Australian Broker Call

Shaw and Partners rates 5GG as Buy (1) -

Shaw and Partners spotted a solid September quarter trading update from Pentanet, with consolidated revenue up 10% year-on-year and consolidated gross profit up 24% year-on-year.

Operationally, points out the broker, the company is close to achieving breakeven. 

The broker finds Pentanet's management team "highly capable and significantly invested". It believes clear user growth across the wireless telecommunications network and the cloud gaming platform could provide potential for significant earnings upside.

The Buy rating and target price of 20 cents are retained. 

Target price is $0.20 Current Price is $0.08 Difference: $0.124
If 5GG meets the Shaw and Partners target it will return approximately 163% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

UBS rates ABY as Neutral (3) -

Adore Beauty's September-quarter result missed UBS's forecasts as growth progressivley eased over the trading period but the broker still considers it a respectable result, noting it represents a compound annual growth rate of 18% since the September 2020 quarter (pre-covid).

Management retained its earnings (EBITDA) margin target. Neutral rating after returning from No Rating. Target price falls to $1.15 from $1.25.

Target price is $1.15 Current Price is $1.00 Difference: $0.155
If ABY meets the UBS target it will return approximately 16% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

UBS rates AMC as Neutral (3) -

UBS expects Amcor's impending September-quarter result will meet consensus forecasts, and notes the market will be keeping a keen eye to volumes and customer destocking trends.

The broker is seeking news on the company's buyback.

Overall, fast moving consumer goods trends suggest continued weakness in volumes, says the broker, but UBS expects guidance will be retained.

Investors are unlikely to be inspired, observes UBS.

Neutral rating and $15.50 target price retained.

Target price is $15.50 Current Price is $13.63 Difference: $1.87
If AMC meets the UBS target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $15.41, suggesting upside of 11.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.1

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

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

Sociedad Quimica y Minera de Chile SA (SQM) has made a takeover bid for Azure Minerals, with the former proposing a scheme of arrangement at $3.52 per share, or an off-market takeover at $3.50 per share should the scheme prove unsuccessful. 

Bell Potter points out the announcement lacked detail on the intentions of Yandal Investments, which owns 13.2% of Azure Minerals and 40% of the Andover lithium project. Bell Potter assumes Yandal Investments is not in support of the scheme at this time. 

The rating is downgraded to Hold from Buy and the target price decreases to $4.85 from $4.90.

Target price is $4.85 Current Price is $3.50 Difference: $1.35
If AZS meets the Bell Potter target it will return approximately 39% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Shaw and Partners rates BKT as Buy (1) -

Black Rock Mining has continued to make progress on funding through the September quarter, and has announced a non-binding memorandum of understanding with steel-making company POSCO for offtake. 

As per the terms of the understanding, POSCO will make a US$40m investment in Black Rock Mining, equating to a 19.99% equity stake, towards the construction of Mahenge Module 1.

The Buy rating and target price of 46 cents are retained.

Target price is $0.46 Current Price is $0.11 Difference: $0.35
If BKT meets the Shaw and Partners target it will return approximately 318% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Morgans rates CHL as Add (1) -

Morgans suggests Camplify Holdings' 1Q trading update shows underlying business momentum, in a traditionally subdued quarter.

The company achieved positive operating cash flow and group gross transaction value (GTV) increased by 107% on the previous corresponding period, though fell by -8% on the prior quarter.

Forward bookings growth also indicates a strong upcoming summer period in the Southern Hemisphere, in the analyst's view.

The Add rating is maintained and the target falls to $2.85 from $2.90, impacted by an increase in the broker's assumed risk-free rate to 4.2% from 3.6%.

Target price is $2.85 Current Price is $2.01 Difference: $0.84
If CHL meets the Morgans target it will return approximately 42% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Ord Minnett rates COG as Buy (1) -

On October 13, COG Financial Services announced its intention to acquire 100% of Diverger ((DVR)) for $1.41 per share. The offer is comprised of $0.679 in cash per Diverger share and $0.731 in shares of COG Financial Services.

Diverger targets customers across the wealth management, financial planning and accounting sectors.

Ord Minnett notes the proposed transaction includes a materially higher cash component than the competing bid from Count Ltd ((CUP)).

No synergy or EPS accretion targets have been provided at this stage.

Ord Minnett's Buy rating and $1.88 target are unchanged.

