Australian Broker Call

Bell Potter rates 4DX as Speculative Buy (1) -

4DMedical announced a significant upgrade in its Philips commercialisation agreement in the US and Canada. Under the deal, Philips agreed to minimum customer orders for CTVQ exams of US$10m over 2026 and 2027.

This is a major win for 4DMedical, according to Bell Potter, as Philips will also increase its commitment with a sales force incentivised to generate new business for CTVQ, in addition to the agreement.

Philips will be the major distribution partner for the product in the US, but the medtech company will continue to use its own sales team.

Speculative Buy rating retained. Target price is raised to $2.50 from $2.25.

Target price is $2.50 Current Price is $1.92 Difference: $0.58
If 4DX meets the Bell Potter target it will return approximately 30% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.8

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

Citi rates ANN as Neutral (3) -

Citi lifted Ansell's target price to $36.50 from $35.50. Neutral maintained.

Target price is $36.50 Current Price is $36.40 Difference: $0.1
If ANN meets the Citi target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $35.81, suggesting downside of -1.3% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

This company reports in USD. 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

Ord Minnett rates BOQ as Upgrade to Hold from Lighten (3) -

Ord Minnett notes Bank of Queensland re-affirmed FY26 cost growth guidance at the AGM to be below inflation. The broker notes most savings land in 2H once ME Bank legacy systems are shut, after near-inflation cost growth in 1H.

The broker trimmed FY26 EPS forecast by -1%, but lifted FY27 by 5.5% on full-year savings and efficiency gains. The bank is rebuilding by shifting from low-margin mortgages to commercial lending, though growth is heavily weighted to NSW commercial real estate, while QLD is flat.

Efficiency efforts are seen as positive, but margin pressure and tough competition still constrain returns.

Rating upgraded to Hold from Lighten on valuation grounds. Target unchanged at $6.

Target price is $6.00 Current Price is $6.34 Difference: minus $0.34 (current price is over target).
If BOQ meets the Ord Minnett target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.55, suggesting upside of 2.6% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

Market Sentiment: -0.3

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

UBS rates CKF as Buy (1) -

In the wake of Collins Foods' interim results, UBS believes the company's value proposition is resonating with consumers in a difficult operating environment.

KFC Australia’s like-for-like sales rose to 3.6% from 2.3%. This ongoing strength in KFC Australia and growth opportunities in Germany offset continued earnings drag from Taco Bell, explains the analyst.

The broker sees potential for around $9m earnings (EBITDA) upside in 2H26 if current conditions persist. Tougher European trading is noted, but y/y earnings growth is expected, supported by lower chicken input costs and VAT changes.

UBS sees the valuation as appealing and lifts its target price to $13.10 from $9.75. Buy maintained.

Target price is $13.10 Current Price is $10.69 Difference: $2.41
If CKF meets the UBS target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $11.99, suggesting upside of 13.6% (ex-dividends)

The company's fiscal year ends in April.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.6

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

Citi rates CQR as Buy (1) -

Charter Hall Convenience Retail Fund (CCRF), partly owned (22%) by Charter Hall Retail REIT, continued its acquisition spree with the purchase of Burwood One in Melbourne for $210m.

Citi highlights the fully leased sub-regional centre (58,800 sqm site) is anchored by Coles, Kmart and Aldi, plus mini-majors and specialty stores.

The acquisition fits into CCRF’s $2.5bn capital raise strategy for non-discretionary neighbourhood centres, boosting Charter Hall Retail REIT's accretion and Charter Hall's ((CHC)) fee income.

Buy. Target price $4.50.

Target price is $4.50 Current Price is $4.10 Difference: $0.4
If CQR meets the Citi target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $4.31, suggesting upside of 8.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.5

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

Morgan Stanley rates CSL as Overweight (1) -

Morgan Stanley remains positive on CSL’s medium to long-term immunoglobulin (Ig) outlook and expects yield-enhancement programs to aid a gross margin recovery in CSL Behring.

The analysts see demand supported by growth in core therapy areas such as Chronic Inflammatory Demyelinating Polyneuropathy (CIDP) and myasthenia gravis (MG).

The broker forecasts the combined Horizon 1/2 initiatives will lift Ig yield by around 20% by FY32, reducing required plasma volumes and collection centres. This is expected to offset lower albumin revenue through materially lower COGS and higher gross profit.

