Australian Broker Call

Shaw and Partners rates 3DA as Buy (1) -

Amaero International announced its 2Q25 activities report, notes Shaw and Partners, with revenue of $1.6m, including approximately $1m from powder sales. The balance came from powder metallurgy hot isostatic pressing.

The company also received a loan under the Make More in America plan for US$23.5m, marking the sixth loan from EXIM. The broker estimates the loan will represent 75% of equipment costs at US$28.5m, with an interest rate of 6.95%.

Shaw and Partners continues to rate the stock a Buy with an unchanged 60c target price.

Target price is $0.60 Current Price is $0.35 Difference: $0.25
If 3DA meets the Shaw and Partners target it will return approximately 71% (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

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

Following a review of banking stocks, Macquarie has retained its underweight sector call due mainly to highly stretched valuations. Given the anaemic earnings growth outlook, the broker struggles to get bullish at current levels, even after incorporating more favourable trends. 

The broker has incorporated short-term margin trends and a better-than-expected economic backdrop which has driven pre-provision upgrades of 3-5% in FY25 and 0-3% in FY26.

In the case of ANZ, following its -8-30% relative underperformance vs peers over the last 12 months, and the unlikely risk to numbers in
FY25, Macquarie has "tactically" upgraded the bank to Neutral from an Underperform recommendation.

Target price increases to $28.0 from $26.5.

Target price is $28.00 Current Price is $29.57 Difference: minus $1.57 (current price is over target).
If ANZ 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 $28.13, suggesting downside of -6.4% (ex-dividends)

The company's fiscal year ends in September.

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 BEN as Underperform (5) -

Following a review of banking stocks, Macquarie has retained its underweight sector call due mainly to highly stretched valuations. Given the anaemic earnings growth outlook, the broker struggles to get bullish at current levels, even after incorporating more favourable trends. 

The broker has incorporated short-term margin trends and a better-than-expected economic backdrop which has driven pre-provision upgrades of 3-5% in FY25 and 0-3% in FY26.

Macquarie has transferred coverage on Bendigo & Adelaide Bank to Carlos Cacho from Victor German.

The broker continues to view regional banks as structurally disadvantaged and its forecasts for Bendigo & Adelaide Bank are well below consensus in FY26-28 at both pre-provision and headline levels. The key driver of this gap are margins, with FY26 margin forecasts -9bps below consensus.

Following its recent re-rating and given the hefty multiple, Macquarie has retained its Underperform recommendation.

The target price is lifted to $10.5 from $9.5 after applying around 9% sustainable return-on-tangible-equity in the Gordon Growth valuation, and a 14.7x multiple to FY25 earnings.

Target price is $10.50 Current Price is $13.18 Difference: minus $2.68 (current price is over target).
If BEN meets the Macquarie target it will return approximately minus 20% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $10.94, suggesting downside of -17.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: -0.8

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

Bell Potter rates BGL as Buy (1) -

In research dated January 6, Bell Potter lowered its target for Buy-rated Bellevue Gold to $1.90 from $1.95 following weak second-quarter production, which led to a downgrade in FY25 guidance.

The broker explained gold production was affected by delays in accessing high-grade mining areas and increased grade variability in low-grade areas.

The analysts warned another weak quarterly production result could trigger speculation about the need for additional funding.

Target price is $1.90 Current Price is $1.10 Difference: $0.805
If BGL meets the Bell Potter target it will return approximately 74% (excluding dividends, fees and charges).

Current consensus price target is $1.58, suggesting upside of 37.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.8

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

Citi rates BHP as Buy (1) -

In its first impressions of BHP Group's quarterly activities report, Citi describes a "strong" production outcome, with all key commodity groups exceeding the broker's estimates.

Management expects production will reach the upper half of FY25 guidance at WA iron ore, the BHP Mitsubishi Alliance (BMA) for metallurgical coal, New South Wales Energy Coal (NSWEC), and Samarco (iron ore pellets).

Citi highlights FY25 production guidance remains unchanged across all assets except Copper South America (SA), which has been revised lower due to a weather-related power outage.

Realised pricing in copper was impacted by provisional pricing adjustments, while other realised pricing aligned with the broker's expectations.

FY25 cost guidance is unchanged except for higher estimates at Copper SA.

Buy. Target $46.

Target price is $46.00 Current Price is $40.24 Difference: $5.76
If BHP meets the Citi target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $45.31, suggesting upside of 11.9% (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

Bell Potter rates BIO as Buy (1) -

Bell Potter expects Biome Australia to deliver a maiden net profit for the first half of FY25 following another record quarterly result.

Adjusted earnings (EBITDA), excluding share-based payments, were slightly positive for the fourth consecutive quarter, exceeding the broker's forecast for a breakeven result.

The Buy rating and 85c target remain unchanged after the analysts increased the assumed risk-free rate to 4.5% from 4%, reflecting the recent rise in 10-year yields.

