Australian Broker Call

Macquarie rates AFG as Neutral (3) -

Macquarie observes Australian Finance Group's 'AFG Home Loan' lodgement growth in the June quarter was driven by increased share.

The company's Home Loan products were 7.64% of total lodgements (which rose by 3.9% year-on-year).

The Home Loan lodgement activity, which comprised higher-margin AFG Securitisation and AFG White Label product, was up by 47% (cycling down -48%), explains the analyst.

The Neutral rating and $1.47 target are retained.

Target price is $1.47 Current Price is $1.36 Difference: $0.115
If AFG meets the Macquarie target it will return approximately 8% (excluding dividends, fees and charges).

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

Ord Minnett rates ALD as Downgrade to Hold from Buy (3) -

A general sector update on energy companies shows Ampol is currently rated Hold versus Buy on July 3.

Target price is $36.50 Current Price is $33.12 Difference: $3.38
If ALD meets the Ord Minnett target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $36.98, suggesting upside of 11.7% (ex-dividends)

The company's fiscal year ends in December.

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

Bell Potter rates ALK as Buy (1) -

Following release of the scoping study for the Boda-Kaiser gold/copper porphyry deposits, Bell Potter agrees with management at Alkane Resources the project can support a large operation with strong economic returns.

Further value for the deposits are expected after feasibility studies to include underground resources in the project, explain the analysts, and further exploration to discover additional open pit deposits.

Securing a high-calibre partner could also promote market value recognition, suggests Bell Potter.

The Buy rating and $1.10 target are unchanged.

Target price is $1.10 Current Price is $0.52 Difference: $0.585
If ALK meets the Bell Potter target it will return approximately 114% (excluding dividends, fees and charges).

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 AMI as Outperform (1) -

Preliminary 4Q operational numbers for Aurelia Metals revealed gold and copper production of 19.1koz and 0.9kt, respectively compared to Macquarie's forecasts for 18.7koz and 0.9kt.

For FY24, gold production of 65.3koz was above the upper end of guidance (60-65koz), copper and zinc were in line, while lead missed the lower end of guidance.

The Outperform rating is kept and the broker's target rises to 28c from 27c due to short-term forecast earnings increases.

Target price is $0.28 Current Price is $0.22 Difference: $0.06
If AMI meets the Macquarie target it will return approximately 27% (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 AOV as Add (1) -

Morgans makes minor earnings adjustments to forecasts for Amotiv (formerly GUD Holdings), for the latest June vehicle sales and deliveries, which were down -4.3% and up 8.7% on the previous corresponding period, respectively.

EVs accounted for 9.6% of deliveries in June and rose 25% in the half year to June end.

Near term, Morgans believes the industry conditions are challenging for auto dealers and mixed for the aftermarket sector.

The broker revises EPS forecasts by 0.4% for FY24 and -5.1% for FY25.

An Add rating is retained with a $13.15 target price, down from $13.75.

Target price is $13.15 Current Price is $10.10 Difference: $3.05
If AOV meets the Morgans target it will return approximately 30% (excluding dividends, fees and charges).

Current consensus price target is $12.68, suggesting upside of 26.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Ord Minnett rates APA as Downgrade to Hold from Buy (3) -

A general sector update on energy companies shows APA Group is currently rated Hold versus Buy on July 3.

Target price is $9.30 Current Price is $7.83 Difference: $1.47
If APA meets the Ord Minnett target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $8.80, suggesting upside of 11.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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

Shaw and Partners rates AVL as Buy, High Risk (1) -

Shaw and Partners highlights the Australian Energy Market Operator recently forecast Australia will need 19GW of energy storage capacity in the grid by 2030, and 43GW by 2040.

The broker points out lithium-ion batteries and short duration storage are too expensive and not suited for longer durations, opening the way for Australian Vanadium and vanadium flow batteries - a fit-for-purpose solution for grid storage.

The analysts note the IMF projects vanadium demand will grow by more than 8 times by 2050.

High risk Buy rating and 8c target price retained. No change in forecasts.

