Australian Broker Call

Credit Suisse rates 360 as Outperform (1) -

Revenue was up 20% in the first quarter, to US$23m, and guidance has been maintained. Credit Suisse believes the opportunity to further monetise the user base is becoming increasingly evident.

The recent Jiobit acquisition is assessed as an important catalyst with near-term cross selling benefits. An Outperform rating is reiterated as the broker is increasingly upbeat on the business outlook and prospects for the share price. Target is raised to $8.30 from $5.40.

Target price is $8.30 Current Price is $5.96 Difference: $2.34
If 360 meets the Credit Suisse target it will return approximately 39% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 1.0

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

Macquarie rates AMI as Outperform (1) -

Aurelia Metals produced 34,900 ounces of gold in the March quarter, ahead of Macquarie's estimates. Guidance for 100-113,000 ounces at an all-in sustainable cost of $1425-1575/oz has been maintained.

This is despite the Dargues production now likely to be at the lower end of its guidance range. Exploration potential remains the highlight, in Macquarie's view, and an Outperform rating and $0.60 target are maintained.

Target price is $0.60 Current Price is $0.40 Difference: $0.2
If AMI meets the Macquarie target it will return approximately 50% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Ord Minnett rates AMI as Buy (1) -

March quarter results materially beat Ord Minnett's forecasts, underpinned by high grades at Peak and Hera. The broker remains of the view that FY22 is shaping up well for grades and cash flow.

Grades were weak at Dargues because of dilution from development ore but this should recover by the first quarter of FY22. Kairos production has been delayed two months as poor ground conditions have held up installation of an emergency egress.

Ord Minnett maintains a Buy rating with a$1.05 target.

Target price is $1.05 Current Price is $0.40 Difference: $0.65
If AMI meets the Ord Minnett target it will return approximately 163% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Citi rates ANN as Buy (1) -

Ansell has upgraded its FY21 earning guidance to US192-202c from US160-170c, an upgrade of almost 20%. Citi notes the upgrade was led by elevated PPE demand, better-than-expected price increases and lower marketing spend.

Ansell expects the second half sales growth will be more than 24.5% over last year with Citi forecasting a growth of 35%. The broker increases its FY21-23 earnings forecasts by 3-20% on a stronger sales outlook.

Buy retained. Target rises to $46 from $44.00.

Target price is $46.00 Current Price is $40.86 Difference: $5.14
If ANN meets the Citi target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $45.42, suggesting upside of 7.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.6

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

Credit Suisse rates ANN as Outperform (1) -

Credit Suisse expects supernormal earnings to persist into the first half of FY22. Ansell has upgraded FY21 guidance by 19% at the mid point, its third upgrade since it set original guidance. Earnings per share guidance is US192-202c.

The upgrade is based on a recovery in mechanical and surgical gloves along with price increases in examination/single-use gloves.

Credit Suisse retains an Outperform rating and $47 target and believes, as long as there remains an imbalance between demand and supply, the current high prices of gloves will continue and help earnings.

Target price is $47.00 Current Price is $40.86 Difference: $6.14
If ANN meets the Credit Suisse target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $45.42, suggesting upside of 7.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.6

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

Macquarie rates ANN as Neutral (3) -

Ansell has upwardly revised guidance to US192-202c per share, 16-22% of Macquarie's prior forecasts. Management has noted a better-than-expected recovery in mechanical and surgical gloves.

Macquarie assesses substantial price increases appear to be the basis for the better outlook. Neutral maintained. Target is raised to $40.20 from $38.30.

Target price is $40.20 Current Price is $40.86 Difference: minus $0.66 (current price is over target).
If ANN meets the Macquarie target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $45.42, suggesting upside of 7.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.6

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

Morgan Stanley rates ANN as Overweight (1) -

Morgan Stanley raises the FY21 EPS estimate by 19% after Ansell upgraded guidance for the third time since October 2020. This follows stronger-than-expected financial performance since January 2021 given less disruption from covid-19, explains the broker.

Another factor included a stronger rebound in mechanical and surgical strategic business units (SBUs) ongoing supply, despite raw material tightness. A lower-than-expected travel and marketing spend also contributed, notes the analyst.

Overweight rating with the target rising to $51.10 from $48.10. Industry view is In-Line.

Target price is $51.10 Current Price is $40.86 Difference: $10.24
If ANN meets the Morgan Stanley target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $45.42, suggesting upside of 7.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.6

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

Morgans rates ANN as Add (1) -

Management upgraded the FY21 outlook for the fourth time in FY21 and noted continued strong demand for PPE. Also, ongoing capacity expansions remain on track to meet that demand.

A trading update showed the performance of the Healthcare and Industrial divisions improved, with pricing leverage offsetting increased costs, explains the analyst.

Additionally, Morgans highlights those divisions had the ability to actively manage disruptions in both raw materials and logistics. The Add rating is maintained and the target price is increased to $44.66 from $44.45.

Target price is $44.66 Current Price is $40.86 Difference: $3.8
If ANN meets the Morgans target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $45.42, suggesting upside of 7.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.6

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

Ord Minnett rates ANN as Accumulate (2) -

Conditions have remain supportive for Ansell because of elevated demand for personal protective equipment amid price increases and subdued operating costs.

Ord Minnett believes some of these tailwinds will unwind in FY22 and earnings retrace, although these should remain well above pre-pandemic levels.

The broker envisages potential upside to forecasts if Ansell can hold onto recent share gains and/or if gross profit margins remain above historical levels. Accumulate maintained. Target rises to $46.60 from $46.00.

