Australian Broker Call

Morgan Stanley rates 360 as Overweight (1) -

Ahead of the upcoming reporting season, Morgan Stanley has identified key small/mid-cap stocks with "conviction" on earnings forecasts and relative underperformance heading into FY25. Life360 is the third key idea for the broker.

The analyst acknowledges the stock's strong performance in 2024 and believes the market continues to under-appreciate the circa 80m users and growth potential from a larger base. Average monthly revenue exceeded expectations in 3Q 2024, lending support to the 4Q 2024 results.

Morgan Stanley believes the market is not fully pricing in potential price increases, service expansion into pet and elder care offerings, and growth in international users. December quarter results are due on February 28, with some details on 2025 guidance expected.

The Overweight rating and $25 target price are maintained. Industry view: In-Line.

Target price is $25.00 Current Price is $21.20 Difference: $3.8
If 360 meets the Morgan Stanley target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $24.96, suggesting upside of 15.1% (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: 0.8

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

UBS rates AAI as Buy (1) -

UBS makes small changes to EPS forecasts for Alcoa after marking-to-market to the end of the December quarter.

The Buy rating and $82 target are unchanged.

Target price is $82.00 Current Price is $59.22 Difference: $22.78
If AAI meets the UBS target it will return approximately 38% (excluding dividends, fees and charges).

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

Bell Potter rates AGE as Speculative Buy (1) -

Bell Potter observes Alligator Energy announced it had received a retention lease, a license required to start a field recovery trial at the Samphire Uranium project, which is necessary for obtaining environmental approval.

The analyst expects a resource update in 1Q 2025. The current mineral resource estimate stands at 17.5mlbs at 640ppm U308.

A Speculative Buy rating is retained with a 10c target price.

Target price is $0.10 Current Price is $0.04 Difference: $0.064
If AGE meets the Bell Potter target it will return approximately 178% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 1.0

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

Citi rates ARB as Buy (1) -

Citi lowers net profit after tax forecasts for ARB Corp by -5% in FY25 and -4% in FY26 to reflect the inclusion of ORW and 4WP into the broker's earnings assumptions.

The analyst notes 4WP is currently loss-making but is expected to become profitable in FY27.

The Buy rating is maintained, with the target price reduced to $49.22 from $50 due to near-term earnings downgrades.

Target price is $49.22 Current Price is $40.08 Difference: $9.14
If ARB meets the Citi target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $43.07, suggesting upside of 8.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.3

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

Bell Potter rates ARU as Speculative Hold (3) -

Bell Potter notes Arafura Rare Earths' projects face funding challenges due to long payback periods, high equity dilution for shareholders, and unfavourable capex-to-net present value ratios.

This is despite the commitment from the National Reconstruction Fund Corp to provide $200m for the Nolans project as a convertible note.

Bell Potter retains a Speculative Hold rating with a lower target price of 15c, down from 17c. The analyst highlights ongoing risks, including the need for a further 1,500t binding offtake agreement and higher prices.

Target price is $0.15 Current Price is $0.14 Difference: $0.015
If ARU meets the Bell Potter target it will return approximately 11% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.0

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

Bell Potter rates AVJ as Hold (3) -

Bell Potter notes Ho Bee Land has proposed acquiring AV Jennings shares it does not already own for cash at 70c per share.

The broker believes management is positively disposed toward selling the business.

The current bid represents a -16% discount to the company's NTA, suggesting a higher revised offer is possible.

Target price is raised to 70c from 67c. Hold rating unchanged.

Target price is $0.70 Current Price is $0.69 Difference: $0.01
If AVJ meets the Bell Potter target it will return approximately 1% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.0

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

Citi rates BBN as Upgrade to Buy from Neutral (1) -

Following on from Citi's first impressions of Baby Bunting's 1H update yesterday, the broker raises its target to $2.01 from $1.98 and upgrades to Buy from Neutral.

The analysts anticipate further upside from the company's store refurbishment program and new store formats.

It's also thought margins will continue to surprise on the upside via the delayed impact of supplier renegotiations due to stock turns and annualisation benefits.

Yesterday's summary of Citi research: In an initial view of today's first-half update by Baby Bunting, Citi notes a faster-than-expected acceleration in like-for-like sales in December 2024, which has continued into January.

An expansion in gross margin compared to the previous corresponding period was broadly in line with the consensus forecast, observes the broker.