Target price is $0.08 Current Price is $0.02 Difference: $0.065
If AVL meets the Shaw and Partners target it will return approximately 433% (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 AZY as Buy, High Risk (1) -

Assay results have been released for Antipa Minerals' drilling program at Minyari Dome Gold-Copper Project in the Paterson Province of Western Australia.

The Phase 1 reverse circulation drilling program identified new zones of near-surface, high-grade gold along the northern edge of
GEO-01, GP01 and at the Minyari Southeastern Extension.

The broker considers the maiden resource estimate for GEO-01 (due in Jul) will be a valuable addition to the 1.5Moz resource at Minyari.

Buy rating with 4c target price unchanged. High risk.

Target price is $0.04 Current Price is $0.01 Difference: $0.029
If AZY meets the Shaw and Partners target it will return approximately 264% (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 BPT as Buy (1) -

A general sector update on energy companies shows Beach Energy is currently rated Buy.

Current Price is $1.49. Target price not assessed.

Current consensus price target is $1.68, suggesting upside of 10.6% (ex-dividends)

The company's fiscal year ends in June.

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

Macquarie rates CGF as Neutral (3) -

In the 4Q, Macquarie highlights the premium of Challenger's annuity rates on three-year and five-year tenors versus major bank deposit rates widened by 27bps, increasing the "relative" value proposition.

The Neutral rating is retained and the target price increases to $7.30 from $7.20 after the broker marks-to-market the investment portfolio.

Target price is $7.30 Current Price is $6.82 Difference: $0.48
If CGF meets the Macquarie target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $7.49, suggesting upside of 9.0% (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

Shaw and Partners rates CLG as Buy, High Risk (1) -

Close the Loop's relationship with Hewlett-Packard is likely to expand beyond its current 3-year agreement covering return-to-store IT equipment, predicts Shaw and Partners.

The broker notes management recently presented to investors its IT refurbishment business. The business is centred in North America but has operations in Europe and Australia.

The analysts highlight governments across the world are increasingly regulating e-waste away from landfill, and processing end-of-
life IT equipment is an enormous global growth industry for Close the Loop.

No changes have been made to the broker's earnings estimates. The Buy rating and target price of 70c are retained. High Risk.

Target price is $0.70 Current Price is $0.33 Difference: $0.37
If CLG meets the Shaw and Partners target it will return approximately 112% (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 COE as Hold (3) -

A general sector update on energy companies shows Cooper Energy is currently rated Hold.

Current Price is $0.22. Target price not assessed.

Current consensus price target is $0.27, suggesting upside of 22.7% (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 CSL as Accumulate (2) -

Ord Minnett observes the latest immunoglobulin (IG) volumes reported by the US Plasma Protein Therapeutics Association (PPTA) for March 2024, showing a 9.9% year-over-year increase.

This growth is slightly below CSL's projections for mid-teens volume growth in FY24 the analyst highlights, and the performance of albumin remains volatile, with 5% albumin down -5.4% and 25% albumin down -8.2% in June.

Clotting factors face structural challenges, but CSL's product Idelvion is not affected by Hemlibra competition.

Plasma collections have rebounded to higher levels than pre-covid and a decrease in donor fees should assist margins.

Ord Minnett notes the pace of gross margin recovery for CSL Behring is "challenging".

Accumulate rating and $317.30 target price. 

Target price is $317.30 Current Price is $297.66 Difference: $19.64
If CSL meets the Ord Minnett target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $322.95, suggesting upside of 6.9% (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: 0.9

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

Ord Minnett rates CVN as Hold (3) -

A general sector update on energy companies shows Carnarvon Energy is currently rated Hold.

Current Price is $0.20. Target price not assessed.

Market Sentiment: 0.5

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

Morgans rates CYL as Speculative Buy (1) -

Catalyst Metals reported increased production and resource updates at the Plutonic gold belt.

Morgans highlights the Plutonic mine, now producing 70koz annually, aims to boost production by incorporating higher grade satellite deposits, reducing cash costs per ounce.

Henty mine in Tasmania, with a current output of 30koz annually, expects to enhance production by accessing higher grade ore, the broker notes and exploration at the Four Eagles joint venture in Victoria has shown promising results with an initial resource of 163,000oz.

Morgans believes Catalyst Metals has potential as a mid-tier gold producer with significant exploration upside, although operational risks and gold price volatility remain key concerns. 