Target price is $0.85 Current Price is $0.52 Difference: $0.335
If BIO meets the Bell Potter target it will return approximately 65% (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

Macquarie rates BOQ as Underperform (5) -

Following a review of banking stocks, Macquarie has retained its underweight sector call due mainly to highly stretched valuations. Given the anaemic earnings growth outlook, the broker struggles to get bullish at current levels, even after incorporating more favourable trends. 

The broker has incorporated short-term margin trends and a better-than-expected economic backdrop which has driven pre-provision upgrades of 3-5% in FY25 and 0-3% in FY26.

The broker reckons Bank of Queensland remains in a challenging position due to a shrinking mortgages book, a lack of cheap deposits, and only modest growth in business lending.

Macquarie sees some near-term upside to earnings from more favourable term deposit spreads but is well below consensus on earnings from FY26 onwards

The target price is lifted to $5.75 from $5.5 after applying around 7% sustainable return-on-tangible-equity in the Gordon Growth valuation, and a 13.7x multiple to FY25 earnings. Underperform rating stays.

Target price is $5.75 Current Price is $6.70 Difference: minus $0.95 (current price is over target).
If BOQ meets the Macquarie target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $5.90, suggesting downside of -12.3% (ex-dividends)

The company's fiscal year ends in August.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: -0.8

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

Macquarie rates CBA as Underperform (5) -

Following a review of banking stocks, Macquarie has retained its underweight sector call due mainly to highly stretched valuations. Given the anaemic earnings growth outlook, the broker struggles to get bullish at current levels, even after incorporating more favourable trends. 

The broker has incorporated short-term margin trends and a better-than-expected economic backdrop which has driven pre-provision upgrades of 3-5% in FY25 and 0-3% in FY26.

Macquarie has transferred coverage on CommBank to Carlos Cacho from Victor German.

The broker has applied a 15% sustainable Return-on-Tangible-Equity (ROTE) in the Gordon Growth valuation and an 18.6x multiple to FY25 earnings which raised the target price to $105 from $97.

Rating remains at Underperform due to stretched valuation. 

Target price is $105.00 Current Price is $155.06 Difference: minus $50.06 (current price is over target).
If CBA meets the Macquarie target it will return approximately minus 32% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $104.22, suggesting downside of -33.2% (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 CGF as Buy (1) -

Citi expects a life book contraction in 2Q25 due to higher maturities and forecasts a marginal negative impact for mark-to-market, with lower market value for global macro funds offset by gains in CAT bonds for Challenger.

The analyst anticipates a platform improvement in 1H25, expected to be completed by the end of FY25. Cost savings from the Accenture partnership and the outsourcing of funds administration to State Street are also expected.

The broker lowers the FY25 EPS estimate by -9.3%, while the FY26 forecast is lifted by 0.2%.

The stock remains Buy-rated with a $7.80 target price.

Target price is $7.80 Current Price is $6.09 Difference: $1.71
If CGF meets the Citi target it will return approximately 28% (excluding dividends, fees and charges).

Current consensus price target is $7.57, suggesting upside of 23.9% (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

Bell Potter rates CIA as Buy (1) -

Champion Iron will partner with Nippon Steel Corporation and Sojitz Corporation, which will contribute CA$245m for a combined 49% interest, to jointly own and develop the Kami Project, noted Bell Potter in a December 20 research note.

Champion Iron will operate the project, with each party entitled to its equity share of production. Nippon and Sojitz will contribute up to CA$490m before Champion Iron provides its pro-rata share, explained the broker.

The sell-down significantly reduces the funding risk required to advance Kami through a definitive feasibility study (DFS), suggest the analysts.

The target price increased to $7.15 from $7.10, with the Buy rating maintained.

Target price is $7.15 Current Price is $6.07 Difference: $1.08
If CIA meets the Bell Potter target it will return approximately 18% (excluding dividends, fees and charges).

The company's fiscal year ends in March.

Forecast for FY25:

Forecast for FY26:

This company reports in CAD. 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 CPU as Downgrade to Neutral from Buy (3) -

Citi reluctantly joins consensus in downgrading Computershare to Neutral from Buy due to the rally in the share price.

At current levels, upside risks are more uncertain, prompting a more cautious stance, the analyst explains.

The broker views the current interest rate curve as potentially more positive than current forecasts for margin income, alongside expectations of higher corporate actions and debt issuance. Plan volumes also remain robust.

Citi likes the two recent acquisitions, which, though small, could add new expertise to Issuer Services. The company's balance sheet is also robust, the broker highlights, enabling further acquisitions.

Target price is raised to $35 from $30. Neutral rating maintained. EPS forecasts are adjusted for forex moves and recent rate changes.