Target price is $1.88 Current Price is $1.29 Difference: $0.595
If COG meets the Ord Minnett target it will return approximately 46% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Macquarie rates COH as Underperform (5) -

Management at Cochlear's investor day highlighted uptake of Cochlear implants is high for children in developed markets, due to an established standard of care, yet penetration in adult markets is comparatively low.

For the adult markets, the key to increasing uptake, according to the company, will be both clinical evidence (such as the recent Achieve study) and establishing standards of care.

The Underperform rating is kept by Macquarie on valuation and the $215 target is also unchanged. There is greater investment appeal in CSL ((CSL)) and ResMed ((RMD)) suggests the broker.

Target price is $215.00 Current Price is $242.04 Difference: minus $27.04 (current price is over target).
If COH meets the Macquarie target it will return approximately minus 11% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $237.40, suggesting downside of -1.4% (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

Morgans rates CRN as Add (1) -

Morgans was disappointed by Coronado Global Resources' 3Q production report showing misses for both cash flow and implied earnings (EBITDA) against the broker's forecasts.

Revenue exceeded Morgans forecast on higher-than-expected sales and prices, yet  earnings were weighed down by prioritising catch-up pre-stripping at Curragh, which was fully expensed.

While already known, the size and complexity at the Curragh operations elevates Coronado's operating risks relative to peers, suggests the analyst. However, the Add rating is kept and good upside leverage to the coking coal market is noted.

The target slips to $2.00 from $2.10.

Target price is $2.00 Current Price is $1.76 Difference: $0.24
If CRN meets the Morgans target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $2.04, suggesting upside of 17.9% (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: 0.9

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

Bell Potter rates CXL as Buy (1) -

Calix's subsidiary Leilac has entered into a binding and perpetual global licence agreement and a collaboration agreement with Heirloom Carbon Technologies in what Bell Potter has described as critical milestone for the company's direct air capture operations. 

The agreement covers the exclusive use of Leilac's propriety calciner technology at future Heirloom facilities, but Bell Potter highlights also provides third party validation of Leilac's technology from a credible leader in the space, and formalises a royalty framework for its use.

The Buy rating is retained and the target price decreases to $7.25 from $8.30.

Target price is $7.25 Current Price is $2.49 Difference: $4.76
If CXL meets the Bell Potter target it will return approximately 191% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Shaw and Partners rates CXL as Buy (1) -

Calix's subsidiary Leilac and Heirloom Carbon Technologies have entered into a a binding and perpetual global licence agreement, allowing the latter access to Leilac's technology for carbon dioxide removal by direct air capture. 

As per the agreement, Leilac will recieve royalties based on the value of the carbon captured using the technology. Shaw and Partners also notes a collaboration agreement will see Heirloom contribute US$3m towards mutually agreed upon research and development activities. 

The Buy rating and target price of $6.00 are retained.

Target price is $6.00 Current Price is $2.49 Difference: $3.51
If CXL meets the Shaw and Partners target it will return approximately 141% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Macquarie rates EDV as Outperform (1) -

In the wake of 1Q results for Endeavour Group, Macquarie suggests the outlook for the Retail business remains sound over both the near-and medium-term.

For the Hotels division, the analyst notes stronger sales in Food and Beverage were partially offset by a low-single-digit decline in gaming. It's felt risks are rising for the company's gaming operations, with state governments driving reform in the sector.

Due to falling peer multiples, Macquarie lowers its target for Endeavour to $5.80 from $6.40. Outperform.

Target price is $5.80 Current Price is $4.91 Difference: $0.89
If EDV meets the Macquarie target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $5.61, suggesting upside of 12.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.1

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

Morgan Stanley rates EDV as Underweight (5) -

Endeavour Group's trading update revealed sales growth of 2.1% in the Sep Q, tracking below first half consensus expectation of 3.1% growth.

The key takeaway for Morgan Stanley was a category shift towards "value", reflected in demand for mainstream beer, rose and pre-mixed drinks, which are cheaper than boutique beer, white/red wine and bottles of spirits.

Hotel sale remained stable in the quarter, with growth in food and accommodation partly offset by a low single digit decline in gaming.

The update has not changed the broker's investment thesis, and earnings forecasts are revised modestly down. Underweight and $5.60 target retained. Industry view: In-Line.