While material EPS revisions are unlikely, the analysts believe investors should gain confidence a turnaround is gaining momentum. Management reiterated FY25 guidance.

Target price is $2.01 Current Price is $1.80 Difference: $0.21
If BBN meets the Citi target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $1.92, suggesting upside of 9.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.5

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

Morgan Stanley rates BBN as Overweight (1) -

Morgan Stanley confirms Baby Bunting reiterated FY25 guidance at the company's pre-released 1H25 results, which met the broker's expectations.

The company generated 2Q25 sales growth of 4.5%, up from 0.6% in 1Q25, with a slight decline in margins to 39.8% from 40.3%. Net profit after tax rose 37% on the previous corresponding period to $4.8m.

Baby Bunting continued to show improved performance and confirmed momentum has carried into the first weeks of 2H25.

Target price: $2.00. Overweight. Industry view: In Line.

Target price is $2.00 Current Price is $1.80 Difference: $0.2
If BBN meets the Morgan Stanley target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $1.92, suggesting upside of 9.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.5

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

Morgans rates BBN as Hold (3) -

Baby Bunting's 1H25 trading update showed a rise in like-for-like sales of 2.2%, an improvement from 0.6% in the year-to-date update ending October 2024. Quarterly sales rose 4.5% in 2Q25, with November and December highlighted as particularly strong by management.

Morgans notes the gross margin increased by 260bps to 39.8% in 1H25 compared to the previous corresponding period. The analyst views a 40% margin as achievable for FY25.

Management reaffirmed FY25 guidance, and the store refurbishment program appears to be on track.

Hold rating and $1.80 target price are unchanged. There are no changes to the broker's earnings forecasts.

Target price is $1.80 Current Price is $1.80 Difference: $0
If BBN meets the Morgans target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $1.92, suggesting upside of 9.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.5

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

Ord Minnett rates BBN as Accumulate (2) -

Ord Minnett observes Baby Bunting reported a "positive" 1H25 trading update, with like-for-like sales growth of 2.2% and 2Q25 sales growth of 4.5%.

The broker notes gross margins rose 260bps to 39.8% compared to the 1H24 margin of 37.2%, exceeding expectations.

Management confirmed FY25 guidance and highlighted robust sales in November and December, with campaigns resonating well with customers.

No changes to earnings forecasts. The Accumulate rating and $2.15 target price are maintained.

Target price is $2.15 Current Price is $1.80 Difference: $0.35
If BBN meets the Ord Minnett target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $1.92, suggesting upside of 9.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.5

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

UBS rates BHP as Neutral (3) -

UBS believes BHP Group continues to perform well and is on track for the top end of FY25 production guidance for iron ore.

Overall, the broker remains Neutral on the diversified miners BHP Group and Rio Tinto.

The broker's target for BHP Group is unchanged at $42.

Target price is $42.00 Current Price is $39.78 Difference: $2.22
If BHP meets the UBS target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $45.31, suggesting upside of 13.5% (ex-dividends)

The company's fiscal year ends in June.

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: 0.8

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

Citi rates BPT as Downgrade to Sell from Neutral (5) -

Citi downgrades Beach Energy to Sell from Neutral and raises the target price to $1.30 from $1.20.

The analyst believes the market is not fully accounting for risks associated with Waitsia. Following a December site visit, Citi identifies potential issues with introducing high-pressure gas into the plant and notes a new operator is taking control.

Citi also reviews the outlook for crude oil, forecasting a surplus from 2Q 2025. Historically, the broker points out, the Energy and Production sector underperforms the ASX by -30% during periods of crude oversupply.

Target price is $1.30 Current Price is $1.49 Difference: minus $0.185 (current price is over target).
If BPT meets the Citi target it will return approximately minus 12% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.51, suggesting upside of 2.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.3

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

UBS rates CHN as Neutral (3) -

UBS makes small changes to EPS forecasts for Chalice Mining after marking-to-market to the end of the December quarter.

The Neutral rating and $1.50 target are unchanged.

Target price is $1.50 Current Price is $1.13 Difference: $0.37
If CHN meets the UBS target it will return approximately 33% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.5

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

Macquarie rates CMM as Neutral (3) -

Macquarie updates its forecasts for Capricorn Metals following the December quarter production update on January 7.

Production came in 7% ahead of the broker's forecast though in line with the consensus estimate.

Management reiterated FY25 production and cost (AISC) guidance.

The Neutral rating and $7.10 target are unchanged.

