Australian Broker Call

Bell Potter rates 360 as Buy (1) -

Bell Potter views Life360's 1Q2026 result as largely positive with the market choosing to focus on the MAU growth which was lower than expected.

The analyst attributed the miss to technical issues and expects the metric to bounce back "strongly" over the next three quarters.

Equally the market ignored the guidance upgrade and the very robust paying circle result, up to 201k versus the broker's forecast of 99k.

The analyst now anticipates equally strong paying circle results over the next three quarters underpinned by better quality MAUs and Life360 applying AI in A/B testing to optimise marketing and subscription plans.

Earnings forecasts are lifted slightly. Buy rating retained with a higher target of $33 from $32.50.

Target price is $33.00 Current Price is $18.81 Difference: $14.19
If 360 meets the Bell Potter target it will return approximately 75% (excluding dividends, fees and charges).

Current consensus price target is $30.44, suggesting upside of 61.1% (ex-dividends)

The company's fiscal year ends in December.

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: 1.0

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

Ord Minnett rates ADH as Hold (3) -

Ord Minnett expects retail trading conditions to deteriorate amid a weaker macroeconomic backdrop. The analysts point to higher interest rates, persistent cost-of-living pressures, housing market uncertainty and subdued consumer confidence.

Adairs has an elevated exposure to Victoria, alongside the earnings sensitivity of Focus on Furniture, largely contributing to the broker's forecast downgrades. Earnings estimates fall by around -14% for FY26 and -16% for FY27.

While near-term earnings risk remains elevated, Ord Minnett notes ongoing investment in the store network and IT infrastructure should support longer-term growth.

Hold rating maintained. Target falls to $1.60 from $2.30.

Target price is $1.60 Current Price is $1.22 Difference: $0.38
If ADH meets the Ord Minnett target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $1.61, suggesting upside of 23.8% (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

Morgan Stanley rates AGL as Underweight (5) -

Morgan Stanley notes final FY27 default electricity tariff determinations came in slightly below expectations, with weaker wholesale pool prices offering limited support.

Compared with draft determinations, the Australian Energy Regulator modestly increased Default Market Offer tariffs, largely reflecting higher pass-through network charges, the broker explains.

Victoria's Essential Services Commission reduced the Victorian Default Offer by around -2%.

Default tariffs will fall by between -3%-7% versus FY26 across most regions, excluding South Australia, which Morgan Stanley expects will pressure retail margins for AGL Energy and Origin Energy.

From a consumer perspective, FY27 default tariffs are expected to rise by between 0%-8% year-on-year following the removal of the FY26 $150 government subsidy.

Target for AGL Energy is $9.28. Underweight rating. Industry View: In-Line.

Target price is $9.28 Current Price is $8.70 Difference: $0.58
If AGL meets the Morgan Stanley target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $10.57, suggesting upside of 20.4% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.2

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

Bell Potter rates ARX as Buy (1) -

Bell Potter points to 54% growth in Myriad sales as the highlight for Aroa Biosurgery's FY26 results. Growth in Myriad revenues was the main factor in pushing up group revenues by 23% y/y and adj earnings (EBITDA) up 201% y/y.

The direct sales force is noted for generating 59% of group revenues against around 38% a year earlier which has lowered the reliance on indirect sales by the US distribution partner.

The analyst flags the trend is likely to be retained into FY27 as management continues to expand the direct sales channels.

Opex forecasts are raised by -$5m to reflect the higher marketing spend over the prior forecasts, which lowers forecast FY27 earnings (EBITDA) to $12.3m from $17.7m, which stands at the top end of the guidance range.

Target price slips to $1.09 from $1.12 with a Buy rating retained.

Target price is $1.09 Current Price is $0.62 Difference: $0.47
If ARX meets the Bell Potter target it will return approximately 76% (excluding dividends, fees and charges).

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: 1.0

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

Morgans rates ARX as Buy (1) -

Aroa Biosurgery's FY26 came in aligned with the recently released trading update and Morgans' expectations.

Revenue grew 23% y/y due to the growth in Myriad portfolio up 54% which offset more reserved growth from OviTex (up 8%) and a marginal fall from Endoform. Direct sales now generate around 59% of the total product revenue.

Gross margin was relatively stable at 85.5% and operating expenses rose 11% due to the higher sales-related costs.

Buy rating retained with a new target of 79c from 77c.