Target price is $5.60 Current Price is $4.91 Difference: $0.69
If EDV meets the Morgan Stanley target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $5.61, suggesting upside of 12.9% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.1

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

Morgans rates EDV as Hold (3) -

Headwinds are emerging in Retail  and the Hotels sales mix continues to normalise on lower gaming sales, which will have a negative impact on margins, explains Morgans.

The broker forms this view following Endeavour Group's 1Q trading update which revealed misses on sales growth for both divisions. 

Management noted, from early 2Q trading, sales momentum was trending up in Retail and has remained steady in Hotels.

The Hold rating is unchanged and the target falls to $5.15 from $5.71. Apart from weaker sales momentum, Morgans suggests ongoing issues at board level could affect sentiment towards the stock.

Target price is $5.15 Current Price is $4.91 Difference: $0.24
If EDV meets the Morgans target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $5.61, suggesting upside of 12.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.1

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

Ord Minnett rates EDV as Accumulate (2) -

While Ord Minnett observes 1Q results for Endeavour Group revealed soft liquor sales growth, overall results were in line with key competitor Coles Group ((COL)). The Accumulate rating and $6.10 target price are unchanged.

Alcohol shoppers are trading down, notes the broker, and buying mainstream beer in preference to craft beers, though the Dan Murphy's chain is expected to profit from this trend with its lowest liquor price guarantee.

In the Hotels segment, strong demand for food and beverages more than offset weaker gaming turnover, explains the analyst.

In the near-term, the broker expects Retail sales volumes will marginally improve and by FY25 group earnings should recover from a cyclical low.

Target price is $6.10 Current Price is $4.91 Difference: $1.19
If EDV meets the Ord Minnett target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $5.61, suggesting upside of 12.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.1

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

UBS rates EDV as Neutral (3) -

Endeavour Group's September-quarter sales met consensus forecasts and guidance.

Retail sales met consensus forecasts but disappointed UBS while hotels proved a disappointnent all around.

The trading update proved the highligh, management reporting sales during the first six weeks of the December quarter improved and reiterating net interest guidance.

EPS forecasts rise 5.4% in FY24; and fall -2.6% in FY25. Neutral rating retained. Target price falls to $5.40 from $5.75.

Target price is $5.40 Current Price is $4.91 Difference: $0.49
If EDV meets the UBS target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $5.61, suggesting upside of 12.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.1

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

Bell Potter rates EOS as Buy (1) -

A third quarter update from Electro Optic Systems revealed a strong cash flow result, according to Bell Potter, with receipts of $96.9m during the period leaving the company with a cash balance of $46.1m after paying down $26.9m debt. 

It is Bell Potter's belief that the update reflects the company's improving cash collection procedures, and provides early validation of new strategy. The broker retains its forecasts, anticipating a softer final quarter and an in-line full year result. 

The Buy rating and target price of $1.25 are retained.

Target price is $1.25 Current Price is $0.89 Difference: $0.36
If EOS meets the Bell Potter target it will return approximately 40% (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

Ord Minnett rates EQT as Buy (1) -

Despite equity market headwinds, Ord Minnett notes EQT Holdings experienced a "strong start" to FY24 with group funds under management, administration and supervision (FUMAS) rising by 8.1%.

Corporate funds under supervision (FUS) and Superannuation FUS increased increased 5.1% and 17%, respectively, while FUMAS for the Trustee & Wealth Services (TWS) business unit increased by 1.8%.

While the $35 target is unchanged, Ord Minnett notes synergies from the recent AET acquisition are being realised and the organic growth rate of the business is on the improve. Buy.

Target price is $35.00 Current Price is $24.77 Difference: $10.23
If EQT meets the Ord Minnett target it will return approximately 41% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Morgans rates GQG as Add (1) -

Morgans updates forecasts for stockmarket-linked stocks under coverage across the Investment Platforms and Fund Managers sectors. Investment Platforms are preferred for structural growth.

For Investment Platforms, only minor forecast adjustments are required as net inflows have compensated for negative market moves, explain the analysts, while (in some cases) more meaningful downward revisions are required for the Fund Managers.

The investment performance for GQG Partners remains solid across all four core strategies, in the broker's view, and the Add rating is unchanged. The target slips to $1.90 from $2.02 on lower forecasts and an increase in the risk-free rate to 4.2% from 3.6%.

Target price is $1.90 Current Price is $1.31 Difference: $0.59
If GQG meets the Morgans target it will return approximately 45% (excluding dividends, fees and charges).