Target price is $7.10 Current Price is $6.97 Difference: $0.13
If CMM meets the Macquarie target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $7.38, suggesting upside of 5.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.7

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

Ord Minnett rates COH as Hold (3) -

Ord Minnett has revised earnings models for healthcare companies on the back of changes in forex assumptions in the December quarter.

The broker lifts EPS forecasts for Cochlear by 6% for FY27.

Hold rated with a target price of $315.50. The analyst views the stock as fairly valued around current levels.

Target price is $315.50 Current Price is $306.95 Difference: $8.55
If COH meets the Ord Minnett target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $295.90, suggesting downside of -2.6% (ex-dividends)

Forecast for FY25:

Forecast for FY26:

Market Sentiment: -0.2

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

Bell Potter rates CRN as Buy (1) -

Bell Potter has marked-to-market for the December quarter for Coronado Global Resources and lowered its near-term hard coking and thermal coal forecasts by -5% and -11%, respectively. The broker's Australian dollar forecast is also adjusted lower.

Target price falls to $1.45 from $1.60. Buy rating unchanged.

Coronado's Q4 production report is due for release on January 23.

Target price is $1.45 Current Price is $0.75 Difference: $0.705
If CRN meets the Bell Potter target it will return approximately 95% (excluding dividends, fees and charges).

Current consensus price target is $1.29, suggesting upside of 72.0% (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: 0.8

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

UBS rates CRN as Buy (1) -

UBS makes small changes to EPS forecasts for Coronado Global Resources after marking-to-market to the end of the December quarter.

The Buy rating and $1.50 target are maintained.

Target price is $1.50 Current Price is $0.75 Difference: $0.755
If CRN meets the UBS target it will return approximately 101% (excluding dividends, fees and charges).

Current consensus price target is $1.29, suggesting upside of 72.0% (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: 0.8

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 has revised earnings models for healthcare companies following changes in forex assumptions in the December quarter.

The broker downgrades EPS forecasts for CSL by -2% in FY27.

CSL and ResMed remain the top stock picks in the sector, with double-digit EPS growth expected across the analyst's investment horizon.

The stock is rated Accumulate, with a $318 target price.

Target price is $318.00 Current Price is $276.33 Difference: $41.67
If CSL meets the Ord Minnett target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $333.79, suggesting upside of 21.1% (ex-dividends)

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: 0.9

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

Morgan Stanley rates CTD as Overweight (1) -

Ahead of the upcoming reporting season, Morgan Stanley has identified key small/mid-cap stocks with "conviction" on earnings forecasts and relative underperformance heading into FY25. Corporate Travel Management is the broker's fourth key idea.

The broker believes the company is experiencing a turnaround in operations, with improving conditions in A&NZ and North America. The UK is viewed as having bottomed and in recovery. The stock price is seen reflecting recent downgrades and a lack of investor "conviction."

Morgan Stanley notes the corporate travel sector has experienced a delayed cycle compared to leisure, and is expected to improve. Corporate Travel is set to report 1H25 earnings on February 19, with management expected to reiterate FY25 guidance.

The target price is retained at $17. The rating is Overweight, with an Industry View of In-Line.

Target price is $17.00 Current Price is $13.15 Difference: $3.85
If CTD meets the Morgan Stanley target it will return approximately 29% (excluding dividends, fees and charges).

Current consensus price target is $14.20, suggesting upside of 1.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

UBS rates DRR as Buy (1) -

UBS makes small changes to EPS forecasts for Deterra Royalties after marking-to-market to the end of the December quarter.

The Buy rating is unchanged and the target drops to $4.90 from $4.95.

Target price is $4.90 Current Price is $4.02 Difference: $0.88
If DRR meets the UBS target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $4.44, suggesting upside of 8.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.6

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

UBS rates EVN as Neutral (3) -

UBS makes small changes to EPS forecasts for Evolution Mining after marking-to-market to the end of the December quarter.

The Neutral rating and $5.40 target are unchanged.

Target price is $5.40 Current Price is $5.44 Difference: minus $0.04 (current price is over target).
If EVN 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 $5.05, suggesting downside of -9.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.2

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

UBS rates FMG as Sell (5) -

Fortescue is still tracking below the mid-point of FY25 production guidance for 190-200Mt, notes UBS.

The broker makes small changes to EPS forecasts after marking-to-market to the end of the December quarter. The target drops to $17.50 from $17.60. The Sell rating is unchanged.