The target price is revised to $1.32 from 90c and the Speculative Buy rating retained.

Target price is $1.32 Current Price is $1.41 Difference: minus $0.09 (current price is over target).
If CYL meets the Morgans target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

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

Morgan Stanley rates DMP as Overweight (1) -

Morgan Stanley lowers its target for Domino's Pizza Enterprises to $47 from $52 due to the ongoing depreciation of JPY/AUD exchange rate and lower network growth assumptions for FY25.

Management has delivered network growth of around 1.7% in FY24 on an underlying ex-Denmark basis, below the targeted range of 7-9% per annum, explains the broker. Germany and Belgium were notable detractors, each seeing low-single-digit store closures.

Overweight rating. Industry view is In-Line. 

Target price is $47.00 Current Price is $35.68 Difference: $11.32
If DMP meets the Morgan Stanley target it will return approximately 32% (excluding dividends, fees and charges).

Current consensus price target is $43.25, suggesting upside of 21.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.3

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

Bell Potter rates GSS as Speculative Buy (1) -

Bell Potter raises its target for specialist molecular diagnostics company, Genetic Signatures, to $1.10 from 75c after the transformational milestone of first FDA clearance was achieved last month. Speculative Buy.

First US sales are due in in the 1H of FY25 and Australian sales should revert to growth following the therapeutic Goods Association's (TGA’s) clearance of the revised respiratory test in April.

The broker expects FY25 will be a positive year for the company following the appointment of a globally experienced CEO and an improved balance sheet following the recent capital raise.

Target price is $1.10 Current Price is $0.73 Difference: $0.37
If GSS meets the Bell Potter target it will return approximately 51% (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

Citi rates HUB as Downgrade to Neutral from Buy (3) -

Citi highlights the "material" slowdown in hiring activity for Hub24, whereas Netwealth Group's ((NWL)) hiring has picked up in June.

The broker flags the stock is likely to outperform into the FY24 results, due to higher margins, even though it sees consensus revenues as too high.

A 15% lift in ASX trading volumes year-on-year and up 8% in the 2H24 should boost revenue margins, Citi calculates, but this is likely to be offset by lower cash allocations.

The analyst believes Netwealth Group will overtake Hub24 in terms of underlying flows.

The target price is raised to $46.42 from $42.80.

The rating downgraded to Neutral from Buy on valuation grounds.

Target price is $46.42 Current Price is $46.42 Difference: $0
If HUB meets the Citi target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $43.90, suggesting downside of -3.3% (ex-dividends)

The company's fiscal year ends in June.

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

Macquarie rates IPL as No Rating (-1) -

Ending 12 months of talks, management at Incitec Pivot is stepping away from negotiations with prospective fertiliser suitor PT Pupuk. this is a trigger for the previously announced buyback of up to $900m to commence, notes Macquarie.

The broker makes only minor changes to its earnings forecasts on currency changes and slightly higher diammonium phosphate (DAP) fertiliser price assumptions.

As the broker is under research restriction, no rating or price target is provided.

Current Price is $2.90. Target price not assessed.

Current consensus price target is $3.01, suggesting upside of 5.3% (ex-dividends)

The company's fiscal year ends in September.

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

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

The sale of Incitec Pivot's fertiliser segment is not proceeding, which should result in a negative market reaction, according to Morgan Stanley, due to uncertainty around the strategic direction of the business.

On the flipside, the share price should gain some support from the commencement of the $900m buyback.

While negotiations have ceased with Indonesian company Pupuk Kaltim, management has indicated it will continue to pursue options for structural separation.

Equal-weight rating. Target $3.00. Industry view: In-Line.

Target price is $3.00 Current Price is $2.90 Difference: $0.1
If IPL meets the Morgan Stanley target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $3.01, suggesting upside of 5.3% (ex-dividends)

The company's fiscal year ends in September.

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 IPL as Hold (3) -

Morgans believes Incitec Pivot would have been a much simpler investment story with the sale of its fertilisers business, but that proposition is off the table with discussions for sale having ceased.

The last trading update from the company revealed another downgrade to Phosphate Hill's production and the broker states the $900m buyback can recommence now the fertiliser sale is not proceeding.