Current consensus price target is $2.09, suggesting upside of 60.6% (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: 1.0

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

Macquarie rates GWA as Outperform (1) -

Following GWA Group's 1Q trading update, Macquarie lowers its target to $2.20 from $2.30.

This change reflects lower peer valuation multiples, despite the broker's EPS upgrades across FY24-26 due to rising Australian and International sales forecasts, offset by more significant weakness in New Zealand than expected.

The group produced a "solid" update at its AGM, suggests the broker, given the subdued trading environment. The Australian dollar dragged on performance, offset by higher pricing.

The Outperform rating is unchanged.

Target price is $2.20 Current Price is $1.70 Difference: $0.5
If GWA meets the Macquarie target it will return approximately 29% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Morgans rates HUB as Hold (3) -

Morgans updates forecasts for stockmarket-linked stocks under coverage across the Investment Platforms and Fund Managers sectors. Investment Platforms are preferred for structural growth.

For Investment Platforms, only minor forecast adjustments are required as net inflows have compensated for negative market moves, explain the analysts, while (in some cases) more meaningful downward revisions are required for the Fund Managers.

The broker expects Hub24 will retain its market leading position in the Platform sector and looks for a further share price pull back to buy. The Hold rating is retained and the target  slips to $34.55 from $35.10 

Target price is $34.55 Current Price is $30.31 Difference: $4.24
If HUB meets the Morgans target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $35.68, suggesting upside of 18.0% (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

Citi rates IGO as Neutral/High Risk (3) -

As reported in yesterday's Report, Citi analysts have balanced their own forecast of higher lithium pricing in Q1 from likely restocking against the prediction things could get worse first for IGO in the current December quarter.

Within this framework they've decided to downgrade to Neutral from Buy. They also have assigned a High Risk rating. Target $13.

Citi analysts are less sanguine than management about the Greenbushes JV, arguing current issues and uncertainties are most likely highlighting counterparty risk and challenges of working with a partner in a JV.

Target price is $13.00 Current Price is $9.69 Difference: $3.31
If IGO meets the Citi target it will return approximately 34% (excluding dividends, fees and charges).

Current consensus price target is $12.54, suggesting upside of 31.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Macquarie rates IGO as Outperform (1) -

Production of spodumene concentrate at Greenbushes in the 1Q was a 5% beat against Macquarie's forecast on 19% better cash costs than anticipated.

A lower 2Q volume requirement by TLEA, resulting in an around -25% fall in sales for Greenbushes, results in the broker deferring those forecast sales to Q4.

The weaker sales may be due to softer demand from Chinese refineries or the widening of spread between Q2 contract prices and current spot prices, suggests the analyst.

Outperform maintained. Target is reduced to $16 from $18.

Target price is $16.00 Current Price is $9.69 Difference: $6.31
If IGO meets the Macquarie target it will return approximately 65% (excluding dividends, fees and charges).

Current consensus price target is $12.54, suggesting upside of 31.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Morgan Stanley rates IGO as Upgrade to Equal-weight from Underweight (3) -

IGO's Sep Q saw a good performance from Greenbushes (lithium) offset by weak price realisation, a tough period operationally at Nova (nickel) and a miss on production at Forrestania (nickel).

Ramp-up issues also persist at Kwinana (lithium), while the independent review of Cosmos (nickel) will be finalised this quarter.

After watching the significant share price fall yesterday, Morgan Stanley decided most of IGO's headwinds are now priced in and the broker upgrades to Equal-weight from Underweight. Target falls to $9.25 from $11.60. Industry view: Attractive.

Target price is $9.25 Current Price is $9.69 Difference: minus $0.44 (current price is over target).
If IGO 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 $12.54, suggesting upside of 31.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

UBS rates IGO as Buy (1) -

UBS downgrades its lithium price forecasts -10% to -50% out to 2030 after lowering its expectations for electric vehicle demand (which represent 75% of lithium demand) for the period.

The broker is predicting big demand falls in Europe and the US as subsidies fall, discounts on internal combustion cars kick in, consumers tighten their belts and as charging infrastructure lags.

The broker expects the lithium market will move into surplus and remain as such until 2028. The broker cuts global EV sales forecasts -5% to -15% out to 2030. 

Buy rating retained for IGO. Target price falls to $11.90 from $14.10. EPS forecasts falls -24.5% in FY25; -18.1% in FY25; and -18.4% in FY26.

IGO remains the broker's preferred exposure to ASX-listed lithium.