Target price is $17.50 Current Price is $18.84 Difference: minus $1.34 (current price is over target).
If FMG meets the UBS target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $18.64, suggesting downside of -1.3% (ex-dividends)

The company's fiscal year ends in June.

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: -0.2

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

Bell Potter rates IMD as Hold (3) -

Following commentary on the outlook from Imdex, Bell Potter notes an uncertain outlook for 2025 exploration budgets, though the removal of tariff trade disruptions could improve prospects for junior and intermediate mining companies.

The analyst highlights junior equity financings, led by gold raisings, increased 10% year-on-year in December, marking a third month of growth. While this is a slight positive, activity remains relatively subdued compared to previous cycles.

The stock remains Hold rated with an unchanged target price of $2.25.

Target price is $2.25 Current Price is $2.34 Difference: minus $0.09 (current price is over target).
If IMD meets the Bell Potter target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.28, suggesting downside of -6.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.0

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

Bell Potter rates IRI as Buy (1) -

Integrated Research's late December trading update came in below Bell Potter's expectations, with 1H25 guidance falling short of estimates.

The broker highlights weaker-than-anticipated results were due to lower contract renewals, offset by better-than-expected contract wins and upselling to existing clients.

Bell Potter lowers EPS forecasts by -19.9% and -20.7% for FY25 and FY26, respectively, alongside a similar reduction in dividend estimates.

The target price is reduced to 75c from 87c. The Buy rating is unchanged.

Target price is $0.75 Current Price is $0.42 Difference: $0.335
If IRI meets the Bell Potter target it will return approximately 81% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 1.0

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

Ord Minnett rates JHX as Accumulate (2) -

Ahead of James Hardie Industries' December quarter result, Ord Minnett adjusts earnings forecasts based on the latest housing construction data in Australia and the US, along with changes to forex assumptions.

The broker has downgraded its assumption for US single-family housing starts in 2025 to 3.6% from 4.4% due to higher interest rates and the stock of unsold new houses on the market.

The US repair and restoration market is forecast to generate volume growth of 2.2% in 2025 following a contraction in volumes over the previous two calendar years.

Ord Minnett lowers EPS estimates by -1% for FY25 and FY26 but continues to expect the company to achieve EPS growth of 12% in FY26 and 17% in FY27.

Accumulate rating retained. The target price is raised to $58 from $57.

Target price is $58.00 Current Price is $51.52 Difference: $6.48
If JHX meets the Ord Minnett target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $59.98, suggesting upside of 9.9% (ex-dividends)

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: 0.8

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

Citi rates KAR as Buy (1) -

Citi reviews the oil and gas sector and finds it challenging to adopt an overweight rating for the sector.

The broker's commodities team forecasts a crude oil surplus from 2Q 2025. Historically, the broker explains, the Energy and Production sector underperforms the ASX by -30% during periods of crude oversupply.

Risks to this assumption include improved OPEC-plus compliance or changes in demand. Karoon Energy remains Buy rated with a $2 target price and is believed to offer "deep value" the analyst states.

Target price is $2.00 Current Price is $1.41 Difference: $0.59
If KAR meets the Citi target it will return approximately 42% (excluding dividends, fees and charges).

Current consensus price target is $2.16, suggesting upside of 44.7% (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: 0.8

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

UBS rates LYC as Neutral (3) -

UBS makes small changes to EPS forecasts for Lynas Rare Earths after marking-to-market to the end of the December quarter.

The Neutral rating and $7.95 target are unchanged.

Target price is $7.95 Current Price is $7.07 Difference: $0.88
If LYC meets the UBS target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $6.88, suggesting downside of -3.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: -0.3

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

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

While a positive outlook for Monadelphous Group supports Macquarie's forecast for low double-digit earnings growth over FY25/26, the broker downgrades to Neutral from Outperform after a strong share price performance.

The target rises to $14.80 from $14.44 on the analyst's slightly higher EPS forecasts. 

Target price is $14.80 Current Price is $14.44 Difference: $0.36
If MND meets the Macquarie target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $14.64, suggesting upside of 2.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.2

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

UBS rates NEM as Neutral (3) -

UBS makes small changes to EPS forecasts for Newmont Corp after marking-to-market to the end of the December quarter.

The Neutral rating and $82 target are unchanged.

Target price is $82.00 Current Price is $64.93 Difference: $17.07
If NEM meets the UBS target it will return approximately 26% (excluding dividends, fees and charges).

