Australian Broker Call

Citi rates ALQ as Upgrade to Buy from Sell (1) -

ALS Ltd's financial performance proved a mild beat on Citi's expectations. Incorporating revised commodities prices forecasts plus recent acquisitions in Life Sciences have triggered higher forecasts. As a result, the price target rises to $6.90 from $5.60.

Combine the above with share price weakness and Citi analysts have made the decision to implement a double-whammy upgrade; to Buy from Sell. The analysts like the company's industry and geographic diversity and are now forecasting double digit growth for the years ahead.

Target price is $6.90 Current Price is $5.85 Difference: $1.05
If ALQ meets the Citi target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $6.16, suggesting downside of -7.3% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

Credit Suisse rates ALQ as Neutral (3) -

Life sciences business disappointed Credit Suisse. Meanwhile, the commodity segment was up 28% in FY17 and ahead of expectations.

The broker suspects the market will react negatively to a weak result in life sciences but the continued momentum in commodities and the launch of an ambitious 2022 plan might be enough to counteract and satisfy a market which is expecting 20% growth in net profit per annum.

Neutral rating and $5.90 target retained.

Target price is $5.90 Current Price is $5.85 Difference: $0.05
If ALQ meets the Credit Suisse target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $6.16, suggesting downside of -7.3% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

Macquarie rates ALQ as Outperform (1) -

FY17 underlying net profit was below Macquarie's expectations. The broker expects investors to be pleased by the operational leverage coming through in the minerals/commodities business.

Nevertheless, reality suggests to the broker that not all divisions can fire at the same time. The extent of the improvement in life sciences will be the main focus over FY18.

The broker retains an Outperform rating and $6.62 target. FY18 and FY19 forecasts for earnings per share are reduced by -5% and -3% respectively.

Target price is $6.62 Current Price is $5.85 Difference: $0.77
If ALQ meets the Macquarie target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $6.16, suggesting downside of -7.3% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

Morgan Stanley rates ALQ as Underweight (5) -

The FY17 result, overall, missed Morgan Stanley's expectations considerably as the larger life sciences business EBIT contracted -9%.

This potentially challenges its status as a defensive pillar within the business to which investors have been prepared to attribute a significant multiple, the broker notes.

Morgan Stanley retains an Underweight rating. Industry view is Cautious. Target is steady at $3.27.

Target price is $3.27 Current Price is $5.85 Difference: minus $2.58 (current price is over target).
If ALQ meets the Morgan Stanley target it will return approximately minus 44% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.16, suggesting downside of -7.3% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

Ord Minnett rates ALQ as Hold (3) -

FY17 results were in line with Ord Minnett. The minerals division outperformed expectations while the life sciences business underperformed.

The broker finds the trends in life sciences somewhat alarming and estimates a -2% organic decline in the second half. The broker envisages this shift in mix towards commodities is negative for valuation, given the high multiple applied to the life sciences business.

Hold rating retained. Target is $6.12.

Target price is $6.12 Current Price is $5.85 Difference: $0.27
If ALQ meets the Ord Minnett target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $6.16, suggesting downside of -7.3% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

UBS rates AMA as Buy (1) -

Having acquired 18%, the company is offering to purchase the remaining shares in ASG ((4WD)) for $0.35 per share. UBS calculates the offer capitalises ASG at $17.6m.

If successful, post acquisition, AMA intends to carry out a strategic review to identify synergies, cost savings and revenue enhancement opportunities. Short it successfully acquire the business, UBS estimates synergies of at least $1m.

Buy and $1.30 target retained.

Target price is $1.30 Current Price is $1.04 Difference: $0.26
If AMA meets the UBS target it will return approximately 25% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 1.0

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

Macquarie rates BVS as Outperform (1) -

The company has signed a long-term contract for the implementation of its Sonata platform in South Africa. STANLIB is the second major customer in South Africa and significant regulatory changes in that country are expected to drive other opportunities.

Macquarie retains an Outperform rating. The broker believes the multiples are not demanding, and the company has strong cash-flow conversion along with being past the peak product investment cycle. Target is $1.80.

Target price is $1.80 Current Price is $1.39 Difference: $0.413
If BVS meets the Macquarie target it will return approximately 30% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 1.0

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

Citi rates CGF as Neutral (3) -

Citi analysts welcome the increased transparency that was on display at the Investor Day. The analysts report Challenger provided more insights into its margins and distribution agreements beyond platforms.

