Australian Broker Call

Morgans rates ACF as Add (1) -

Acrow's 1H earnings (EBITDA) and underlying profit were 7% beats compared to Morgans estimates, but as management maintained FY24 earnings guidance the broker makes only minor FY24-26 forecast changes.

The broker highlights the 53% earnings uplift in the 1H was mainly a result of organic improvement. Excluding acquisitions, earnings still rose by 37%.

Importantly, the annualised return on investment (ROI) on growth capex of 58% was well above management's greater than 40% target, observes the analyst.

The target price rises to $1.40 from $1.22 largely due to a roll-forward of the broker's financial model to FY25 forecasts. Add.

Target price is $1.40 Current Price is $1.16 Difference: $0.245
If ACF meets the Morgans target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $1.32, suggesting upside of 10.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Ord Minnett rates ACF as Accumulate (2) -

A solid first half result from Acrow according to Ord Minnett, with revenue and earnings exceeding the broker's estimates by 1% and 6% respectively.

As per the broker, the formwork division remained the primary driver, with segment revenue 3% ahead of Ord Minnett's forecast, while new hire contracts continue to demonstrate growth.

While the company has retained full year guidance, the broker warns it may prove conservative given the strength of the first half result. 

The Accumulate rating is retained and the target price increases to $1.25 from $1.24.

Target price is $1.25 Current Price is $1.16 Difference: $0.095
If ACF meets the Ord Minnett target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $1.32, suggesting upside of 10.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Shaw and Partners rates ACF as Buy (1) -

Acrow has reported 33% year-on-year net profit growth over the first half, a result 20% ahead of Shaw and Partners' expectations. The broker has lifted its full year net profit forecast by less than 2%, with Acrow retaining full year guidance.

The overheads segment surprised the broker, reporting growth of just 14% year-on-year compared to revenue growth of 27.6%, representing a sizeable miss to the broker's forecast.

The broker finds Acrow ideally positioned for long-term profitable growth, which should see the company take market share.

The Buy rating is retained and the target price increases to $1.30 from $1.20.

Target price is $1.30 Current Price is $1.16 Difference: $0.145
If ACF meets the Shaw and Partners target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $1.32, suggesting upside of 10.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Morgans rates AHC as No Rating (-1) -

Shares in Austco Healthcare received a 10% boost, notes Morgans, after announcing a conditional binding term sheet to acquire Queensland-based Amentco for -$10.6m.

Amentco is already a certified reseller and servicer of Austco's products. The company's services include the sale and maintenance of nurse call systems, realtime locating systems, security, CCTV and access control.

Morgans update does not include a rating or target price.

Current Price is $0.22. Target price not assessed.

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

Bell Potter rates ALK as Buy (1) -

First half earnings were slightly below Bell Potter's estimates, the difference being inventory movements. Alkane Resources has guided to 60-65,000 ounces in FY24 at AISC of $1750-2100/oz.

Steady-state operations from Roswell underground are expected in the second half of 2024 and following that development of the new San Antonio open pit will commence.

Bell Potter maintains a Buy rating and $1 target, underpinned by the consistently profitable Tomingley gold operation and the copper/gold porphyry resources at Boda.

Target price is $1.00 Current Price is $0.50 Difference: $0.5
If ALK meets the Bell Potter target it will return approximately 100% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Macquarie rates BHP as Outperform (1) -

BHP Group’s result was in line with Macquarie, but overshadowed by Escondida's production drop to 900-1000ktpa from 2027-2032, which is potentially a -250ktpa drop.

Management is hoping Olympic Dam's two stage smelter and WA iron ore's 330mtpa expansion address the shortfall. Nickel and coal growth are off the table.

BHP boasts a portfolio of "tier one" assets, Macquarie notes, but growth optionality is limited and new inorganic options may be required.

Target falls to $48 from $49, Outperform retained.

Target price is $48.00 Current Price is $44.47 Difference: $3.53
If BHP meets the Macquarie target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $45.56, suggesting upside of 2.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.2

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

Ord Minnett rates BRI as Buy (1) -

A broadly in-line first half result from Big River Industries, says Ord Minnett, with the company beating the broker's revenue and gross profit forecasts by 2% and 1% respectively.

The broker notes earnings were a -4% miss, explaining the result as an impact of a greater negative fixed cost leverage that stemmed from a normalisation in frame and truss volumes.

Amid an uncertain macro outlook, the company has not provided full year guidance. Management suggested labour constraints continue to delay the volume of work completed, and to push the pipeline further into 2024.

The Buy rating is retained and the target price decreases to $2.39 from $2.43.

Target price is $2.39 Current Price is $1.98 Difference: $0.415
If BRI meets the Ord Minnett target it will return approximately 21% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Bell Potter rates CBO as Downgrade to Hold from Buy (3) -

First half underlying EBITDA was ahead of Bell Potter's expectations. Revenue was up 53%. Cobram Estate Olives expects the Australian harvest will be down year-on-year - an off-year - while the sale value per litre of the crop is expected to be materially higher.

Bell Potter upgrades estimates by 17% for FY24 and 11% for FY25, to reflect higher oil values and a faster selling through of inventory. In light of the recent share price rally, the rating is downgraded to Hold from Buy. Target is lifted to $1.80 from $1.70.

Target price is $1.80 Current Price is $1.65 Difference: $0.15
If CBO meets the Bell Potter target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $1.90, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.7

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

Ord Minnett rates CBO as Buy (1) -

Cobram Estate Olives' H1 performance proved either better or in line with Ord Minnett's expectations on various key financial metrics. Headline EBITDA proved a 'miss', but the broker has responded by upgrading its forecasts.

Favourable pricing conditions bode well for H2, the broker suggests.

The US market continues to require rapid investment, the broker observes, while materially upgrading capex forecasts. FY24 should represent peak capex for the company, in the broker's opinion.

Target price rises to $1.86 from $1.82. Buy.

Target price is $1.86 Current Price is $1.65 Difference: $0.21
If CBO meets the Ord Minnett target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $1.90, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.7

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

Shaw and Partners rates CBO as Buy (1) -

Cobram Estate Olives has enjoyed much stronger output pricing in Australia in the first half than anticipated. The period saw the company gain market share domestically, with Australian packaged oil sales up 41% year-on-year.

Shaw and Partners notes sales are expected to be similar in the second half, and further price increases are likely to be offset by volume constraints.

It is expected that the second half will benefit from two output price increases, as well as an improved mix shift toward branded oil. Shaw and Partners anticipates 40% year-on-year earnings growth in the second half for the Australian segment.

The Buy rating is retained and the target price increases to $2.05 from $1.80.

Target price is $2.05 Current Price is $1.65 Difference: $0.4
If CBO meets the Shaw and Partners target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $1.90, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.7

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

Macquarie rates CDA as Outperform (1) -

Codan's first half revenue beat Macquarie's forecast, with Detection the key driver. Communications is set to deliver another year of 10-15%-plus growth, the broker suggests.

Segment profit margins surprised to the upside in Detection, with Communications largely in line. A good result, Macquarie believes, given ongoing integration of recent acquisitions.

Codan is continuing to build a track record of 10%-plus growth in Communications, with Detection surprising to the upside, the broker notes. M&A-related costs being expensed and forward investment in group capability provide confidence in the medium-term growth outlook.

Outperform retained, target rises to $10.65 from $8.48.

Target price is $10.65 Current Price is $9.79 Difference: $0.86
If CDA meets the Macquarie target it will return approximately 9% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Citi rates CHC as Buy (1) -

Post interim result, Citi has reduced forecasts, while expecting more asset devaluation, but also retained its Buy rating as Charter Hall remains levered to a recovery in transaction markets, and the broker believes this recovery is likely to eventuate around mid-2024.

Revised FUM assumptions are the key responsible for lowered estimates.

The broker notes 1H24 real estate FUM declined by -6% versus June 2023, and valuations for certain parts of the platform may be subject to more asset devaluations in the June 2024 half. The broker suggests more devaluations will likely be smaller.

Citi thinks FY24 guidance looks achievable, especially given a strong 1H. But the analysts see potential downside to FY25 consensus, given lower end FUM base in FY24.

Look-through gearing has increased across the platform to circa 37%, with the analysts highlighting divestments at Charter Hall Long WALE REIT ((CLW)) are putting downward pressure on FUM.

Target price has lost -10c to $13.40.