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.5

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

UBS rates NIC as Buy (1) -

UBS makes small changes to EPS forecasts for Nickel Industries after marking-to-market to the end of the December quarter.

The Buy rating and $1.10 target are unchanged.

Target price is $1.10 Current Price is $0.85 Difference: $0.25
If NIC meets the UBS target it will return approximately 29% (excluding dividends, fees and charges).

Current consensus price target is $1.20, suggesting upside of 40.8% (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: 0.7

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

UBS rates NST as Buy (1) -

UBS makes small changes to EPS forecasts for Northern Star Resources after marking-to-market to the end of the December quarter.

The Buy rating and $19.05 target are unchanged.

Target price is $19.05 Current Price is $17.28 Difference: $1.77
If NST meets the UBS target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $17.98, suggesting upside of 3.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.5

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

Citi rates ORG as Buy (1) -

Citi forecasts an LNG price of US$13.2/mmBtu, below futures pricing of US$14.5/mmBtu, with a likelihood that Russian supplies will flow to Europe again under a negotiated Ukraine transit deal.

Citi seeks further clarity on how Origin Energy will fully replace Eraring and expects a NSW gas peaker plant as part of the solution at the upcoming reporting season.

The stock remains Buy rated, with an upgraded target price of $12.50 from $11.00.

Target price is $12.50 Current Price is $11.19 Difference: $1.31
If ORG meets the Citi target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $10.89, suggesting downside of -2.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.6

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

Macquarie rates PMV as Neutral (3) -

Macquarie lowers its EPS forecasts for Premier Investments across FY25 and FY26 by -12.5% and -11.8%, respectively, driven largely by a lower EBIT margin as revealed in the January 13 trading update.

The update indicated 1H sales missed the consensus forecast by -3%, with higher costs resulting in a more significant impact on the EBIT line, explains the analyst.

Apparel sales were largely in line with the broker's forecasts, suggesting weaker performance for Peter Alexander and/or Smiggle in the first half.

Macquarie continues to see headwinds for Smiggle, with customers still facing higher cost-of-living and interest rate pressures.

The target drops to $29 from $34.20 due to the broker's EPS forecast downgrades. Neutral rating is maintained.

Target price is $29.00 Current Price is $26.97 Difference: $2.03
If PMV meets the Macquarie target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $32.10, suggesting upside of 14.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

UBS rates PRU as Buy (1) -

UBS makes small changes to EPS forecasts for Perseus Mining after marking-to-market to the end of the December quarter.

The Buy rating and $3.35 target are unchanged.

Target price is $3.35 Current Price is $2.71 Difference: $0.64
If PRU meets the UBS target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $3.39, suggesting upside of 22.7% (ex-dividends)

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: 0.8

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

Ord Minnett rates RHC as Hold (3) -

Ord Minnett has revised earnings models for healthcare companies following changes in forex assumptions in the December quarter.

The broker views Ramsay Health Care as offering some value at current levels but seeks confirmation of a "sustainable recovery" in margins before becoming more positive on the stock.

Hold rated with a $41.45 target price.

CSL and ResMed remain the top stock picks in the sector, with double-digit EPS growth expected across the analyst's investment horizon.

Target price is $41.45 Current Price is $34.63 Difference: $6.82
If RHC meets the Ord Minnett target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $43.21, suggesting upside of 26.9% (ex-dividends)

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.0

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

Citi rates RIO as Neutral (3) -

In a first look at Rio Tinto's fourth-quarter production results, Citi describes a "solid" outcome as management focuses on delivering growth from major projects.

The broker highlights the successful ramp-up of the Oyu Tolgoi underground copper mine, while the Simandou high-grade iron ore project and Western Range mine remain on schedule for first production this year.

Pilbara shipments of 328.6mt in 2024 were in line with the broker's forecast, while bauxite production exceeded guidance of 53-56mt with 58.7mt achieved in 2024.

Mined copper production of 697kt in 2024 was up 13% year-on-year, driven by the Oyu Tolgoi ramp-up and higher grades at Escondida, note the analysts.

Management indicated Pilbara unit costs are expected to be in the upper half of the US$21.75-23.50/t guidance range due to inflation and lower production. Production guidance for 2025 is unchanged.

Target $134. Neutral.