All in all, nothing changed Citi's view about the company. Neutral rating retained, with a $12.35 price target.

Target price is $12.35 Current Price is $12.84 Difference: minus $0.49 (current price is over target).
If CGF meets the Citi target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $12.03, suggesting downside of -7.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.1

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

Credit Suisse rates CGF as Outperform (1) -

Credit Suisse observes, with the growth opportunity now largely understood by the investor community and starting to be delivered,  the company attempted a difficult task of outlining the trade-offs it faces on a daily basis.

While some historical margin metrics may be distorted by the changes in the business mix, the broker's analysis highlights the net book growth that remains the key driver of earnings for the company.

Credit Suisse appreciates that valuation appeal is getting harder to obtain and the company now needs to deliver on earnings growth. Outperform retained. Target is $13.50.

Target price is $13.50 Current Price is $12.84 Difference: $0.66
If CGF meets the Credit Suisse target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $12.03, suggesting downside of -7.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.1

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

Macquarie rates CGF as Outperform (1) -

The company has provided additional disclosure of product margins, distribution costs and capital intensity at its investor briefing.

Macquarie suspects a confirmation that margins vary by product will attract investor attention, especially given Japanese annuity headline margins of around 3.7%, below current group margins of 4.3%.

The broker continues to find the investment case supportive and retains an Outperform rating, raising the target to $13.72 from $13.65.

Target price is $13.72 Current Price is $12.84 Difference: $0.88
If CGF meets the Macquarie target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $12.03, suggesting downside of -7.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.1

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

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

The investor briefing suggests to Morgan Stanley that the distribution platform is well-positioned. The broker flags a risk that the MyRetirement opportunity may fall short of near to medium-term expectations but, fortunately, MS Primary volumes help offset this while lengthening the portfolio duration.

The broker suspects the company is likely to leverage its MS Primary relationship to reduce reliance on short-dated annuities for growth.

The broker believes growth expectations are priced in and retains an Equal-weight rating. Target rises to $12.00 from $10.50. Industry view: In-line.

Target price is $12.00 Current Price is $12.84 Difference: minus $0.84 (current price is over target).
If CGF meets the Morgan Stanley target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $12.03, suggesting downside of -7.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.1

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

Ord Minnett rates CGF as Lighten (4) -

The company has reaffirmed guidance at its investor briefing. Ord Minnett remains cautious about the returns for shareholders and believes these can be better achieved using alternative means and the current share price does not reflect the volatility in cash flow.

Ord Minnett continues to expect  the company to lengthen duration going forward with the MS Primary partnership in Japan and increasing sales for domestic lifetime annuities. Lighten rating unchanged. Target is $9.00.

Target price is $9.00 Current Price is $12.84 Difference: minus $3.84 (current price is over target).
If CGF meets the Ord Minnett target it will return approximately minus 30% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $12.03, suggesting downside of -7.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.1

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

UBS rates CGF as Neutral (3) -

The investor briefing signalled the growth story remains intact, although UBS suspects spreads may slip if capital consumption eases. The broker observes the company appears to be at a critical juncture for capital intensity.

 A shift in long-term liability should require more long-duration and capital intensive growth assets. However, the company has indicated the asset mix is unlikely to change much and this suggests to UBS that spread margins could compress, given higher funding costs for longer-term annuities. Neutral rating retained. Target is $11.05.

Target price is $11.05 Current Price is $12.84 Difference: minus $1.79 (current price is over target).
If CGF meets the UBS target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $12.03, suggesting downside of -7.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.1

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

Deutsche Bank rates CTX as Buy (1) -

Caltex achieved a refiner margin of US$15.32/bbl for April, up from US$11.65/bbl in March. The broker had forecast US$9.74/bbl.

As a result, the broker has increased forecast 2017 earnings by 2.4%. Target rises to $35.55 from $35.45. Buy retained.

Target price is $35.55 Current Price is $32.62 Difference: $2.93
If CTX meets the Deutsche Bank target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $33.92, suggesting upside of 3.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.6

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

Macquarie rates FBU as Underperform (5) -

The company has estimated NZ$60m for FY18 construction EBIT and medium-term construction EBIT is expected to average NZ$80m per annum. Macquarie adjusts forecasts lower to reflect this indication.