Target price is $13.40 Current Price is $11.92 Difference: $1.48
If CHC meets the Citi target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $13.34, suggesting upside of 11.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Macquarie rates CHC as Outperform (1) -

Charter Hall's first half operating earnings weres 12% ahead of Macquarie, driven by higher development investments earnings and lower operating expenses. FY24 guidance is reiterated.

Net equity flows remained weak as expected given the rising cost of capital over recent periods, along with ongoing uncertainty regarding asset prices. Macquarie expects flows to return as central banks start cutting rates.

The broker has penciled in first RBA cut in August and first Fed cut in July. With operational metrics at or approaching cyclical lows with FY24 being the trough earnings year, the broker retains Outperform. Target falls to $12.90 from $13.15.

Target price is $12.90 Current Price is $11.92 Difference: $0.98
If CHC meets the Macquarie target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $13.34, suggesting upside of 11.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Morgan Stanley rates CHC as Overweight (1) -

Charter Hall's first half slightly beat expectations, with Morgan Stanley noting guidance has been maintained for FY24 that signals a first half skew. This is a result of the company anticipating margins could moderate.

Net equity inflows of $405m were lower than the average pre- FY23. Yet Morgan Stanley notes funds have liquidity and undrawn equity which signals the platform can capture share should transaction volumes recover.

Overweight rating and $13.25 target. Industry view: In-Line. 

Target price is $13.25 Current Price is $11.92 Difference: $1.33
If CHC meets the Morgan Stanley target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $13.34, suggesting upside of 11.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

UBS rates CHC as Neutral (3) -

Charter Hall's H1 proved a 'beat', UBS surmises, but the result was helped by development profits shifting into H1. Irrespectively, the broker notes activity levels appear to have stabilised at cyclical lows as the real estate investment market adjusts to higher interest rates.

Management has maintained FY24 EPS guidance at 75c. UBS sits at 76c. Negative revaluations weighed on funds under administration, which proved a slight 'miss'.

From a top down perspective, UBS remains cautious on core real estate funds managers, and thus the rating remains on Neutral. Target $11.25 (was $12.30).

The broker suggests sector dynamics are nearing a bottom, but it may yet be a smidgen too early to get excited. Estimates have slightly reduced.

Target price is $11.25 Current Price is $11.92 Difference: minus $0.67 (current price is over target).
If CHC meets the UBS target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $13.34, suggesting upside of 11.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Morgans rates CHL as Add (1) -

Despite a -17% share price plunge yesterday following 1H results for Camplify Holdings, Morgans maintains its Add rating and $2.85 target. Seasonality in key headline metrics was considered the main reason for the negative reaction.

Gross transaction value (GTV) rose by 94% on the previous corresponding period and was an 8% beat on the broker's forecast, while the gross profit margin improved to 61.4% from 58.1%.

The analyst advises investors to be patient and rely upon supporting structural tailwinds and the "prodigious opportunity" offshore.

The integration of PaulCamper onto the company's platform was completed in early-February. Management is currently developing the Premium Membership and Accident Excess Reduction (AER) product expansion into EU and the UK markets for the 2H.

Target price is $2.85 Current Price is $2.00 Difference: $0.85
If CHL meets the Morgans target it will return approximately 43% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Ord Minnett rates CHL as Buy (1) -

Camplify Holdings' H1 release surprised with an unexpected accountancy loss as non-recurring expenses totalling -$0.9m and acquisition amortisation of -$0.9m had not been communicated beforehand, explains Ord Minnett.

Ignoring these two items, the underlying performance proved pretty much as expected.

More confusion stemmed from the number of vehicles on platform, which increased by circa 4% over the last six months. On face value, this points to a slowing in organic growth for the core business, but it is in effect the result of a deliberate slowing in marketing spend, explains the broker.

Elsewhere, there was higher than normal churn in the Australian business. Ord Minnett retains a positive outlook, expecting vehicle numbers to accelerate from here onward.

Buy. Target falls to $2.71 (was $2.82).

Target price is $2.71 Current Price is $2.00 Difference: $0.71
If CHL meets the Ord Minnett target it will return approximately 36% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Bell Potter rates CNI as Hold (3) -

First half results were slightly ahead of Bell Potter's estimates. FY24 guidance was reiterated for EPS of 11.5-12.0c.

The broker observes movement in bond yields over recent months has benefited fund A-REITs with higher operating leverage, such as Centuria Capital.

While the overall outlook may be improving, Bell Potter points out the underlying asset exposure and "look-through" gearing will need to be kept in check. Hold maintained. Target is raised to $1.70 from $1.60.

Target price is $1.70 Current Price is $1.64 Difference: $0.065
If CNI meets the Bell Potter target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $1.69, suggesting upside of 6.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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

Ord Minnett rates CNI as Hold (3) -

Ord Minnett found the H1 release by Centuria Capital "reassuring" but adds it does see risk in the highly geared balance sheet, also because there are likely more devaluations awaiting for commercial properties.

Ord Minnett would like to see a bigger buffer.

Otherwise, performance fees are expected to fall and funds under management (FUM) are not going anywhere in a hurry if the broker's forecasts for the next number of years prove accurate.

There's an implicit suggestion the rating has been downgraded (now at Hold versus Buy earlier) but the broker has -annoyingly- stopped reporting when it actually downgrades. Fair value remains $1.75.

Target price is $1.75 Current Price is $1.64 Difference: $0.115
If CNI meets the Ord Minnett target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $1.69, suggesting upside of 6.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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

Bell Potter rates COS as Downgrade to Hold from Buy (3) -

First half earnings from Cosol were slightly below Bell Potter's forecast. The company has indicated the second half has commenced well and expects continued growth in revenue and earnings over the rest of FY24, emphasising the skew to the second half.

Bell Potter downgrades revenue forecasts by -2% for FY24 and FY25, largely driven by a modest lowering of Asia-Pacific forecasts that are only partly offset by increases in North America. Rating is downgraded to Hold from Buy and the target lowered to $1.05 from $1.08.

Target price is $1.05 Current Price is $0.96 Difference: $0.09
If COS meets the Bell Potter target it will return approximately 9% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Ord Minnett rates COS as Buy (1) -

Cosol's H1 performance proved broadly in line with Ord Minnett's forecasts. There was weakness in the gross margin, but the broker refers to an unfavourable "mix" between the margin and opex.

The result was accompanied by two new contract wins, both with state government entities. Management repeated FY24 targets, plus the company remains keen on further acquisitions.

Ord Minnett suggests M&A will be the key catalyst in the near term. Buy. Target crept up to $1.21 from $1.17. Only marginal amendments have been made to forecasts.

Target price is $1.21 Current Price is $0.96 Difference: $0.25
If COS meets the Ord Minnett target it will return approximately 26% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Morgans rates CRN as Add (1) -

FY23 results for Coronado Global Resources held no surprises for Morgans. FY24 guidance for higher production and lower mining costs is considered supportive.

The interim US0.5cps dividend fell short of the consensus expectation for US1.5cps.

After allowing for the FY23 result, a model roll-forward and tempered production at higher costs across 2025-26, Morgans lowers its target to $1.75 from $1.90.

The valuation is considered too cheap and the Add rating is maintained.

Target price is $1.75 Current Price is $1.36 Difference: $0.39
If CRN meets the Morgans target it will return approximately 29% (excluding dividends, fees and charges).

Current consensus price target is $1.85, suggesting upside of 39.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.8

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

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

Europe's Saint Gobain has made a non-binding indicative offer for CSR at $9/share which represents a 13% premium to the last close and a 61% premium to Morgan Stanley's $5.60 target. CSR has unanimously resolved to pursue the offer at that price.

The broker notes the business has limited presence in Australia and therefore there are limited competition issues although any transaction would be subject to review by the Foreign Investment Review Board.

The sale of the sugar business would also require undertakings to ensure future asbestos claimants were not disadvantaged.

Longer term, the broker envisages favourable dynamics for the building material segment, the division likely of most interest to Saint Gobain, supported by the undersupply of housing stock.

Equal-weight rating and In-Line industry view.

Target price is $5.60 Current Price is $7.95 Difference: minus $2.35 (current price is over target).
If CSR meets the Morgan Stanley target it will return approximately minus 30% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.14, suggesting downside of -26.6% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: -0.3

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

Bell Potter rates CSS as Hold (3) -

Clean Seas Seafood posted a slightly weaker-than-expected first half result. There was no formal earnings guidance for FY24 and, following the result, Bell Potter slightly downgrades pricing assumptions while reducing feed cost expectations as well.