Target price is $0.79 Current Price is $0.62 Difference: $0.17
If ARX meets the Morgans target it will return approximately 27% (excluding dividends, fees and charges).

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: 1.0

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

Citi rates ASX as Neutral (3) -

ASX's new cost guidance has reset materially higher, Citi notes, with total expense growth guided to between 18%-21% above FY26 levels. Capex guidance was also lifted to $180m-$200m for FY27, up from $160m-$180m.

The analysts explain the surge in costs is due to technology modernisation, expanded Accelerate Program costs and other investments.

While revenue trends remain broadly in line with the broker's expectation, the medium-term return on equity (ROE) floor was lowered to 12% from 12.5%.

Citi lowers its EPS forecasts by -6% for FY27 and -9% for FY28, retains a Neutral rating and lowers its target to $56.20 from $56.80, after removing a -5% discount to valuation.

Target price is $56.20 Current Price is $51.03 Difference: $5.17
If ASX meets the Citi target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $55.54

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.0

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

Macquarie rates ASX as Neutral (3) -

ASX has issued FY27 total expense guidance which was -12% worse than consensus expectations, Macquarie reports. Further, D&A will be circa 70% in FY28. Capex guidance was also downgraded across FY27-FY28.

The payout ratio is unchanged at 75%-85% with expectations of payouts at the bottom end of the range for the next two dividends. Macquarie still believes ASX needs to cut the payout ratio, dropping below the additional capital requirement from 2H27.

ASX will sell its 49% stake in Sympli for a "nominal amount". This will result in a -$12m loss. It is hard to see ASX holding its targets of improved earnings margins over the medium term, Macquarie suggests. Target falls to $54.00 from $58.50, Neutral retained.

Target price is $54.00 Current Price is $51.03 Difference: $2.97
If ASX meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $55.54

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.0

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

Ord Minnett rates ASX as Hold (3) -

Ord Minnett believes ASX faces a challenging outlook after flagging sharply higher FY27 costs and capital expenditure tied to technology modernisation, governance upgrades and regulatory remediation.

FY27 operating expenses are now expected to more than double FY22 levels. This potential outcome is driven largely by the Accelerate program agreed with ASIC and the RBA, alongside ongoing investment in a replacement CHESS system, the analyst explains.

The broker also highlights uncertainty surrounding the ASIC court case, CHESS replacement timing and incoming CEO transition.

Ord Minnett retains a Hold rating and cuts its target to $51.30 from $59.85.

Target price is $51.30 Current Price is $51.03 Difference: $0.27
If ASX meets the Ord Minnett target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $55.54

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.0

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

UBS rates ASX as Buy (1) -

ASX announced new FY27 cost and capex outlooks materially higher than expected, but UBS suggests this resets the earnings base ahead of its new CEO and includes initial investment in growth opportunities including tokenisation.

ASX guided to FY27 expense growth 18%-21% well ahead of consensus. FY27 opex growth (25.5%) is surprising, though UBS notes ultimate net P&L impacts should be considerably smaller at -3% long-term given revenue recovery under the C&S pricing policy and Sympli exit.

With cost uncertainty reduced, the broker sees a clearer runway for upside revenue recognition. As ASX trades at 19x FY27, a -29% discount to its relative ten-year average PE, UBS retains Buy. Target falls to $62.00 from $65.20.

Target price is $62.00 Current Price is $51.03 Difference: $10.97
If ASX meets the UBS target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $55.54

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.0

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

Bell Potter rates AV1 as Buy (1) -

In the latest trading update from Adveritas, Bell Potter highlights ARR was up 8% in around two months since the end of March to US$16.3m.

Most of the new ARR has been generated outside the traditional sports and gaming market, the analyst states. The SME platform is scaling its organic growth including 652 sign ups, 250 account connections and 54 billable accounts.

AI was noted for boosting demand for Adveritas' solutions because AI-bot generated fraud increases the scale of the problem, the broker explains, thereby growing the addressable market.

No change to EPS estimates. Target remains at 18c with an unchanged Buy rating.

Target price is $0.18 Current Price is $0.08 Difference: $0.096
If AV1 meets the Bell Potter target it will return approximately 114% (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

Ord Minnett rates BC8 as Initiation of coverage with Buy (1) -

Ord Minnett initiates coverage on gold miner Black Cat Syndicate with a Buy rating and $2.20 target. The company is considered materially undervalued given forecast production growth to 192,000 ounces by FY30 from 93,000 ounces in FY26.