Guidance of NZ$610-650m in EBIT for FY17 has been maintained. There are two catalysts which would move Macquarie's recommendation higher on the stock.

The first is a stabilisation in consensus earnings momentum after all the construction division losses are accounted for and, the second, signs of manufactured product pricing power in Australasia.

Underperform retained.Target is reduced to NZ$7.70 from NZ$7.87.

Current Price is $7.57. Target price not assessed.

Current consensus price target is $9.00, suggesting upside of 20.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

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

Market Sentiment: 0.7

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

Deutsche Bank rates GEM as Buy (1) -

G8 Education's trading update revealed the surprise stock placement announced in February did not go as smoothly as hoped, requiring a restructure to ultimately a lower net price. The broker is not unhappy, given much needed balance sheet support.

Updated guidance is in line with consensus but the broker remains concerned over declining occupancy. G8 suggests this can be overcome with price rises and cost reductions, but the broker is not convinced. An undemanding valuation ensures Buy retained, target falls to $4.00 from $4.20.

Target price is $4.00 Current Price is $3.45 Difference: $0.55
If GEM meets the Deutsche Bank target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $3.97, suggesting upside of 21.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.8

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

Macquarie rates GEM as Neutral (3) -

The company has secured alternative equity funding following the termination of the CIPI agreement, which Macquarie believes will be well received by the market.

Industry conditions remain challenging and lower occupancy has resulted from increased supply. Although these pressures should be neutralised by cost control the broker envisages limited upside relative to valuation.

Neutral retained. Target is $3.75.

Target price is $3.75 Current Price is $3.45 Difference: $0.3
If GEM meets the Macquarie target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $3.97, suggesting upside of 21.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.8

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

UBS rates GEM as Buy (1) -

The company has announced a $100m fully-underwritten institutional capital raising. This came about because of the non-payment by China First Capital for the second tranche of the February equity issue. Proceeds will be used to improve the balance sheet and underpinned $200m in greenfield acquisitions.

Following a review of the market the company has also elected not to pursue any opportunities in China. UBS maintains a Buy rating and $4.00 target.

Target price is $4.00 Current Price is $3.45 Difference: $0.55
If GEM meets the UBS target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $3.97, suggesting upside of 21.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.8

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

Deutsche Bank rates OFX as Hold (3) -

Ozforex' result was in line with revised guidance, featuring a -23% fall in earnings due to the cost of investment to drive growth. Revenue is yet to show the benefits of additional marketing and sales spend, the broker notes.

But momentum appears to be improving as new clients are added. The broker remains concerned over uncertainty following the management change and of the tough industry environment. While valuation is not demanding, the broker retains Hold. Target rises to $1.60 from $1.40.

Target price is $1.60 Current Price is $1.55 Difference: $0.055
If OFX meets the Deutsche Bank target it will return approximately 4% (excluding dividends, fees and charges).

The company's fiscal year ends in March.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.5

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

Macquarie rates OFX as Outperform (1) -

FY17 net profit was in line with Macquarie's expectations and with the revised guidance provided in February. No specific guidance was provided for FY18.

The broker continues to believe the stock is a higher risk/reward turnaround opportunity and there is lots of work to do to get back on track. Valuation is not factoring in much of a turnaround, in the broker's opinion.

Outperform retained. Target price is raised to $1.75 from $1.65.

Target price is $1.75 Current Price is $1.55 Difference: $0.205
If OFX meets the Macquarie target it will return approximately 13% (excluding dividends, fees and charges).

The company's fiscal year ends in March.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.5

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

Deutsche Bank rates SEK as Hold (3) -

Zhaopin reported March Q revenue ahead of the broker's forecasts. Outperformance came mostly from low margin "Other Services" revenue while strong growth in core recruitment was more in line with the broker's expectation.

Earnings are nevertheless tracking behind the broker's forecast run rate but after currency translation, the impact on Seek is negligible, the broker notes. Hold and $15.30 target retained.

Target price is $15.30 Current Price is $17.43 Difference: minus $2.13 (current price is over target).
If SEK meets the Deutsche Bank target it will return approximately minus 12% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $16.05, suggesting downside of -9.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.1

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

UBS rates SEK as Sell (5) -

Revenues from Zhaopin in the March quarter grew 30%, UBS observes. The broker notes the March quarter of FY16 was a particularly weak comparable period where off-line and other division revenues fell -2.5%.

