Australian Broker Call

Morgan Stanley rates 29M as Upgrade to Overweight from Equal-weight (1) -

Morgan Stanley updates its modelling to allow for higher 2024 copper prices and 2025 gold prices,, as well as a lower Australian dollar over 2023-24.

The broker upgrades 29Metals to Overweight from Equal-weight based on valuation and because balance-sheet concerns are being resolved through the entitlement offer amid potential for a faster-than-expected re-start at Capricorn Copper.

Target is raised to $0.85 from $0.75. Industry view: Attractive.

Target price is $0.85 Current Price is $0.65 Difference: $0.2
If 29M meets the Morgan Stanley target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $0.79, suggesting upside of 11.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.3

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

Bell Potter rates 360 as Buy (1) -

Bell Potter observes the third quarter is traditionally the strongest for Life360 amid a return to school in the northern hemisphere.

The highlight of the upcoming quarter could be net growth in paying circles returning to around the 100,000 level, which would be an achievement considering the average price rise for existing and legacy subscribers in the US was around 50%, for iOS users in the fourth quarter of 2022, and for android users in the second quarter 2023.

The broker makes no changes to forecasts, continuing to expect 2023 revenue and adjusted EBITDA of US$310.8m and US$13.9m, respectively. Buy rating retained. Target rises to $11.00 from $10.50.

Target price is $11.00 Current Price is $8.62 Difference: $2.38
If 360 meets the Bell Potter target it will return approximately 28% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

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 BHP as Equal-weight (3) -

Morgan Stanley observes iron ore prices have rallied on hopes of softer implementation of steel production reductions. From a fundamental view, the broker's expectations of a longer tail for prices appears to be materialising, with 2024 forecasts revised up 27% to US$105/t.

The broker upgrades FY24-25 estimates for BHP Group  because of higher copper and iron ore price forecasts.  Target is raised to $43.90 from $43.10. Equal-weight. Industry view is Attractive.

Target price is $43.90 Current Price is $44.64 Difference: minus $0.74 (current price is over target).
If BHP meets the Morgan Stanley target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $43.57, suggesting downside of -1.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.0

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

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

Ord Minnett/Morningstar have somehow lost the incentive to report a downgrade as a downgrade. Today's Lighten rating compares with Hold in late August. Valuation has remained at $39.50.

Commentary suggests commodity prices have stabilised this quarter on expectations of successful China stimulus. On the other hand, the mining sector feels the need to ramp up investments, including exploration expenditure.

The following statement tells the story: "Excluding impairments, we forecast midcycle returns slightly above our estimated cost of capital". No changes are made to forecasts.

Target price is $39.50 Current Price is $44.64 Difference: minus $5.14 (current price is over target).
If BHP meets the Ord Minnett target it will return approximately minus 12% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $43.57, suggesting downside of -1.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.0

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

Bell Potter rates CRD as Speculative Buy (1) -

Conrad Asia Energy has signed a term sheet with Sembcorp Industries for negotiating a binding gas sales agreement for the Mako gas project by the end of 2023. Sembcorp is a Singapore government backed entity.

Total sales volumes from Mako are expected to be up to 392Bcf and gas sales will be priced as a percentage of prevailing Brent crude oil prices

 Bell Potter envisages multiple catalysts for the company as it de-risks the project and retains a Speculative Buy rating, reducing the target to $2.30 from $2.40.

Target price is $2.30 Current Price is $1.38 Difference: $0.92
If CRD meets the Bell Potter target it will return approximately 67% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

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 CWY as Outperform (1) -

Macquarie observes Cleanaway Waste Management is overcoming recent issues related to labour markets and its health business. The company is targeting EBIT of $500m and EPS growth of 22% compounded by FY26.

The broker assesses the operating environment is improving and continues to like the longer-term outlook as profitability recovers, given the company's competitive position.

Macquarie highlights the valuation discount that has opened up relative to US peers and retains a $3 target and Outperform rating.

Target price is $3.00 Current Price is $2.51 Difference: $0.49
If CWY meets the Macquarie target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $2.74, suggesting upside of 10.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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

Bell Potter rates CYC as Speculative Buy (1) -

Cyclopharm "is on the cusp of greatness", in Bell Potter's view, with the impending decision from the US FDA on Technegas.

The initial addressable market for Technegas is estimated at 600,000 examinations annually with the company expected to reach 80% market penetration by year five or 2028.

The anticipated rapid entry into the US is likely to require significant working capital and Bell Potter highlights its earnings modeling does not include a further capital raising at this point. Speculative Buy rating retained. Target rises to $3.25 from $3.00.

