Australian Broker Call

Macquarie rates ADI as Neutral (3) -

APN Industria REIT has acquired 45-65 O’Briens Road in Corio (VIC) for -$36m reflecting a 5.5% cap rate/initial yield. The REIT continues to up-weight to industrial though the valuation remains a challenge relative to peers, explains Macquarie.

The Neutral rating is retained and the target price lowered to $2.66 from $2.73 to reflect the acquisition, a delay in settlement at Butler Boulevard and modelling adjustments.

Target price is $2.66 Current Price is $2.96 Difference: minus $0.3 (current price is over target).
If ADI meets the Macquarie target it will return approximately minus 10% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

Morgans rates AFG as Upgrade to Add from Hold (1) -

Morgans increases EPS forecasts for FY22 and FY23 by 6.8% and 8.4% due to increased net interest margin (NIM) forecasts and increased loan growth forecasts. The rating is upgraded to Add from Hold and the target to $2.90 from $2.60.

The broker expects the current contraction in residential mortgage backed securities (RMBS) will allow the AFG securities (AFGS) business to offer sharper pricing on its variable rate home loan products.

Target price is $2.90 Current Price is $2.58 Difference: $0.32
If AFG meets the Morgans target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $3.12, suggesting upside of 18.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Macquarie rates AGL as No Rating (-1) -

Building on prima facie comments yesterday, Macquarie notes the New AGL's value is in its customers, and the wind and battery development pipeline. PrimeCo is the cash/yield generator leveraged to a recovery in power prices, explains the broker.

The analyst believes the creation of the New AGL will highlight the potential of telco/utility convergence, as access to the company’s 2.5m households would be attractive. It's considered likely to have solid non-cyclical earnings with capability to adapt to emerging technology.

Due to research restrictions, Macquarie cannot advise its valuation on AGL at present.

Current Price is $9.81. Target price not assessed.

Current consensus price target is $10.11, suggesting upside of 4.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.5

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

Morgan Stanley rates AGL as Underweight (5) -

AGL Energy has announced a separation of its parts. The new AGL will be a short energy carbon-neutral retailer, retaining most of its gas contracts including legacy contracts and the Crib Point import terminal. It will also run the newly acquired commercial solar businesses.

Over time, Morgan Stanley anticipates it will develop into a carbon-neutral integrated entity. The main uncertainty is just the detail in initial offtake agreements.

The other part, PrimeCo, will house the coal-fired generation, some gas and 0.9GW of wind farm offtake obligations to 2030.

Morgan Stanley suspects, if AGL is successful, more thermal carve-outs will occur in the industry but contend with limited debt and equity appetite.

Underweight rating. Target is reduced to $9.28 from $10.68. Industry view: Cautious.

Target price is $9.28 Current Price is $9.81 Difference: minus $0.53 (current price is over target).
If AGL 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 $10.11, suggesting upside of 4.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.5

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

Morgans rates AGL as Hold (3) -

AGL energy is investigating splitting into ‘New AGL’ which will focus on retail (and will be Scope 1 and 2 carbon neutral from creation), while ‘PrimeCo’ will hold the legacy thermal assets.

While there are opportunities to drive costs down, New AGL may need to effectively transfer value to Prime by underwriting its offtake for a period of time, explains the broker.

In the short term, Morgans thinks Australia’s electricity market weakness will continue to dominate the earnings profile of both parts of the business and the target is lowered to $9.74 from $10.43, as conditions remain weak. The Hold rating is maintained.

Target price is $9.74 Current Price is $9.81 Difference: minus $0.07 (current price is over target).
If AGL meets the Morgans target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $10.11, suggesting upside of 4.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.5

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

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

AGL Energy will divide into two energy businesses, basically retail and generation. Ord Minnett notes a lack of detail regarding capital structures, offtake arrangements and final asset allocations which makes it difficult to assess how the split will appeal to investors.

The broker suspects the retail business will not take on significant wholesale price risk so that the generation part, PrimeCo, cannot be structured as an infrastructure asset.

There are challenges ahead and the broker downgrades to Hold from Accumulate, finding it difficult to envisage how PrimeCo can be made attractive as a stand-alone entity. Target is lowered to $11.00 from $14.05.

Target price is $11.00 Current Price is $9.81 Difference: $1.19
If AGL meets the Ord Minnett target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $10.11, suggesting upside of 4.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.5

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

Credit Suisse rates ALL as Outperform (1) -

The company has noted that slot machine industries in Australia and the US have recovered beyond original hopes and turnover through its machines is above pre-pandemic expectations. In both geographies Aristocrat Leisure has gained market share.