The broker acknowledges some of the issues affecting the business are likely to prove seasonal, which is looking to be softer at this stage of 2024. Hold rating unchanged. Target edges up to $0.27 from $0.26.

Target price is $0.27 Current Price is $0.28 Difference: minus $0.005 (current price is over target).
If CSS meets the Bell Potter target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Citi rates CTD as Downgrade to Neutral from Buy (3) -

On Citi's assessment, Corporate Travel Management released a "messy" result, although the majority of the downgrade was out of management's control, the broker concedes.

Nevertheless, Citi analysts now also believe there's too much uncertainty, also because of a lack of clarity around a certain UK contract.

Simply put, the analysts lack confidence in forecasting earnings and thus see no other choice than to downgrade to Neutral from Buy. Extra note: management's five-year targets appear impressive to the broker, if achieved.

Price target tumbles to $17.55 from 22.55.

Target price is $17.55 Current Price is $15.85 Difference: $1.7
If CTD meets the Citi target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $19.65, suggesting upside of 23.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Morgan Stanley rates CTD as Overweight (1) -

First half earnings from Corporate Travel Management were in line with Morgan Stanley's expectations. UK earnings were underpinned by "lumpy government crisis" projects but the company has called out headwinds on the UK bridging contract.

The broker reduces forecasts for Australasia and North America modestly going into FY25 although acknowledges the company's EBITDA targets were reiterated for these regions.

In Europe forecasts are reduced, with the broker noting the market remains sceptical of the UK bridging contract and EPS trajectory for FY24-25.

Target is reduced to $19 from $29. Rating is Overweight. Industry view is In-Line.

Target price is $19.00 Current Price is $15.85 Difference: $3.15
If CTD meets the Morgan Stanley target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $19.65, suggesting upside of 23.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Morgans rates CTD as Add (1) -

Management at Corporate Travel Management has lowered FY24 earnings (EBITDA) guidance by -15.4%, after delivering underlying earnings of $100.7m in the 1H, which fell short of the $108.3m forecast by consensus.

Morgans suggests it may take time for the market to rebuild its confidence in management's outlook, following aggressive earnings guidance, in the analyst's view, at last year's AGM. 

Guidance was lowered largely because the company's UK Bridging contract has materially underperformed expectations, explain the analysts, due to immigration issues and timing delays beyond management's control.

The target falls to $20.65 from $23.20 and the Add rating is maintained.

Target price is $20.65 Current Price is $15.85 Difference: $4.8
If CTD meets the Morgans target it will return approximately 30% (excluding dividends, fees and charges).

Current consensus price target is $19.65, suggesting upside of 23.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Ord Minnett rates CTD as Upgrade to Accumulate from Hold (2) -

February 21 will be remembered as the day Corporate Travel Management delivered its first major downgrade to guidance since listing in 2011, Ord Minnett posits.

The downgrade, the broker explains, relates to management's too rosy assumption business travel volumes would gradually normalise post covid. And then there's also overestimation of the materiality of the UK procurement contract.

Business travel volumes are most likely to settle around 75% of pre-covid levels on management's updated projections. Given the heavy sell-off that has ensued, Ord Minnett upgrades to Accumulate from Hold.

Everything has a price, the broker argues (justifying the upgrade), even if confidence has taken a big blow. Corporate Travel Management should still be well-positioned to deal with structural headwinds.

The broker suggests investors should buy on weakness. New target of $17.16 (was $18.19).

Target price is $17.16 Current Price is $15.85 Difference: $1.31
If CTD meets the Ord Minnett target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $19.65, suggesting upside of 23.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

UBS rates CTD as Buy (1) -

Corporate Travel Management's December-half result missed consensus and UBS forecasts, UBS observing North American travel budgets appeared to have been exhausted by the December quarter; and a reduced UK Bridging contribution.

Management downgraded earnings (EBITDA) guidance -15% at the midpoint, negatively surprising UBS.

EPS forecasts fall -23% to -13% across FY24 to FY27.

Buy rating retained, the broker observing an undemanding multiple and expecting a four-year earnings (EBITDA) compound annual growth rate of 14% should the company deliver on its strategy. Target price falls to $21.80 from $25.60.

Target price is $21.80 Current Price is $15.85 Difference: $5.95
If CTD meets the UBS target it will return approximately 38% (excluding dividends, fees and charges).

Current consensus price target is $19.65, suggesting upside of 23.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Citi rates DMP as Buy (1) -

Domino's Pizza Enterprises's H1 release has left analysts at Citi a little bit more optimistic about management's ability to execute on its plans.

However, given recent disappointments in Japan and France, the analysts find it wise to wait and see when successful execution materialises.

Citi notes year-on-year comparables become a bigger hurdle to climb from midyear onwards. The broker is also concerned about the speed of new store rollouts, suggesting this may need to slow down (given prolonged franchisee weakness).

Neutral rating retained. Target price resets at $44.50, down from $61.57.

Target price is $44.50 Current Price is $40.50 Difference: $4
If DMP meets the Citi target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $50.42, suggesting upside of 16.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Macquarie rates DMP as Outperform (1) -

Japan has seen an improvement in sales for Domino's Pizza Enterprises since the profit warning in January, Macquarie notes. The country has seen 6.7% sales growth in the first seven weeks on the back of the Cheese Volcano launch.

However this momentum risks being derailed by a recent viral video in Japan showing a health violation in a store. Health violation concerns in Denmark proved incurable, the broker notes.

France continues to struggle to fill senior management roles with the division disappointing again on performance. Franchisee earnings per store fell by -10% on average across the global network.

Downgrade to Neutral from Outperform. An Asian recovery likely to take longer than initially expected, Macquarie suggests, and franchisee profit decline is a concern. Target falls to $42 from $48.

Target price is $42.00 Current Price is $40.50 Difference: $1.5
If DMP meets the Macquarie target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $50.42, suggesting upside of 16.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Morgan Stanley rates DMP as Overweight (1) -

First half results were in line with Morgan Stanley's expectations and same-store sales metrics in line with guidance.

Domino's Pizza Enterprises acknowledges its recent performance did not meet expectations but anticipates the new organisation structure will deliver efficiencies and savings for the network.

The first seven weeks of the second half delivered network sales growth of 3.78% with same-store sales growth accelerating compared with the first half.

The target is $68. Overweight rating. Industry view is In-Line. 

Target price is $68.00 Current Price is $40.50 Difference: $27.5
If DMP meets the Morgan Stanley target it will return approximately 68% (excluding dividends, fees and charges).

Current consensus price target is $50.42, suggesting upside of 16.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Morgans rates DMP as Hold (3) -

Following a review of 1H results for Domino's Pizza Enterprises, Morgans suggests management is on the right path for a recovery, by getting the value equation right. However, it's thought the recovery may take some time.

The broker points out most of the bad news was disclosed last month when the company cautioned a decline in sales in Asia was behind materially lower profits.

In the 1H Europe increased its contribution, note the analysts, though the majority came via the elimination of losses from Denmark (business exit), while France remains a problem.

A&NZ's revenues outperformed, but margins unexpectedly declined, notes the broker. The target is reduced to $45 from $50. Hold.

Target price is $45.00 Current Price is $40.50 Difference: $4.5
If DMP meets the Morgans target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $50.42, suggesting upside of 16.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Ord Minnett rates DMP as Accumulate (2) -

Ord Minnett had earlier expressed the view that the market's punishment for Domino's Pizza Enterprises' disappointing trading update was overdone.

Post the release of H1 financials, the broker is of the view a turnaround in global sales is slowly building, but investors will need to be patient.

On a longer-term view, same store sales growth should be in the mid-single digits per annum, says the broker, though near term that type of growth may not be seen until FY25.

Ord Minnett continues to see massive growth potential for the company ahead. Accumulate. Fair value $61 (down from $68).

Target price is $61.00 Current Price is $40.50 Difference: $20.5
If DMP meets the Ord Minnett target it will return approximately 51% (excluding dividends, fees and charges).

Current consensus price target is $50.42, suggesting upside of 16.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

UBS rates DMP as Neutral (3) -

Domino's Pizza Enterprises's December-half result fell at the top end of January 24 guidance. Earnings (EBIT) outpaced consensus and UBS as did operating cash flow thanks to a $145m tax windfall.

The broker observes trading is improving but post-covid issues continue to dog the company as have execution challenges with recent acquisitions. UBS suspects all this will likely rein in growth.

EPS forecasts ease -0.8% in FY24; and -0.7% in FY25.

Neutral rating and $42 target price retained.