Target price is $134.00 Current Price is $119.49 Difference: $14.51
If RIO meets the Citi target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $129.00, suggesting upside of 7.9% (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: 0.5

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

UBS rates RIO as Neutral (3) -

UBS notes repowering Pacific Aluminium is a key lever for Rio Tinto to decarbonise and potentially add value, given the operations account for around 27% of the company's scope 1 and 2 CO2 emissions.

The broker estimates that repowering could generate a 21% internal rate of return (IRR) and increase group EPS by 4% from FY30.

The $124 target is unchanged.

Overall, the broker remains Neutral on the diversified miners BHP Group and Rio Tinto.

Target price is $124.00 Current Price is $119.49 Difference: $4.51
If RIO meets the UBS target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $129.00, suggesting upside of 7.9% (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: 0.5

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

Ord Minnett rates RMD as Upgrade to Buy from Hold (1) -

Ord Minnett has revised earnings models for healthcare companies following changes in forex assumptions in the December quarter.

The broker raises the target price for ResMed to $43.90 from $40.05 and upgrades the rating to Buy from Hold.

CSL and ResMed remain the top stock picks in the sector, with double-digit EPS growth expected across the analyst's investment horizon.

Target price is $43.90 Current Price is $37.07 Difference: $6.83
If RMD meets the Ord Minnett target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $41.08, suggesting upside of 9.6% (ex-dividends)

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: 0.6

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

Macquarie rates RMS as Outperform (1) -

On January 6, Ramelius Resources released its preliminary second-quarter operational report, with production exceeding Macquarie's and consensus forecasts by 15% and 17%, respectively.

Management highlighted strong output from both Mt Magnet and Edna May. Additionally, ore haulage to Mt Magnet from Cue commenced during the period, with better-than-expected grades contributing to the quarterly production performance, explains the analyst.

The $2.60 target and Outperform rating remain unchanged.

Target price is $2.60 Current Price is $2.21 Difference: $0.39
If RMS meets the Macquarie target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $2.68, suggesting upside of 16.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 1.0

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

Macquarie rates RRL as Outperform (1) -

Following the release of Regis Resources' second-quarter preliminary results on January 8, Macquarie notes production exceeded the consensus expectation, driven by outperformance at Tropicana.

Duketon performed in line with prior expectations, with 58.4koz beating the broker's estimate by 2%.

The target price for Regis Resources increases to $3.40 from $3.30. The Outperform rating is maintained.

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

Current consensus price target is $2.77, suggesting downside of -6.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.3

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

UBS rates RRL as Sell (5) -

UBS makes small changes to EPS forecasts for Regis Resources after marking-to-market to the end of the December quarter.

The Sell rating and $2.30 target are unchanged.

Target price is $2.30 Current Price is $2.90 Difference: minus $0.6 (current price is over target).
If RRL meets the UBS target it will return approximately minus 21% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.77, suggesting downside of -6.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.3

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

UBS rates S32 as Buy (1) -

UBS makes small changes to EPS forecasts for South32 after marking-to-market to the end of the December quarter.

The Buy rating is unchanged and the target drops to $4.00 from $4.30.

Target price is $4.00 Current Price is $3.42 Difference: $0.58
If S32 meets the UBS target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $4.09, suggesting upside of 16.9% (ex-dividends)

The company's fiscal year ends in June.

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: 0.8

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

Macquarie rates SEK as Outperform (1) -

Because of a high correlation between improving job advertisement volumes and interest rate cuts, Seek is Macquarie's preferred exposure to upcoming Reserve Bank action, which the broker forecasts will begin next month.

The broker forecasts Seek will reveal $76m of adjusted NPAT at upcoming 1H results on February 18. Consensus is forecasting $84m.

The target falls to $25 from $28 after a new analyst adjusts forecasts. The Outperform rating is unchanged.

Target price is $25.00 Current Price is $21.70 Difference: $3.3
If SEK meets the Macquarie target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $26.84, suggesting upside of 20.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.9

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

UBS rates SFR as Sell (5) -

UBS makes small changes to EPS forecasts for Sandfire Resources after marking-to-market to the end of the December quarter.

The Sell rating and $9.85 target are unchanged.

Target price is $9.85 Current Price is $9.42 Difference: $0.43
If SFR meets the UBS target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $9.95, suggesting upside of 2.2% (ex-dividends)

The company's fiscal year ends in June.

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: -0.3

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

Ord Minnett rates SHL as Lighten (4) -

Ord Minnett has revised earnings models for healthcare companies following changes in forex assumptions in the December quarter.