Target price is $11.90 Current Price is $9.69 Difference: $2.21
If IGO meets the UBS target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $12.54, suggesting upside of 31.8% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Ord Minnett rates KAR as Hold (3) -

Karoon Energy's 1Q results showed a 69% increase in production to a record level and beat Ord Minnett's forecast by 2.3mmbls, with the daily average of just under 30,000bbl/day also higher than expected.

Now that the major capex programs of FY23 are over, the broker draws attention to a growing cash balance. The target rises to $2.75 from $2.50. Hold.

Target price is $2.75 Current Price is $2.53 Difference: $0.22
If KAR meets the Ord Minnett target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $3.01, suggesting upside of 19.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.8

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

Morgans rates MFG as Hold (3) -

Morgans updates forecasts for stockmarket-linked stocks under coverage across the Investment Platforms and Fund Managers sectors. Investment Platforms are preferred for structural growth.

For Investment Platforms, only minor forecast adjustments are required as net inflows have compensated for negative market moves, explain the analysts, while (in some cases) more meaningful downward revisions are required for the Fund Managers.

The broker believe earnings at Magellan Financial are still searching for a "base" level and may reach that destination in FY24/25. It's felt acquisitions may be one avenue to rejuvenate growth.

The risk centres around accelerated outflows for the Retail funds under management (FUM) base, in Morgans view. A $9.01 target is set. Hold.

Target price is $9.01 Current Price is $6.40 Difference: $2.61
If MFG meets the Morgans target it will return approximately 41% (excluding dividends, fees and charges).

Current consensus price target is $8.52, suggesting upside of 30.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.1

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

UBS rates MIN as Sell (5) -

UBS downgrades its lithium price forecasts -10% to -50% out to 2030 after lowering its expectations for electric vehicle demand (which represent 75% of lithium demand) for the period.

The broker is predicting big demand falls in Europe and the US as subsidies fall, discounts on internal combustion cars kick in, consumers tighten their belts and as charging infrastructure lags.

The broker expects the lithium market will move into surplus and remain as such until 2028. The broker cuts global EV sales forecasts -5% to -15% out to 2030. 

The broker cuts global EV sales forecasts -5% to -15% out to 2030. EPS forecasts fall -29.2% in FY24; -34% in FY25; and -27.3% in FY26.

Sell rating retained. Target price falls to $51 from $57.

Target price is $51.00 Current Price is $60.20 Difference: minus $9.2 (current price is over target).
If MIN meets the UBS target it will return approximately minus 15% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $74.29, suggesting upside of 28.8% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.4

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

Morgans rates MME as Speculative Buy (1) -

In the wake of MoneyMe's 1Q trading update, Morgans notes both an in-line performance and similar operational trends to the prior quarter.

Gross revenue was broadly flat on the prior quarter, the gross loan book remained stable and originations of $130m were in line with both the previous corresponding period and the prior quarter.

The analyst makes only minor changes to forecasts and the target slips to 25c from 26c. The Speculative Buy rating is unchanged.

Target price is $0.25 Current Price is $0.06 Difference: $0.189
If MME meets the Morgans target it will return approximately 310% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Morgans rates NWL as Hold (3) -

Morgans updates forecasts for stockmarket-linked stocks under coverage across the Investment Platforms and Fund Managers sectors. Investment Platforms are preferred for structural growth.

For Investment Platforms, only minor forecast adjustments are required as net inflows have compensated for negative market moves, explain the analysts, while (in some cases) more meaningful downward revisions are required for the Fund Managers.

The broker believes Netwealth Group has a strong growth outlook and a Hold rating is maintained on valuation, while the target falls to $14.10 from $15.00.

Target price is $14.10 Current Price is $12.49 Difference: $1.61
If NWL meets the Morgans target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $14.53, suggesting upside of 14.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.1

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

Citi rates PDN as Upgrade to Neutral from Sell (3) -

Citi has adjusted its valuation of Paladin Energy, taking into consideration the latter's now 100% ownership of the Michelin exploration project following a failure by the Michelin nominees to pay cash calls over several months, leading to the surrender of the 25% stake.

Alongside a -15% share price decline from October highs, Citi sees reason to upgrade the stock.

The broker expects detail on Michelin in the first half of 2024, with Paladin Energy currently reviewing the work plan, while first production from Langer Heinrich is due in the first quarter of next year.

The rating is upgraded to Neutral from Sell and the target price increases to 95 cents from 90 cents.