Hold rating retained with forecast FY24 earnings revised down by -3.1%. The target is raised to $2.91 from $2.82.

More updates are expected at the September Investor Days on 15-17 September in the US.

Target price is $2.91 Current Price is $2.90 Difference: $0.01
If IPL meets the Morgans target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $3.01, suggesting upside of 5.3% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.3

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

Ord Minnett rates IPL as Accumulate (2) -

Incitec Pivot has unsuccessfully concluded negotiations for the sale of its fertilisers business, resulting in a decision to proceed with a $900m share buyback.

Ord Minnett views the setback in divesting the fertilisers business will result in the company's focus shifting to enhancing its Dyno Nobel explosives division.

The analyst points to the potential for a 40% increase in consensus earnings if Incitec Pivot can achieve its targeted returns on invested capital.

Accumulate rating with a $3.10 target price.

Target price is $3.10 Current Price is $2.90 Difference: $0.2
If IPL meets the Ord Minnett target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $3.01, suggesting upside of 5.3% (ex-dividends)

The company's fiscal year ends in September.

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

UBS rates IPL as Buy (1) -

UBS highlights the negotiations for the sale of Incitec Pivot's fertiliser business to PT Pupuk Kalimantan Timur have ceased which is attributed to the unacceptable timeframe.

In turn, it frees up the company to restart its $900m on market share buyback, the analyst states.

Management reiterated FY24 guidance with Incitec Pivot set to focus on expanding its position in its Dyno Nobel business globally, with more anticipated at the September 15-17 Investor Days.

A Buy rating and $3.40 target are unchanged.

Target price is $3.40 Current Price is $2.90 Difference: $0.5
If IPL meets the UBS target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $3.01, suggesting upside of 5.3% (ex-dividends)

The company's fiscal year ends in September.

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 JHX as Re-initiation with Add (1) -

Morgans has re-initiated coverage of James Hardie Industries with an Add rating and a $55.65 target price.

The company's dominant position in North America and Europe underwrites pricing power and strong returns on capital, making it the highest quality building materials company on the ASX, the broker states.

Morgans forecasts a compound average growth rate of around 8.4% for FY24 to FY27 for earnings before interest and tax.

While there are short term cyclical headwinds, the stock is trading below its long-term historic valuation and is believed to be able to generate double digit earnings growth over the medium term, with global housing markets under-supplied.

Add rating and $55.65 target price.

Target price is $55.65 Current Price is $45.78 Difference: $9.87
If JHX meets the Morgans target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $56.89, suggesting upside of 22.1% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY25:

Forecast for FY26:

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

Ord Minnett rates KAR as Buy (1) -

A general sector update on energy companies shows Karoon Energy is currently rated Buy.

Current Price is $1.82. Target price not assessed.

Current consensus price target is $2.60, suggesting upside of 42.1% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 1.0

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

Citi rates NST as Buy (1) -

Citi has added Northern Star Resources to a "downside 30-day short term view' in the run up to the FY24 earnings report and FY25 guidance expectations on July 25.

The broker expects costs and capex to come in above expectations with FY24 gold sales around 1.63moz, at the lower end of guidance, and costs of $1850/oz, at the upper end of revised guidance.

For FY25, Citi flags lower production of 1.78moz versus consensus of 1.8moz at the March quarter, with lower forecasts for Pogo and Yandal.

Buy rating with $15.90 target.

Target price is $15.90 Current Price is $13.02 Difference: $2.88
If NST meets the Citi target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $15.82, suggesting upside of 19.0% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Citi rates NWL as Sell (5) -

Netwealth Group released its quarterly update to the ASX this morning and Citi analysts, upon initial glance, report fund flows proved much stronger than anticipated, with management suggesting there might be further upside to FY25 forecasts.

The offset is that management is also guiding towards lower margins, and this, Citi believes, might well translate into downside risk for FY25 forecasts.

The target price was raised earlier this month to $18.90. Sell rating maintained.