The broker highlights Sonic Healthcare as the least preferred stock in the sector. The valuation is viewed as "expensive," with risks of downgrades to consensus earnings forecasts.

Lighten rating with a $25.45 target price.

CSL and ResMed remain the top stock picks in the sector, with double-digit EPS growth expected across the analyst's investment horizon.

Target price is $25.45 Current Price is $27.88 Difference: minus $2.43 (current price is over target).
If SHL meets the Ord Minnett target it will return approximately minus 9% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $28.29, suggesting upside of 2.0% (ex-dividends)

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.0

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

Citi rates STO as Buy (1) -

Citi reviews the oil and gas sector and finds it challenging to adopt an overweight rating for the sector.

The broker's commodities team forecasts a crude oil surplus from 2Q 2025. Historically, the broker explains, the Energy and Production sector underperforms the ASX by -30% during periods of crude oversupply.

Risks to this assumption include improved OPEC+ compliance or changes in demand. Santos remains Buy rated due to portfolio quality and dividends. The target price is unchanged at $7.60.

Target price is $7.60 Current Price is $7.14 Difference: $0.46
If STO meets the Citi target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $7.98, suggesting upside of 11.0% (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: 1.0

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

Macquarie rates WAF as Outperform (1) -

Last week's preliminary fourth-quarter production result by West African Resources aligned with Macquarie's forecast, and helped achieve the upper end of management's FY24 guidance.

Less positively, gold sales of 48koz were -6% below the broker's estimate, largely due to timing issues.

The analyst notes Kiaka's completion in the third quarter of 2025 could more than double production at a time when gold prices are at historic highs.

The $2.20 target and Outperform rating remain unchanged.

Target price is $2.20 Current Price is $1.59 Difference: $0.61
If WAF meets the Macquarie target it will return approximately 38% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

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 WDS as Sell (5) -

Citi reviews the oil and gas sector and finds it challenging to adopt an overweight rating for the sector.

The broker's commodities team forecasts a crude oil surplus from 2Q 2025. Historically, the broker explains, the Energy and Production sector underperforms the ASX by -30% during periods of crude oversupply.

Citi forecasts an LNG price of US$13.2/mmBtu, below futures pricing of US$14.5/mmBtu, with a likelihood that Russian supplies will flow to Europe again under a negotiated Ukraine transit deal.

Woodside Energy remains Sell rated, with a $23.50 target price, revised up from $21.50. The analyst sees better relative value in Santos and remains concerned about "degradation" in Woodside's portfolio.

Target price is $23.50 Current Price is $25.78 Difference: minus $2.28 (current price is over target).
If WDS meets the Citi target it will return approximately minus 9% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $27.72, suggesting upside of 7.2% (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: 0.0

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

Bell Potter rates WHC as Buy (1) -

Bell Potter has marked-to-market for the December quarter for Whitehaven Coal and lowered its near-term hard coking and thermal coal forecasts by -5% and -11%, respectively. The broker's Australian dollar forecast is also adjusted lower.

The $9.00 target is unchanged. Buy. The broker believes the balance sheet will significantly de-risk with the Blackwater sell down due for completion this quarter.

Whitehaven's Q2 production report is due to be released on January 29.

Target price is $9.00 Current Price is $6.27 Difference: $2.73
If WHC meets the Bell Potter target it will return approximately 44% (excluding dividends, fees and charges).

Current consensus price target is $8.98, suggesting upside of 44.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 1.0

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

Citi rates WOR as Buy (1) -

Citi reviews the oil and gas sector and finds it challenging to adopt an overweight rating for the sector.

The broker's commodities team forecasts a crude oil surplus from 2Q 2025. Historically, the broker explains, the Energy and Production sector underperforms the ASX by -30% during periods of crude oversupply.

Citi forecasts an LNG price of US$13.2/mmBtu, below futures pricing of US$14.5/mmBtu, with a likelihood that Russian supplies will flow to Europe again under a negotiated Ukraine transit deal.

The broker is more cautious on the Capital Phase 2 project for Worley than previously and has downgraded earnings growth forecasts for the project to 33% from 50%.

Worley is Buy rated with an unchanged target price of $18.

Target price is $18.00 Current Price is $14.05 Difference: $3.95
If WOR meets the Citi target it will return approximately 28% (excluding dividends, fees and charges).

Current consensus price target is $18.26, suggesting upside of 29.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 1.0

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