Target price is $35.00 Current Price is $34.19 Difference: $0.81
If CPU meets the Citi target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $32.92, suggesting downside of -2.4% (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

Shaw and Partners rates CXL as Buy (1) -

Calix raised $20m via a share placement and is in the process of raising $5m through a share purchase plan at 72c per share, the analyst at Shaw and Partners highlights.

Funds are intended to be allocated as $4m to lithium, Leilac, $9m to ZESTY, and $7m to working capital, underwriting an 18-month strategy for the company, according to the broker.

The company's share price has historically shown a strong correlation to the EU carbon price, Shaw and Partners explains. The latter has appreciated 10% over the last month, which the analyst views positively for the Calix share price.

Target price is lowered to $1.70 from $2 as EPS forecasts are adjusted for the equity issue. No change to the Buy rating. High risk.

Target price is $1.70 Current Price is $0.73 Difference: $0.97
If CXL meets the Shaw and Partners target it will return approximately 133% (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 DHG as Neutral (3) -

Industry listings growth data indicate to Citi a 4% year-on-year increase in the second quarter of FY25 and 5.5% growth for the first half.

For Domain Holdings Australia, the broker believes FY25 is tracking largely in line with consensus expectations.

Neutral rating. Target $3.20.

Target price is $3.20 Current Price is $2.70 Difference: $0.5
If DHG meets the Citi target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $3.22, suggesting upside of 19.6% (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

Bell Potter rates DYL as Speculative Buy (1) -

Bell Potter's target for Deep Yellow was lowered to $1.70 from $1.90 (December 19 research), after updating forecasts for the most recent cash balance and the broker's uranium price forecasts.

The analysts also adjusted development timelines for the Tumas Uranium Project (TUP) and Mulga Rock Uranium Project (MUP), after management deferred the TUP final investment decision (FID) by around three months to early-March this year.

This deferral, announced on December 19 last year, shifts commencement of construction for the TUP to 1QFY26 and first production in 2QFY27. Speculative Buy rating.

Target price is $1.70 Current Price is $1.31 Difference: $0.395
If DYL meets the Bell Potter target it will return approximately 30% (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

Macquarie rates DYL as Initiation of coverage with Outperform (1) -

Macquarie has initiated coverage on Deep Yellow with an Outperform rating and target price of $2.00.

The broker notes the uranium industry lacks shovel-ready greenfield uranium projects at a time of accelerating uranium demand growth. Deep Yellow has two long-life greenfield uranium assets, capable of delivering 7Mlb/year scale by 2030.

Deep Yellow has conducted drilling along the Tumas paleochannel for the last 5-plus years and the 3.6Mlb/yr project is now economic and expected to reach final investment decision soon, the broker notes. 

The rating incorporates US$85/lb longer-term price uranium assumption.

Target price is $2.00 Current Price is $1.31 Difference: $0.695
If DYL meets the Macquarie target it will return approximately 53% (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 EOS as Buy (1) -

Ord Minnett notes Electro Optic Solutions has made a good start to the new year with the sale of EM Solutions to Cohort PLC for $144m to be completed on January 31.

The sale leaves the company debt-free and an additional $81.6m in cash. It gives management around 24 months of funding in which to execute Counter-drone strategy, replenish the order book and achieve significant new contract wins. 

The broker sees the early settlement negatively impacting FY25 earnings but has retained the $2.00 target price and Buy rating.

Target price is $2.00 Current Price is $1.15 Difference: $0.85
If EOS meets the Ord Minnett target it will return approximately 74% (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

Ord Minnett rates FND as Buy (1) -

Findi has agreed to acquire BankIT, a provider of banking, financial, insurance and payments services in India, for -$30m.

Ord Minnett notes the deal will expand the company's digital reach to 200,000 merchants from 70,000 while simultaneously enhancing its product suite and capabilities.

The broker has modelled 13% EPS accretion in FY26. The target price rises to $8.32 from $7.76 and the Buy rating stays.

Target price is $8.32 Current Price is $4.70 Difference: $3.62
If FND meets the Ord Minnett target it will return approximately 77% (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 GMD as Buy (1) -

Citi notes 2Q25 production for Genesis Minerals came in above guidance, with a 4.4mtpa mill run rate and all-in-sustaining costs of $1,845/oz, an improvement of $750/oz compared to the previous quarter.

Cash and cash equivalents advanced by $60m to $238m. The broker highlights that Tower Hill and Westralia continue to progress well, with updates expected in 4Q25 on the rail agreement and Westralia resource.

Citi retains a Buy rating with a $3.20 target price.

Target price is $3.20 Current Price is $2.88 Difference: $0.32
If GMD meets the Citi target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $3.22, suggesting upside of 9.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.8

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

Bell Potter rates GNP as Buy (1) -

Boosting GenusPlus Group's order book in the medium-term, Bell Potter (on December 20) pointed to the $140m contract award by Ausgrid as a "material" development.