There has been heightened interest from venues in North America in lease and revenue share pricing because of constrained budgets and risk aversion. Credit Suisse upgrades estimates slightly, buyback 4-5%, and retains an Outperform rating. Target is raised to $38.00 from $34.50.

Target price is $38.00 Current Price is $33.61 Difference: $4.39
If ALL meets the Credit Suisse target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $36.90, suggesting upside of 7.1% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

Morgan Stanley rates ALL as Overweight (1) -

After the briefing, Morgan Stanley is now more confident that Aristocrat Leisure will emerge from the pandemic in a stronger competitive position with significant options on its balance sheet.

The company has noted a developing trend of operators preferring leasing over outright purchases and is considered well-placed to take advantage.

The broker notes the company has been actively evaluating opportunities across existing businesses as well as new ones. Nevertheless, digital multiples are elevated, making it hard. Morgan Stanley retains an Overweight rating and $38 target.

Target price is $38.00 Current Price is $33.61 Difference: $4.39
If ALL meets the Morgan Stanley target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $36.90, suggesting upside of 7.1% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

Ord Minnett rates ALL as Accumulate (2) -

Aristocrat Leisure has indicated North America is ahead of expectations in terms of the recovery from the pandemic. Just over 92% of venues are open.

The Australian market is also ahead of expectations. The company intends to expand into all digital genres as well as find new avenues for expansion.

Ord Minnett retains an Accumulate rating and $36.90 target.

Target price is $36.90 Current Price is $33.61 Difference: $3.29
If ALL meets the Ord Minnett target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $36.90, suggesting upside of 7.1% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

Macquarie rates ANZ as Outperform (1) -

Macquarie draws upon the UK experience to estimate the impact upon bank margins of lower rates for lower loan-to value ratio (LVR) mortgages. The broker concludes this will be an additional headwind contributing to mortgage margin compression and lower returns.

In aggregate, should a similar margin differentiation to UK banks across products hypothetically fully flow through Australian banks’ portfolios, the analyst sees an around -5-20 basis point impact to group margins.

ANZ Bank is one of Macquarie's preferred exposures in the sector and also the least impacted by the above scenario. The Outperform rating and $30 target are unchanged.

Target price is $30.00 Current Price is $28.10 Difference: $1.9
If ANZ meets the Macquarie target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $28.56, suggesting upside of 0.8% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Macquarie rates AWC as Neutral (3) -

After a sensistivity analysis, Macquarie determines the company's dividends and AWAC earnings are highly sensitive to alumina prices, which are currently subdued and have recently slipped below US$300/t.

The broker also points out the company’s three year average dividend yield of 6% screens well against the ASX100 though spot iron ore divided yields of around 10-20% remain preferred. 

Alumina Limited’s dividend yields for 2021-23 are around 5-8% both based on Macquarie's outlook and in a spot-price scenario. The target is raised to $1.80 from $1.70 due to EPS forecast upgrades following a lowering of caustic soda assumptions by the analyst.

Target price is $1.80 Current Price is $1.74 Difference: $0.06
If AWC meets the Macquarie target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $1.93, suggesting upside of 10.5% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.7

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

Macquarie rates BEN as Outperform (1) -

Macquarie draws upon the UK experience to estimate the impact upon bank margins of lower rates for lower loan-to value ratio (LVR) mortgages. The broker concludes this will be an additional headwind contributing to mortgage margin compression and lower returns.

In aggregate, should a similar margin differentiation to UK banks across products hypothetically fully flow through Australian banks’ portfolios, the analyst sees an around -5-20 basis point impact to group margins.

Bendigo and Adelaide Bank is one of Macquarie's preferred exposures in the sector. The Outperform rating and $11 target are unchanged.

Target price is $11.00 Current Price is $9.89 Difference: $1.11
If BEN meets the Macquarie target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $10.27, suggesting upside of 1.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Macquarie rates BOQ as No Rating (-1) -

Macquarie draws upon the UK experience to estimate the impact upon bank margins of lower rates for lower loan-to value ratio (LVR) mortgages. The broker concludes this will be an additional headwind contributing to mortgage margin compression and lower returns.

In aggregate, should a similar margin differentiation to UK banks across products hypothetically fully flow through Australian banks’ portfolios, the analyst sees an around -5-20 basis point impact to group margins.

Macquarie is under advice restriction for Bank of Queensland and no rating is provided.

Current Price is $8.52. Target price not assessed.

Current consensus price target is $9.15, suggesting upside of 5.5% (ex-dividends)

The company's fiscal year ends in August.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

Macquarie rates CBA as Neutral (3) -

Macquarie draws upon the UK experience to estimate the impact upon bank margins of lower rates for lower loan-to value ratio (LVR) mortgages. The broker concludes this will be an additional headwind contributing to mortgage margin compression and lower returns.

