Australian Broker Call

Ord Minnett rates ABP as Accumulate (2) -

Ord Minnett believes the group has ample capacity to fund recent acquisitions, which are estimated to be 2% accretive to earnings (net of sales). It's considered they should help offset some of the earnings dilution from the $402m capital raising in December.

The group announced $148m of acquisitions, comprising a 60% interest in the Oasis Centre on Broadbeach and four self-storage facilities. It also entered into contracts to sell $63m of non-core office and industrial assets.

The Accumulate rating is retained and the target price is increased to $3.20 from $3.10.

Target price is $3.20 Current Price is $3.08 Difference: $0.12
If ABP meets the Ord Minnett target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $3.01, suggesting downside of -3.4% (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

Citi rates ALG as Buy (1) -

After analysing over 2000 Dreamworld customer reviews between 2015-2020, Citi reveals consumer sentiment has been under pressure since 2015 with the number of reviews decreasing as well over the period. The leading cause appears to be ride closures.

While the Steel Taipan rollercoaster that will open later this year may be a step in the right direction, the broker thinks more is needed. The broker's findings also suggest capital expenditure may need to be at higher levels for longer than previously thought.

Buy rating and $1.17 target retained.

Target price is $1.17 Current Price is $0.82 Difference: $0.35
If ALG meets the Citi target it will return approximately 43% (excluding dividends, fees and charges).

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

Ord Minnett rates AOF as Accumulate (2) -

After a third quarter update, Ord Minnett can see further progress on leases. Also, rent collections have improved to greater than 100% (including the collection of arrears) from 98% in the first half.

Management outlined progress with the Strategic Assessment, with an announcement now expected in 4Q21 or “shortly after”. The broker has ruled out a complete sell down of assets or an imminent takeover of the Portfolio or Manager.

The target price increases to $2.40 from $2.31 on the back of leasing success and transactional evidence reinforcing asset values. The Accumulate rating is retained.

Target price is $2.40 Current Price is $2.39 Difference: $0.01
If AOF meets the Ord Minnett target it will return approximately 0% (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 APA as Equal-weight (3) -

Morgan Stanley considers the proposed changes to the gas pipeline regulation a manageable headwind for APA Group. The changes are expected to put pressure on contract renewals but not fundamentally change the investment outlook.

Australian energy ministers have agreed the form of regulation will be determined by a regulator with unchanged exemptions from greenfield projects for up to 15 years.

The stronger form regulation will be the negotiate/arbitrage model within the existing full regulation while the lighter form will be based on a strengthened part 23. Non exempt pipelines will be required to disclose summary financials.

 Equal-weight rating. Industry view is Cautious. Target is $9.65.

Target price is $9.65 Current Price is $10.00 Difference: minus $0.35 (current price is over target).
If APA meets the Morgan Stanley target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $10.70, suggesting upside of 6.9% (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 AQR as Accumulate (2) -

Following a  positive leasing announcement on 13 sites,  Ord Minnett believes the REIT has significantly de-risked its income. The broker was surprised by the 25.9% increase to book values, which indicates valuations are starting to play catch up with the transactional market.

The REIT has less than 2% of its portfolio expiring over the next three years, with greater than 91% of income expiring in FY30 or beyond. The Accumulate rating and $3.90 target price are retained.

Target price is $3.90 Current Price is $3.53 Difference: $0.37
If AQR meets the Ord Minnett target it will return approximately 10% (excluding dividends, fees and charges).

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

Morgans rates ART as Initiation of coverage with Hold (3) -

Morgans initiates coverage of Airtasker with a $1.23 target price. Despite being highly attracted to the business model and growth potential, a doubling of the share price since IPO has the broker initially on the defensive with a Hold rating.

The analyst likes the attractive unit dynamics, with healthy gross margins (over 93%) and a large total addressable market (TAM) in the infancy of e-commerce adoption. International expansion sees a more than 11-fold increase in the TAM.