The broker expects all-in sustaining costs (AISC) to decline materially as production ramps up at Kal East and Paulsens, both now cash-flow positive.

Commentary also points to significant free cash flow (FCF) generation potential. Upcoming strategy updates and exploration activity are seen as important catalysts supporting longer-term mine life extensions and development plans.

Target price is $2.20 Current Price is $1.25 Difference: $0.95
If BC8 meets the Ord Minnett target it will return approximately 76% (excluding dividends, fees and charges).

Market Sentiment: 1.0

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

Citi rates CGF as Buy (1) -

Challenger's investor day outlined several opportunities to grow sales and expand the business, Citi highlights, though provided limited financial detail around the potential earnings impact.

Confirmation of a further $300m capital return is seen as the key positive, in addition to the existing buyback program.

While remaining constructive on the long-term outlook, the broker retains some concerns around the earnings profile amid tight credit spreads and notes FY27 guidance should provide greater clarity.

Citi retains a Buy rating and unchanged $10.00 target.

Target price is $10.00 Current Price is $8.85 Difference: $1.15
If CGF meets the Citi target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $9.60, suggesting upside of 6.9% (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

UBS rates CGF as Buy (1) -

While at Challenger's investor day capital benefits were confirmed, a lack of prescriptive targets required to assess medium-term capital implications underwhelmed, UBS notes, sending the share price down -5%.

However, with Challenger indicating all Life AUM growth will be allocated to fixed income, asset mix and capital intensity changes and timing are now intrinsically tied to growth, UBS points out.

Growth prospects thus appear solid with expanding super fund, technology and reinsurance partnerships adding to structural demographic and retirement income product reform tailwinds.

UBS continues to see compelling upside and retains Buy. Target rises to $10.20 from $10.10.

Target price is $10.20 Current Price is $8.85 Difference: $1.35
If CGF meets the UBS target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $9.60, suggesting upside of 6.9% (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

Bell Potter rates EOS as Buy (1) -

Post a $150m placement to institutional investors, and a $40m strategic investment from Calidus LLC and another investor, Electro Optic Systems has completed its acquisition of Marss Group. The funds highlighted exclude the $25m share placement.

The institutional placement was done at $8 per share and will be employed for the $50m upfront consideration for Marss, Bell Potter notes.

The analyst highlights the Marss' C2 Nidar offer is performing ahead of expectations including EUR102m in new Middle Eastern contracts for UAS (drone) detection and mitigation, using Nidar C2 software. Marss' order book stands at EUR135m.

Electro Optic Systems remains Buy rated with a new target of $10.60 from $10.40. The stock is viewed as a market leader across many C-UAS verticals (counter-drone technology).

Target price is $10.60 Current Price is $8.89 Difference: $1.71
If EOS meets the Bell Potter target it will return approximately 19% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

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 FLT as Buy (1) -

UBS notes Flight Centre Travel at its investor day highlighted deteriorating conditions in May versus April, and while guidance has neither been reconfirmed nor changed, the broker's read is that the operating environment would have become more challenging.

Management updated on Leisure and Corporate demand, forex and the gradual resumption of Middle East services. UBS assumes this moves previous FY26 profit guidance to an adjusted $310-$345m range.

UBS' forecast is already below the guidance range at $304m. Buy and $14.50 target retained.

Target price is $14.50 Current Price is $9.92 Difference: $4.58
If FLT meets the UBS target it will return approximately 46% (excluding dividends, fees and charges).

Current consensus price target is $15.23, suggesting upside of 54.1% (ex-dividends)

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 FPH as Neutral (3) -

Fisher & Paykel Healthcare's FY26 result was broadly in line with consensus, Citi notes. Hospital sales growth remained particularly strong, in the broker's view, with new applications consumables rising 18% year-on-year.

The analysts view FY27 guidance as conservatively framed despite coming in around -2% below market expectations at the midpoint.

Management guided to improving gross margins in FY27 despite tariff impacts and higher freight and raw material costs linked to Middle East geopolitical tensions.

Citi believes some cost pressures may ultimately be passed through, while freight costs could ease if conditions improve.

Neutral rating. Target is raised to NZ$40.00 from NZ$38.50.

Current Price is $30.05. Target price not assessed.