UBS envisages little impact on short-term forecasts for Seek and currently factors in around 9% growth year-on-year for Zhaopin in the second half.

Long-term margins holding are expected to hold at 23%, although the broker concedes this could be ambitious in the context of a competitive Chinese market. Sell rating retained. Target is $14.

Target price is $14.00 Current Price is $17.43 Difference: minus $3.43 (current price is over target).
If SEK meets the UBS target it will return approximately minus 20% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $16.05, suggesting downside of -9.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.1

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

Morgan Stanley rates SRX as Overweight (1) -

Morgan Stanley observes the SARAH and FOXFIRE Global trials have failed to meet primary end points and are driving the underperformance in the stock. Nevertheless, the broker envisages enough in the secondary data to support growth in salvage therapy.

The broker removes the option value components of its price target which leaves the discounted cash flow valuation for the base business at $17.90. Overweight. In-Line view retained. Target is reduced to $17.90 from $26.70.

Target price is $17.90 Current Price is $11.98 Difference: $5.92
If SRX meets the Morgan Stanley target it will return approximately 49% (excluding dividends, fees and charges).

Current consensus price target is $22.96, suggesting upside of 94.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 1.0

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

Macquarie rates TNE as Outperform (1) -

First half net profit was up 10% and ahead of Macquarie's expectations. The company expects to resume fully franked dividends from 2019 and a special dividend will be considered for the full year.

Macquarie believes there is considerable leverage to be realised once new products contribute to the bottom line over the next few years.

The broker believes a premium valuation is warranted given the opportunity to up-sell clients to a stickier//higher-value solution. Outperform retained. Target is raised to $6.32 from $6.30.

Target price is $6.32 Current Price is $5.78 Difference: $0.54
If TNE meets the Macquarie target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $5.92, suggesting upside of 2.8% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.3

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

Morgans rates TNE as Hold (3) -

The first half result was stronger than Morgans expected, although this is considered largely a matter of timing as guidance for the full year is in line with expectations. As the company typically has volatile first half results Morgans focuses more on the full year.

The broker believes the business is high-quality and, given the market is supportive of high-quality growth stocks, envisages little change in the share price premium dynamics at this point.

Nevertheless, Morgans believes a current share price is overly optimistic on the medium term outlook. Target is reduced to $5.69 from $5.71. Hold rating retained.

Target price is $5.69 Current Price is $5.78 Difference: minus $0.09 (current price is over target).
If TNE meets the Morgans target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $5.92, suggesting upside of 2.8% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.3

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

UBS rates TNE as Neutral (3) -

First half results were in line with UBS expectations while the dividend was ahead. The company has highlighted the potential for a special dividend at the end of the year.

The broker observes a large skew to the second half in FY17 was well flagged by the company and an improved pipeline is likely to bear fruit. A strong track record continues to warrant a premium valuation, in the broker's opinion, although there was plenty in the price at current levels.

UBS retains a Neutral rating and $5.75 target.

Target price is $5.75 Current Price is $5.78 Difference: minus $0.03 (current price is over target).
If TNE 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 $5.92, suggesting upside of 2.8% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.3

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

Deutsche Bank rates TTS as Buy (1) -

The broker has cut Tatts forecast earnings by -3% to reflect an ongoing bad run of jackpots in Lotteries, along with weaker Wagering given a soft consumer environment, bad weather and loss of market share.

The broker retains Buy and a $4.67 target noting it's all a bit academic with the ACCC decision on the Tabcorp ((TAH)) merger pending.

Target price is $4.67 Current Price is $4.26 Difference: $0.41
If TTS meets the Deutsche Bank target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $4.35, suggesting upside of 1.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.0

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

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

Amid low growth for second-tier retail mall products Macquarie considers the hypothetical implications of an in-specie distribution of second-tier retail assets. The broker believes this is quicker and cleaner than further asset sales.

The stock has underperformed the A-REIT index by a material -16%, the broker observes, and as it now offers an implied double-digit total shareholder return, the rating is moved to Neutral from Underperform. Target is $2.91.

Target price is $2.91 Current Price is $2.75 Difference: $0.16
If VCX meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $3.06, suggesting upside of 10.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.1

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

Deutsche Bank rates WOW as Buy (1) -

The broker notes that four out of eight members of the Woolworths board have bought stock over the past three weeks since the March Q trading update. The members almost doubled their holdings on average.