Target price is $46.60 Current Price is $40.86 Difference: $5.74
If ANN meets the Ord Minnett target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $45.42, suggesting upside of 7.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.6

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

Morgans rates ANP as Add (1) -

Over the next six months, Morgans expects catalysts to de-risk the regulatory pathway and build upon a strong business case for global pharma interest.

The third quarter cash flow report showed Morgans there’s sufficient cash to see out a number of these catalysts in the short term. The Speculative Buy and $0.38 target price are maintained.

Target price is $0.38 Current Price is $0.21 Difference: $0.17
If ANP meets the Morgans target it will return approximately 81% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Morgans rates AVG as Add (1) -

Australian Vintage delivered third quarter results in-line with management's expectations. While reported profit (NPAT) guidance has been narrowed, Morgans assesses underlying performance, adjusted for self generating and regenerating assets remains strong. 

The broker assesses a strong vintage in 2021 and lower grape prices will provide a positive margin tailwind over FY22/23. Additionally, increased distribution, further sales mix improvements and efficiency gains are expected to support ongoing earnings growth.

UK/Europe/Americas segment sales have risen 12% on the pcp, with trading in the UK market very strong, explains the analyst. A&NZ sales slowed though the weakness was more weighted to lower margin cask sales, observes Morgans. Add rating and $0.83 target.

Target price is $0.83 Current Price is $0.74 Difference: $0.09
If AVG meets the Morgans target it will return approximately 12% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Macquarie rates BGL as Outperform (1) -

The stage I feasibility study has signalled a production profile of 1.1m ounces of gold over a 7.4-year mine life. Bellevue Gold has commenced stage 2 studies which include the recently-discovered Marceline resource.

Macquarie believes stage 2 has potential to improve the economics by increasing the inventory and lowering capital intensity.

Further extensions to Marceline and other lodes close to the planned development present the main opportunities, the broker adds. Outperform rating and $1.05 target unchanged.

Target price is $1.05 Current Price is $0.93 Difference: $0.12
If BGL meets the Macquarie target it will return approximately 13% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Morgans rates CBL as Add (1) -

After the third quarter cash flow report for Control Bionics, Morgans highlights cash receipts of $0.7m and net operating cash outflow of -$1.0m. 

Cash receipts were below the broker’s expectations due mainly to covid delays and some seasonal issues with insurance claims. However, a stronger result is expected in the fourth quarter. The Speculative Buy rating is retained and the target increased to $1.43 from $1.42.

Target price is $1.43 Current Price is $0.75 Difference: $0.68
If CBL meets the Morgans target it will return approximately 91% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

UBS rates CGF as Buy (1) -

UBS observes following an FY21 earnings downgrade by Challenger, there are questions about the sustainability of Challenger's annuity model.

While Challenger is yet to release details, from the guidance it looks like there will be a -5-25bps margin compression in Challenger's life annuity division, the broker cautions. Further, the broker is concerned this compression could continue in the coming periods.

Buy rating retained with a target price of $7.

Target price is $7.00 Current Price is $5.04 Difference: $1.96
If CGF meets the UBS target it will return approximately 39% (excluding dividends, fees and charges).

Current consensus price target is $6.17, suggesting upside of 20.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.3

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

Citi rates COL as Upgrade to Buy from Neutral (1) -

According to Citi, Coles Group has reached an inflection point around market share and sales differentials with the worst of the underperformance behind the retailer.

While like-for-like sales growth should continue to be volatile due to covid, the broker believes a faster than expected fall in covid costs will act as a hedge to operating deleverage.

Citi upgrades to Buy from Neutral with the target dropping to $18 from $19.

Target price is $18.00 Current Price is $15.85 Difference: $2.15
If COL meets the Citi target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $18.03, suggesting upside of 9.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Credit Suisse rates COL as Upgrade to Outperform from Neutral (1) -

Credit Suisse observes early signs of sales stabilising and some normalisation of consumer shopping behaviour. This means greater frequency, increased Sunday shopping and a better performance at shopping centre stores.

E-commerce also accelerated in the March quarter. The broker maintains a two-year cumulative growth rate of 8% for supermarkets, noting that inflation has now normalised to a two-year cumulative rate of around 1%.

Valuation is undemanding and the broker upgrades to Outperform from Neutral. Target is reduced to $18.19 from $19.04

Target price is $18.19 Current Price is $15.85 Difference: $2.34
If COL meets the Credit Suisse target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $18.03, suggesting upside of 9.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Macquarie rates COL as Neutral (3) -

Supermarket sales were below expectations in the March quarter with comparables down -6.4%, although Macquarie asserts, because of the pandemic, a 2-year view is a more sustainable comparison.

Going forward, the broker expects May and June will be more challenging as this was the period in 2020 when lockdowns and abnormal at-home consumption trends commenced.

Macquarie also notes the trend of local shopping is showing signs of unwinding, benefiting exposure to CBD stores and shopping centres as foot traffic improves. Neutral rating and $17.30 target maintained.

Target price is $17.30 Current Price is $15.85 Difference: $1.45
If COL meets the Macquarie target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $18.03, suggesting upside of 9.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Morgan Stanley rates COL as Overweight (1) -

Morgan Stanley believes third quarter like-for-like sales declines should be viewed in the context of a 13% increase in the pcp. While the result suggests modest downgrades versus consensus, it's believed this is reflected in recent share price underperformance. 

The broker doesn't see the relaunched ‘down down’ campaign as the start of a price war or departure from broadly rational pre-covid industry settings. Overweight rating. Target is $20.25. Industry view: Attractive.

Target price is $20.25 Current Price is $15.85 Difference: $4.4
If COL meets the Morgan Stanley target it will return approximately 28% (excluding dividends, fees and charges).