In aggregate, should a similar margin differentiation to UK banks across products hypothetically fully flow through Australian banks’ portfolios, the analyst sees an around -5-20 basis point impact to group margins.

The Neutral rating and $81.5 target are retained for Commonwealth Bank of Australia.

Target price is $81.50 Current Price is $85.40 Difference: minus $3.9 (current price is over target).
If CBA 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 $80.71, suggesting downside of -6.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.3

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

Morgans rates CRN as Downgrade to Hold from Add (3) -

Morgans believes the share price is vulnerable to a downside pricing scenario in the absence of a sustained met coal price recovery. The broker has always felt the company is a leveraged play on met coal pricing more than a play on production growth or development.

Now with sluggish QLD hard coking coal prices back near US$115/t, it places upward pressure on net debt, explains the broker.This needs to be weighed against a compelling earnings/valuation leverage to healthier prices.

Morgans downgrades the rating to Hold from Add. The target is lowered to $1 from $1.27 after the broker applies a -5% discount to a revised valuation to reflect the potential downside coal price scenario.

Target price is $1.00 Current Price is $0.88 Difference: $0.12
If CRN meets the Morgans target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $1.30, suggesting upside of 42.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.8

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

Citi rates DBI as Buy (1) -

The Queensland Competition Authority has refused Dalrymple Bay's application for  "light handed regulation". Importantly, there was no objection to the negotiate-arbitrage model, Citi notes, and amendments to the agreement may be achievable within the timeframe required.

Hence, the broker considers the decision relatively positive and in line with its partial approval thesis. An agreement before July 1, 2021, when the old agreement is due to expire, is also considered likely. Buy rating and $2.51 target maintained.

Target price is $2.51 Current Price is $2.16 Difference: $0.35
If DBI meets the Citi target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $2.52, suggesting upside of 15.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Macquarie rates MCR as Outperform (1) -

After a site tour, Macquarie is satisfied work at Cassini is progressing in-line with budget and is encouraged by the solid ground conditions in the decline.The Durkin North decline is also well underway and ore extraction is expected to commence by November 2021.

The analyst highlights the company is set to return to producer status in the next twelve months and sees considerable upside risk to the base case through exploration success. The Outperform rating and $1.30 target are retained.

Target price is $1.30 Current Price is $0.96 Difference: $0.34
If MCR meets the Macquarie target it will return approximately 35% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Citi rates MYX as Neutral (3) -

Mithra, the developer of Nextstellis, has received approval in Canada and a positive opinion in Europe. Mayne Pharma is the licensee for the drug in the US. As a result, Citi believes it more likely than not approval will come from the US FDA in the fourth quarter of FY21.

This is incorporated into forecasts, with sales expected to start in the first quarter of FY22. Nextstellis is expected to become a positive contributor to earnings in FY23. Neutral/High Risk retained. Target rises to $0.43 from $0.32.

Target price is $0.43 Current Price is $0.35 Difference: $0.08
If MYX meets the Citi target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $0.35, suggesting downside of -3.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Macquarie rates NAB as Neutral (3) -

Macquarie draws upon the UK experience to estimate the impact upon bank margins of lower rates for lower loan-to value ratio (LVR) mortgages. The broker concludes this will be an additional headwind contributing to mortgage margin compression and lower returns.

In aggregate, should a similar margin differentiation to UK banks across products hypothetically fully flow through Australian banks’ portfolios, the analyst sees an around -5-20 basis point impact to group margins.

The Neutral rating and $26.75 target are retained for National Australia Bank.  

Target price is $26.75 Current Price is $25.91 Difference: $0.84
If NAB meets the Macquarie target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $26.41, suggesting upside of 1.2% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Macquarie rates NIC as Outperform (1) -

Nickel Mines has completed the US$175m senior unsecured notes offering, with funds to be used to complete the second stage of the Angel Nickel Project.

Macquarie considers upgrade momentum is strong with a spot price scenario generating 10-25% higher earnings in 2021-23.

The Outperform rating and $1.50 target are retained. Completion of the Angel Nickel project acquisition is expected imminently and should see a doubling of share of contained nickel production from around 30ktpa to circa 65ktpa by 2023, explains the analyst.

Target price is $1.50 Current Price is $1.26 Difference: $0.24
If NIC meets the Macquarie target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $1.57, suggesting upside of 27.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.7

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

Morgan Stanley rates SHL as Overweight (1) -

Morgan Stanley increases earnings estimates, expecting benefits from ongoing coronavirus testing and a recovery in base business volumes.