Target price is $0.90 Current Price is $0.95 Difference: minus $0.045 (current price is over target).
If PDN meets the Citi target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.17, suggesting upside of 22.6% (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: 0.5

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

Macquarie rates PLL as Outperform (1) -

As production at North American Lithium (NAL) project ramps-up, Macquarie anticipates 25%-joint venture participant Piedmont Lithium will start to generate strong cash flow from the offtake agreement.

Sayona Mining ((SYA)), which owns the other 75% in the NAL joint venture, has delivered a maiden shipment in the September quarter, with two vessels allocated to Piedmont Lithium under the offtake agreement.

The broker forecasts Piedmont will receive two more vessels in Q4 and higher sales for the company are expected in late-2023/early-2024.

The target eases to $1.50 from $1.60. Outperform.

Target price is $1.50 Current Price is $0.46 Difference: $1.045
If PLL meets the Macquarie target it will return approximately 230% (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

UBS rates PLS as Downgrade to Sell from Neutral (5) -

UBS downgrades its lithium price forecasts -10% to -50% out to 2030 after lowering its expectations for electric vehicle demand (which represent 75% of lithium demand) for the period.

The broker is predicting big demand falls in Europe and the US as subsidies fall, discounts on internal combustion cars kick in, consumers tighten their belts and as charging infrastructure lags.

The broker expects the lithium market will move into surplus and remain as such until 2028. The broker cuts global EV sales forecasts -5% to -15% out to 2030. 

Pilbara Minerals is downgraded to Sell from Neutral. Target price falls to $3.45 from $4.15. EPS forecasts fall -29.2% in FY24; -34% in FY25; and -27.3% in FY26.

Target price is $3.45 Current Price is $3.82 Difference: minus $0.37 (current price is over target).
If PLS meets the UBS target it will return approximately minus 10% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.69, suggesting upside of 28.1% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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

Morgans rates PNI as Add (1) -

Morgans updates forecasts for stockmarket-linked stocks under coverage across the Investment Platforms and Fund Managers sectors. Investment Platforms are preferred for structural growth.

For Investment Platforms, only minor forecast adjustments are required as net inflows have compensated for negative market moves, explain the analysts, while (in some cases) more meaningful downward revisions are required for the Fund Managers.

The target price for Pinnacle Investment Management falls to $9.35 from $10.05 on lower forecasts and an increase to the broker's risk free rate to 4.2% from 3.6%.

While still susceptible to short-term market volatility, Morgans likes the growth profile and potential for further scale from the addition of more affiliates via either start-up or acquisition.

Target price is $9.35 Current Price is $7.69 Difference: $1.66
If PNI meets the Morgans target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $9.69, suggesting upside of 25.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

UBS rates REH as Sell (5) -

UBS doubts Reece will experience much near-term success with its US strategy given strong existing and new competitors.

This increases risks to the pace of the US rollout, with the broker observing much of the company's share-price premium is based on lofty US expectations.

The broker believes the Australian business appears sustainable, but has limited growth prospects.

All up, the broker sits below consensus, considering Reece's premium to James Hardie ((JHX)) to be unjustified.

Sell rating and $15.80 target price retained.

Target price is $15.80 Current Price is $17.60 Difference: minus $1.8 (current price is over target).
If REH meets the UBS target it will return approximately minus 10% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $14.57, suggesting downside of -16.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: -1.0

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

UBS rates RMD as Neutral (3) -

It is UBS's assessment ResMed's Q1 update was in line, including a small "beat" at the EPS level. The gross margin, however, remains a source of frustration for the broker.

UBS highlights management remains confident the gross margin will be higher by the end of FY24. In response to market speculation, the company has now started to publish its own data regarding GLP-1 drugs and potential affects.

A proud UBS notes the company's metrics and assumptions look pretty similar to what itself used and published a few weeks ago.

The company is resuming its buyback to the tune of US$15m per quarter, but UBS says the impact is not material to the share count. Neutral. Target US$170. No changes made to forecasts.

Current Price is $21.82. Target price not assessed.

Current consensus price target is $32.01, suggesting upside of 46.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.8

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

Macquarie rates RMS as Downgrade to Neutral from Outperform (3) -

In a "mixed" start to FY24, according to Macquarie, 1Q production for Ramelius Resources was a 2% beat against the broker's forecast, while costs (AISC) were a -5% miss.