Current consensus price target is $18.03, suggesting upside of 9.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Morgans rates COL as Add (1) -

While the third quarter sales trading update overall was weaker than Morgans expected, management is starting to see a normalisation in consumer behaviour in the first few weeks of the fourth quarter.

The broker notes online remains popular with sales jumping 49% and the group continues to focus on growing Own Brand as a point of differentiation. The Add rating is maintained and the target is decreased to $18.50 from $19.45, after decreases to earnings forecasts.

Target price is $18.50 Current Price is $15.85 Difference: $2.65
If COL meets the Morgans target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $18.03, suggesting upside of 9.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Ord Minnett rates CRW as Buy (1) -

Cash receipts jumped 12% in the March quarter, aided by a 7.4% increase in total members.

Following ANZ Bank's ((ANZ)) recent acquisition of 19% of Cashrewards as part of the IPO, the company has indicated discussions are continuing regarding product development and strategic initiatives.

Ord Minnett reiterates a Buy rating and $2.10 target.

Target price is $2.10 Current Price is $1.17 Difference: $0.93
If CRW meets the Ord Minnett target it will return approximately 79% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Credit Suisse rates DOW as Outperform (1) -

Downer EDi has now sold Otraco, leaving open cut mining east and hospitality the last of the non-core businesses.

The balance sheet has improved to the point where the company is confident in announcing a buyback of $400m. No explicit guidance for FY21 was provided.

Credit Suisse welcomes the buyback and an Outperform rating is maintained. Target rises to $6.45 from $5.95.

Target price is $6.45 Current Price is $5.71 Difference: $0.74
If DOW meets the Credit Suisse target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $6.19, suggesting upside of 9.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

Macquarie rates DOW as Outperform (1) -

Macquarie observes Downer EDi's investor briefing put the focus squarely on urban services. The company has performed strongly over the year to date and has announced a 10% on-market buyback.

The broker estimates the buyback will be around 6% accretive to earnings per share on a full year basis. This is considered a sign of confidence and helps mitigate the dilution to earnings from asset sales. Around $605m in asset sales have been announced.

Macquarie retains a $6.10 target and Outperform rating.

Target price is $6.10 Current Price is $5.71 Difference: $0.39
If DOW meets the Macquarie target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $6.19, suggesting upside of 9.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

Morgan Stanley rates DOW as Overweight (1) -

At the investor day a 10% share buyback was announced and Morgan Stanley thinks there is potential for more. No detailed financial guidance was provided.

Management is now targeting a level of leverage that implies to the analyst the potential for more buybacks or M&A. It's thought the company may be able to do another $400-500m of buybacks in around 12 months' time.

Target is increased to $6.40 from $6.20. Overweight. Industry view: In-line. Morgan Stanley notes the next potential catalysts include the coal mining divestment and August results.

Target price is $6.40 Current Price is $5.71 Difference: $0.69
If DOW meets the Morgan Stanley target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $6.19, suggesting upside of 9.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

Ord Minnett rates DOW as Hold (3) -

Downer EDI has announced a share buyback, with Ord Minnett noting there is potential for more. Growing the defence systems business appears to be a key focus for management, with a pathway outlined for a doubling of revenue over the next 4-5 years.

The investor presentation was incrementally positive, although Ord Minnett believes a multiple re-rating will only occur after earnings and margin outcomes are reported to be consistent with the profile implied by the urban services strategy. Hold maintained. Target rises to $5.90 from $5.40.

Target price is $5.90 Current Price is $5.71 Difference: $0.19
If DOW meets the Ord Minnett target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $6.19, suggesting upside of 9.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

UBS rates DOW as Buy (1) -

UBS notes Downer EDI has been re-positioning following the divestment of non-core assets like mining and laundries.

The broker is of the view the company's prospects are now linked to factors like government outsourcing, population growth and defence spending, rather than the resources cycle.

Further, the shift to urban services is expected to contribute to a normalised operating income cash conversion of 90-100%. While the company did not provide any FY21 earnings guidance, UBS highlights strong year to date cash and operating performance.

The broker retains a Buy rating with a target of $6.20.

Target price is $6.20 Current Price is $5.71 Difference: $0.49
If DOW meets the UBS target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $6.19, suggesting upside of 9.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

Macquarie rates GNC as Outperform (1) -

Macquarie asserts 20.9mt is a good estimate of the potential winter crop for 2021/22 at this point in the season. This compares with the long-term average of 17mt and the broker's current modelling of 18.8mt.

Graincorp will post its first half result on May 13 and Macquarie forecasts $14 6m in operating earnings (EBITDA) and $48m in net profit.

Current earnings momentum is expected to continue into FY22, supported by a grain carry-in benefit from the record 29.9mt 2020/21 crop. Outperform rating and $6.01 target retained.

Target price is $6.01 Current Price is $5.07 Difference: $0.94
If GNC meets the Macquarie target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $6.09, suggesting upside of 19.1% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY21:

Forecast for FY22:

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 slightly softer third quarter trading update than Morgans had expected reflects Government lockdowns and border closures over January and February.

While the company has plenty of liquidity given its low cash burn, it does have a modest level of net debt, notes the broker. Management is targeting the 2Q22 to be earnings (EBITDA) positive.

The Add rating is maintained and the target price is decreased to $2.95 from $3.10. The analyst makes more conservative assumptions on international travel given the delay in Australia’s vaccine rollout.

Target price is $2.95 Current Price is $1.88 Difference: $1.07
If HLO meets the Morgans target it will return approximately 57% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

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

March Medicare data implies to Morgan Stanley low single digit upside to second half FY21 revenue and earnings forecasts for
the pathology exposed stocks. Equal-weight and target of $3.95 are retained. Industry view: In-line.