Target price is $42.00 Current Price is $40.50 Difference: $1.5
If DMP meets the UBS target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $50.42, suggesting upside of 16.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Macquarie rates EBO as Outperform (1) -

Ebos Group reported first half underlying earnings broadly in line with consensus. Community Pharmacy was the key beat, Macquarie notes, while Animal Care disappointed despite strong price inflation.

Ebos gained new customers over the period and has seen positive traction with potential customers, the broker notes, given industry dynamics. Animal care revenue fell after a wholesale supplier moved to the direct supply channel.

Acquisitions remain core to Ebos' strategy, Macquarie suggests, with small bolt-on acquisitions in the pipeline. The current distribution pipeline will also add 20-25% of additional footprint.

Target rises to $40.70 from $39.20, Outperform retained.

Target price is $40.70 Current Price is $34.27 Difference: $6.43
If EBO meets the Macquarie target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $35.88, suggesting upside of 4.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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

Morgans rates EBO as Add (1) -

After reviewing 1H results for Ebos Group, Morgans believes the gap in earnings from the loss of the Chemist Warehouse contract from FY25 can be overcome via cost-out initiatives and M&A. Also, it's felt higher-margin diversified earnings will help out.

The 1H result was "solid", in the broker's view, with underlying profit and earnings rising by 7% and 8.3%, respectively, on the previous corresponding period.

Management announced it will focus on a range of cost reduction initiatives to reduce its around $1bn cost base by between -2.5-5.0%.

The target falls to $39.20 from $39.43 and the Add rating is unchanged.

Target price is $39.20 Current Price is $34.27 Difference: $4.93
If EBO meets the Morgans target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $35.88, suggesting upside of 4.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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

Ord Minnett rates EBO as Lighten (4) -

Post Ebos Group's H1 release, Ord Minnett has retained its $28.50 fair value estimate as the broker continues to believe the market is too confident about this company's outlook, despite the pending loss of the Chemist Warehouse contract.

Ebos Group still sits head and shoulders above its competitors, acknowledges the broker, but the pharma distribution business is facing challenges.

Ord Minnett has turned slightly more optimistic on institutional healthcare, but the negative offset has come via higher rental expenses. Earnings forecasts are largely unchanged.

Target price is $28.50 Current Price is $34.27 Difference: minus $5.77 (current price is over target).
If EBO 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 $35.88, suggesting upside of 4.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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

Macquarie rates EHL as Outperform (1) -

Emeco Holdings' revenues beat Macquarie by 3% and earnings by 2%. Rental revenue grew 9% year on year due to strong rental
demand in both the Eastern and Western regions, the broker notes.

The Rental segment was able to deploy idle fleet and secure rate increases with new projects, contract extensions, and application of contractual rise-and-fall mechanisms. Workshops revenue grew 21%.

It was a solid first half result, Macquarie suggests, with a positive outlook for earnings growth in the second half. Emeco is making good progress refocusing on the core rental business, improving returns on its assets and reducing contractual risk.

Outperform and $1.03 target retained.

Target price is $1.03 Current Price is $0.65 Difference: $0.38
If EHL meets the Macquarie target it will return approximately 58% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Ord Minnett rates FCL as Accumulate (2) -

Fineos Corp's December-half result is being treated as a full-year result as the company transitions from a June reporting date to a December reporting date.

Overall, the December-half performance represented a strong improvement on the June half across the board.

Management guided to continued revenue growth and lower operating costs in 2024, Ord Minnett expecting this will be reflected in stronger margins. Expenses were forecast to fall as a percentage of revenue.

Accumulate rating and $3.10 target price retained.

Target price is $3.10 Current Price is $1.66 Difference: $1.445
If FCL meets the Ord Minnett target it will return approximately 87% (excluding dividends, fees and charges).

Current consensus price target is $2.96, suggesting upside of 83.5% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

This company reports in EUR. 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

Shaw and Partners rates GL1 as Buy (1) -

An update from Global Lithium Resources has outlined substantial progress made at Manna and Marble Bar over the last two years. 

Manna has reached multiple key milestones, and the company is expected to progress its definitive feasibility study by the end of the year, including a mineral resources estimate and detailed mine schedule.

The company has also completed a large-scale, 60,000 metre drill program, and complete assay results are expected within the first quarter of 2024.

Shaw and Partners expects the lithium market to be broadly balanced over 2024, following a December quarter that proved negative for lithium pricing.

The Buy rating is retained and the target price decreases to $2.20 from $3.20.

Target price is $2.20 Current Price is $0.50 Difference: $1.7
If GL1 meets the Shaw and Partners target it will return approximately 340% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Morgans rates HLO as Add (1) -

A strong earnings (EBITDA) margin and cash flows were highlights for Morgans within 1H results for Helloworld Travel. Underlying earnings of $34m compared with the broker's $32.5m forecast.

The results were above expectations and the analysts suggest unchanged FY24 earnings guidance is likely an understatement, given management's track record of a conservative outlook.

A fully franked interim dividend of 5cps was declared.

The $4.26 target and Add rating are unchanged.

Target price is $4.26 Current Price is $2.84 Difference: $1.42
If HLO meets the Morgans target it will return approximately 50% (excluding dividends, fees and charges).

Current consensus price target is $3.74, suggesting upside of 26.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Ord Minnett rates HLO as Accumulate (2) -

Helloworld Travel's December-half result outpaced Ord Minnett's forecasts thanks to strong demand for offshore leisure Travel and the broker expects Australian and NZ outbound demand to continue.

The company closed December with net cash of $83m, leaving plenty of room for acquisitions and other initiatives, observes the broker.

Ord Minnett upgrades estimates to reflect the ETG acquisition and strong interim result, and revises dividend payout assumptions upward following the announcement of a 5c interim dividend.

EPs forecasts rise 7% in FY24; 2% in FY25; and 3% in FY26.

Accumulate rating retained. Target price eases to $3.16 from $3.37, in part to reflect the fall in value of the company's Corporate Travel Management ((CTD)) Holding.

Target price is $3.16 Current Price is $2.84 Difference: $0.32
If HLO meets the Ord Minnett target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $3.74, suggesting upside of 26.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Shaw and Partners rates HLO as Buy (1) -

Helloworld Travel has reported first half earnings of $34.0m, representing 118% year-on-year growth, while also reiterating full year earnings guidance of $64-72m. 

As per Shaw and Partners, the guidance range suggests 54% growth at the midpoint, a potential result that the broker finds conservative given the strong first half.

The broker has lifted its own earnings forecast to $72m, sitting at the top end of the guidance range.

The Buy rating is retained and the target price increases to $3.80 from $3.50.

Target price is $3.80 Current Price is $2.84 Difference: $0.96
If HLO meets the Shaw and Partners target it will return approximately 34% (excluding dividends, fees and charges).

Current consensus price target is $3.74, suggesting upside of 26.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Macquarie rates HLS as Neutral (3) -

Ahead of its result release Healius has revised down FY24 earnings guidance to $70-80m from $95-105m. Macquarie's revised forecasts sit at the bottom end of this range, which include second half pathology revenue growth of 2%.

While the broker sees Healius as positively leveraged to longer-term growth in diagnostic services, the nearer term outlook around volume and revenue trends and cost inflation remains uncertain.

Neutral retained, target falls to $1.40 from $1.50.

Target price is $1.40 Current Price is $1.32 Difference: $0.08
If HLS meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $1.72, suggesting upside of 25.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Bell Potter rates HMC as Downgrade to Hold from Buy (3) -

The first half results from HMC Capital were ahead of Bell Potter's estimates, driven by higher investment income. FY24 pre-tax EPS guidance is no less than $0.33 with a distribution of $0.12 reaffirmed.

The broker envisages an "interesting" path for the company over time as new pillars are in an early phase and as it looks towards $20bn in FUM as a target for the medium term.

As the stock has rallied since Bell Potter initiated in November the rating is downgraded to Hold from Buy. Target is raised to $ 7.05 from $5.85.

Target price is $7.05 Current Price is $7.00 Difference: $0.05
If HMC meets the Bell Potter target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $6.60, suggesting downside of -5.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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

Morgan Stanley rates HSN as Overweight (1) -

First half results from Hansen Technologies beat Morgan Stanley's estimates, yet near-term earnings are expected to take a hit from the losses generated from recently-acquired German software platform, powercloud.

Second half guidance suggests this business will deliver incremental revenue of $16-18m but EBITDA losses of -$7-8m. Morgan Stanley had expected the business to be EBITDA positive.