Continued local services growth ahead of household expenditure growth and increased penetration of e-commerce provides powerful tailwinds, explains Morgans. 

Target price is $1.23 Current Price is $1.29 Difference: minus $0.06 (current price is over target).
If ART meets the Morgans target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

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

UBS rates AST as Neutral (3) -

On April 30, the Australian Energy Regulator (AER) gave its final verdict on AusNet Services' electricity distribution (ELEC-D) price review and UBS notes the news is good. 

Recall AusNet's electricity distribution network is the group's largest asset and contributes 48% of the operating income. 

According to AER's decision, AusNet Services can recover $3,463m in total revenues, 2% higher than UBS expected, through regulated services between 2021-26.

The regulator has allowed total net capex over the 5 year period of $1,401m, just -3% below the broker's forecast but reflecting -21% lower spend than actually incurred over the current 2016-20 regulatory period. Total allowed opex was 5% higher than forecast.

UBS maintains its Neutral rating with a target price of $1.90.

Target price is $1.90 Current Price is $1.89 Difference: $0.01
If AST meets the UBS target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $1.87, suggesting downside of -1.4% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.1

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

UBS rates CHC as Buy (1) -

Charter Hall Group has upgraded its operating earnings guidance to more than 57c from more than 55c as compared to UBS's expected 58.3c.

The broker maintains its Buy rating and expects the ongoing capital raising and deployment to drive medium-term earnings upgrades.

Buy rating and $16.10 target retained.

Target price is $16.10 Current Price is $14.22 Difference: $1.88
If CHC meets the UBS target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $15.81, suggesting upside of 11.5% (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 DRR as Outperform (1) -

Deterra Royalties has received $36.4m in payments in the March quarter, amid buoyant iron ore prices. Macquarie believes this will continue to underpin strong earnings upgrade momentum.

A spot price scenario generates 65% higher earnings for FY22 and 115% for FY23. The South Flank development is now 95% complete and tie-in activity to connect to Mining Area C has occurred. The project is on track for first production in mid 2021.

Macquarie retains an Outperform rating and reduces the target to $4.80 from $4.90.

Target price is $4.80 Current Price is $4.35 Difference: $0.45
If DRR meets the Macquarie target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $4.79, suggesting upside of 9.3% (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 EVN as Hold (3) -

Despite generally rising costs and underwhelming gold sector March-quarter production reports, Ord Minnett feels gold prices have bottomed in the short term. The broker upgrades near-term prices by US$50 to US$1,750/oz, and earnings forecasts increase by 1–7%.

Evolution Mining is one of the most insulated from earnings downgrades and rising costs, with higher margins and copper credits. The Hold rating and $4.50 target are maintained.

Target price is $4.50 Current Price is $4.58 Difference: minus $0.08 (current price is over target).
If EVN 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 $4.53, suggesting downside of -4.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.1

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

Morgans rates GNC as Add (1) -

In anticipation of first half results on 13 May, Morgans forecasts 29% earnings (EBITDA) growth underpinned by a record east coast grain crop and contributions from strategic initiatives.

The broker expects a reiteration of FY21 guidance for underlying earnings of $230-270m, up 113-150% on FY20. A fully franked interim dividend of 10cps is also forecast.

The Add rating is maintained and the target is lifted to $6.17 from $6.15, reflecting the recent appreciation in the United Malt Group’s ((UMG)) share price.

Target price is $6.17 Current Price is $5.10 Difference: $1.07
If GNC meets the Morgans target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $6.09, suggesting upside of 16.5% (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

Ord Minnett rates GOR as Buy (1) -

Despite generally rising costs and underwhelming gold sector March-quarter production reports, Ord Minnett feels gold prices have bottomed in the short term. The broker upgrades near-term prices by US$50 to US$1,750/oz, and earnings forecasts increase by 1–7%.

Gold Road Resources is among Ord Minnett's key preferences.The Buy rating is maintained and the target price rises to $2.05 from $2. 