Note: The broker has a preference for Sonic Healthcare ((SHL)), as it offers the most palatable valuation relative to other large cap Australia health care companies.

Target price is $3.95 Current Price is $4.17 Difference: minus $0.22 (current price is over target).
If HLS meets the Morgan Stanley target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.28, suggesting upside of 2.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

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

For 2021 to date, Medicare data shows diagnostic imaging benefits grew by 12.7%, driven by an 8.5% volume increase and a 4.2% price/mix impact. Morgan Stanley expects higher growth rates in coming quarters as the covid-impacted months from 2020 are cycled.

Equal-weight and target of $4.60 are retained. Industry view: In-line.

Target price is $4.60 Current Price is $4.61 Difference: minus $0.01 (current price is over target).
If IDX 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 $5.20, suggesting upside of 12.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

UBS rates IEL as Buy (1) -

UBS highlights India is IDP Education's most important market and represents almost 37% of expected FY21 revenues.

Thus, the massive rise in covid cases creates a potential earnings risk for the company. Also, a slower rollout of the Australian vaccine will push out recovery in the broker's opinion.

Even so, UBS's core thesis remains intact that IDP Education will emerge a stronger player, leveraging technology to differentiate itself from bricks and mortar student placement businesses. The impact of a marginally slower recovery is almost nil on the broker's valuation.

Buy rating is maintained with the target dropping slightly to $29.05 from $29.80. 

Target price is $29.05 Current Price is $23.17 Difference: $5.88
If IEL meets the UBS target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $30.44, suggesting upside of 32.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Credit Suisse rates IGO as Neutral (3) -

Credit Suisse notes the March quarter was all about transformative corporate activity. This involves the acquisition of Greenbushes and the Kwinana lithium hydroxide plant as well as divestment of the Tropicana stake.

The existing pay-out policy is under review and the broker suspects, alongside a cash-generating Nova, Greenbushes and Kwinana may facilitate an increase in capital returns. This also provides a platform to pursue growth. Neutral maintained. Target rises to $6.90 from $6.40.

Target price is $6.90 Current Price is $7.29 Difference: minus $0.39 (current price is over target).
If IGO meets the Credit Suisse target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.71, suggesting downside of -8.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

Macquarie rates IGO as Outperform (1) -

March quarter results were broadly in line with Macquarie's estimates. Nova is expected to finish strongly and cost guidance has been reduced for the year because of stronger byproduct credits.

The broker believes the business has been transformed by the sale of the stake in Tropicana and the acquisition of a 50% interest in the lithium joint venture. The company is expected to emerge from the transactions with cash in hand. Macquarie maintains an Outperform rating with an $8.50 target.

Target price is $8.50 Current Price is $7.29 Difference: $1.21
If IGO meets the Macquarie target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $6.71, suggesting downside of -8.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

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

The March quarter was overall in-line with Morgan Stanley's estimates though cost guidance improved, due to cobalt credits and an overall better cost performance.

The proposed sale price for Tropicana to Regis Resources ((RRL)) of $903m would be above the broker's valuation of $552m. Management expects deal completion by May 31. Equal-weight. Target price is $5.65. Industry view: Attractive.

Target price is $5.65 Current Price is $7.29 Difference: minus $1.64 (current price is over target).
If IGO meets the Morgan Stanley target it will return approximately minus 22% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.71, suggesting downside of -8.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

Ord Minnett rates ILU as Buy (1) -

March quarter production was in line with expectations. Ord Minnett notes zircon inventory has normalised and the Narngulu mineral separation plant in Western Australia has returned to full capacity.

The broker makes few changes to 2021 forecasts, as lower prices offset higher volumes. Buy rating and $8.20 target maintained.

Target price is $8.20 Current Price is $7.61 Difference: $0.59
If ILU meets the Ord Minnett target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $6.86, suggesting downside of -11.8% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Morgans rates IPD as Add (1) -

After third quarter results, Morgans assesses key metrics are trending in the right direction for ImpediMed. There are minimal changes to forecasts. The target price is also moved marginally to $0.206 from $0.203. Speculative Buy is maintained.

A positive publication of the PREVENT trial in a key journal is the key upcoming catalyst, notes the broker.  It’s considered this will encourage private payor adoption and potential inclusion in the National Comprehensive Cancer Network (NCCN) guidelines.

Target price is $0.21 Current Price is $0.12 Difference: $0.086
If IPD meets the Morgans target it will return approximately 72% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Credit Suisse rates JBH as Upgrade to Outperform from Neutral (1) -

The March quarter was surprisingly strong and Credit Suisse notes the CEO transition will be as smooth as could be expected as Richard Murray moves to Premier Investments ((PMV)) and is replaced by Terry Smart.

The broker believes the market is underestimating the momentum that still exists in the household goods market. Risks are now sufficiently to the upside that the rating is upgraded to Outperform from Neutral.

Credit Suisse upgrades FY21 estimates on the basis of a stronger March quarter sales result and also marginally increases fourth quarter sales forecasts. Target is raised to $57.39 from $57.03.

Target price is $57.39 Current Price is $45.61 Difference: $11.78
If JBH meets the Credit Suisse target it will return approximately 26% (excluding dividends, fees and charges).

Current consensus price target is $51.90, suggesting upside of 12.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Macquarie rates JBH as Neutral (3) -

JB Hi-Fi has reported total sales growth of 10.4% for Australia in the March quarter and like-for-like sales growth of 11.5%, which signals strong momentum has continued in home electronics.