The contract involves sub-transmission line works for the Hunter-Central Coast Renewable Energy Zone project.

Reducing risk across the analysts' FY26-27 forecasts, the contract increases the proportion of contracted work, supporting the broker's 23% EPS compound annual growth (CAGR) outlook for FY25-27.

The target price remained at $3.10, with the Buy rating maintained.

Target price is $3.10 Current Price is $2.59 Difference: $0.51
If GNP meets the Bell Potter target it will return approximately 20% (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

UBS rates GOR as Buy (1) -

UBS observes the Gilmour pre-feasibility study revealed a mine life averaging 50kozpa at an average all-in-sustaining cost of $2,004/oz, with establishment capex of -$36m.

Mining is expected to combine open pit and underground operations, with ore transported to the Gruyere process plant.

UBS believes the stock is well-positioned for growth, supported by cash of $174m and an $843m stake in De Grey Mining ((DEG)).

Target price is raised to $2.60 from $2.30. Buy rating remains unchanged.

Target price is $2.60 Current Price is $2.44 Difference: $0.16
If GOR meets the UBS target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $2.43, suggesting downside of -1.1% (ex-dividends)

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

Shaw and Partners rates HLO as Buy (1) -

Shaw and Partners reviews the latest ABS overseas arrivals and departures data for November in relation to the outlook for Helloworld Travel.

Total arrivals rose 6.8% in the month compared to a year earlier, while departures increased 11.6% over the same period.

The broker notes that for the five months to November from June, total arrivals rose 8.9% year-on-year, and total departures were up 11.8%. The analyst explains these statistics support the FY25 revenue forecast of 10.4% annual growth.

Shaw and Partners makes no changes to earnings forecasts.

No change to the Buy rating, High risk, and $3.50 target price.

Target price is $3.50 Current Price is $1.98 Difference: $1.525
If HLO meets the Shaw and Partners target it will return approximately 77% (excluding dividends, fees and charges).

Current consensus price target is $2.82, suggesting upside of 40.8% (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

Bell Potter rates HMC as Upgrade to Buy from Hold (1) -

In research penned on 19 December last year, Bell Potter raised its target for HMC Capital to $13.50 from $9.05 and upgraded to Buy from Hold, citing a first-half boost from data centres and the recent Neoen acquisition.

The broker believes the platform is reaching optimal scale and breadth, creating potential for additional fee-earning capability.

Funds under management (FUM) have increased to $19bn following the DigiCo Infrastructure REIT ((DGT)) listing, noted the analysts.

Target price is $13.50 Current Price is $9.07 Difference: $4.43
If HMC meets the Bell Potter target it will return approximately 49% (excluding dividends, fees and charges).

Current consensus price target is $9.69, suggesting upside of 4.6% (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

Citi rates HUB as Neutral (3) -

On first take, Citi observes Hub24 reported stronger-than-expected flows in 2Q25, exceeding the analyst's forecast by 9%, alongside positive market momentum.

The broker raises net flow forecasts for FY25 to $18.8bn, including $3.6bn of large transactions incorporating Clearview Wealth ((CVW)). Citi assumes 90% of Clearview’s business will transition to Hub24 in 4Q25.

The analyst upgrades earnings forecasts by 2% for FY25 and 35% for FY26, with the target price increasing 1% to $74.50 from $73.80.

The stock is expected to outperform today, but the Neutral rating is retained.

Target price is $73.80 Current Price is $65.23 Difference: $8.57
If HUB meets the Citi target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $64.92, suggesting downside of -10.6% (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

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

Morgan Stanley continues to favour insurers, believing double-digit earnings growth, improved earnings quality, and capital management announcements from all three insurers will support share prices.

Following a positive stance on the sector in 2024, the broker views the ongoing outlook as upbeat and recommends investors maintain exposure in 2025.

While pricing growth is slowing, the broker notes it remains sufficient to support "healthy" topline growth above claims inflation.

Morgan Stanley highlights the "quality" of Insurance Australia Group but views the stock as expensive, with earnings growth expected to be lower in FY25 than Suncorp due to the new multi-year CAT aggregate reinsurance cover.

The analyst expects the company to resume its $350m buyback, to be announced at 1H25 results.

Unchanged Equal-weight rating. Target price is raised to $8 from $7.55. Industry View: In-Line.

Target price is $8.00 Current Price is $8.65 Difference: minus $0.65 (current price is over target).
If IAG meets the Morgan Stanley target it will return approximately minus 8% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $8.72, suggesting upside of 0.4% (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

Citi rates IMD as Sell (5) -

Citi's first take on the 1H25 activity levels from Imdex reinforces the ongoing volatility in the exploration and exploration-linked junior raisings market over December.