Despiite the market's initial negative response, the broker remains positive about the investment, asserting this is short-term pain for long-term gain. Overweight rating retained. Target is $6.40. Industry View: Attractive.

Target price is $6.40 Current Price is $5.11 Difference: $1.29
If HSN meets the Morgan Stanley target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $6.65, suggesting upside of 31.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Ord Minnett rates HSN as Buy (1) -

Hansen Technologies' December-half result met Ord Minnett's forecasts.

While higher than forecast near-term losses and required integration investment following the Powercloud acquisition are expected to weigh, Ord Minnett retains the faith, pointing to the company's excellent track record on integration. Management predicts a return to run-rate profitability in the FY25 June half.

EPS forecasts fall -19% in FY24; -13% on FY25; and rise 8% for FY26.

(A patient) Buy rating and $6.80 target price are retained.

Target price is $6.80 Current Price is $5.11 Difference: $1.69
If HSN meets the Ord Minnett target it will return approximately 33% (excluding dividends, fees and charges).

Current consensus price target is $6.65, suggesting upside of 31.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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 HSN as Buy (1) -

A good first half result from Hansen Technologies, says Shaw and Partners, with an update on Powercloud suggesting higher cash burn over FY24 and FY25.

The broker retains a positive view on the Powercloud acquisition, but now assumes a -$3m earnings loss in FY25 and -$9m in development spend. Powercloud continues to grow and the broker expects a refocus on driving cash profitability from FY26.

The Buy rating and target price of $6.90 are retained.

Target price is $6.90 Current Price is $5.11 Difference: $1.79
If HSN meets the Shaw and Partners target it will return approximately 35% (excluding dividends, fees and charges).

Current consensus price target is $6.65, suggesting upside of 31.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

UBS rates HSN as Buy (1) -

Hansen Technologies's December-half earnings (EBITDA) outpaced UBS forecasts by 3% but FY24 guidance appears to have disappointed (despite revenue guidance being reiterated), due to fears of declining EBITDA margins (a December-half miss) and larger-than-forecast losses from the company's Powercloud acquisition, which UBS advises is likely to require further investment.

Despite strong top-line margins, the EBITDA margin miss was sheeted back to reallocation of a $4m to $5m R&D from capitalisation to expense.

Screen this and and FX drag out, and UBS says the result reveals strong underlying first-half organic revenue growth which implies solid June-half growth of 5%

Add a Powercloud contribution to longer term earnings and the broker retains the faith. EPS forecasts rise 5% to 16% across FY26 to FY28. EPS forecasts fall for FY24 and FY25.

Buy rating retained on valuation grounds, the company trading at a -30% discount to the ASX Small Ords. Target price falls to $6.50 from $6.75.

Target price is $6.50 Current Price is $5.11 Difference: $1.39
If HSN meets the UBS target it will return approximately 27% (excluding dividends, fees and charges).

Current consensus price target is $6.65, suggesting upside of 31.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Citi rates IDX as Neutral (3) -

Citi found the released interim financials broadly as expected. Integral Diagnostics is in the midst of an organisational restructure, and the margin outlook for H2 remains unchanged, or so it appears.

The broker has slightly lifted estimates, which leads to the target price increasing to $2.20 from $1.95. Neutral rating retained.

Integral Diagnostics took a -$71.5m impairment loss on its NZ business, roughly half of the book value, the broker notes, on lower margin assumptions. This pushed the result into a statutory loss.

Citi analysts were not surprised by the decision, "given the change in competitive landscape witnessed over the past few years".

Target price is $2.20 Current Price is $2.22 Difference: minus $0.02 (current price is over target).
If IDX meets the Citi target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.33, suggesting upside of 6.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.3

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

Citi rates ILU as Neutral (3) -

Upon further reflections and analysis, Citi has upped its price target to $7.60 from $7.50, while retaining its Neutral rating for Iluka Resources.

EPS estimate for FY24 falls by -36% while the estimate for FY25 has risen by 21%.

In an initial response to the 2023 result, Citi had noted Iluka Resources posted a full year net profit of $343m, beating its estimates by 17%.

Market commentary is unchanged and the SR1 kiln is likely to stay off-line in 2024, although the broker notes the company has the ability to restart quickly if demand recovers.

The company's customers have demonstrated strong production discipline and recently reported improving sales volumes, Citi adds.

Target price is $7.60 Current Price is $7.63 Difference: minus $0.03 (current price is over target).
If ILU meets the Citi target it will return approximately minus 0% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.97, suggesting upside of 4.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.1

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

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

2023 free cash flow missed Morgan Stanley's estimates, driven by lower cash from operating activities and inventory build.

The broker notes the conservative production settings and higher costs flagged by Iluka Resources and remains cautious about future production grades and costs.

The Eneabba refinery capital cost has increased to -$1.7-1.8bn. There was no funding update. Equal-weight rating retained. Target is $7.15. Industry view is Attractive.

Target price is $7.15 Current Price is $7.63 Difference: minus $0.48 (current price is over target).
If ILU meets the Morgan Stanley target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.97, suggesting upside of 4.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.1

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

UBS rates ILU as Sell (5) -

Iluka Resources's largely pre-reported 2023 full-year result directed UBS's focus to 2024 guidance.

UBS observes production guidance for mineral sands fell -30% (in line with the broker's forecast) and that Iluka Resources continues negotiations with the government on funding for Eneabba (the broker raises Eneabba capital expenditure guidance by -$100m)

On the upside; UBS upgrades its mineral sands price deck 10% to 20% for 2024; 2025; and 2025.

EPS forecasts fall -16% in 2024; rise 46% in 2025; and 76% in 2026.

Sell rating retained. Target price rises 3% to $6.70 from $6.40.

Target price is $6.70 Current Price is $7.63 Difference: minus $0.93 (current price is over target).
If ILU meets the UBS target it will return approximately minus 12% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.97, suggesting upside of 4.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.1

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

Macquarie rates IRE as Outperform (1) -

Iress has upgraded underlying earnings guidance but this is more than offset, Macquarie notes, by non-recurring items and increased capex, leading the broker to suggest "when an upgrade is a downgrade".

Segment reporting has improved, the broker notes, but still some elements of uncertainty remain with non-recurring costs and items below the earnings and profit lines.

Software capex is expected to increase to 5-7% of revenue from 2-3% over the next 2-3 years, which  will add  some $20-25m to the
current capex profile and impacts Macquarie's valuation.

Deleveraging is still a priority, and management continues to expect the Platforms business to be sold. Target rises to $8.55 from $8.35 on reduced net debt, Neutral retained.

Target price is $8.55 Current Price is $8.30 Difference: $0.25
If IRE meets the Macquarie target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $8.76, suggesting upside of 7.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Morgans rates IRE as Downgrade to Hold from Add (3) -

Morgans notes Iress has executed on the early stage of its business turnaround strategy via cost-out and de-gearing.

FY23 results were in line with management guidance, with all divisions (excluding Super) displaying half-on-half earnings (EBITDA) growth, highlights Morgans.

Management upgraded underlying FY24 earnings guidance by circa 1% and upgraded the FY24 underlying exit run-rate by around 6%

The $8.60 target is unchanged. The rating is downgraded to Hold from Add after recent share price outperformance and because of an opaque outlook for 'base' free cash flow generation, in the broker's opinion.

Target price is $8.60 Current Price is $8.30 Difference: $0.3
If IRE meets the Morgans target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $8.76, suggesting upside of 7.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Ord Minnett rates IRE as Buy (1) -

Iress's weaker 2023 full-year result slightly outpaced Ord Minnett's expectations, thanks to lower than forecast operating costs and the company's cost-out program kicked in.

This triggered a 16% rise in earnings (EBITDA) from the June half. Revenue grew a modest 2%.

Management advises further cost-cutting was on the cards for 2024, yielding more savings.

The broker observes the share price appears undervalued and expects a strong recovery in the core business this year, expecting solid revenue growth from super wins and growing digital demand.

Leverage remains high and no dividend was declared but the broker expects gearing to continue to fall this year.

Hold rating and $9.60 target price retained.

Target price is $9.60 Current Price is $8.30 Difference: $1.3
If IRE meets the Ord Minnett target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $8.76, suggesting upside of 7.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Shaw and Partners rates IRE as Hold (3) -

Iress has reported year-on-year revenue growth of 1% to $625.7m. As per Shaw and Partners, adjusted earnings of $107.4m and cash earnings of $94.8m were both a -5% miss to forecasts.