Macquarie suspects a slowdown takes shape as consumer behaviour normalises and the company cycles the peak panic-buying from mid-March. Hence, the broker expects flat like-for-like sales growth in the second half. Neutral rating retained. Target is $50.40.

Target price is $50.40 Current Price is $45.61 Difference: $4.79
If JBH meets the Macquarie target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $51.90, suggesting upside of 12.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Morgan Stanley rates JBH as Underweight (5) -

While strong sales have continued in the third quarter, Morgan Stanley is cautious on margins following the recent update from Kogan.com ((KGN)) flagging excess inventory and increased promotional activity.

Quarterly results were in-line with the broker's expectations as like-for-like sales growth moderated to an implied circa 8% across February/March from 18.6% in January. This is considered to reflect elevated comparisons in March 2020.

Underweight rating and target price of $46 are retained. Industry view is Attractive.

Target price is $46.00 Current Price is $45.61 Difference: $0.39
If JBH meets the Morgan Stanley target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $51.90, suggesting upside of 12.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Citi rates LNK as Buy (1) -

About six months after making a non-binding indicative bid for Link Administration, the offer was withdrawn by the consortium. Link indicates the consortium was interested in the overall Link Administration business.

Since Link Administration is actively looking for a separate sale process of PEXA at a potentially higher price, the arbitrage seen by the consortium has largely disappeared.

With optimism on getting a price equivalent to at least $2.5bn (maybe more) for 100% of PEXA increasing, Citi believes its thesis on Link remains intact.

On the flip side, if the current covid situation in India is prolonged, the broker sees some adverse risk to its FY22 cost forecasts. Buy rating with a $5.70.

Target price is $5.70 Current Price is $4.95 Difference: $0.75
If LNK meets the Citi target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $5.38, suggesting upside of 5.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.3

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

Morgans rates LNK as Hold (3) -

Given there has been no real progress for months, Morgans is not surprised the consortium bid for Link Administration Holdings has been pulled.

Management says FY21 earnings expectations are tracking in-line with consensus and the PEXA dual track process (IPO and trade sale) will conclude by June 2021.

The Hold rating is maintained as Morgans needs to see evidence of consistent earnings improvement before becoming more positive. The target price is decreased to $5.25 from $5.40

Target price is $5.25 Current Price is $4.95 Difference: $0.3
If LNK meets the Morgans target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $5.38, suggesting upside of 5.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.3

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

Ord Minnett rates LNK as Hold (3) -

The consortium led by Pacific Equity Partners has withdrawn its bid for Link Administration. While this is a clear negative, Ord Minnett envisages potential value can still be obtained from the sale of the PEXA property registry.

The broker questions one of the reasons cited by Link Administration for the failure of the transaction, the fact the consortium appeared to want to buy the whole business.

Regardless, this highlights the key problem with non-binding offers, Ord Minnett points out, in that they can be used as a basis for negotiation or research without much cost. The company will continue with a dual-track process for the sale of PEXA.

Hold rating retained with a target of $5.20.

Target price is $5.20 Current Price is $4.95 Difference: $0.25
If LNK meets the Ord Minnett target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $5.38, suggesting upside of 5.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.3

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

Macquarie rates MGR as Outperform (1) -

Mirvac has upgraded guidance to at least 13.7c per security. The upgrade is driven by improved residential settlements and cash collection.

A highlight for Macquarie was the progress on the apartment development pipeline. Mirvac has sold 47% of 161 units at Green Square and 50% of units at Waterfront Quay in the first week of sales. Key projects at Willoughby and Waverley will launch in the second half of FY22.

The broker retains an Outperform rating with a $ 2.91 target.

Target price is $2.91 Current Price is $2.64 Difference: $0.27
If MGR meets the Macquarie target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $2.67, suggesting upside of 0.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

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

Mirvac Group has released a third quarter update upgrading FY21 EPS guidance to 'at least' 13.7c, from the previous 13.1-13.5c range. Management also upgraded dividend guidance to 9.9c from 9.6-9.8c, implying to Morgan Stanley 5.1c in the second half.

It appears to the broker the earnings upgrade was almost solely driven by higher residential settlements. Rent collection has also improved (90% in Retail). It's thought some of company's -$20m provisioning taken in the first half may be reversed.

The Equal Weight rating and target price of $2.50 are maintained. Industry view is In-Line.

Target price is $2.50 Current Price is $2.64 Difference: minus $0.14 (current price is over target).
If MGR meets the Morgan Stanley target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.67, suggesting upside of 0.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

Ord Minnett rates MGR as Hold (3) -

Management has updated FY21 guidance to at least 13.7c per share on the back of very strong residential sales in the March quarter. Ord Minnett notes this comes despite the pushing out of development profit for the locomotive workshop to the first half of FY22.

The broker observes Mirvac has leverage to strongly performing residential land and apartment conditions in Melbourne. Hold maintained. Target rises to $2.60 from $2.50.

Target price is $2.60 Current Price is $2.64 Difference: minus $0.04 (current price is over target).
If MGR meets the Ord Minnett target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.67, suggesting upside of 0.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

UBS rates MGR as Buy (1) -

Mirvac Group's FY21 earnings guidance has been upgraded to at least 13.7c from 13.1-13.5c, almost in line with UBS's prior estimate of 13.8c.

Looking at FY22, the broker expects Mirvac Group to deliver earnings growth of 14% to 15.7c on account of reversal of covid abatements, income from completion of commercial developments and current strong residential pre-sales carried over into FY22.

Buy rating retained. Target rises to $2.84 from $2.76.

Target price is $2.84 Current Price is $2.64 Difference: $0.2
If MGR meets the UBS target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $2.67, suggesting upside of 0.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

Morgan Stanley rates MVF as Overweight (1) -

March Medicare shows that for the first three months of 2021 fresh IVF cycles rose 26.6% and frozen cycles by 19.2%.