The number of exploration projects is down -6% sequentially, Citi states. The analyst expects a "soft" 1H25 result and anticipates consensus earnings for FY25 will be revised lower.

Citi highlights ongoing near-term opacity in the markets but suggests the cycle is "edging" towards a turnaround. Imdex is viewed as being more resilient within the industry.

The analyst does not envisage a turnaround until 2H25. The stock remains Sell-rated. Target $1.95.

Target price is $1.95 Current Price is $2.59 Difference: minus $0.64 (current price is over target).
If IMD meets the Citi target it will return approximately minus 25% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.28, suggesting downside of -12.3% (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

Ord Minnett rates INR as Speculative Buy (1) -

The US Department of Energy has upsized its loan towards Ioneer's Rhyolite Ridge lithium-boron project to US$996m from US$700m.

Ord Minnett views this as a positive for the company as five years of inflation since the previous definitive feasibility study in 2020
is likely to have materially increased the capital costs.

The broker now estimates total funding requirements of -US$1611m, which would require some capital raise after accounting for Sibanye’s contribution of US$490mn. The upsized loan makes the capital raise manageable, the broker believes.

Target price is retained at 30c and Speculative Buy rating stays.

Target price is $0.30 Current Price is $0.21 Difference: $0.095
If INR meets the Ord Minnett target it will return approximately 46% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

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

Ord Minnett rates IRE as Accumulate (2) -

Ord Minnett observes the sale of Iress' loss-making superannuation operations to Apex Group for $60m, with $40m cash upfront and an earnout payout of $20m, the broker explains.

The division was expected to report a loss of -$4.8m in 2024, making the sale a positive move in the analyst's view, while also generating $60m in cash.

Iress' business composition is now "cleaner,"  Ord Minnett believes, and management can focus on wealth management and trading software.

No changes to EPS forecasts. The Buy rating and $12 target price are retained.

Target price is $12.00 Current Price is $9.64 Difference: $2.36
If IRE meets the Ord Minnett target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $10.33, suggesting upside of 7.0% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.4

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

Bell Potter rates MAD as Hold (3) -

Bell Potter lowers its FY26 North America segment revenue growth forecast for Mader Group to 8% from 14%, reflecting a more cautious short-to-medium-term outlook.

The analysts expect only a modest half-on-half recovery in North America mining activity.

The target price decreases to $6.80 from $7.20 following an increase in the assumed risk-free rate to 4.3% from 4.0%. The Hold rating is maintained.

Target price is $6.80 Current Price is $6.14 Difference: $0.66
If MAD 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 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 MDR as Buy (1) -

MedAdvisor's trading update on December 20 last year fell significantly short of Bell Potter's forecasts, primarily due to lower-than-expected revenues from respiratory syncytial virus (RSV) and covid vaccine contracts.

Management lowered first-half revenue guidance by -$21m from the midpoint of the original range but indicated a "significant shift of revenue from the first half to the second half".

Bell Potter reduced its target price to 40c from 55c on December 20, describing the update as a disappointing setback for the company's near-term US growth outlook. The Buy rating was maintained.

Target price is $0.40 Current Price is $0.21 Difference: $0.195
If MDR meets the Bell Potter target it will return approximately 95% (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

Bell Potter rates MSB as Speculative Buy (1) -

On December 20, Bell Potter raised its target for Mesoblast to $3.90 from $1.40 following FDA approval of Ryoncil for treating steroid-refractory acute graft-versus-host disease (SR-aGvHD) in paediatric patients aged two months and older.

The analysts suggested the approval could mark the beginning of broader opportunities for Mesoblast, with multiple additional indications for inflammatory diseases in children and a potential label expansion to include adult GvHD.

The broker's revenue forecast was based on a base price of US$750,000 per patient in a market of fewer than 200 patients annually.

The Speculative Buy rating was maintained.

Target price is $3.90 Current Price is $2.78 Difference: $1.12
If MSB meets the Bell Potter target it will return approximately 40% (excluding dividends, fees and charges).

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: 1.0

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

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

Following a review of banking stocks, Macquarie has retained its underweight sector call due mainly to highly stretched valuations. Given the anaemic earnings growth outlook, the broker struggles to get bullish at current levels, even after incorporating more favourable trends. 

The broker has incorporated short-term margin trends and a better-than-expected economic backdrop which has driven pre-provision upgrades of 3-5% in FY25 and 0-3% in FY26.

The broker sees National Australia Bank as an attractive longer-term exposure to a more resilient small and medium enterprises banking sector that is less homogenous than retail banking and likely to deliver better returns.

Given modest upside risk to FY25 earnings, and a relative valuation appeal to Commbank ((CBA)) and Westpac ((WBC)), Macquarie has tactically upgraded NAB to Neutral from an Underperform rating.

The target price is also lifted to $36 from $32.5 based on an 11% sustainable return-on-tangible equity in the Gordon Growth valuation and a 17.3x multiple to FY25 earnings.