Target price is $3.25 Current Price is $2.49 Difference: $0.76
If CYC meets the Bell Potter target it will return approximately 31% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 1.0

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

Morgan Stanley rates DRR as Upgrade to Overweight from Equal-weight (1) -

Morgan Stanley observes iron ore prices have rallied on hopes of softer implementation of steel production reductions. From a fundamental view, the broker's expectations of a longer tail for prices appears to be materialising, with 2024 forecasts revised up 27% to US$105/t.

Morgan Stanley envisages value upside for Deterra Royalties and upgrades to Overweight from Equal-weight. Target is raised to $5.50 from $4.60. Industry View: Attractive.

Target price is $5.50 Current Price is $4.82 Difference: $0.68
If DRR meets the Morgan Stanley target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $4.56, suggesting downside of -7.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Ord Minnett rates DRR as Lighten (4) -

Deterra Royalties has kept its Lighten rating and $3.90 valuation as Ord Minnett/Morningstar analysts have updated their projections and thoughts on the mining sector.

Key statement: "Over the long term, China's economy is likely to transition to a more consumption-based economy as opposed to investment-based one, which is a headwind for commodity demand".

No changes have been made to forecasts.

Target price is $3.90 Current Price is $4.82 Difference: minus $0.92 (current price is over target).
If DRR meets the Ord Minnett target it will return approximately minus 19% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.56, suggesting downside of -7.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Citi rates FLT as Buy (1) -

As International airline capacity and more complex trips are returning as the last leg of the post 2020 pandemic recovery, Citi  analysts suggest Flight Centre Travel looks like a logical next recovery play.

Citi can see a pathway to an 18-24 month upgrade cycle for the company, which should bode well for earnings and the share price.

Buy rating retained. The upcoming AGM might well become a positive catalyst, the analysts suggest.

Target price is $25.85 Current Price is $19.70 Difference: $6.15
If FLT meets the Citi target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $25.25, suggesting upside of 29.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Morgan Stanley rates FMG as Underweight (5) -

Morgan Stanley observes iron ore prices have rallied on hopes of softer implementation of steel production reductions. From a fundamental view, the broker's expectations of a longer tail for prices appears to be materialising, with 2024 forecasts revised up 27% to US$105/t.

The higher iron ore price forecasts for FY24-25 drive the broker's estimates for Fortescue Metals higher. Underweight maintained. Target is raised to $16.30 from $15.35. Industry View: Attractive.

Target price is $16.30 Current Price is $20.61 Difference: minus $4.31 (current price is over target).
If FMG meets the Morgan Stanley target it will return approximately minus 21% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $16.12, suggesting downside of -21.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: -1.0

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

Ord Minnett rates FMG as Lighten (4) -

Fortescue Metals has kept its Lighten rating and $15 valuation as Ord Minnett/Morningstar analysts have updated their projections and thoughts on the mining sector.

Key statement: "Over the long term, China's economy is likely to transition to a more consumption-based economy as opposed to investment-based one, which is a headwind for commodity demand".

No changes have been made to forecasts.

Target price is $15.00 Current Price is $20.61 Difference: minus $5.61 (current price is over target).
If FMG meets the Ord Minnett target it will return approximately minus 27% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $16.12, suggesting downside of -21.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: -1.0

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

Morgan Stanley rates IGO as Downgrade to Underweight from Equal-weight (5) -

Morgan Stanley notes battery material inventories are high and suspects this could cause weaker demand for battery materials into 2024. The broker envisages pressure on lithium and nickel prices.

Morgan Stanley updates its modelling for IGO, adjusting forecasts in line with company guidance. Lower spodumene prices are now forecast for FY24 while higher lithium price forecasts for FY25 drive estimates higher for that year.

Given the valuation gap between the current price and the broker's base case the rating is downgraded to Underweight from Equal-weight. Target is reduced to $11.60 from $13.40. Industry view: Attractive.

Target price is $11.60 Current Price is $12.64 Difference: minus $1.04 (current price is over target).
If IGO meets the Morgan Stanley target it will return approximately minus 8% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $15.00, suggesting upside of 24.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.3

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

Ord Minnett rates ILU as Accumulate (2) -

Iluka Resources has kept its Accumulate rating and $10.50 fair value estimate as Ord Minnett/Morningstar analysts have updated their projections and thoughts on the mining sector.

Key statement: "Over the long term, China's economy is likely to transition to a more consumption-based economy as opposed to investment-based one, which is a headwind for commodity demand".

Dividend estimates in particular appear to have been lowered.

Target price is $10.50 Current Price is $7.93 Difference: $2.57
If ILU meets the Ord Minnett target it will return approximately 32% (excluding dividends, fees and charges).