On a rolling 12 month basis, Morgan Stanley assesses the data shows industry growth better than anticipated, which is likely to be elevated across the balance of 2HFY21 at least. The Overweight rating and $0.90 target are retained. Industry view is In-Line.

The broker prefers Monash IVF Group over Virtus Health ((VRT)), due to a better valuation and lower balance sheet leverage.

Target price is $0.90 Current Price is $0.86 Difference: $0.04
If MVF meets the Morgan Stanley target it will return approximately 5% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Ord Minnett rates NST as Buy (1) -

March quarter production was lower than expected amid both planned and unplanned interruptions. The lower production rate was caused by unplanned mill maintenance at the Thunderbox operation and planned mill maintenance at the Super Pit.

Ord Minnett expects a much stronger June quarter, although suspects the Super Pit is unlikely to achieve guidance. Buy rating maintained. Target is reduced to $13.30 from $13.50.

Target price is $13.30 Current Price is $10.64 Difference: $2.66
If NST meets the Ord Minnett target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $12.79, suggesting upside of 17.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

Morgan Stanley rates QBE as Overweight (1) -

Morgan Stanley thinks premium rate increases could be peaking in the March quarter though March pricing is not dissimilar to December with 10-15% increases. This is calculated to setup two years of margin expansion, given the lag in translation to earnings.

The broker upgrades FY21-22 margin forecasts by around 50 basis points, given more confidence in the underlying combined ratio improvement. Earnings forecasts rise almost 10% in FY21 and 6% in FY22 on the back of the stronger margins.

Overweight rating. The target is increased to $11.50 from $11. Industry view: In-line. 

Target price is $11.50 Current Price is $9.52 Difference: $1.98
If QBE meets the Morgan Stanley target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $10.71, suggesting upside of 10.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

Forecast for FY22:

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 RMS as Outperform (1) -

March quarter production was in-line with the key metrics previously released. FY21 production guidance has been narrowed to 275-280,000 ounces.

Macquarie found the quarter "solid" and anticipates the studies due for delivery over 2021 could have meaningful upside to its base case.

Outperform rating. Target is raised to $1.90 from $1.80.

Target price is $1.90 Current Price is $1.63 Difference: $0.27
If RMS meets the Macquarie target it will return approximately 17% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Morgans rates RMS as Add (1) -

Gold production was in-line with Morgans forecasts, while costs were at the upper end of guidance. Production and costs were considered impacted by an unplanned shutdown at the Edna May mill.

Management noted general labour cost pressures as the WA resources sector continues to strengthen across most commodities.

The Add rating is maintained and the target price is decreased to $2.24 from $2.27. Morgans remains excited about the organic growth potential near both Edna May and at Mt Magnet.

Target price is $2.24 Current Price is $1.63 Difference: $0.61
If RMS meets the Morgans target it will return approximately 37% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

UBS rates S32 as Buy (1) -

While South32's March quarter production was overall slightly below UBS's forecast, management expects a strong June quarter. UBS notes net cash flow was strong during the quarter despite the ongoing buy-back and sees modest upside risk to FY21 earnings.

South32 has increased guidance for Cannington nd for South Africa Manganese by circa 10% each.

The broker thinks the risk-reward on South32 is attractive and retains its Buy rating with a target of $3.30.

Target price is $3.30 Current Price is $2.93 Difference: $0.37
If S32 meets the UBS target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $3.18, suggesting upside of 9.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.9

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

Citi rates SBM as Upgrade to Buy from Neutral (1) -

Citi upgrades St Barbara to Buy from Neutral with the target rising to $2.40 from $2.30.

St Barbara's March quarter gold production at 82.3koz missed Citi's expectations by -19% while costs were 17% higher than expected. Gwalia mine's production remained steady but was still -10% below Citi's forecast led by lower milled grades.

Impacted by covid, Simberi mine's production fell to a 5 year low and costs increased considerably while Atlantic mine also delivered below expectations.

On a risk-reward basis, Citi finds St Barbara more attractive following the recent -8% selloff and views the outlook for Gwalia, Australia’s deepest trucking mine, to be improving. 

Target price is $2.40 Current Price is $1.87 Difference: $0.53
If SBM meets the Citi target it will return approximately 28% (excluding dividends, fees and charges).

Current consensus price target is $2.56, suggesting upside of 34.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

Credit Suisse rates SBM as Outperform (1) -

Credit Suisse was disappointed with the March quarter as production of 82,000 ounces compared with expectations of 109,000 ounces. Costs were similarly challenged.

The main positive was the improvement in the month of March where mining rates, mill throughput and grades were all better. Hence, this provides a platform, in the broker's view, for a much improved June quarter, although guidance appears stretched at this stage.

Outperform rating retained. Target is reduced to $2.95 from $3.05.

Target price is $2.95 Current Price is $1.87 Difference: $1.08
If SBM meets the Credit Suisse target it will return approximately 58% (excluding dividends, fees and charges).

Current consensus price target is $2.56, suggesting upside of 34.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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) -

March quarter production was -18% below Macquarie's estimates while costs were 14% higher. The broker believes an extension to the mining licence at Simberi is key to unlocking the sulphide project.

A strong fourth quarter is required to reach guidance and the broker now suspects this will be missed as the impact of the pandemic in PNG and a change of contractor at Gwalia weighs on output. Neutral retained. Target is reduced to $1.90 from $2.20.