Target price is $36.00 Current Price is $38.08 Difference: minus $2.08 (current price is over target).
If NAB 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 $33.45, suggesting downside of -13.8% (ex-dividends)

The company's fiscal year ends in September.

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 NSR as Buy (1) -

Citi expects National Storage REIT to report "stable earnings" in its 1H25 results, driven by ongoing growth in storage rental rates, steady like-for-like occupancy, and continued development to support higher occupancy levels. Finance costs also appear to have peaked.

The analyst views the REIT as a good defensive exposure for investors, attractively valued at current levels, with the potential to deliver robust long-term growth in a less competitive sub-sector of REITs.

The REIT remains Buy-rated with a $2.70 target price.

Target price is $2.70 Current Price is $2.31 Difference: $0.39
If NSR meets the Citi target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $2.54, suggesting upside of 9.3% (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 PMT as Speculative Buy (1) -

In research dated December 20, 2024, Bell Potter highlighted Volkswagen Group's CA$69m investment to acquire a 9.9% shareholding in Patriot Battery Metals through the issuance of 15.5m shares at the equivalent of 49c per share.

Volkswagen's wholly owned battery manufacturing subsidiary, PowerCo, also entered a binding offtake agreement for the supply of 100ktpa 5.5% Li2O spodumene concentrate from Patriot's Shaakichiuwaanaan Project over ten years.

The Speculative Buy rating remained unchanged, with the target lowered to 70c from 75c. The broker planned to update its financial modelling upon completion of the transaction.

Target price is $0.70 Current Price is $0.39 Difference: $0.31
If PMT meets the Bell Potter target it will return approximately 79% (excluding dividends, fees and charges).

Current consensus price target is $0.80, suggesting upside of 100.0% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY25:

Forecast for FY26:

This company reports in CAD. 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 PPT as Buy (1) -

Citi explains the KKR deal is increasingly in doubt, so investors are likely to hear more about the strategic cost savings program from the CEO of Perpetual, with expectations of more details at the 1H25 results.

Management has suggested cost reductions of -$25m-$35m per annum before tax as achievable over the next two years, although the analyst notes these targets were established prior to the appointment of the new CEO.

The company is due to report 2Q25 results after Australia Day, and the broker anticipates forex movements will increase assets under management.

Accordingly, Citi lifts FY25 EPS by 4.1% and retains the Buy rating with a $22.50 target price.

Target price is $22.50 Current Price is $20.38 Difference: $2.12
If PPT meets the Citi target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $22.86, suggesting upside of 9.1% (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

Bell Potter rates PTM as Sell (5) -

Bell Potter notes funds under management (FUM) for Platinum Asset Management rose 0.8% in December compared to November.

Outflows stood at -$289m, or approximately 2.6% of FUM, compared to the analyst's expectations of -$137m, or 1.3% of FUM.

The broker observes outflows continued at an elevated rate, with 1H25 showing outflows of -$2.3bn, or 17.8% of FUM, exceeding the 1H24 rate of 10%. The 2H24 rate was 20%.

Investment returns in December were marginally better than expected. Bell Potter lowers FY25 EPS by -6.3% and FY26 EPS by -10.3% following the update.

The broker reduces the target price to 59c from 74c. No change to the Sell rating.

The analyst's report was published on January 10.

Target price is $0.59 Current Price is $0.69 Difference: minus $0.095 (current price is over target).
If PTM meets the Bell Potter target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

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

Morgan Stanley rates QBE as Overweight (1) -

Morgan Stanley continues to favour insurers, believing double-digit earnings growth, improved earnings quality, and capital management announcements from all three insurers will support share prices.

Following a positive stance on the sector in 2024, the broker views the ongoing outlook as upbeat, recommending investors maintain exposure in 2025.

While pricing growth is slowing, the broker notes it remains sufficient to support "healthy" topline growth above claims inflation.

Morgan Stanley sees QBE Insurance as offering the greatest re-rating potential among peers, trading at 10x FY25 earnings forecasts. The analyst sees upside risks to earnings.

Unchanged Overweight rating. Target price is raised to $23.50 from $21.25. Industry View: In-Line.

Target price is $23.50 Current Price is $19.74 Difference: $3.76
If QBE meets the Morgan Stanley target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $21.71, suggesting upside of 8.7% (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: 0.7

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

Citi rates REA as Buy (1) -

Industry listings growth data indicate to Citi a 4% year-on-year increase in the second quarter of FY25 and 5.5% growth for the first half, exceeding the broker's 5% growth forecast for REA Group.

The analyst maintains expectations for a decline in new listings in the second half of FY25.

Citi now sees approximately 1% upside to the consensus revenue forecast of $855m for REA Group.

Target $230. Buy.