Target price is $2.05 Current Price is $1.24 Difference: $0.81
If GOR meets the Ord Minnett target it will return approximately 65% (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

Morgans rates ICQ as Hold (3) -

Morgans sees generally positive trends in the first quarter update with all three countries of operations starting to recover. The over 80% revenue growth guidance for the second quarter is considered to show management’s confidence.

There was around 9% growth in quarterly cash receipts on the pcp (adjusted for the auction business and one off payments). Discussions with Autohome Inc, who made an indicative bid at 50c over six months ago, are said to be continuing. 

The Hold rating is maintained due to uncertainty around the Autohome bid and the likelihood of a share price fall if a final bid does not eventuate, explains the broker. The target price is decreased to $0.38 from $0.40.

Target price is $0.38 Current Price is $0.31 Difference: $0.07
If ICQ meets the Morgans target it will return approximately 23% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

Ord Minnett rates JHC as Downgrade to Hold from Accumulate (3) -

Japara Healthcare has received an unsolicited takeover proposal from not-for-profit organisation Calvary Health Care. Ord Minnett raises the target price to match the $1.04 bid, while the rating is lowered to Hold from Accumulate.

The board indicated it has not formed a view on the merits of the proposal. The broker believes the board will wait until the federal government’s response to the Royal Commission’s recommendations has been revealed, (due by 31 May).

Target price is $1.04 Current Price is $1.01 Difference: $0.03
If JHC meets the Ord Minnett target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $0.91, suggesting downside of -10.1% (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 JHX as Overweight (1) -

Morgan Stanley expects the company's upcoming update will unveil new three-year targets and strategic initiatives. This should provide the next leg of upside.

Management incentives point to a 22-27% target for margins and Morgan Stanley has this as a base case, with the potential for slightly higher or wider ranges, i.e. 20-30%. The broker also suggests there is pretty of runway to the 35/90 share growth target and this is expected to be maintained.

The company's key markets in the US, Australia and New Zealand are all displaying significant strength in response to low interest rates, government stimulus and favourable demographics.

Overweight rating. Target is raised to $50 from $44. Industry view is In-Line.

Target price is $50.00 Current Price is $41.81 Difference: $8.19
If JHX meets the Morgan Stanley target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $44.84, suggesting upside of 4.9% (ex-dividends)

The company's fiscal year ends in March.

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 MCA as Buy (1) -

Ord Minnett increases the target price to $0.55 from $0.33 for Murray Cod Australia after a strong quarterly announcement, with
third quarter cash receipts one of the key highlights. The Buy rating is maintained.

New distribution arrangements involving a trial with Woolworths ((WOW)) and PFD food services gives the broker further comfort the company will be well-placed to sell its product as it matures. Woolworth’s large store footprint could offer compelling upside potential. 

Target price is $0.55 Current Price is $0.46 Difference: $0.09
If MCA meets the Ord Minnett target it will return approximately 20% (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 MTO as Upgrade to Add from Hold (1) -

Morgans highlights independent data shows first quarter industry road bike sales increased by 21% year-on-year. This is the second highest quarterly growth rate behind 3Q20 and around 12% above 1Q19 levels.

The broker lifts the rating to Add from Hold and the target to $3.18 from $2.70. This is due to an expectation for continuing strong demand across the industry and persistently tight inventory conditions, akin to the automotive industry, explains the analyst.

Morgans expects a net cash position at the end of FY21, placing the group well to payout around 55% of earnings in dividends, re-invest in inventory and look at any attractive acquisition targets that may arise.

Target price is $3.18 Current Price is $2.84 Difference: $0.34
If MTO 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

Morgans rates NAM as No Rating (-1) -

With water in key storages, Morgans believes the co-operative is well placed to deliver strong earnings growth over the next couple of years, given much larger cotton crops are forecast.