Current consensus price target is N/A

Forecast for FY27:

Forecast for FY28:

This company reports in NZD. 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

Macquarie rates FPH as Outperform (1) -

Fisher & Paykel Healthcare's FY26 profit has been increased 28% (constant currency) to NZ$468m, at the top end of NZ$450-470m guidance range, Macquarie notes, albeit in line with expectations.

Hospital hardware was the key surprise, up 27%, driven by fleet replacement of the Airvo 3/950 system.

Macquarie's EPS revisions of +1%/-5%/-8% in FY27/FY28/FY29 reflect minor operational updates and house FX forecasts in outer years. Target falls to NZ$43.70 from NZ$45.80.

Macquarie sees the medium- to longer-term outlook as favourable, supported by uptake of new apps consumables, OSA patient growth and increased utilisation from changing clinical practices. Outperform retained.

Current Price is $30.05. Target price not assessed.

Current consensus price target is N/A

The company's fiscal year ends in March.

Forecast for FY27:

Forecast for FY28:

This company reports in NZD. 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

Morgan Stanley rates FPH as Overweight (1) -

Morgan Stanley assesses Fisher & Paykel Healthcare delivered an FY26 result broadly in line with consensus expectations, with stronger-than-expected gross margins supporting earnings.

New applications revenue rose 16% in 2H26 despite lower US respiratory hospitalisations, which Morgan Stanley views as evidence of increasing clinical adoption.

FY27 guidance incorporates ongoing tariff, freight and raw material headwinds, though management still expects further gross margin expansion.

Morgan Stanley retains an Overweight rating, pointing to low market penetration across key therapies, improving margins and attractive medium-term EPS growth potential. Target rises to NZ$41.20 from NZ$40.00. Industry View: In-Line.

Current Price is $30.05. Target price not assessed.

Current consensus price target is N/A

The company's fiscal year ends in March.

Forecast for FY27:

Forecast for FY28:

This company reports in NZD. 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

UBS rates FPH as Neutral (3) -

Following yesterday's relief rally, UBS believes Fisher & Paykel Healthcare's share price fairly reflects slightly lower medium-term EPS growth and higher sector risk profile.

Hospital consumable outlook remains robust however Homecare growth is lower with delays to new OSA mask releases, and margin headwinds from higher resins/plastics and distribution costs.

UBS does not see a material PE re-rating from 40x given the record premium to A&NZ large-cap healthcare peers, and risk from extra US medical device tariffs. Neutral retained, target rises to NZ$37.50 from NZ$35.30.

Current Price is $30.05. Target price not assessed.

Current consensus price target is N/A

The company's fiscal year ends in March.

Forecast for FY27:

Forecast for FY28:

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

Market Sentiment: 0.5

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

Bell Potter rates GMG as Buy (1) -

Bell Potter raises some questions post Goodman Group's 3Q26 update around the leasing progress, and the extension of timelines. The analyst believes the moat around scaled data centre players seems to be "widening". This reflects the scale and complexity of the sector.

Goodman reiterated FY26 operating EPS growth of 9%-plus y/y with no change in DPS guidance. The powerbank has risen by 7% to 6.4GW with additional contributions from A&NZ by 0.5GW to 2.1GW.

No change to work in progress by the end of FY26 to $18bn against $14.5bn at the end of the 3Q26. The broker notes major data centre projects in Europe are expected to generate a major lift in the 4Q26.

Target price slips to $35.50 from $36.45. No change to Buy rating.

Target price is $35.50 Current Price is $30.01 Difference: $5.49
If GMG meets the Bell Potter target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $34.68, suggesting upside of 11.4% (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

Morgan Stanley rates GMG as Overweight (1) -

Morgan Stanley views Goodman Group's 3Q update as mildly disappointing at a headline level given no FY26 EPS upgrade or new data centre customer announcements.

The broker did, however, come away more positive from the conference call, believing several levers remain in place for management to exceed its 9% EPS growth guidance, including performance fees.

Multiple data centre customer negotiations are already in documentation and due diligence phases, the analysts note, with contracts potentially signed by December 2026.

Goodman's development pipeline remains robust, with work-in-progress expected to rise to around $18bn as major European projects advance, commentary highlights.

Target is $36.15. Overweight rated. Industry view: In-Line.