Target price is $1.90 Current Price is $1.87 Difference: $0.03
If SBM meets the Macquarie target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $2.56, suggesting upside of 34.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

Morgan Stanley rates SBM as Overweight (1) -

Morgan Stanley takes a conservative stance versus guidance and downgrades FY21 and life of mine estimates, after a weak March quarter. Despite this, there's assessed to be substantial value. Overweight rating and the target is reduced to $2.85 from $3.10.

Gold production was -19% below the broker's estimate and all-in-sustaining costs (AISC) were 19% above, with soft results at all three sites. FY21 gold guidance was lowered -4% and AISC increased 3%.

Management noted all mines had strong March months and a stronger fourth quarter is expected. Morgan Stanley's industry view is Attractive.

Target price is $2.85 Current Price is $1.87 Difference: $0.98
If SBM meets the Morgan Stanley target it will return approximately 52% (excluding dividends, fees and charges).

Current consensus price target is $2.56, suggesting upside of 34.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

Ord Minnett rates SBM as Buy (1) -

March quarter production revealed a tough quarter for St Barbara. Gold production was -16% below Ord Minnett's forecasts and costs 17% higher.

A near-flawless June quarter is required to reach guidance of 370-380,000 ounces, the broker suggests. A Buy rating is maintained on the longer-term outlook while the target is lowered to $2.70 from $3.00.

Target price is $2.70 Current Price is $1.87 Difference: $0.83
If SBM meets the Ord Minnett target it will return approximately 44% (excluding dividends, fees and charges).

Current consensus price target is $2.56, suggesting upside of 34.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

Credit Suisse rates SDF as Outperform (1) -

Credit Suisse continues to envisage upside risk with another strong quarter providing the basis. For the first nine months of FY21, revenue is up 7.2% and earnings up 20%. The company has upgraded EBITA guidance to $259-266m from $245-255m.

Credit Suisse suspects guidance could be conservative, although acknowledges this is nothing new. The lack of a share price response to the upgrade suggests it was largely anticipated. The broker retains an Outperform rating and raises the target to $4.60 from $4.40.

Target price is $4.60 Current Price is $4.15 Difference: $0.45
If SDF meets the Credit Suisse target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $4.59, suggesting upside of 8.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Macquarie rates SDF as Outperform (1) -

Revenue and earnings guidance for FY21 has been upgraded by around 5%. Macquarie finds the market conditions and operating performance supportive, noting the company has steadily lifted guidance since the AGM.

Outperform maintained. Target rises to $4.60 from $4.40.

Target price is $4.60 Current Price is $4.15 Difference: $0.45
If SDF meets the Macquarie target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $4.59, suggesting upside of 8.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Ord Minnett rates SDF as Accumulate (2) -

Earnings guidance has been raised for FY21. Ord Minnett had believed guidance set at the first half result was low while the ratings environment and economic rebound remain strong.

The broker increases earnings forecasts and raises the target to $4.76 from $4.66. Accumulate maintained.

Target price is $4.76 Current Price is $4.15 Difference: $0.61
If SDF meets the Ord Minnett target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $4.59, suggesting upside of 8.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

UBS rates SDF as Buy (1) -

Steadfast Group's latest update for the nine months to March 31 shows revenue is up 7.2% with operating income growing 20.5%. UBS notes aided by the recent acquisitions, the group has upgraded its operating income guidance by circa 5% to $259-266m.

UBS finds this upgrade consistent with its view that Steadfast Group could achieve operating income above the top-end.

While the group's guidance assumes insurers will continue to implement moderate premium rate increases, UBS thinks with government stimulus rolling off after March, the outlook for SME will be tougher in the fourth quarter.

UBS retains its Buy rating and $4.38 target.

Target price is $4.38 Current Price is $4.15 Difference: $0.23
If SDF meets the UBS target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $4.59, suggesting upside of 8.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Citi rates SFR as Neutral (3) -

Sandfire Resources' March quarter showed a net positive with copper production at 16.8kt rising 3% over the last quarter (due to higher grades). Lower gold grades reduced production to 9.1koz, still 4% better than Citi anticipated.

The company expects improved cost guidance going ahead, driven by strong gold prices. Production guidance remains intact but the company expects to hit the top end of the 67kt-70Kt range. 

Neutral (High Risk) with a target price of $6.70.

Target price is $6.70 Current Price is $6.56 Difference: $0.14
If SFR meets the Citi target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $7.12, suggesting upside of 2.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Credit Suisse rates SFR as Outperform (1) -

March quarter production signals the company is on track for the top end of FY21 guidance of 67-70,000t in copper. Cost performance was ahead of budget. Gold production was 80% of the full year guidance of 36-40,000 ounces.

While this is another solid operating result from DeGrussa unfortunately, as Credit Suisse points out, it has a short life, with around 18 months remaining.

This highlights the value opportunity in the Botswana project for those willing to back management, the broker asserts and retains an Outperform rating and $7.20 target.

Target price is $7.20 Current Price is $6.56 Difference: $0.64
If SFR meets the Credit Suisse target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $7.12, suggesting upside of 2.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Macquarie rates SFR as Outperform (1) -

March quarter production beat expectations on most metrics and cash flow was solid. Work is underway in Botswana and resource, reserve and feasibility study updates on the A4 deposit could underpin an expansion, Macquarie suggests.

Incorporating a stronger quarter has resulted in a 9% lift to the broker's FY21 forecasts. Outperform retained. Target is $9.30.

Target price is $9.30 Current Price is $6.56 Difference: $2.74
If SFR meets the Macquarie target it will return approximately 42% (excluding dividends, fees and charges).