Derisking the business, larger crops, improved earnings/cashflow and the potential removal of the shareholder cap, should go some way to narrowing the material discount to net tangible assets, explains the broker. 

The co-operative is not rated by Morgans and no target price is supplied.

Current Price is $0.38. Target price not assessed.

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

Ord Minnett rates NCM as Buy (1) -

Despite generally rising costs and underwhelming gold sector March-quarter production reports, Ord Minnett feels gold prices have bottomed in the short term. The broker upgrades near-term prices by US$50 to US$1,750/oz, and earnings forecasts increase by 1–7%.

Newcrest Mining is among Ord Minnett's key preferences and is one of the most insulated from earnings downgrades and rising costs, with higher margins and copper credits. The Buy rating is maintained and the target rises to $37 from $36.50.

Target price is $37.00 Current Price is $26.27 Difference: $10.73
If NCM meets the Ord Minnett target it will return approximately 41% (excluding dividends, fees and charges).

Current consensus price target is $31.56, suggesting upside of 18.4% (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: 1.0

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

Morgan Stanley rates NEA as Overweight (1) -

Morgan Stanley envisages 20-40% organic growth potential over the medium term with a 40% or more cash earnings (EBIT) margin.

North America seems to have increased momentum and the broker also envisages pricing upside from 3D, artificial intelligence and vertical-specific solutions.

As there has been no incremental news the stock has softened, yet the broker notes the sales team has ramped up and US revenue is expected to exceed Australasian revenue in FY22.

Overweight reiterated. Target is $3.10. Industry view is In-Line.

Target price is $3.10 Current Price is $2.07 Difference: $1.03
If NEA meets the Morgan Stanley target it will return approximately 50% (excluding dividends, fees and charges).

Current consensus price target is $2.93, suggesting upside of 42.4% (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 NEC as Buy (1) -

Ord Minnett believes the market has not yet ascribed any benefits from deals with Facebook or Google. The analyst has attributed $63m in revenues to Seven West Media ((SWM) from the digital deals and awaits Nine Entertainment Co finalising similar deals.

The broker is positive on traditional media, which is accelerating growth via digital news content delivery, subscriber growth and premium content (plus display advertising). The Buy rating and $3.25 target are retained.

Target price is $3.25 Current Price is $2.82 Difference: $0.43
If NEC meets the Ord Minnett target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $3.30, suggesting upside of 14.2% (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 NST as Outperform (1) -

Reserves have been upgraded by 8% to 387mt at 1.7g/t for 21m ounces. This was largely driven by an increase in the Kalgoorlie Consolidated Gold Mines reserve.

Macquarie is encouraged by the upgrades and envisages considerable upside to longer-term forecasts, through both the extension to the Fimiston underground and the satellite deposits at Little Wonder and Mount Percy.

Outperform and $12.20 target retained.

Target price is $12.20 Current Price is $10.48 Difference: $1.72
If NST meets the Macquarie target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $12.83, suggesting upside of 17.4% (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 NST as Buy (1) -

Despite generally rising costs and underwhelming gold sector March-quarter production reports, Ord Minnett feels gold prices have bottomed in the short term. The broker upgrades near-term prices by US$50 to US$1,750/oz, and earnings forecasts increase by 1–7%.

Northern Star Resources is among Ord Minnett's key preferences.The Buy rating is maintained and the target price rises to $13.50 from $13.30.

Target price is $13.50 Current Price is $10.48 Difference: $3.02
If NST meets the Ord Minnett target it will return approximately 29% (excluding dividends, fees and charges).

Current consensus price target is $12.83, suggesting upside of 17.4% (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 OGC as Hold (3) -

Despite generally rising costs and underwhelming gold sector March-quarter production reports, Ord Minnett feels gold prices have bottomed in the short term. The broker upgrades near-term prices by US$50 to US$1,750/oz, and earnings forecasts increase by 1–7%.

Separately, Ord Minnett's earnings forecasts for OceanaGold have improved marginally due to lower costs, in the wake of the first quarter production report. The Hold rating is maintained and the target price increases to $2 from $1.90.