Target price is $36.15 Current Price is $30.01 Difference: $6.14
If GMG meets the Morgan Stanley target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $34.68, suggesting upside of 11.4% (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

Morgans rates GMG as Buy (1) -

Morgans views Goodman Group's 3Q26 as consistent with its strategic alignment of using balance sheet capacity before customers commit to be in pole position for power-enabled data centre capacity.

Work in progress is flagged to rise to around $18bn by June with consensus at $17.7bn and the power bank raised to 6.4GW. The analyst reckons the update was "mixed" with flat guidance on pre-committed share, production rate and yield on cost.

The notable takeaway was data centre capex needs are most likely to surpass capital market funding capacity. This favours those developers with secured power, the broker explains.

FY26 operational EPS growth was guided to "at least 9% y/y" which was slightly below the broker's forecast and consensus.

Buy rating reiterated with a $36 target up from $32.45.

Target price is $36.00 Current Price is $30.01 Difference: $5.99
If GMG meets the Morgans target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $34.68, suggesting upside of 11.4% (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

Ord Minnett rates GMG as Hold (3) -

As noted by several brokers, Goodman Group guided to FY26 EPS growth of at least 9% which came in slightly below Ord Minnett's expectations and consensus.

The recovery in the share price over the course of the day suggests to the analyst, the market became more "relaxed" as further details emerged.

Notably a further 400MW was added to the group's powerbank taking the pipeline to 6.4GWs with conditions in the data centre market highlighted by management as "running hot".

The group also pointed to expected robust leasing results for the Tokyo, Hong Kong and European data centres over the next year. Accordingly, Ord Minnett has upped the yield on cost forecast for the development pipeline to 10% from 9.5%.

EPS estimates are unchanged for FY26 and raised slightly for FY27/FY28.

No change to Hold rating. Target lifted to $29.15 from $29.

Target price is $29.15 Current Price is $30.01 Difference: minus $0.86 (current price is over target).
If GMG meets the Ord Minnett target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $34.68, suggesting upside of 11.4% (ex-dividends)

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 IFT as Buy (1) -

Citi came away incrementally more positive following Infratil's earnings call with analysts, viewing the post-result share price weakness as an enhanced buying opportunity.

Key positives highlighted by the broker include expectations for further CDC contracting growth in 1H FY27 and Longroad's plans to expand into data centre development with more than 4GW identified.

Ongoing business simplification through additional asset divestments is seen as a further positive.

Citi retains a Buy rating. The broker's price target has shifted to NZ$18.50 from NZ$15.70 and to $15.18 from $12.87.

A summary of the broker's research yesterday follows.

............

Citi expects the Infratil share price to weaken following today's FY27 earnings (EBITDA) guidance miss, around -13% below market expectations at the midpoint.

At first glance, the broker notes FY26 proportionate earnings of NZ$974m were broadly in line with guidance and consensus.

The broker attributes the weaker outlook to softer earnings from telecommunications business One NZ and radiology businesses, alongside higher development spending and corporate costs.

Net asset value rose by NZ$2.3bn to NZ$20.6bn, driven primarily by CDC and Contact Energy, with net asset value (NAV) per share increasing 4% from 1H26.

Citi notes Infratil now trades at an -8% discount to NAV versus a historical average discount of between -14%-15%.

Target price is $15.18 Current Price is $12.42 Difference: $2.76
If IFT meets the Citi target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $14.49, suggesting upside of 10.3% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY27:

Forecast for FY28:

This company reports in NZD. 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

Macquarie rates IFT as Outperform (1) -

Infratil reported FY26 proportionate earnings 1% ahead of consensus. CDC data centres (55% of value) contracting discussions are progressing well for signings in 1H27 and beyond for further medium- and large-scale deployments, Macquarie notes.

Infratil has signalled a further $1bn of asset sales where portfolio positions unable to be scaled under Infratil ownership and higher return opportunities lie elsewhere.

Macquarie sees a predominance of positive risks to catalysts and resumes coverage after a period of restriction with an Outperform rating and NZ$17.23 target.

Current Price is $12.42. Target price not assessed.

Current consensus price target is $14.49, suggesting upside of 10.3% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY27:

Forecast for FY28:

This company reports in NZD. 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

Morgans rates IFT as Accumulate (2) -

Morgans views Infratil's FY26 was robust with net proportionate earnings (EBITDA) rising 11% y/y and above guidance by 4%.