The broker notes evidence of stabilising revenue was a key positive, as was progress made with the cost out program, expected to continue to in FY24.

Despite a full year guidance upgrade from the company, Shaw and Partners would prefer to see more evidence of top line growth to support a more constructive view, with the broker's target price impying virtual no further upside.

The Hold rating is retained and the target price increases to $8.30 from $7.70.

Target price is $8.30 Current Price is $8.30 Difference: $0
If IRE meets the Shaw and Partners target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $8.76, suggesting upside of 7.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Citi rates MIN as Buy (1) -

Citi found Mineral Resources' underlying net profit for H1 was 10% higher than its estimate and it beat consensus by an even larger 17%. Mining services came out with $50m higher revenue than the broker's forecast.

The 20c dividend, however, missed both Citi's and consensus forecast.

Another positive is the broker estimates the lithium operations were cashflow positive for the period. The key negative is higher capex intentions which, the broker surmises, will keep the focus firmly on the balance sheet.

Buy. Target $71. EPS estimate for FY24 plunges by -79%.

Target price is $71.00 Current Price is $59.09 Difference: $11.91
If MIN meets the Citi target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $68.00, suggesting upside of 11.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.4

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

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

The first quarter update was in line with expectations and Morgan Stanley notes National Australia Bank's performance was sound.

Revenue was up 1% versus the prior second half quarterly average and ahead of expectations. Expenses were higher than forecast but there is no change to FY24 guidance. Impairment charges and the CET1 ratio were broadly in line.

Equal-weight. Target $30.30. Industry View: In-Line.

Target price is $30.30 Current Price is $33.61 Difference: minus $3.31 (current price is over target).
If NAB meets the Morgan Stanley target it will return approximately minus 10% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $28.99, suggesting downside of -13.3% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: -0.3

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

Morgans rates NAB as Hold (3) -

National Australia Bank 1Q trading update revealed a better net interest margin (NIM) outcome than Morgans had forecast.

The broker upgrades its NIM forecasts across FY24/25/26 by 3bps, 2bps and 1bp, respectively. While the pre-tax earnings forecasts rise, the impact is offset by a higher tax rate.

Morgans target rises to $30.91 from $27.60 after a valuation roll-forward and lower capital consumption forecasts. The Hold rating is unchanged.

Target price is $30.91 Current Price is $33.61 Difference: minus $2.7 (current price is over target).
If NAB meets the Morgans target it will return approximately minus 8% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $28.99, suggesting downside of -13.3% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: -0.3

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

Ord Minnett rates NAB as Hold (3) -

National Australia Bank's December-quarter result appears to have met Ord Minnett's forecasts, the bank managing to slightly increase net interest margins despite higher customer deposit costs and intensifying home loan competition. Treasury markets and income rose.

Ord Minnett expects the bank will have a tough time holding on to net interest margins given the "higher for longer" rate mantra, expecting a return to 1.68% (from 1.71%) by June 30.

The broker observes inflation continues to outpace productivity savings but bad debts proved a beat (although it expects these to kick up in the June half). All up - a respectable performance, says the broker.

Hold rating retained on valuation. Target price is steady at $31.

Target price is $31.00 Current Price is $33.61 Difference: minus $2.61 (current price is over target).
If NAB meets the Ord Minnett target it will return approximately minus 8% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $28.99, suggesting downside of -13.3% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: -0.3

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

UBS rates NAB as Sell (5) -

National Australia Bank's December-quarter result appears mixed, cash earnings appearing to have outpaced consensus and UBS forecasts. The bank disclosed a slight rise in net interest margins on flat revenue growth (on stronger volume).

UBS considers the result to be solid, and explains the bank is the most likely to benefit from a soft interest rate cycle and soft-landing scenario.

Sell rating and $26 target price retained.

Target price is $26.00 Current Price is $33.61 Difference: minus $7.61 (current price is over target).
If NAB meets the UBS target it will return approximately minus 23% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $28.99, suggesting downside of -13.3% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: -0.3

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

Citi rates NSR as Buy (1) -

National Storage REIT had pre-released key financials, which at the time proved better-than-expected.Yesterday's official release of H1 metrics contained no additional surprises.

Management at the REIT reaffirmed FY24 guidance with underlying earnings to be a minimum of 11.3cps and greater than $154m. Distribution guidance is between 90% and 100%.

It is Citi's view National Storage REIT remains well-positioned with limited competition compared to traditional real estate subsectors, carried by a strong development and acquisition pipeline.

Buy. Target $2.60.

Target price is $2.60 Current Price is $2.31 Difference: $0.29
If NSR meets the Citi target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $2.37, suggesting upside of 2.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Macquarie rates NSR as Neutral (3) -

National Storage REIT's underlying earnings were pre-reported and FY24 guidance has been reaffirmed. The REIT retains a defensive balance sheet, Macquarie notes, with gearing of 23% providing opportunities for growth.

As part of the update, the REIT announced the acquisition of nine storage centres from Maas Group ((MGH)), and the two have agreed to pursue additional development opportunities through either development or JV agreements.

Near-term uncertainty on a recovery in revenue per available square metre remains a key concern, although the broker is positive on longer-term drivers in the self-storage sector. Macquarie views the stock as fairly valued, retaining Neutral.

Target rises to $2.34 from $2.31.

Target price is $2.34 Current Price is $2.31 Difference: $0.03
If NSR meets the Macquarie target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $2.37, suggesting upside of 2.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Morgan Stanley rates NSR as Underweight (5) -

National Storage REIT posted first half earnings that were slightly ahead of expectations. FY24 guidance has been maintained, for EPS at a minimum of 11.3c, although Morgan Stanley notes there is no longer any reference to acquisition or REVPAM targets.

While, overall, the report was in line with expectations, declining occupancy reinforces the broker's view that leasing may become more challenged in an economic slowdown.

Underweight and $2.30 target retained. Industry view: In-Line. 

Target price is $2.30 Current Price is $2.31 Difference: minus $0.01 (current price is over target).
If NSR meets the Morgan Stanley target it will return approximately minus 0% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.37, suggesting upside of 2.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Morgans rates NSR as Hold (3) -

Morgans notes relatively stable financial metrics for National Storage REIT in the 1H, and management reiterated FY24 guidance.

Underlying earnings grew by 6% on the previous corresponding period, driven by 6% growth in storage revenue with operating margins flat, explains the analyst.

Occupancy was slightly lower (-0.7%) over the period but the rate/sqm rose by 1.3% compared to June 30 last year, observes the broker.

A valuation roll-forward within the broker's financial model is largely responsible for a rise in target to $2.31 from $2.18. Hold.

Target price is $2.31 Current Price is $2.31 Difference: $0
If NSR meets the Morgans target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $2.37, suggesting upside of 2.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Ord Minnett rates NSR as Hold (3) -

National Storage REIT delivered a moderate increase in operating profit in the first half, Ord Minnett notes. The broker forecasts underlying earnings of 11.3c per share for FY24, at the lower end of guidance.

Ord Minnett remains comfortable with the balance sheet, with gearing relatively low for an A-REIT. Interest rates are expected to continue being a headwind for the company, with the cost of finance peaking at 6.5% around FY25.

 Hold rating retained and the target is raised 2% to $2.30.

Target price is $2.30 Current Price is $2.31 Difference: minus $0.01 (current price is over target).
If NSR meets the Ord Minnett target it will return approximately minus 0% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.37, suggesting upside of 2.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

UBS rates NSR as Neutral (3) -

National Storage REIT's H1 performance was in line and management reaffirmed FY24 guidance. UBS does remind investors the REIT had pre-released key financial metrics.

The broker estimates a fresh deal to acquire a portfolio of assets from Maas Group ((MGH)) can add 1% to EPS growth in FY24-28, and more beyond.

Self-storage remains a favoured asset class for investors, the broker observes, adding it believes the ongoing growth prospects have been priced-in already. Neutral. Target $2.34.

Target price is $2.34 Current Price is $2.31 Difference: $0.03
If NSR meets the UBS target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $2.37, suggesting upside of 2.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Macquarie rates ORI as Outperform (1) -

Orica has announced a $400m capital raise at $15.84 to partially fund the acquisition of Cyanco, a North American sodium cyanide
producer.

The acquisition is strategically sensible, Macquarie suggests, being a well known existing business area of Orica's, and at a reasonable multiple.

From here focus is on bedding down and delivering on recent acquisitions. Macquarie needs to see further earnings growth from tech and mining chemicals, and evidence that whole is greater than the sum of parts, as Orica targets greater share of the mining value chain.