The company retained production guidance of 340,000–380,000oz, with the Waihi mine restarting.

Target price is $2.00 Current Price is $2.14 Difference: minus $0.14 (current price is over target).
If OGC meets the Ord Minnett target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.25, suggesting upside of 2.3% (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: 0.0

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

Macquarie rates PMV as Outperform (1) -

Premier Investments will repay -$15.6m in JobKeeper benefits that were received in the first half. Increased trading outcomes have offset the costs of recent lockdowns in Queensland and Western Australia. Hence, the funds received are not required to support labour costs.

Macquarie upgrades estimates for retail earnings by 3.2%. Underlying trading is exceeding expectations and the company remains confident in its ability to meet current consensus forecasts. Outperform rating and $31 target maintained.

Target price is $31.00 Current Price is $25.96 Difference: $5.04
If PMV meets the Macquarie target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $26.26, suggesting downside of -0.2% (ex-dividends)

The company's fiscal year ends in July.

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 PNI as Outperform (1) -

Funds under management were up 8.9% in the March quarter and over $80bn as of April. The company has signalled momentum is robust with mandates crystallising and accelerating throughout FY21.

Activity remains elevated in private credit, specially fixed income, Australian equities, global equities and global real estate.

Macquarie assesses the main risk to its target, raised to $11.37 from $10.11, is a moderation in flows. Outperform retained.

Target price is $11.37 Current Price is $10.40 Difference: $0.97
If PNI meets the Macquarie target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $11.67, suggesting upside of 9.3% (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

Morgans rates PNI as Add (1) -

Morgans highlights third quarter net inflows of $3.9bn were very strong. Funds under management (FUM) of $76.8bn were up around 9% over three months. Increased debt facility headroom provides capital flexibility and an acquisition is considered likely in 2021.

The broker sees structural growth embedded in the business, via the maturing profile of existing affiliates and investment strategies, and future optionality from adding new affiliates. Morgans retains an Add rating and increases the target price to $11.14 from $9.40.

Target price is $11.14 Current Price is $10.40 Difference: $0.74
If PNI meets the Morgans target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $11.67, suggesting upside of 9.3% (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

Ord Minnett rates PNI as Buy (1) -

The third quarter update was in-line with Ord Minnett's top-of-the-market forecasts and showed very strong momentum in institutional flows. It's considered further acquisitions may not be far away as the debt facility has been increased by $70m.

The group reported funds under management (FUM) of $76.8bn at 31 March, up 8.9% from the $70.5bn at December 2020 and in-line with the broker's $76.0bn forecast.

Group net flows of $3.9bn showed solid progress in retail ($1.1bn), with a very strong institutional performance of $2.8bn, details the analyst. The Buy rating is maintained and the target increased to $12.50 from $12.

Target price is $12.50 Current Price is $10.40 Difference: $2.1
If PNI meets the Ord Minnett target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $11.67, suggesting upside of 9.3% (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

Ord Minnett rates SBM as Buy (1) -

Despite generally rising costs and underwhelming gold sector March-quarter production reports, Ord Minnett feels gold prices have bottomed in the short term. The broker upgrades near-term prices by US$50 to US$1,750/oz, and earnings forecasts increase by 1–7%.

The Buy rating for St Barbara is maintained and the target price rises to $2.80 from $2.70. 

Target price is $2.80 Current Price is $1.81 Difference: $0.99
If SBM meets the Ord Minnett target it will return approximately 55% (excluding dividends, fees and charges).

Current consensus price target is $2.58, suggesting upside of 36.5% (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 SHL as Overweight (1) -

Morgan Stanley moderates expectations for US coronavirus test benefits after the first quarter results from US peers. Still, FY21 and FY22 earnings should benefit from ongoing testing and a recovery in base business volumes.

For now the broker assumes testing ends in December and there will be minimal contribution from US serology testing in 2022.