Current consensus price target is $9.79, suggesting upside of 25.8% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.1

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

Macquarie rates KMD as Neutral (3) -

FY23 earnings grew 15% although they missed Macquarie's estimates. A moderation occurred in the second half with sales and EBITDA down -3% and -26%, respectively.

The broker observes KMD Brands will still battle tough comparables for the balance of 2023 in the current climate, amid ongoing uncertainty regarding consumer confidence and hitting margin targets.

As a result Macquarie sets the price target to $0.70 from $0.90 and retains a Neutral rating.

Target price is $0.70 Current Price is $0.74 Difference: minus $0.035 (current price is over target).
If KMD meets the Macquarie target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $0.80, suggesting upside of 5.3% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.3

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

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

Morgan Stanley observes the FY23 result from KMD Brands was in line with previous guidance. The broker expects the market to remain cautious as soft trading continues into the first half of FY24.

Sales were up 13% and gross margins up 20 percentage points to 59.1% in FY23. Rip Curl sales were up 8% and Kathmandu sales up 11% with Oboz sales up 62%. All short-medium-term targets were reiterated.

Equal-weight rating and $0.90 target maintained. Industry view is In-Line.

Target price is $0.90 Current Price is $0.74 Difference: $0.165
If KMD meets the Morgan Stanley target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $0.80, suggesting upside of 5.3% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.3

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

Macquarie rates MVF as Outperform (1) -

Medicare statistics for August show total cycles grew 20.3%. Over the medium term Macquarie expects reproductive carrier screening will support significant incremental IVF volume as it is added to the Medical Benefits Scheme from November.

The broker forecasts a further 140 basis points of market share gains in FY24, underpinned by acquisitions and specialist recruitment. Outperform retained. Target is $1.40.

Target price is $1.40 Current Price is $1.30 Difference: $0.105
If MVF meets the Macquarie target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $1.35, suggesting upside of 6.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Ord Minnett rates NCM as Accumulate (2) -

Newcrest Mining has kept its Accumulate rating and $33 fair value estimation as Ord Minnett/Morningstar analysts updated their projections and thoughts on the mining sector.

The broker suggests concerns over interest rates are holding back the price of gold, and in extension share prices in gold producers which are deemed significantly undervalued.

No changes have been made to forecasts.

Target price is $33.00 Current Price is $26.70 Difference: $6.3
If NCM meets the Ord Minnett target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $28.08, suggesting upside of 4.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.1

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

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

Today's Hold rating compares with Accumulate in early June. Ord Minnett/Morningstar have lost the habit of reporting downgrades as downgrades.

New Hope's FY23 performance is labeled as "strong" as higher pricing for thermal coal offset declining production volumes due to wet weather. The broker highlights El Nino should prove a better operational environment.

It is the broker's view New Hope should continue to enjoy elevated pricing for its coal volumes, with thermal coal pricing forecast to average US$170/tonne in FY24, and US$150/t between FY25-FY27. Fair value: $6.10.

Forecasts have been lowered on a slower ramp up for New Acland stage three.

Target price is $6.10 Current Price is $6.15 Difference: minus $0.05 (current price is over target).
If NHC meets the Ord Minnett target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $5.28, suggesting downside of -13.1% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: -0.5

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

Morgan Stanley rates RIO as Overweight (1) -

Morgan Stanley observes iron ore prices have rallied on hopes of softer implementation of steel production reductions. From a fundamental view, the broker's expectations of a longer tail for prices appears to be materialising, with 2024 forecasts revised up 27% to US$105/t.

Higher iron ore and copper price forecasts for 2024-26 result in an increase in the broker's estimates over 2023-26 for Rio Tinto. Target is raised to $135.00 from $122.50. Overweight maintained. Industry View: Attractive.

Target price is $135.00 Current Price is $117.03 Difference: $17.97
If RIO meets the Morgan Stanley target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $116.00, suggesting upside of 0.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

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

Market Sentiment: 0.3

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

Ord Minnett rates RIO as Hold (3) -

Rio Tinto has kept its Hold rating and $107 fair value calculation as Ord Minnett/Morningstar analysts have updated their projections and thoughts on the mining sector.

Key statement: "Over the long term, China's economy is likely to transition to a more consumption-based economy as opposed to investment-based one, which is a headwind for commodity demand".

Here's another one: "Excluding impairments, we forecast midcycle returns slightly above our estimated cost of capital".

No changes have been made to forecasts.

Target price is $107.00 Current Price is $117.03 Difference: minus $10.03 (current price is over target).
If RIO meets the Ord Minnett target it will return approximately minus 9% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $116.00, suggesting upside of 0.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

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

Market Sentiment: 0.3

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

Ord Minnett rates S32 as Upgrade to Accumulate from Hold (2) -

As Ord Minnett/Morningstar analysts have updated their projections and thoughts on the mining sector, South32 is now rated as Accumulate, with an unchanged fair value estimation of 44.10.