Outperform on valuation, target falls to $18.82 from $19.00 on dilution.

Target price is $18.82 Current Price is $16.85 Difference: $1.97
If ORI meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $18.02, suggesting upside of 6.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.7

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

UBS rates ORI as Buy (1) -

Orica plans to buy US sodium cyanide manufacturer Cyanco for $985m at an earnings (EBITDA) multiple of 7.5x, to be finalised by the end of 2024.

UBS compares the multiple favourable to the company's Chemours Mining Solutions business in 2021 at 10x; and to Orica's own multiple of 8x. Forecast return on net assets is 12% to 14%.

The company says it will fund the deal through cash and undrawn debt facilities, combined with a $400m underwritten institutional placement at $15.84 a share.

UBS says the deal aligns with Orica's strategy to expand its mining chemicals portfolio, the global sodium cyanide market being forecast to growth at roughly 5% a year, and expects the deal will be synergestic and 2% accretive in FY25. EPS forecasts rise 2% in FY25 and FY26 accordingly.

Buy rating retained. Target price rises to $19.50 from $19.40.

Target price is $19.50 Current Price is $16.85 Difference: $2.65
If ORI meets the UBS target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $18.02, suggesting upside of 6.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.7

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

Bell Potter rates PFP as Buy (1) -

Propel Funeral Partners posted a first half increase in revenue of 23% with EBITDA at a "solid" 26.6% margin, Bell Potter observes. Management has reiterated guidance of $200-220m in revenue and $54-60m in operating EBITDA.

The broker continues to believe growth is well supported, with pricing power in addition to an acquisition strategy in a large and fragmented market. Buy retained. Target is reduced to $6.10 from $6.20.

Target price is $6.10 Current Price is $5.43 Difference: $0.67
If PFP meets the Bell Potter target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $6.09, suggesting upside of 11.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Macquarie rates PFP as Outperform (1) -

Propel Funeral Partners' reported in line with Macquarie. Average revenue growth per funeral of 4.5%, compared to 6% last year, and good cost management in a soft market delivered an earnings margin of 26.6%.

The broker expects organic volumes to be broadly flat in the second half before returning to growth in FY25. Second half earnings will benefit from acquisitions and a more normal operating environment.

Post its recent capital raise, Propel has sufficient funding capacity to fund acquisitions in the medium term, Macquarie suggests.

Outperform and $6.06 target retained.

Target price is $6.06 Current Price is $5.43 Difference: $0.63
If PFP meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $6.09, suggesting upside of 11.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Morgan Stanley rates PFP as Overweight (1) -

Propel Funeral Partners pre-released first half earnings in January ahead of a capital raising. The company has reiterated FY24 guidance of $200-220m in revenue and $54-60m in EBITDA.

Morgan Stanley observes the midpoint of guidance implies steady margins. The company has also signalled a strong start to January, inclluding positive comparable volume growth and higher average pricing.

The broker's Overweight rating and target price of $6.10 are retained. Industry view: In-Line.

Target price is $6.10 Current Price is $5.43 Difference: $0.67
If PFP meets the Morgan Stanley target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $6.09, suggesting upside of 11.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Morgan Stanley rates PSI as Overweight (1) -

The first half result from PSC Insurance was softer than anticipated, with Morgan Stanley pointing out this was in part due to seasonality as well as softer UK pricing.

Yet the company has upgraded FY24 guidance and the acquisition pipeline remains healthy so the broker continues to envisage growth for the foreseeable future. This view is underpinned by an under-geared balance sheet, robust margins and proven offshore capabilities.

Overweight rating, $5.85 target and In-Line industry view.

Target price is $5.85 Current Price is $4.82 Difference: $1.03
If PSI meets the Morgan Stanley target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $5.74, suggesting upside of 19.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Ord Minnett rates PSI as Buy (1) -

Ord Minnett found the first half result from PSC Insurance in line, despite some challenges in the UK.

Upward pressure on premium rates is expected to persist, given the inflationary environment and increased frequency of extreme weather, and this provides a positive outlook for growth.

Guidance for FY24 has been upgraded to $125-130m in EBITDA with the broker noting there is ample funding capacity to execute on strategic opportunities. Buy rating reiterated. Target rises to $5.40 from $5.35.

Target price is $5.40 Current Price is $4.82 Difference: $0.58
If PSI meets the Ord Minnett target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $5.74, suggesting upside of 19.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

UBS rates PSI as Buy (1) -

PSC Insurance's December-half result missed consensus forecasts by -2% due to a fall in organic growth from Paragon UK.

UBS expects Paragon will continue to prove a drag over the next year but observes the company's balance sheet is well positioned for M&A; the company has opportunities to boost UK margins; and the stakes business should kick in in FY25.

In the meantime, the broker expects other divisions will pick up the slack. EPS forecasts fall -1% in FY24; and -2% in FY25.

Buy rating and $5.40 target price retained.

Target price is $5.40 Current Price is $4.82 Difference: $0.58
If PSI meets the UBS target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $5.74, suggesting upside of 19.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Morgan Stanley rates PWR as Overweight (1) -

Morgan Stanley observes underlying demand remains strong for Peter Warren Automotive, following a review of in-line 1H results. Gross margin declines were driven by M&A, while earnings (EBITDA) were a beat.

The analysts also note headline PBT margin declines, but explains the situation should get better given the negative impact from recent acquisitions and the longer-term opportunity. A paydown of corporate debt is also expected to mitigate interest costs.

Overweight. target $3.40. Industry View: In-Line.

Target price is $3.40 Current Price is $2.38 Difference: $1.02
If PWR meets the Morgan Stanley target it will return approximately 43% (excluding dividends, fees and charges).

Current consensus price target is $3.10, suggesting upside of 30.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Ord Minnett rates PWR as Buy (1) -

Ord Minnett found the first half results from Peter Warren Automotive "reasonable", with a beat at the EBITDA and pre-tax profit lines. The broker was also pleased used car margins improved.

With a healthy order book and the recently announced Macarthur acquisition, the company is seen executing on its strategy. The broker maintains a Buy rating, reducing the target to $3.30 from $3.50.

Target price is $3.30 Current Price is $2.38 Difference: $0.92
If PWR meets the Ord Minnett target it will return approximately 39% (excluding dividends, fees and charges).

Current consensus price target is $3.10, suggesting upside of 30.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Bell Potter rates RFG as Buy (1) -

First half underlying EBITDA from Retail Food was broadly in line with Bell Potter. While noting the consumer has become cautious, the broker points out the key metric of net store growth returned in the first half and this should assist growth in the second half and onwards.

Estimates are revised down for the near term for the US business and quick service restaurants, given a softer than expected run rate. The broker maintains a Buy rating and $0.13 target, continuing to believe the valuation is undemanding.

Target price is $0.13 Current Price is $0.08 Difference: $0.055
If RFG meets the Bell Potter target it will return approximately 73% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Citi rates RIO as Buy (1) -

Judging from Citi's commentary, Rio Tinto's 2023 performance has been a series of slight misses and minor beats. Net underlying EBITDA slightly 'missed', for example, but underlying net income was better-than-expected.

A higher-than-expected dividend is welcomed positively, but net impairment charges of -US$0.7bn and a change in closure cost estimates of -US$1.1bn are seen as negatives.

The Buy rating and target price of $139.00 remain intact on minimal amendments to forecasts.

Target price is $139.00 Current Price is $125.80 Difference: $13.2
If RIO meets the Citi target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $128.67, suggesting upside of 3.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

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 RIO as Neutral (3) -

Underlying earnings were in line with expectations in 2023 while Rio Tinto's final dividend beat Macquarie's estimates. The broker expects 2024 may be an inflection year as the miner continues to deliver on a growth strategy and ramps up projects.

Macquarie also notes the firepower in the balance sheet, with around 4% gearing and US$10.5 bn in cash. Some legacy portfolio elements are continuing to drag, the broker adds, with closure costs increasing, although Pacific Aluminium PPA provides a "green path forward".

The Neutral rating and target price of $120.00 are retained.

Target price is $120.00 Current Price is $125.80 Difference: minus $5.8 (current price is over target).
If RIO meets the Macquarie target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $128.67, suggesting upside of 3.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

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

Morgan Stanley rates RIO as Overweight (1) -

Rio Tinto's FY23 result revealed profit and loss items in-line with consensus forecasts, observes Morgan Stanley, while the 2H dividend beat the consensus estimate by 5%.