Management expects quarter-on-quarter improvement for the balance of FY24 and maintains production and cost guidance.

Macquarie downgrades its rating for Ramelius Resources to Neutral from Outperform on recent share price strength. The $1.70 target is unchanged.

Target price is $1.70 Current Price is $1.68 Difference: $0.025
If RMS meets the Macquarie target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $1.81, suggesting upside of 9.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.7

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

Shaw and Partners rates RMS as Buy (1) -

Ramelius Resources has reported productiong of 55,500 ounces of gold during the September quarter, at an all-in sustaining cost of $1,975 per ounce. As per Shaw and Partners, this cost result is ahead of internal budgets but on track for full year guidance.

The broker points out this is expected to be the company's softest quarter, and that should gold prices remain at current levels the company could be looking at a record year. 

The Buy rating and target price of $1.69 are retained.

Target price is $1.69 Current Price is $1.68 Difference: $0.015
If RMS meets the Shaw and Partners target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $1.81, suggesting upside of 9.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.7

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

Bell Potter rates SVW as Buy (1) -

Seven Group should benefit from positive flow through from Boral ((BLD)), with the latter reaffirming full year earnings guidance after a pleasing first quarter. 

Bell Potter is expecting Seven Group's industrial services businesses to be able to achieve the top end of outlook, despite decelerating price growth for Australian concrete, cement and sand. 

The broker points out Seven Group's businesses and investments remain market leaders, providing commercial advantages hard for competitors to replicate. The Buy rating and target price of $33.00 are retained.

Target price is $33.00 Current Price is $27.12 Difference: $5.88
If SVW meets the Bell Potter target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $31.16, suggesting upside of 12.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Macquarie rates SXL as Neutral (3) -

Southern Cross Media's 1Q AGM trading update was better than Macquarie expected with steady broadcast radio revenues. 

The company increased its cost-out program to -$15m from -$10m, the majority of which will be achieved in the 2H of FY24, observes the broker.

ARN Media (A1N) and Anchorage Capital have launched a non-binding indicative cash and scrip offer to buy the balance of the shares they don't already own in the company. 

Macquarie feels another bid is likely, though it may come in the form of a cash offer rather than a substantially higher overall bid.

The broker's target rises to 90c from 81c reflecting the current implied bid price.

Target price is $0.90 Current Price is $0.89 Difference: $0.01
If SXL meets the Macquarie target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $1.02, suggesting upside of 12.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Macquarie rates SYA as Outperform (1) -

Following a maiden 1Q shipment of 48.2kt, Macquarie forecasts Sayona Mining will produce and sell over FY24 155kt and 172kt of spodumene, respectively.

These broker forecasts fit within management's FY24 guidance ranges for spodumene concentrate production of 140-160kt (at 5.4%
Li2O) and sales guidance of 160-180kt.

After incorporating 1Q results into forecasts, Macquarie lowers its FY24 EPS estimate and increases its equity raise assumptions. The target falls to 17c from 20c. Outperform.

Target price is $0.17 Current Price is $0.08 Difference: $0.089
If SYA meets the Macquarie target it will return approximately 110% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Morgans rates TCL as Hold (3) -

After Morgans updates Transurban Group's forecasts for the latest traffic data and capital funding requirements, the target falls to $12.38 from $13.86. The majority of this change (-$1.04) is caused by a 60bps lift to 4.2% for the assumed risk-free rate.

The broker points out the rise in market interest rates appears to be mostly driven by higher real rates. Hence, the higher risk-free rate adopted is not being partly offset by higher longer-term inflationary expectations, as would normally be the case.

The Hold rating is maintained.

Target price is $12.38 Current Price is $11.87 Difference: $0.51
If TCL meets the Morgans target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $14.01, suggesting upside of 18.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Bell Potter rates TSK as Buy (1) -

Bell Potter feels Task Group's second quarter update outlines ongoing momentum in client wins, deployments and cash flows.

During the period, Task Group reports expanding into the Taiwan market, implementing its solutions into Retail Food Group’s ((RFG)) Crust, and taking contract wins across North America and Australia, while generating NZ$12m in operating cash flow. 

The Buy rating is retained and the target price decreases to 57 cents from 62 cents. 

Target price is $0.57 Current Price is $0.40 Difference: $0.17
If TSK meets the Bell Potter target it will return approximately 42% (excluding dividends, fees and charges).

The company's fiscal year ends in March.

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