Proportionate capex came in above expectations, up 17% y/y and is flagged to rise around 57% in FY27 with management recycling capital to reinvest in growth assets, the analyst explains.

CDC generated AU$393m of earnings (EBITDA) and is anticipated to reach around AU$700m in FY27 and over AU$1bn in FY28 (100% of CDC) with Infratil owning 49.75%.

The broker highlights data centres, including CDC were the main earnings drivers but renewables are expected to be a major contributor going forward.

Morgans forecasts the net asset value per share post fees rose 4% and the target price rises to $13.80 from $11.30, a -10% discount to NAV.

Accumulate rating retained.

Target price is $13.80 Current Price is $12.42 Difference: $1.38
If IFT meets the Morgans target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $14.49, suggesting upside of 10.3% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY27:

Forecast for FY28:

This company reports in NZD. 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

UBS rates IFT as Buy (1) -

Infratil reported FY26 earnings and FY27 guidance in line with expectations. The share price fell -6% on the day. which UBS suggests was most likely due to some disappointment that there were no large contact signings for data centres (CDC)

UBS nevertheless expects new contract wins in the next six months and has reflected this partially in its CDC valuation uplift. As a result, the CDC valuation discount to NextDC ((NXT)) should close from -20% to below -10% or even parity, UBS believes.

Maintain Buy. Target rises to NZ$17.25 from NZ$16.50.

Current Price is $12.42. Target price not assessed.

Current consensus price target is $14.49, suggesting upside of 10.3% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY27:

Forecast for FY28:

This company reports in NZD. 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

Morgan Stanley rates ORG as Underweight (5) -

Morgan Stanley notes final FY27 default electricity tariff determinations came in slightly below expectations, with weaker wholesale pool prices offering limited support.

Compared with draft determinations, the Australian Energy Regulator modestly increased Default Market Offer tariffs, largely reflecting higher pass-through network charges, the broker explains.

Victoria's Essential Services Commission reduced the Victorian Default Offer by around -2%.

Default tariffs will fall by between -3%-7% versus FY26 across most regions, excluding South Australia, which Morgan Stanley expects will pressure retail margins for AGL Energy and Origin Energy.

From a consumer perspective, FY27 default tariffs are expected to rise by between 0%-8% year-on-year following the removal of the FY26 $150 government subsidy.

Target for Origin Energy is $11.00. Underweight rating. Industry View: In-Line.

Target price is $11.00 Current Price is $10.64 Difference: $0.36
If ORG meets the Morgan Stanley target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $11.89, suggesting upside of 8.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.0

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

Citi rates RIO as Neutral (3) -

Citi has upgraded its aluminium price outlook, now forecasting prices could reach US$4,000/t in 2H26, with ex-China market tightness expected to persist into 2027.

The revised outlook drives forecast earnings upgrades of 5%-17% across 2026-2028 across companies researched by the broker.

While Rio Tinto offers strong leverage to higher aluminium prices and US Midwest premiums, Citi views South32 as the preferred exposure.

Aluminium contributes around 50% of group earnings for South32, alongside growth optionality from the Hermosa zinc-silver project.

The target for Rio Tinto rises by $9.00 to $179. Neutral rating maintained.

Target price is $179.00 Current Price is $188.31 Difference: minus $9.31 (current price is over target).
If RIO meets the Citi target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $175.25, suggesting downside of -6.9% (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

Macquarie rates RYM as Outperform (1) -

Ryman Healthcare saw a strong turnaround delivered in existing operations over FY26, yet there remains a negative in buyback drag, Macquarie notes, while Care was a standout, driving FY27 upside.

Improvements in sales cadence are evident with 2H26 resales contracts of 440 up 16% half on half, contracted resale stock up 15% and uncontracted stock stabilising, Macquarie reports.

Cash release potential appears well above $500m targeted by FY29 which will reduce net debt and gearing and allow for measured growth.

Macquarie retains Outperform on valuation, signs of improving resale trends, and strong execution of cash improvement, particularly in Care. Target rises to NZ$2.86 from NZ$2.80.

Current Price is $1.78. Target price not assessed.

The company's fiscal year ends in March.

Forecast for FY27:

Forecast for FY28:

This company reports in NZD. 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 S32 as Buy (1) -

Citi has upgraded its aluminium price outlook, now forecasting prices could reach US$4,000/t in 2H26, with ex-China market tightness expected to persist into 2027.