Underlying earnings (EBITDA) were in line with forecasts by the broker and consensus, while iron ore costs were -3.5% and -2.5% worse-than-expected by the analyst and consensus.

The broker predicts strong payouts and growth will continue given the company's fundamentals remain strong.

Target $144.50. Overweight. Industry view is Attractive.

Target price is $145.00 Current Price is $125.80 Difference: $19.2
If RIO meets the Morgan Stanley target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $128.67, suggesting upside of 3.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

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

Morgans rates RIO as Hold (3) -

Morgans adjusts forecasts only slightly lower following in-line FY23 results for Rio Tinto. Despite a -12% drop in earnings, the final dividend of US258cps was ahead of the consensus expectation for US247cps.

The broker’s biggest adjustment to forecasts was to lower long-term copper production assumptions for Escondida, after commentary from operator BHP Group ((BHP)) earlier this week.

The analysts get the feeling from management that M&A is less of a priority than the market expects. In particular, the company appears to be satisfied with it total exposure to lithium via existing assets, namely Rincon and Jadar.

The target falls to $127 from $128 and the Hold rating is maintained.

Target price is $127.00 Current Price is $125.80 Difference: $1.2
If RIO meets the Morgans target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $128.67, suggesting upside of 3.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

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 RIO as Neutral (3) -

Rio Tinto's December-half result appears to have largely met UBS's forecasts but the broker expects a moderation into 2025 as iron-ore moves into surplus, resulting in lower cash returns and higher capital expenditure.

The company plans to raise capital expenditure to US$10bn from US$7.1bn in 2024; 2025; and 2026.

EPS forecasts fall -11% to -14% over FY24 to FY26 to reflect the forecast capex blip and continued high costs at Pilbara.

Neutral rating retained. Target price falls to $125 from $130. The broker prefers Rio Tinto to BHP Group ((BHP)) based on forecast free cash flow generation.

Target price is $125.00 Current Price is $125.80 Difference: minus $0.8 (current price is over target).
If RIO meets the UBS target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $128.67, suggesting upside of 3.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

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 S32 as Buy (1) -

UBS has attended a South32 roundtable with the company's executives and poses the question "is growth finally coming".

While the market may be getting sore eyes looking, UBS retains the faith, pointing to strong optionality at Hermosa; higher grades at Sierra Gorda; the end of industrial action at Appin and solid prospects from the Ambler joint venture.

The company is targeting 7% copper production growth in the December half plus lower capital and operating expenditure, improved alumina and met coal prices and a working capital unwind, which should support the balance sheet and free cash flow, observes the broker.

Buy rating and $3.75 target price retained.

Target price is $3.75 Current Price is $2.85 Difference: $0.9
If S32 meets the UBS target it will return approximately 32% (excluding dividends, fees and charges).

Current consensus price target is $3.63, suggesting upside of 26.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.8

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

Macquarie rates SBM as Neutral (3) -

St. Barbara's first half underlying EBITDA loss was larger than Macquarie expected. There has been no change to FY24 guidance.

The broker considers the outlook uncertain although a re-start of Atlantic, with permits and approvals important to the broker's base case, and lower capital expenditure for Simberi sulphide, potentially present opportunities.

Neutral retained and the target is reduced by -11% to $0.17.

Target price is $0.17 Current Price is $0.16 Difference: $0.015
If SBM meets the Macquarie target it will return approximately 10% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Citi rates SCG as Neutral (3) -

Scentre Group's 2023 performance has triggered small EPS upgrades from Citi, as the analysts laud the added development pipeline, as well as the resilient underlying leasing spreads.

The broker notes management remains confident operational momentum will continue with leasing spreads and escalations supported by underlying tenant demand.

The analysts add Scentre is continuing with development activities as undersupply in retail is met with stronger demand from population growth. In addition, subordinated debt buybacks create an accretive potential to finance costs in the medium term, the broker surmises.

Neutral. Target price lifts to $3.10 from $2.95.

Target price is $3.10 Current Price is $3.06 Difference: $0.04
If SCG meets the Citi target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $3.16, suggesting upside of 3.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.3

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

Macquarie rates SCG as Upgrade to Neutral from Underperform (3) -

Scentre Group delivered 2023 results that were largely in line with Macquarie's forecasts while guidance is ahead of expectations. FY24 FFO guidance is 21.75-22.25c per security, 2.3% ahead of the broker's forecast at the mid point.

Hence, Macquarie is becoming more positive on the stock and upgrades to Neutral from Underperform. Although work needs to be done on converting subordinated notes, the broker believes the business is closer to action on these. Target rises 11% to $3.03.

Target price is $3.03 Current Price is $3.06 Difference: minus $0.03 (current price is over target).
If SCG meets the Macquarie target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.16, suggesting upside of 3.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.3

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

Morgan Stanley rates SCG as Overweight (1) -

Scentre Group reported FY23 funds from operations (FFO) of 21.11cpu, in line with the consensus forecast and just shy of Morgan Stanley's 21.3cpu estimate.

The broker likes the 2H trend for leasing spreads and notes occupancy has hit over 99% (99.2%) for the first time since covid.

Inaugural FY24 guidance is for FFO of between 21.75-22.25cpu, which compares with forecasts by the broker and consensus of 
22.5cpu and 21.8cpu, respectively. FY24 dividend guidance is for 17.2cpu.

Overweight rating. Target $3.30. Industry view: In-Line.

Target price is $3.30 Current Price is $3.06 Difference: $0.24
If SCG meets the Morgan Stanley target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $3.16, suggesting upside of 3.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.3

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

UBS rates SCG as Neutral (3) -

Scentre Group's 2023 report showed resilience with a marginally better-than-expected FY24 guidance, UBS exclaims. Funds from operations (FFO) slightly missed the broker but proved smack bang in line with consensus.

Specialty rent escalations, improving leasing spreads and higher occupancy were all prominent features in the report, according to the broker.

At the macro level, Scentre Group's update is yet more evidence of consumer spending defying more benign forecasts, but UBS continues to stick with an underweight stance on retail malls in an Australian real estate context.

That stance, explains the broker,, reflects a combination of increased, and underappreciated, capital intensity on top of a weakening outlook for consumption growth.

Neutral. Target lifts to $2.98 from $2.80.

Target price is $2.98 Current Price is $3.06 Difference: minus $0.08 (current price is over target).
If SCG meets the UBS target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.16, suggesting upside of 3.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.3

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

Morgan Stanley rates SEK as Overweight (1) -

Morgan Stanley increases its target for Seek to $31 from $28.50, noting the share price has lagged peers REA Group ((REA)) and Car Group ((CAR)) over the last year. The company's 1H results were released on February 13.

While the company's job advertisement volumes have fallen sharply, the broker points out this is cyclical and the job market will recover at some point.

The analysts highlight stark differences in the market for a valuation of Seek's 84% stake in the SEEK Growth Fund, partly due to a lack of financial detail on the individual investments in the fund.

Morgan Stanley sees an opportunity for an unlocking of extra value from the Fund, noting early signs of improvement in the outlook for technology valuations.

Overweight retained. Industry View: Attractive.

Target price is $31.00 Current Price is $25.88 Difference: $5.12
If SEK meets the Morgan Stanley target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $27.10, suggesting upside of 5.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Citi rates SGM as Neutral (3) -

Lower scrap prices in the US domestic market are affecting supply, Citi observes. Sims' earnings from North America and UK Metals in the first half were affected as a result. No interim dividend was announced and EBIT fell short of expectations.

The company aims to shift its North American focus towards the domestic market because of weaker prices. Yesterday, the broker upgraded to Neutral from Sell, reducing estimates for FY24 and FY25 EBIT by -36% and -8%, respectively. 

Target was lowered to $13.50 from $14.30. Updated today with updated forecasts (sharply reduced).

Target price is $13.50 Current Price is $12.59 Difference: $0.91
If SGM meets the Citi target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $13.78, suggesting upside of 9.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Citi rates SGP as Buy (1) -

Amid early signs of a residential recovery Citi believes Stockland's FY24 guidance of 34.5-35.5c in pre-tax earnings remains achievable.

One of the main positives from the first half result was the improvement in sales in the second quarter compared with the first and an increase in inquiry levels in January.

The broker notes the land lease business also sustained strong sales while commercial portfolio performed well. Buy rating and $5 target.

Target price is $5.00 Current Price is $4.61 Difference: $0.39
If SGP meets the Citi target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $4.64, suggesting upside of 1.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25: