as Neutral (3) -

Allianz, Australia's fourth-largest general insurer, reported 6.1% underlying gross written premium (GWP) growth in the March 2025 quarter, supported by 7.5% premium rate increases, highlights Macquarie.

Given Allianz’s diversified product and geographic footprint, the broker views it as the most relevant read-through for Insurance Australia Group and Suncorp Group in terms of pricing trends, margin performance, and catastrophe exposure.

The analyst believes Suncorp is best placed to benefit from these trends in FY26.

Unchanged Neutral rating and $19.20 target.

Target price is $19.20 Current Price is $20.59 Difference: minus $1.39 (current price is over target).
If SUN meets the Macquarie target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $21.11, suggesting upside of 2.8% (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

Bell Potter rates TPW as Hold (3) -

Bell Potter highlights Temple & Webster's 2H25 to-date up to May 1 includes revenue growth of 18% on a year earlier, with earnings (EBITDA) margins guided in the range of 1%–3% for FY25, which is basically around the broker's forecast.

The analyst points out a faster than anticipated growth rate of 23% for 4Q25 with expansion of the company's product range across furniture and homewares.

Bell Potter reckons Temple & Webster is on target to achieve the mid-term target of $1bn in annual recurring revenue between FY26–FY28.

The analyst upgrades earnings (EBITDA) forecasts by 8% and 10% for FY25/FY26. Target price rises to $21, up 35%. Hold rating maintained.

Target price is $21.00 Current Price is $19.49 Difference: $1.51
If TPW meets the Bell Potter target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $17.81, suggesting downside of -8.9% (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 VCX as Neutral (3) -

Within REITs, Citi sees a stronger argument for value in Retail relative to other sub sectors with larger fundamental headwinds and lower net rental growth such as Office. 

The broker points to supportive factors such as lower interest rates and tax cuts throughout 2025 as supportive of discretionary spending power, though risks of a potential rise in unemployment rates remains a headwind.

Scentre Group, GPT Group and Vicinity Centres continue to demonstrate solid operational performance, note the analysts, underpinned by high occupancy levels, CPI-linked rental escalations, and positive leasing spreads.

For Vicinity Centres, Citi retains a $2.40 target and Neutral rating.

Target price is $2.40 Current Price is $2.34 Difference: $0.06
If VCX meets the Citi target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $2.29, suggesting downside of -2.7% (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

Ord Minnett rates WEB as Buy (1) -

Ord Minnett notes Web Travel has faced investor scepticism in recent months due to a downgrade in revenue margin guidance and delays in interim results, both of which reflected poorly on execution.

Despite these concerns, the broker believes market fears are overstated, particularly in light of comparisons to HBX Group, whose larger scale and exposure to global leisure trends make it a poor read-through for Web Travel's outlook.

The group's earnings are driven more by market share gains in the hotel B2B segment than by overall leisure demand, and the broker sees limited downside from any broader travel slowdown.

The upcoming FY25 result, due 28 May, is viewed as a likely share price catalyst.

The broker has upgraded EPS forecasts by 8% for FY25, 6% for FY26, and 18% for FY27, driven by stronger total transaction value (TTV) growth and the impact of a share buyback.

The target price increases to $8.30 from $6.79, and the broker retains a Buy rating.

Target price is $8.30 Current Price is $4.53 Difference: $3.77
If WEB meets the Ord Minnett target it will return approximately 83% (excluding dividends, fees and charges).

Current consensus price target is $5.61, suggesting upside of 24.4% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.3

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

Citi rates XRO as Buy (1) -

After further analysis of Xero's FY25 results last Friday, Citi raises its target to $210 from $200 due to higher medium-term forecasts and a higher relative premium valuation to peers.

The broker's original assessment on results day follows.

Xero reported underlying earnings (EBITDA) of NZ$641m, a rise of 22% on the previous year, which came in slightly below Citi's expectations and consensus by -2%.

Revenue growth at 23% was broadly in line, with higher costs accounting for the slightly weaker earnings result, the broker explains.

Citi highlights annualised monthly recurring revenue infers a potential lift of 5% to revenue consensus forecasts for FY26, having grown 22% on a year earlier. Net additions in the UK and US were also better than anticipated at 79k in 2H25 for the former and 35k for the latter.

A larger increase in headcount underwrote the strongest rise since 1H24, while management pointed to opex ratio for FY26 at 71.5%, including -NZ$45m in senior staff remuneration.

Target price is $210.00 Current Price is $180.02 Difference: $29.98
If XRO meets the Citi target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $207.33, suggesting upside of 14.3% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY26:

Forecast for FY27:

This company reports in NZD. 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