The broker highlights management continues to express intentions to grow via acquisitions, flagged as the reason for a conservative first half dividend.

Overweight rating maintained. Target is reduced to $38.60 from $39.80. Industry view: In-line.

Target price is $38.60 Current Price is $35.73 Difference: $2.87
If SHL meets the Morgan Stanley target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $37.30, suggesting upside of 5.0% (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 SKI as Upgrade to Add from Hold (1) -

After an improved regulated revenue outcome, Morgans lifts the rating to Add from Hold and increases the target price to $2.30 from $2.17

The Australian Energy Regulator (AER) has allowed for an -8% reduction in revenue in the first regulatory year, and effectively flat across the following four years. The analyst estimates a potential 12 month total shareholder return of circa 12%.

Target price is $2.30 Current Price is $2.18 Difference: $0.12
If SKI meets the Morgans target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $2.29, suggesting upside of 3.8% (ex-dividends)

The company's fiscal year ends in December.

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

UBS rates SKI as Neutral (3) -

On April 30, the Australian Energy Regulator (AER) gave its final verdict on CitiPower and Powercor electricity distribution networks (collectively called Victoria Power Networks or VPN).

Recall Spark Infrastructure Group has a 49% interest in VPN, which is also the group's largest asset holding and contributes 50% of the group's operating income.

The decision on both CitiPower and Powercor were in line with UBS's forecasts with total allowed revenues of $1,487m and $3,455m for the period between 2021-26.

The total allowed opex was positive for both networks, notes the broker, with the AER allowing a 19% lift over the period relative to that incurred over the current 2016-20 regulatory period. Powercor received $1,422m in allowed opex, a 24% rise over 2016-20.

Neutral rating with a target of $2.15.

Target price is $2.15 Current Price is $2.18 Difference: minus $0.03 (current price is over target).
If SKI 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 $2.29, suggesting upside of 3.8% (ex-dividends)

The company's fiscal year ends in December.

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 SSR as Buy (1) -

Despite generally rising costs and underwhelming gold sector March-quarter production reports, Ord Minnett feels gold prices have bottomed in the short term. The broker upgrades near-term prices by US$50 to US$1,750/oz, and earnings forecasts increase by 1–7%.

SSR Mining is among Ord Minnett's key preferences.The Buy rating is maintained and the target price falls to $26 from $30.

Target price is $26.00 Current Price is $20.45 Difference: $5.55
If SSR meets the Ord Minnett target it will return approximately 27% (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

Credit Suisse rates SWM as Outperform (1) -

Seven West Media has indicated TV advertising revenue for the March quarter grew at the upper end of the guidance range of 7-10%. Net debt guidance is $270-280m by the end of FY21, better than Credit Suisse had anticipated.

No guidance was provided for the fourth quarter but Credit Suisse notes the company will be cycling easy comparables.

Operating forecasts for FY21 are unchanged with growth of 20% expected in second half metro TV advertising and the Seven Network is forecast to deliver a 37.4% share. Outperform retained. Target rises to $0.80 from $0.70.

Target price is $0.80 Current Price is $0.46 Difference: $0.34
If SWM meets the Credit Suisse target it will return approximately 74% (excluding dividends, fees and charges).

Current consensus price target is $0.67, suggesting upside of 39.1% (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 SWM as Accumulate (2) -

Ord Minnett raises the target price to $0.65 from $0.55, given the view that the market has not yet ascribed any benefits from deals with Facebook or Google. The analyst has attributed $63m in revenues to Seven West Media from the digital deals.

The broker is positive on traditional media, which is accelerating growth via digital news content delivery, subscriber growth and premium content (plus display advertising). The Accumulate rating is retained.

Target price is $0.65 Current Price is $0.46 Difference: $0.19
If SWM meets the Ord Minnett target it will return approximately 41% (excluding dividends, fees and charges).