Key statement: "Over the long term, China's economy is likely to transition to a more consumption-based economy as opposed to investment-based one, which is a headwind for commodity demand".

No changes have been made to forecasts.

Target price is $4.10 Current Price is $3.33 Difference: $0.77
If S32 meets the Ord Minnett target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $4.19, suggesting upside of 23.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.6

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

Macquarie rates SGM as Neutral (3) -

Sims has sold its 50% share in LMS Energy to Pacific Equity Partners for $272.1m. Macquarie considers this a "solid" outcome but does not alter concerns regarding the state of the macro environment.

The company will allocate the capital to growing its metals business where consolidation potential is envisaged in the US. The broker lifts the target to $14.20 from $13.30 and maintains a Neutral rating.

Target price is $14.20 Current Price is $14.03 Difference: $0.17
If SGM meets the Macquarie target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $13.75, suggesting upside of 0.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: -0.3

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

Citi rates SIG as Neutral (3) -

Adjusted for one-off items, including the sale of the Hospital business for $8.7m, Citi analysts believe Sigma Healthcare's interim performance was in line with forecasts, though sales revenues "missed" by some -3%.

Management has reaffirmed EBIT guidance of $26-31m, with no impact anticipated from 60 days dispensing, and with an EBIT margin mid-term target of 1.5-2.5%.

The Chemist Warehouse contract, beginning on 1 July 2024, requires an -$150m investment in working capital, according to management's estimate. Citi doesn't think this requires a capital raising.

Forecasts are now incorporating lower sales and thinner margins. Neutral. Target $0.80.

Target price is $0.80 Current Price is $0.76 Difference: $0.045
If SIG meets the Citi target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $0.82, suggesting upside of 8.4% (ex-dividends)

The company's fiscal year ends in January.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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

Macquarie rates SIG as Neutral (3) -

Sigma Healthcare has stabilised its business over the past year, Macquarie asserts, addressing significant operating issues.

The broker revises earnings forecasts for FY24 and FY25 down -29.0% and up 21.6%, respectively, given the moving forward of the Chemist Warehouse contract acquisition costs to non-recurring items.

Revenue headwinds are expected over the next year, affected by the cycling of covid-related sales and sales associated with the hospital assets, now disposed. Neutral retained. Target is $0.82.

Target price is $0.82 Current Price is $0.76 Difference: $0.065
If SIG meets the Macquarie target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $0.82, suggesting upside of 8.4% (ex-dividends)

The company's fiscal year ends in January.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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

Shaw and Partners rates SIG as Buy (1) -

First half net profit was broadly in line with the estimates from Shaw and Partners. Sigma Healthcare has reiterated FY24 EBIT guidance of $26-31m.

The broker observes the business is on track to achieve an EBIT margin in the range of 1.5-2.5% as the new Chemist Warehouse contract commences on July 1, 2024.

This contract will require between -$150-200m in additional inventory, on the broker's estimates, largely expected to be funded by debt. Shaw and Partners retains a Buy rating and $0.90 target.

Target price is $0.90 Current Price is $0.76 Difference: $0.145
If SIG meets the Shaw and Partners target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $0.82, suggesting upside of 8.4% (ex-dividends)

The company's fiscal year ends in January.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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

Ord Minnett rates SQ2 as Accumulate (2) -

Ord Minnett/Morningstar has been disappointed with the scalability of Block's business, which continues to operate at lower-than-forecast margins, despite management making large investments in recent years.

The broker has now pared back its margin assumptions, and this has an impact on the fair value calculation, which has shifted to $83 from $98 at Morningstar. Ord Minnett has lowered its price target to $128 from $147 in early August.

The fact that CEO Jack Dorsey is now also the head of Square is not seen as "optimal". The broker is hoping this is only a temporary situation. Accumulate.

Target price is $128.00 Current Price is $76.92 Difference: $51.08
If SQ2 meets the Ord Minnett target it will return approximately 66% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

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

Market Sentiment: 0.8

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

Morgan Stanley rates WHC as Overweight (1) -

Morgan Stanley updates its modelling to account for higher thermal coal price forecasts, supported by Chinese imports, for FY24-25 and a lower FY23-24 Australian dollar.

Taking into account the latest production and cost guidance from Whitehaven Coal the broker's earnings estimates increase while the base case value decreases largely because of higher royalties.

Overweight maintained. Target is reduced to $7.75 from $8.20. Industry view: Attractive.

Target price is $7.75 Current Price is $6.69 Difference: $1.06
If WHC meets the Morgan Stanley target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $7.06, suggesting upside of 5.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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