Despite recent downside consensus earnings revisions, Morgan Stanley considers the current risk/reward profile favourable.

Overweight. Target $256. Industry View: In-Line.

Target price is $256.00 Current Price is $182.30 Difference: $73.7
If CSL meets the Morgan Stanley target it will return approximately 40% (excluding dividends, fees and charges).

Current consensus price target is $244.39, suggesting upside of 31.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

This company reports in USD. 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

Morgan Stanley rates CWY as Overweight (1) -

Morgan Stanley highlights spot and volatility prices have fallen year-on-year despite higher electricity demand and ongoing coal unit outages. The pipeline of new renewable and storage capacity is materially larger than most investors appreciate, in the analysts' view.

The broker notes retail electricity tariffs are likely to face downward pressure ahead of FY27 Default Market Offer changes, although companies are expected to offset impacts through cost reduction and reduced discounting.

The broker's order of preference for stocks under coverage in the Australian Utilities space are: Cleanaway Waste Management, AGL Energy ((AGL)) and Origin Energy ((ORG)).

For Cleanaway Waste Management, Morgan Stanley has an Overweight rating and target price of $3.11. Industry View: In-Line.

Target price is $3.11 Current Price is $2.69 Difference: $0.42
If CWY meets the Morgan Stanley target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $3.19, suggesting upside of 20.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.8

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

Macquarie rates ELD as Outperform (1) -

In a note analysing chemicals/agri stocks post November reporting season, Macquarie reckons the cycle appears to be turning up for Elders after a difficult couple of years.

The broker expects Delta Agribusiness to add roughly $40m EBIT, supporting a forecast 49% EBIT growth over the next 12 months and keeping the 15% return-on-capital target front and centre.

Medium term, the broker sees the company well-placed for solid earnings growth from a cyclical rebound, conservative Delta synergies, and ongoing organic expansion.

Outperform. Target unchanged at $8.25.

Target price is $8.25 Current Price is $7.28 Difference: $0.97
If ELD meets the Macquarie target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $8.70, suggesting upside of 18.7% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 1.0

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

Macquarie rates GNC as Outperform (1) -

In a note analysing chemicals/agri stocks post November reporting season, Macquarie reckons GrainCorp's balance sheet and return metrics stack up well against peers. This provides the company with resilience in the cyclical agri sector.

The broker notes the company has kept investing and returning capital through the last 2-3 years, even as grain prices and earnings cooled from peaks.

Minor downgrade made to FY26 EBITDA forecast due to lower East Coast grain volumes and tight margins. The broker believes recent infrastructure M&A highlights underlying value in the company's assets.

Outperform. Target trimmed to $8.80 from $8.84.

Target price is $8.80 Current Price is $8.14 Difference: $0.66
If GNC meets the Macquarie target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $8.82, suggesting upside of 7.4% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.5

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

UBS rates JDO as Buy (1) -

UBS analysts met with Judo Bank management, including CEO Chris Baylis, who reviewed strategy, recent trading trends, and outlook for business lending into the New Year.

Discussion covered run-off vs new business (including warehouse facilities), productivity, costs/inflation, operating leverage, deposit rollout, competition, asset quality, and the economy.

The broker notes deposits, competition and funding mix improvement will support net interest margins. The bank stated new business origination and the $1.9bbn pipeline are strong, led by agri/regional growth and rising warehouse lending.

UBS remains confident Judo can meet FY26 targets and sees about 32% upside to its price target. Buy and unchanged target of $2.20.

Target price is $2.20 Current Price is $1.66 Difference: $0.54
If JDO meets the UBS target it will return approximately 33% (excluding dividends, fees and charges).

Current consensus price target is $2.09, suggesting upside of 22.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.9

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

Citi rates MP1 as Buy (1) -

Citi notes Amazon Web Services (AWS) and Google Cloud have launched a new multicloud networking option to simplify direct links between their clouds.

It’s very early-stage, with few locations and capped at 1 Gbps, with no details of AWS pricing yet. While the broker doesn't expect the rollout to affect Megaport's FY26-27 numbers, it does signal rising multicloud demand.

This could shrink the company's medium to long term addressable market if hyperscalers make interconnect cheaper and easier, the broker warns.

Buy. Target unchanged at $16.30.

Target price is $16.30 Current Price is $12.98 Difference: $3.32
If MP1 meets the Citi target it will return approximately 26% (excluding dividends, fees and charges).