The broker has been surprised in the stock's underperformance since the market-beating sales report. The broker is happy to retain Buy and a $29 target, suggesting these share purchases are a tick of confidence.

Target price is $29.00 Current Price is $25.94 Difference: $3.06
If WOW meets the Deutsche Bank target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $26.56, suggesting upside of 2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: -0.2

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

Citi rates WPL as Neutral (3) -

Citi analysts returned from Woodside's Investor Briefing Day with an unchanged view. Investors already are pricing in a positive view, say the analysts. On their calculations today's share price represents oil at US$70/bbl.

While further upside is definitely possible, through further de-risking of projects, the analysts warn of possible hiccups in between. Neutral rating retained. Target rises to $32.55 from $32.20.

Target price is $32.55 Current Price is $33.13 Difference: minus $0.58 (current price is over target).
If WPL meets the Citi target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $32.69, suggesting downside of -1.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY17:

Forecast for FY18:

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

Market Sentiment: 0.2

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

Credit Suisse rates WPL as Underperform (5) -

Operating strength was clear from the investor briefing, Credit Suisse observes, but being able to lock in new production remains a stretch to expectations.

The broker remains concerned about banking on the view that the Browse gas goes to the North West Shelf. The broker carries a $1 per share valuation for Browse and tolling revenue, but acknowledges this may be wide off the mark in both directions.

Underperform rating retained. Target is $26.80.

Target price is $26.80 Current Price is $33.13 Difference: minus $6.33 (current price is over target).
If WPL meets the Credit Suisse target it will return approximately minus 19% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $32.69, suggesting downside of -1.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY17:

Forecast for FY18:

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

Market Sentiment: 0.2

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

Deutsche Bank rates WPL as Hold (3) -

The broker came away from Woodside's investor day believing the company's ten-year plan is appropriate and sensible in the current commodity price environment. The challenge nevertheless remains for the company to make the market believe Browse can indeed be monetised in the next five years.

Taking Ichthys as a benchmark, the broker does not see how Browse can be commercially viable under the current proposal. No change to forecasts, Hold and $28 target retained.

Target price is $28.00 Current Price is $33.13 Difference: minus $5.13 (current price is over target).
If WPL meets the Deutsche Bank target it will return approximately minus 15% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $32.69, suggesting downside of -1.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY17:

Forecast for FY18:

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

Market Sentiment: 0.2

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

Morgan Stanley rates WPL as Overweight (1) -

Morgan Stanley found few surprises in the investor briefing, with the company outlining growth in free cash generation in the short term and a medium term strategy to unlock value for longer-dated LNG resources.

The broker observes the company remains one of the few with production growth in Asia over the next few years. Morgan Stanley believes  now is the time to start incrementally applying option value for the long-dated LNG resources, as the company's work on a number of options suggests the likelihood of one proceeding is higher.

Target is $40.00. Overweight rating and In-Line industry view retained.

Target price is $40.00 Current Price is $33.13 Difference: $6.87
If WPL meets the Morgan Stanley target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $32.69, suggesting downside of -1.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY17:

Forecast for FY18:

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

Market Sentiment: 0.2

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

Ord Minnett rates WPL as Accumulate (2) -

Ord Minnett  found the message from the investor briefing more optimistic than the previous year as management focused on growth options. The main point was financial discipline and management indicated that all projects would be paid for internally while maintaining the dividend.

The broker continues to believe the market undervalues the growth options. Accumulate rating and $36 target retained.

Target price is $36.00 Current Price is $33.13 Difference: $2.87
If WPL meets the Ord Minnett target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $32.69, suggesting downside of -1.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY17:

Forecast for FY18:

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

Market Sentiment: 0.2

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

UBS rates WPL as Buy (1) -

The company discussed its growth outlook at the annual investor briefing. UBS observes the combination of low-risk growth plus the company's commitment to an 80% pay-out ratio for 10 years or more underpins a Buy call.

The broker forecasts production to reach 103mmboe in 2020. Valuation increases after factoring in an acceleration at Pluto and in North West Shelf back-filled tolling revenue. Target is raised to $37.40 from $35.30.

Target price is $37.40 Current Price is $33.13 Difference: $4.27
If WPL meets the UBS target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $32.69, suggesting downside of -1.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY17:

Forecast for FY18:

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

Market Sentiment: 0.2

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