Target price is $230.00 Current Price is $231.55 Difference: minus $1.55 (current price is over target).
If REA meets the Citi target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $241.57, suggesting upside of 1.5% (ex-dividends)

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

Bell Potter rates RPL as Buy (1) -

Bell Potter notes Regal Partners' December update indicated preliminary funds under management (FUM) for the month.

The analyst highlights FUM rose to $18bn at the end of 2024, net of distributions and reinvestments, marking a 4.6% increase over the previous quarter and 2.1% above expectations.

Performance fees came in lower than forecast, with investment performance in 2H24 at $0.4bn or 2.3%, consistent with 1H24, versus the broker's expectation of -$0.7bn based on an annualised 8% return on funds.

Bell Potter lowers the 2024 EPS forecast by -7.3% and raises the 2025 EPS forecast by 3.9%.

No change to the target price of $4.85 or the Buy rating.

The analyst's report was published on January 10.

Target price is $4.85 Current Price is $3.85 Difference: $1
If RPL meets the Bell Potter target it will return approximately 26% (excluding dividends, fees and charges).

Current consensus price target is $4.58, suggesting upside of 21.9% (ex-dividends)

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 S32 as Neutral (3) -

Citi notes South32 reported a "strong" December quarter, with aluminium, alumina, and Cannington all coming in above the broker's forecasts.

Working capital was boosted by aluminium sales and increased by around US$120m in the December quarter to approximately US$270m in 1H25.

Capex totalled approximately -US$210m in 1H25, including -US$57m at Illawarra metallurgical coal prior to sale and -US$250m at Hermosa.

Management has revised cost guidance for 1H25 due to higher raw material prices in the aluminium chain, with some slowing anticipated in 2H25.

Citi raises FY25 earnings by 9% due to lower costs at Hillside and improved price realisations at Cannington.

Neutral rating maintained. Target price unchanged at $3.90.

Target price is $3.90 Current Price is $3.51 Difference: $0.39
If S32 meets the Citi target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $4.13, suggesting upside of 15.5% (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

Macquarie rates S32 as Outperform (1) -

Macquarie notes South32's 2QFY25 report was strong, with most assets beating consensus. Unit costs were in-line or slightly above consensus but working capital build proved a key miss.

The broker increased FY25 EPS forecast by 3% but retained the target price at $4.4. Outperform rating stays.

Key catalysts for the company, according to the analyst, include Worsley approval due in March and GEMCO port restart expected 4QFY25.

Target price is $4.40 Current Price is $3.51 Difference: $0.89
If S32 meets the Macquarie target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $4.13, suggesting upside of 15.5% (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

Morgan Stanley rates S32 as Overweight (1) -

South32 reported "strong" 2Q25 production, according to Morgan Stanley's forecasts. Alumina rose 6%, aluminium increased 2%, and Sierra was up 12%; all better than the analyst's estimates.

Manganese production rose 61%, while Cannington, up 8%, came in below forecast.

The company highlighted higher costs across assets on a currency-adjusted basis, with Worsley exceeding the broker's expectations by around 4% due to higher caustic costs. Manganese costs were impacted by the Rand, and Sierra experienced an inventory drawdown.

Morgan Stanley anticipates ongoing operational performance to support the stock's performance.

No change to the Overweight rating and $3.90 target price. Industry View: Attractive.

Target price is $3.90 Current Price is $3.51 Difference: $0.39
If S32 meets the Morgan Stanley target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $4.13, suggesting upside of 15.5% (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

Morgans rates S32 as Add (1) -

All production guidance remains unchanged for South32 following its second-quarter operational update, though guidance for Mozal Aluminium was removed due to challenging conditions in Mozambique, explains Morgans.

The broker was encouraged by increased alumina volumes, testing the upper operational limits of Worsley, amid strong pricing.

Analysts highlight ongoing strength in alumina prices as a key tailwind heading into H2, with alumina expected to account for around 52% of group earnings (EBITDA) in FY25.

The target rises to $4.20 from $4.10. The Add rating is maintained.

Target price is $4.20 Current Price is $3.51 Difference: $0.69
If S32 meets the Morgans target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $4.13, suggesting upside of 15.5% (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

Ord Minnett rates S32 as Buy (1) -

Ord Minnett views the December quarter report from South32 as slightly better to meeting expectations.

Aluminium, alumina, and copper prices were all below the broker's expectations. Management retained FY25 guidance across the company's divisions, excluding the Mozal smelter, which was disrupted by civil unrest in December.

Ord Minnett notes the 1H25 run rate suggests the company is tracking ahead of FY25 guidance, offsetting higher unit costs and softer realised commodity prices in some divisions.

The broker lifts EPS forecasts by 13% and 7% for FY25 and FY26, respectively.

No change to the Buy rating and $4.35 target price.