Current consensus price target is $7.12, suggesting upside of 2.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Morgan Stanley rates SFR as Overweight (1) -

Third quarter production was in-line with Morgan Stanley's forecasts while costs were 8% better. Management also lowered cost
guidance by around -6%. The analyst feels there is potential to perform better than the broker's forecasts as production lifts in the 4Q.

Given the year-to-date performance and expectation of more metal production in the 4Q, the broker expects costs could be towards the bottom end of the renewed guidance range. Overweight maintained. Target is increased to $7.50 from $5.80. Industry view: Attractive.

Target price is $7.50 Current Price is $6.56 Difference: $0.94
If SFR meets the Morgan Stanley target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $7.12, suggesting upside of 2.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Ord Minnett rates SFR as Hold (3) -

Sandfire Resources is targeting a 1mtpa processing rate for the Old Highway gold deposit that could extend the life of the DeGrussa processing plant. Ord Minnett notes no other detail on capital expenditure or grades was provided.

There was no major update on the T3 project and first production remains targeted for FY23. Ord Minnett increases earnings forecasts and valuation after reducing cost assumptions at DeGrussa. Hold retained. Target is raised to $6.70 from $6.50.

Target price is $6.70 Current Price is $6.56 Difference: $0.14
If SFR meets the Ord Minnett target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $7.12, suggesting upside of 2.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Morgan Stanley rates SHL as Overweight (1) -

March Medicare data implies to Morgan Stanley low single digit upside to second half FY21 revenue and earnings forecasts for
the pathology exposed stocks. Equal-weight and target of $3.95 are retained. Industry view: In-line.

The broker has a preference for Sonic Healthcare as it offers the most palatable valuation relative to other large cap Australia health care companies. The analyst retains an Overweight rating and the $39.80 price targe target. Industry view: In-line.

Target price is $39.80 Current Price is $36.25 Difference: $3.55
If SHL meets the Morgan Stanley target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $37.47, suggesting upside of 2.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

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

The sale of the Wealth division to LGIA Super shows Morgan Stanley a focus on core businesses and does not impact the group's strong excess capital. It's thought a return of capital remains an option for when the second half FY21 result is released.

The broker forecasts no earnings from the Wealth business in FY21-FY23. Equal-weight rating. Target is $11.10. Industry view: In-line.

Target price is $11.10 Current Price is $10.49 Difference: $0.61
If SUN meets the Morgan Stanley target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $11.53, suggesting upside of 8.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.7

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

Ord Minnett rates SUN as Hold (3) -

Suncorp will sell its Australian wealth business to LGIAsuper for $45m. Ord Minnett assesses the benefit of the transaction will be the simplification of the focus for banking management.

Hold rating and $11 target maintained.

Target price is $11.00 Current Price is $10.49 Difference: $0.51
If SUN meets the Ord Minnett target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $11.53, suggesting upside of 8.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.7

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

UBS rates SUN as Buy (1) -

Suncorp Group has agreed to sell its Australian wealth business to LGIAsuper for $45m. The impact is expected to be mostly neutral after allowing for costs, considered a positive outcome by UBS for Suncorp's shareholders.

UBS points out the group's wealth arm had become a drag on earnings lately as well as a distraction for management and thus is pleased Suncorp is getting a sale at no net cost.

Buy rating and $11.15 target are unchanged.

Target price is $11.15 Current Price is $10.49 Difference: $0.66
If SUN meets the UBS target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $11.53, suggesting upside of 8.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.7

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

Macquarie rates SVW as Outperform (1) -

The company has made a $500m institutional placement and instituted a $50m share purchase plan, which reduces leverage and borrowing costs and restores flexibility to the balance sheet.

Macquarie asserts Seven Group has a solid track record of capital allocation and the industrial businesses provide quality exposure to the infrastructure/construction & resources sectors. Outperform maintained. Target is reduced to $27.50 from $28.40.

Target price is $27.50 Current Price is $22.45 Difference: $5.05
If SVW meets the Macquarie target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $27.14, suggesting upside of 20.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Macquarie rates TCL as Outperform (1) -

Traffic data shows an improving trend over the March quarter. An improving economic environment is supporting a recovery in road traffic and the next leg is domestic aviation, suggests Macquarie, adding to improved activity on the Airportlink, Gateway and Citylink.

The main organic opportunities over the short term is progress on the M7 widening. Macquarie retains an Outperform rating and the target dips to $14.51 from $14.52.

Target price is $14.51 Current Price is $13.89 Difference: $0.62
If TCL meets the Macquarie target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $14.23, suggesting upside of 1.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

Morgan Stanley rates VRT as Underweight (5) -

March Medicare shows that for the first three months of 2021 fresh IVF cycles rose 26.6% and frozen cycles by 19.2%.

On a rolling 12 month basis, Morgan Stanley assesses the data shows industry growth better than anticipated which is likely to be elevated across the balance of 2HFY21 at least. The Underweight rating and $5.05 target are retained. Industry view is In-Line.

Note: The broker prefers Monash IVF Group ((MVF)) due to better valuation upside and lower balance sheet leverage.

Target price is $5.05 Current Price is $6.13 Difference: minus $1.08 (current price is over target).
If VRT meets the Morgan Stanley target it will return approximately minus 18% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.29, suggesting upside of 4.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.3

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

Macquarie rates WAF as Outperform (1) -

First quarter gold production was -2% below Macquarie's estimates. A strong process plant performance offset lower-than-expected grade. The continued ramp up of the underground remains important to short-term production assumptions, the broker observes.

Macquarie continues to expect a progressive improvement in cash generation over 2021. Outperform retained. Target rises to $1.05 from $1.00.

Target price is $1.05 Current Price is $0.92 Difference: $0.13
If WAF meets the Macquarie target it will return approximately 14% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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