The revised outlook drives forecast earnings upgrades of 5%-17% across 2026-2028 across companies researched by the broker.

While Rio Tinto offers strong leverage to higher aluminium prices and US Midwest premiums, Citi views South32 as the preferred exposure.

Aluminium contributes around 50% of group earnings for South32, alongside growth optionality from the Hermosa zinc-silver project.

The target for South32 rises by 20c to $5.60. Buy rating maintained.

Target price is $5.60 Current Price is $4.63 Difference: $0.97
If S32 meets the Citi target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $4.98, suggesting upside of 3.9% (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: 0.9

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

Citi rates STO as Buy (1) -

Citi believes the Santos investor briefing day reinforced confidence in the company's Tier 1 basin strategy, free cash flow growth outlook and shareholder return framework.

Management reiterated Barossa and Pikka are expected to reach plateau production by the third quarter, supporting implementation of the new capital management framework.

The broker continues to view Santos as offering one of the highest dividend yields across its global oil and gas coverage, supported by leverage to oil prices and lower Cooper Basin costs.

While the Australian Domestic Supply Obligation remains an overhang, the analyst expects existing GLNG supply contracts to be honoured with minimal earnings impact.

Citi retains a Buy rating. Awaiting confirmation of the broker's target, which was $9.00 prior to the investor briefing.

Target price is $9.00 Current Price is $7.87 Difference: $1.13
If STO meets the Citi target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $8.28, suggesting upside of 4.9% (ex-dividends)

The company's fiscal year ends in December.

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: 0.6

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

Macquarie rates STO as Outperform (1) -

Santos' investor day outlined a portfolio de-risked and of higher quality, Macquarie suggests. The company has passed peak capex and now formalises a "Tier 1 basin" focus on Alaska North Slope, Papua New Guinea, and Beetaloo shale gas.

Santos should maintain 2026 production levels for at least a decade. The investor day focused on the US$45-US$50/bbl break-even target and how it would increase shareholder returns while delivering further growth, Macquarie reports.

Santos now has a suite of higher-quality opportunities to pursue, Macquarie suggests. This focus should see it create currently unrecognised value from its existing footprint. Outperform and $9.15 target retained.

Target price is $9.15 Current Price is $7.87 Difference: $1.28
If STO meets the Macquarie target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $8.28, suggesting upside of 4.9% (ex-dividends)

The company's fiscal year ends in December.

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: 0.6

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

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

Morgan Stanley remains constructive on Santos, highlighting the company's continued focus on low-cost free cash flow (FCF) generation and balance sheet de-leveraging.

While Australia's proposed Domestic Supply Obligation introduces some uncertainty, according to the broker, management emphasised the increasing diversity of its portfolio and supply options.

The analysts also highlight the newly identified Mosa oil prospect in PNG, located near existing infrastructure within the PNG LNG permit area. Management expects a 31% internal rate of return (IRR) and a payback period of under four years.

Target remains at $7.50. Equal-weight. Industry view In-Line. Santos is Morgan Stanley's preferred Australian large-cap oil and gas exposure.

Target price is $7.50 Current Price is $7.87 Difference: minus $0.37 (current price is over target).
If STO meets the Morgan Stanley target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $8.28, suggesting upside of 4.9% (ex-dividends)

The company's fiscal year ends in December.

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: 0.6

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

Citi rates WEB as Buy, High Risk (1) -

Today's Web Travel FY26 result was stronger than expected by Citi, despite disruption from the Middle East conflict. Earnings (EBITDA) of around $148m came in modestly ahead of consensus expectations.

At first glance, Bookings and sales both exceeded the broker's forecasts, while the revenue margin improved to 6.8%. A particularly strong second-half exit rate is highlighted, driven by direct contracting and a favourable European mix.

Cash conversion of 107% is also viewed positively, supported by normalising working capital and stronger operating cash flow.

While FY27 visibility remains limited amid ongoing uncertainty, Citi believes management is "controlling the controllables" effectively and notes revenue margin momentum remains encouraging.

Target $3.90. Buy, High Risk.

Target price is $3.90 Current Price is $2.38 Difference: $1.52
If WEB meets the Citi target it will return approximately 64% (excluding dividends, fees and charges).

Current consensus price target is $4.77, suggesting upside of 96.2% (ex-dividends)

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