Target price is $4.35 Current Price is $3.51 Difference: $0.84
If S32 meets the Ord Minnett target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $4.13, suggesting upside of 15.5% (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

UBS rates S32 as Buy (1) -

UBS observes South32 reported a "strong" 4Q 2024 operationally, with aluminium and copper exceeding expectations and Cannington showing quarter-on-quarter improvement with higher silver and lead output, the broker states.

Cerro Matoso achieved 15% quarter-on-quarter growth due to higher plant utilisation, with a review anticipated in 1H25.

Management retained FY25 production guidance but expects higher aluminium unit costs, 5%-10% above guidance.

South32 is set to report 1H25 results on February 13, with UBS forecasting earnings of around US$1bn, in line with consensus. The buyback is expected to remain at approximately $170m.

Buy rating and $4 target price are unchanged. UBS lowers the FY25 EPS estimate by -28%.

Target price is $4.00 Current Price is $3.51 Difference: $0.49
If S32 meets the UBS target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $4.13, suggesting upside of 15.5% (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

Bell Potter rates SMI as Speculative Buy (1) -

NZ's parliament approved the Fast-track Approvals Bill in December, and Santana Minerals' Bendigo-Ophir Gold Project was designated as a fast-track project in October 2024, Bell Potter highlights.

The company announced its intention to lodge applications as soon as possible, with the new platform set to commence operations on February 7.

Bell Potter believes the company's pre-feasibility study supports the view that Santana Minerals' project is one of the most "attractive" gold developments on the ASX.

No change to the Speculative Buy rating and $1.07 target price.

The analyst's report was published on December 19, 2025.

Target price is $1.07 Current Price is $0.46 Difference: $0.615
If SMI meets the Bell Potter target it will return approximately 135% (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

Morgan Stanley rates SUN as Overweight (1) -

Morgan Stanley continues to favour insurers, believing double-digit earnings growth, improved earnings quality, and capital management announcements from all three insurers will support share prices.

Following a positive stance on the sector in 2024, the broker views the ongoing outlook as upbeat and recommends investors maintain exposure in 2025.

While pricing growth is slowing, the broker notes it remains sufficient to support "healthy" topline growth above claims inflation.

Suncorp Group is the analyst's preferred domestic insurer, trading at a lower valuation than IAG, with a better recent history of margin consistency, the broker highlights. Better market share retention in A&NZ is also noted.

Morgan Stanley sees upside risk to earnings.

Target price is raised to $22.10 from $20.50. Overweight rating unchanged. Industry View: In-Line.

Target price is $22.10 Current Price is $19.68 Difference: $2.42
If SUN meets the Morgan Stanley target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $20.09, suggesting upside of 1.1% (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 WBC as Underperform (5) -

Following a review of banking stocks, Macquarie has retained its underweight sector call due mainly to highly stretched valuations. Given the anaemic earnings growth outlook, the broker struggles to get bullish at current levels, even after incorporating more favourable trends. 

The broker has incorporated short-term margin trends and a better-than-expected economic backdrop which has driven pre-provision upgrades of 3-5% in FY25 and 0-3% in FY26.

The broker sees Westpac as the only major bank without upside to consensus pre-provision operating profit earnings in FY25 and meaningful downside risk in FY26-27. Macquarie also sees potential downside to expenses if incoming CEO Anthony Miller decides to accelerate transformation or the technology simplification program runs over budget.

The broker has retained the Underperform recommendation, given earnings risk, recent share price outperformance, and valuation.

The target price is lifted to $28.0 from $26.5 based on a 10% sustainable return-on-tangible equity in the Gordon Growth valuation, and a 16.4x multiple to FY25 earnings.

Target price is $28.00 Current Price is $32.29 Difference: minus $4.29 (current price is over target).
If WBC meets the Macquarie target it will return approximately minus 13% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $29.34, suggesting downside of -10.3% (ex-dividends)

The company's fiscal year ends in September.

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 WES as Lighten (4) -

Incorporating the Christmas period for Wesfarmers, Ord Minnett updates the earnings forecasts of the company including its retail operations and factors in mark-to-market lithium prices, forex changes, and the sale of Coregas in December.

Christmas trading suggests a "positive" backdrop for Bunnings, Kmart, and Target. The analyst expects Bunnings to benefit from improved trading conditions over the year, with sales forecasts upgraded to 3% from 2% in FY25.

The divestment of Coregas for $770m is forecast to add a pre-tax gain of $230m-$260m, which is expected to reduce debt levels.

The broker tweaks EPS forecasts by -0.2% and -0.5% for FY25 and FY26, respectively.

The Lighten rating is retained due to the perceived "excessive" valuation of the stock at current levels. Target price increases to $62 from $59.

Target price is $62.00 Current Price is $71.74 Difference: minus $9.74 (current price is over target).
If WES meets the Ord Minnett target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $65.50, suggesting downside of -9.9% (ex-dividends)

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