Current consensus price target is $15.00, suggesting upside of 17.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.3

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

Macquarie rates NUF as Neutral (3) -

In a note analysing chemicals/agri stocks post November reporting season, Macquarie reckons the cycle appears to be turning up for Nufarm after a difficult couple of years.

The broker has a positive outlook for FY26, with EBITDA forecast to rise about 25% year-on-year.

The company expects gearing to fall back toward 2.0x in FY26 from 2.7x in FY25, but the broker is cautious about execution, given past slippage largely driven by external factors.

Neutral retained. Target unchanged at $2.77.

Target price is $2.77 Current Price is $2.39 Difference: $0.38
If NUF meets the Macquarie target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $3.24, suggesting upside of 38.3% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.3

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

Macquarie rates ORI as Outperform (1) -

In a note analysing chemicals/agri stocks post November reporting season, Macquarie reckons Orica's balance sheet is in good shape.

Explosives companies are still putting up strong earnings growth, driven by a shift to higher value-added products and ongoing adoption of new technologies, the broker highlights.

The broker forecasts 10% EPS compounded annual growth over the next three years with a strong balance sheet, but notes the stock trades at -4% relative discount to ASX100 vs 4% long-term premium.

Near-term watchpoints include the Yazoo City carbon feedstock outage costs and commodity/activity trends (notably supportive gold prices and North American mining/coal demand).

Outperform maintained. Target price $25.95.

Target price is $25.95 Current Price is $24.03 Difference: $1.92
If ORI meets the Macquarie target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $26.58, suggesting upside of 11.0% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 1.0

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

Ord Minnett rates POL as Speculative Buy (1) -

Polymetals Resources raised $34m at a -16% discount to bolster its balance sheet following the 28 October fatal underground explosion at its Endeavor silver-zinc mine near Cobar.

Looking ahead, Ord Minnett sees near-term upside from strong 2H26 free cash flow driven by high-grade silver UNL, plus exploration drilling at Endeavor’s southern targets.

Forecasts trimmed after factoring in a four-week Endeavor ramp-up delay and dilution. Target cut to $1.35 from $1.60, and Speculative Buy retained.

Target price is $1.35 Current Price is $1.13 Difference: $0.22
If POL meets the Ord Minnett target it will return approximately 19% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 1.0

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

Citi rates PRU as Neutral, High Risk (3) -

Perseus Mining made a superior bid to buy the remaining stake in Predictive Discovery ((PDI)), where it already owns 17.8%. The offer in shares, values Predictive at $0.778/share, a 24.5% premium to the closing price.

Citi notes Robex Resources ((RXR)) has until 10 December to match or beat, needing to offer Predictive 63.5% of the merged entity to equal Perseus' price.

The broker reckons the deal looks modestly attractive on in-situ value metrics and should be accretive for Perseus given its strong balance sheet, available project team, and exploration upside.

Neutral, High Risk. Target price $4.80.

Target price is $4.80 Current Price is $5.56 Difference: minus $0.76 (current price is over target).
If PRU meets the Citi target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $5.39, suggesting downside of -1.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

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

Ord Minnett rates PRU as Downgrade to Lighten from Hold (4) -

Perseus Mining announced a counter bid for Predictive Discovery ((PDI)) at 0.1360 Perseus share per Predictive share, valuing the latter at $0.76/share, Ord Minnett observes.

Predictive's board calls Perseus’s offer superior, and the existing bidder Robex Resources ((RXR)) has five business days to match. The broker sees the bid as value-accretive for Perseus because its lower WACC and proven production track record make Bankan more valuable in its hands.

The broker's view is both bidders could pay more, with Perseus having more flexibility.

Target unchanged at $4.60. Rating downgraded to Lighten from Hold following 14% rise in the share price since October.

Target price is $4.60 Current Price is $5.56 Difference: minus $0.96 (current price is over target).
If PRU meets the Ord Minnett target it will return approximately minus 17% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $5.39, suggesting downside of -1.0% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

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

UBS rates PRU as Buy (1) -

Perseus Mining has lodged a binding all-scrip bid for the rest of Predictive Discovery ((PDI)) where it currently owns 17.8%. The offer is 0.136 Perseus share per Predictive share, valuing the latter at $2.1bn and a 24.5% premium to the last close, UBS notes.