Target price is $18.90 Current Price is $21.91 Difference: minus $3.01 (current price is over target).
If NWL meets the Citi target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $18.80, suggesting downside of -10.5% (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 NXT as Outperform (1) -

The medium-term story for AI and transition to cloud remains, and Macquarie believes contract wins are imminent for NextDC from the new breed of hyperscale customers (GPU Cloud and AI API Providers) entering the market.

The broker highlights net revenue per MW is the most important metric for forecasting NextDC's growth, because contracts on power pass-through cause the top-line to fluctuate period-on-period based on power prices.

The Outperform rating and $20 target are maintained.

Target price is $20.00 Current Price is $18.04 Difference: $1.96
If NXT meets the Macquarie target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $19.81, suggesting upside of 7.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.9

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

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

A general sector update on energy companies shows Ampol is currently rated Hold versus Accumulate on July 3.

Target price is $11.30 Current Price is $10.65 Difference: $0.65
If ORG meets the Ord Minnett target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $11.18, suggesting upside of 5.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Ord Minnett rates RDX as Accumulate (2) -

Redox is due to report FY24 earnings on August 22 and Ord Minnett anticipates the company's profits to be at the upper end of its guidance range with better gross profit margins.

The analyst forecasts a FY24 gross margin of 22.8% against the mid-point guidance of 22.7%.

The target rises to $3.14 from $2.85. Accumulate rating unchanged. Minor changes to the broker's EPS forecasts.

Target price is $3.14 Current Price is $3.01 Difference: $0.13
If RDX meets the Ord Minnett target it will return approximately 4% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Ord Minnett rates STO as Accumulate (2) -

A general sector update on energy companies shows Santos is currently rated Accumulate.

Target price is $12.30 Current Price is $7.89 Difference: $4.41
If STO meets the Ord Minnett target it will return approximately 56% (excluding dividends, fees and charges).

Current consensus price target is $8.98, suggesting upside of 13.0% (ex-dividends)

The company's fiscal year ends in December.

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: 0.4

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

Ord Minnett rates STX as Buy (1) -

A general sector update on energy companies shows Strike Energy is currently rated Buy.

Current Price is $0.22. Target price not assessed.

Current consensus price target is $0.27, suggesting upside of 20.5% (ex-dividends)

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

Ord Minnett rates VEA as Buy (1) -

A general sector update on energy companies shows Viva Energy is currently rated Buy.

Current Price is $3.09. Target price not assessed.

Current consensus price target is $3.97, suggesting upside of 28.4% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.8

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

Ord Minnett rates WDS as Hold (3) -

A general sector update on energy companies shows Woodside Energy is currently rated Hold.

Current Price is $28.51. Target price not assessed.

Current consensus price target is $31.56, suggesting upside of 9.4% (ex-dividends)

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: 0.3

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

Macquarie rates WGX as Outperform (1) -

Following the merger with Canadian-based Karora Resources, Macquarie believes the Beta Hunt mine will become a cornerstone asset for Westgold Resources.

Beta Hunt will be the biggest producer with some of the most prospective growth/exploration potential, notes the analyst after visiting the mine and Westgold's Big Bell operations (both in in Western Australia).

The target price rises to $2.90 from $2.80 after an extension of the broker's mine life assumption at Beta Hunt by around 1.5-years to FY35. Outperform.

Target price is $2.90 Current Price is $2.54 Difference: $0.36
If WGX meets the Macquarie target it will return approximately 14% (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

Morgan Stanley rates XRO as Overweight (1) -

Morgan Stanley raises its target for Xero to $170 from $140. The broker sees potential for 10% (includes 8% in forecasts) average revenue per user (ARPU) growth in FY25 compared to the 7% forecast by consensus.

The just-announced A&NZ price increases and new plans (and spin-up potential) underpin the broker's 8% forecast. 

As a rising ARPU metric only creates intrinsic value if churn is low, Morgan Stanley highlights churn remains near decade lows.

A material rise in share price would occur should the broker's forecast for Xero's Lifetime Value (LTV) rise by 40% (from FY24) to NZ$22bn by FY26 come true.

Overweight. Industry view: Attractive.

Target price is $170.00 Current Price is $136.84 Difference: $33.16
If XRO meets the Morgan Stanley target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $159.77, suggesting upside of 12.9% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY25:

Forecast for FY26:

This company reports in NZD. 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