Current consensus price target is $0.67, suggesting upside of 39.1% (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) -

Macquarie found the investor briefing more about the strategic direction than the financials. There are a significant number of major projects and the agenda is likely to expand as governments deal with congestion.

Possibilities in this regard include Beach Link in NSW, North Eastern in Victoria and, if the 2032 Olympic bid is successful, Brisbane. Brisbane is considered an opportunity for a precursor to road charging as the policy debate shifts to road taxes from fuel taxes.

Outperform rating. Target is $14.51.

Target price is $14.51 Current Price is $14.03 Difference: $0.48
If TCL meets the Macquarie target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $14.23, suggesting upside of 1.6% (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 TCL as No Rating (-1) -

Morgan Stanley re-bases traffic data after the investor briefing and believes a recovery is underway. The broker's review of March quarter traffic for the larger NSW roads continues to show mean reversion.

While seeking any hint of structural changes from increased working from home the broker finds no noticeable impact. The broker continues to envisage an offset in mix of public transit diversion, a toll road tailwind, compared with working from home.

Morgan Stanley is under research restriction and cannot provide a rating or target. Industry view: Cautious.

Current Price is $14.03. Target price not assessed.

Current consensus price target is $14.23, suggesting upside of 1.6% (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

Morgans rates TCL as Hold (3) -

At a virtual investor day, management was bullish that traffic is reverting to trend. Brisbane and Sydney have seen volumes at pre-covid levels. The company's traffic forecasters believe there has been no long-term fundamental change arising from the pandemic.

Morgans thinks the share price appropriately reflects the risk/return balance. Hold rating retained and the target price is increased to $13.88 from $13.86.

Target price is $13.88 Current Price is $14.03 Difference: minus $0.15 (current price is over target).
If TCL meets the Morgans target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $14.23, suggesting upside of 1.6% (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 TCL as Buy (1) -

After a virtual investor day, Ord Minnett now expects recovering traffic growth, and accretion from road widenings and expansions to drive strong free cash flow (FCF) and dividend growth.

Management said Sydney and Brisbane traffic has recovered to pre-covid levels, while Melbourne traffic continues to improve. North America is lagging due to restrictions though these are now easing.

The recent sale of a stake in Transurban Group's US assets shows the broker very strong global demand for long duration stable cash flow assets such as toll roads. The Buy rating and $16 target are retained.
 

Target price is $16.00 Current Price is $14.03 Difference: $1.97
If TCL meets the Ord Minnett target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $14.23, suggesting upside of 1.6% (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 TYR as Buy (1) -

Ord Minnett assesses a strong finish to April with year-to-date comparable numbers up 20% on the same period last year. Over April, total transaction value (TTV) rose 147% on a covid-19-affected previous period, and weekly volumes have consistently exceeded $0.5bn.

The company continues to benefit from the full reopening of domestic small businesses, particularly in the hospitality sector, explains the broker. On the current run-rate, the analyst's FY21 TTV forecast of $25.5bn looks like being met. Buy rating and $4.50 target are retained.

Target price is $4.50 Current Price is $3.67 Difference: $0.83
If TYR meets the Ord Minnett target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $3.88, suggesting upside of 8.5% (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

Citi rates WBC as Buy (1) -

Citi highlights Westpac Bank's first-half result was received positively by the market. Core earnings estimates for the near term have been upgraded from a better than expected net interest margin and from lower costs over the medium term.

The bank's target for a FY24 cost base of $8bn was better than anticipated and Citi sees a differentiated investment thesis based on costs against a sector-wide asset quality story.

Buy with the target rising to $29.50 from $29. 

Target price is $29.50 Current Price is $26.23 Difference: $3.27
If WBC meets the Citi target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $27.85, suggesting upside of 7.2% (ex-dividends)

The company's fiscal year ends in September.

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

Credit Suisse rates WBC as Outperform (1) -

Credit Suisse upgrades earnings estimates by 2-7% incorporating lower expenses and a higher net interest margin. The broker reduces the pay-out ratio to 65% from 70% and increases the buyback assumptions to $6bn.