Predictive's board has deemed it a superior proposal, and Robex Resources ((RXR)) has five business days to make a superior offer, with Perseus offering a $37m break-fee loan.

UBS highlights the bid targets Bankan’s high-return gold project, with 3Moz reserve, 5.5Moz resource and 12-year DFS mine life.

No change to the broker's modelling as the deal is at a preliminary stage. Buy retained with unchanged $6.65 target price.

Target price is $6.65 Current Price is $5.56 Difference: $1.09
If PRU meets the UBS target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $5.39, suggesting downside of -1.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

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

Ord Minnett rates QPM as Speculative Buy (1) -

QPM Energy has lined up funding for Isaac Power Station to take the project through to mid-2027 commissioning, Ord Minnett observes. The company announced $30 share placement, $40m convertible note, and $180m debt package.

The broker reckons this supports confidence in electricity generation rising to 529 GWh by FY28.

Speculative Buy. Target trimmed to 11c from 13c on share dilution.

Target price is $0.11 Current Price is $0.04 Difference: $0.07
If QPM meets the Ord Minnett target it will return approximately 175% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

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 SXE as Buy, High Risk (1) -

Southern Cross Electrical Engineering has cut its FY26 earnings (EBITDA) guidance by -$44m at the midpoint to a range between $21-24m following an unfavourable arbitration ruling tied to historical Heyday contract costs.

The reduction includes a -$19m non-cash write-off and -$15m repayment. The setback is a one-off, highlights the analyst, and does not alter the company's strong industry positioning or exposure to structural demand drivers.

The broker now forecasts FY26 earnings of $22.5m, down -66% on the prior estimate, while FY27-FY28 expectations remain unchanged.

Shaw retains a Buy, High Risk rating and $2.40 target.

Target price is $2.40 Current Price is $2.31 Difference: $0.09
If SXE meets the Shaw and Partners target it will return approximately 4% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.5

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

Citi rates TCL as Buy (1) -

Following a pre-blackout call with Transurban Group, Citi concludes the company is tracking well with few near-term catalysts.

They include the NSW toll review and Westgate Tunnel opening expected before end-2025, plus possible project win announcements in 2HFY26.

The broker sees potential for 6-7% ongoing free cash flow growth driven by traffic gains, CPI-linked/dynamic tolls, and EBITDA upside as cost growth is slower than inflation.

Buy. Target unchanged at $16.10.

Target price is $16.10 Current Price is $15.02 Difference: $1.08
If TCL meets the Citi target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $14.51, suggesting downside of -4.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.3

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

Bell Potter rates TRJ as Buy (1) -

Bell Potter points to the recent performance of US peers in relation to Trajan Group, noting median annual growth for the peers has lifted to around 33% between 2Q2025 and 3Q2025. Guidance for 4Q2025 and 2026 moved up slightly.

Headwinds from US trade policy continued to weigh on major analytical tools companies, with the analyst pointing to contained organic growth in absolute terms.

Tariff mitigation strategies should be completed by FY26 via a mix of cost-out programs and pricing changes, the broker notes. AI is starting to emerge in management commentary, with AI agents used to accelerate lead conversion and software development.

Improving sentiment across US peers should be reflected in the group's financial results, the broker believes.

Bell Potter maintains a Buy rating and $1.25 target price.

Target price is $1.25 Current Price is $0.67 Difference: $0.58
If TRJ meets the Bell Potter target it will return approximately 87% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 1.0

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

UBS rates WTC as Buy (1) -

Post WiseTech Global's investor day, UBS was comforted about the medium term growth factors for the company.

FY26 guidance assumes 95% of customers take up the new commercial model (live Dec 1), with the balance of large freight forwarders expected to migrate later. The new pricing structure permits freight forwarders to pass on the cost of CargoWise to customers.

The value proposition for Container Transport Optimisation (CTO) to the industry remains intact, and CTO has a revenue opportunity of US$12.8bn via exposure to around 250m containers at US$50 per container.

UBS lowers net profit after tax forecasts by -6% for FY26 due to higher acquired customer amortisation. Target price slips to $115 from $130.

The analyst remains positive on the company and reiterates a Buy rating.

Target price is $115.00 Current Price is $72.58 Difference: $42.42
If WTC meets the UBS target it will return approximately 58% (excluding dividends, fees and charges).

Current consensus price target is $117.92, suggesting upside of 59.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

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

Market Sentiment: 0.9

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