For now, the broker assumes testing ends in December 2021 with a minimal contribution from US serology testing in 2022. Morgan Stanley believes the strength of the balance sheet is under appreciated by the market. Covid-19 testing has also driven gearing to record lows.

The broker retains an Overweight rating and raises the target to $39.80 from $39.70. Industry view: In-line.

Target price is $39.80 Current Price is $35.21 Difference: $4.59
If SHL meets the Morgan Stanley target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $37.38, suggesting upside of 5.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Macquarie rates STO as Neutral (3) -

Santos has taken a final investment decision on the US$3.6bn Barossa gas/LNG project.

The event triggers the selldown of a -25% interest in Bayu Undan and Darwin LNG to SK Group, resulting in US$390m gross proceeds, offset by a -US$200m contingent payment to ConocoPhillips. 

While maintaining a Neutral rating, Macquarie considers the risk/reward profile is improving. The broker's near-term EPS forecasts are largely unchanged though the target price is increased to $7.75 from $7.50 on enhanced Barossa project assumptions.

Target price is $7.75 Current Price is $7.13 Difference: $0.62
If STO meets the Macquarie target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $7.81, suggesting upside of 9.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.5

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

Morgan Stanley rates STO as Overweight (1) -

Santos has announced a final investment decision has been made on Barossa. This will trigger the sale of a 25% interest in Darwin LNG and Bayu-Undan, raising a net US$200m. Santos is also finalising an agreement for a 12.5% interest in Barossa.

Morgan Stanley believes the project make sense in the current environment, being a brownfield project that is using some downstream LNG infrastructure. LNG offtake agreements are in place for around 80% of the company's sales from the project.

Overweight rating is retained. Target is $7.90. Industry view: Attractive.

Target price is $7.90 Current Price is $7.13 Difference: $0.77
If STO meets the Morgan Stanley target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $7.81, suggesting upside of 9.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.5

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

Ord Minnett rates STO as Accumulate (2) -

A final investment decision has given the go-ahead to Barossa, which will backfill the Darwin LNG project. This should sustain production from the facility for a further 20 years.

Ord Minnett anticipates the equity sell-downs at the Bayu-Undan, Darwin LNG and Barossa will further strengthen the balance sheet and provide options for future growth. Accumulate rating and $7.95 target maintained.

Target price is $7.95 Current Price is $7.13 Difference: $0.82
If STO meets the Ord Minnett target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $7.81, suggesting upside of 9.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.5

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

UBS rates STO as Buy (1) -

Barossa has achieved a final investment decision which de-risks the project. Santos has an agreement to sell -25% of Darwin LNG and Bayu-Undan on achieving FID at Barossa. This sale should now occur at the end of April and result in net funds of around $200m.

UBS lifts its risk weighting to 85% from 75%. Santos remains the broker's preferred exposure across the energy sector as it is trading with the lowest implied oil price.

There are also near-term growth catalysts such as FEED for Dorado in the first half of 2021 and FID on Moomba CCS in the second half. UBS retains a Buy rating and raises the target to $8.35 from $8.20.

Target price is $8.35 Current Price is $7.13 Difference: $1.22
If STO meets the UBS target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $7.81, suggesting upside of 9.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.5

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

Macquarie rates WBC as Neutral (3) -

Macquarie draws upon the UK experience to estimate the impact upon bank margins of lower rates for lower loan-to value ratio (LVR) mortgages. The broker concludes this will be an additional headwind contributing to mortgage margin compression and lower returns.

In aggregate, should a similar margin differentiation to UK banks across products hypothetically fully flow through Australian banks’ portfolios, the analyst sees an around -5-20 basis point impact to group margins.

Westpac Bank is the most affected by the above scenario in Macquarie's coverage of banks. The Neutral rating and $25.75 target are unchanged.

Target price is $25.75 Current Price is $24.36 Difference: $1.39
If WBC meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $26.11, suggesting upside of 6.6% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.7

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

Ord Minnett rates WSA as Buy (1) -

Nickel prices have fallen -18% from February highs amid weaker demand for electric vehicles and increased supply of nickel pig iron. Ord Minnett reduces its short-term price forecast by -15% to US$7.50/lb.

Earnings estimates are reduced substantially for Western Areas although the target is unchanged at $3.10 after the AM6 mine life is added to calculations along with increasing mill capacity at Odysseus. Accumulate retained.

Target price is $3.10 Current Price is $2.04 Difference: $1.06
If WSA meets the Ord Minnett target it will return approximately 52% (excluding dividends, fees and charges).

Current consensus price target is $2.65, suggesting upside of 28.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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