The main number that excited the broker in the first half result was the cost base target of $8bn. On its estimates, Credit Suisse calculates a -15-20% reduction in core expenses would be the biggest in Australian banking history.

The broker observes the market has been calling for a meaningful cost reduction program at Westpac for more than a decade and whether or not the headline numbers pan out to the extent the bank has indicated is irrelevant, as any reduction is positive news.

Outperform rating. Target raised to $28.00 from $25.50.

Target price is $28.00 Current Price is $26.23 Difference: $1.77
If WBC meets the Credit Suisse target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $27.85, suggesting upside of 7.2% (ex-dividends)

The company's fiscal year ends in September.

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

Morgan Stanley rates WBC as Overweight (1) -

First half results produced a better performance in the franchise and Morgan Stanley finds the cost reduction strategy credible, albeit the cost base target of $8bn is lower than the $8.5bn target it was anticipating.

Furthermore, strong capital and provisions provide potential for a recovery in earnings per share and returns. The broker is also encouraged by mortgage trends.

The new pay-out range of 60-65% is lower than Morgan Stanley's expectations of 65-70% but this is still likely to allow organic capital generation and mean the dividend can increase to $1.60 in FY24.

Overweight rating. Target is raised to $29.20 from $28.00. Industry view: In-line.

Target price is $29.20 Current Price is $26.23 Difference: $2.97
If WBC meets the Morgan Stanley target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $27.85, suggesting upside of 7.2% (ex-dividends)

The company's fiscal year ends in September.

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

Morgans rates WBC as Add (1) -

While first half cash profit (NPAT) was -2% less than Morgans forecast, it was around 9% higher than consensus. It's considered a high quality result, given the high level of conservatism reflected in the credit loss provisioning.

The broker views the cost reduction program as very exciting, and continues to see cash EPS upside for the major banks sector from absolute cost reduction over the medium term. The Add rating is maintained and the target price is increased to $29.50 from $28.50.

The bad debt provision outcome and net interest margin outcome are both notably better than consensus expectations, explains Morgans. The fully franked interim dividend of 58cps was lower than the broker's expectation of 70cps.

Target price is $29.50 Current Price is $26.23 Difference: $3.27
If WBC meets the Morgans target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $27.85, suggesting upside of 7.2% (ex-dividends)

The company's fiscal year ends in September.

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 WBC as Hold (3) -

Westpac Bank reported a first half cash net profit of $3,537m versus Ord Minnett’s $3,487m forecast, in a largely in-line result. A fully franked interim dividend of 58c per share was declared, below the broker's 60c estimate.

The highlight, according to the broker, was the $8bn cost base target for FY24. Given annualised costs, excluding specialist businesses of $9.7bn in the first half, this implies to the broker an unprecedented -17% net reduction in the starting cost base over three years.

The analyst feels it is unusual for a business whose customer metrics are so weak, and deteriorating, to embark on such bold cost saving. Nonetheless, Ord Minnett gives the bank credit for most of its plan. The target is increased to $27.50 from $25.30. Hold rating.

Target price is $27.50 Current Price is $26.23 Difference: $1.27
If WBC meets the Ord Minnett target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $27.85, suggesting upside of 7.2% (ex-dividends)

The company's fiscal year ends in September.

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

Citi rates WTC as Neutral (3) -

Citi's analysis of the recent results of WiseTech Global’s customers hints at a favourable demand backdrop that is expected to support WiseTech’s near-term growth. The broker also sees the potential for strong profit growth of third party logistics to support overall IT spend.

FY21 guidance appears conservative to Citi. Even so, the broker retains its Neutral rating with the target rising to $30.90 from $28.

Target price is $30.90 Current Price is $30.78 Difference: $0.12
If WTC meets the Citi target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $32.98, suggesting upside of 10.0% (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