Australian Broker Call

Macquarie rates AIS as Upgrade to Outperform from Neutral (1) -

Macquarie points to better-than-expected FY25 guidance from Aeris Resources at the 4Q24 trading update.

The broker highlights FY25 copper production guidance of 27-32kt and cost guidance are above prior forecasts.

Macquarie adjusts the EPS forecasts for FY24 and FY25 by 11% and 33% respectively due to the guidance update.

The stock rating is upgraded to Outperform from Neutral due to the attractive valuation and recent share price weakness.

Target price unchanged at 26c.

Target price is $0.26 Current Price is $0.18 Difference: $0.08
If AIS meets the Macquarie target it will return approximately 44% (excluding dividends, fees and charges).

Current consensus price target is $0.26, suggesting upside of 30.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.7

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

Ord Minnett rates AMP as Buy (1) -

Ahead of result season, Ord Minnett suggests AMP should be underpinned by a strong capital position and more details on planned cost savings. This should be enough to offset any risk to AMP earnings.

Buy, target $1.25.

Target price is $1.25 Current Price is $1.14 Difference: $0.11
If AMP meets the Ord Minnett target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $1.14, suggesting downside of -3.4% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.2

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

Morgans rates ART as Add (1) -

Following Airtasker's 4Q trading update, Morgans lowers its FY25-FY27 gross marketplace volume (GMV) estimates on additional conservatism to growth rates due to the operating environment/macro headwinds.

The lower GMV estimates are offset to a degree by an improved overall group monetisation rate, explains the broker.

Management achieved its target of being free cash flow (FCF) positive on a full year basis, notes the analyst, and the brand campaign launch (late-2023) in the UK is beginning to show results.

The Add rating is unchanged and the broker's target is reduced to 52c from 54c after an earnings forecast refresh and a valuation roll-forward.

Target price is $0.52 Current Price is $0.31 Difference: $0.215
If ART meets the Morgans target it will return approximately 70% (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

Ord Minnett rates ASX as Lighten (4) -

Ahead of result season, Ord Minnett suggests ASX looks to have minimal risk running into the FY24 numbers given management released FY25 guidance at the market operator’s investor day in June.

Lighten, target $59.50.

Target price is $59.50 Current Price is $64.98 Difference: minus $5.48 (current price is over target).
If ASX meets the Ord Minnett target it will return approximately minus 8% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $58.76, suggesting downside of -9.4% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: -0.3

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

Shaw and Partners rates AVL as Buy (1) -

Weak renewable generation has triggered a resurgence in coal generation in NSW and QLD, notes Shaw and Partners. The Australian Energy Market Operator (AEMO) recently confirmed electricity produced from wind turbines has dropped to 12% since June.

AEMO calculates wholesale prices rose 23% to $133/MWh across the national electricity market (NEM) in the three months to June.

Australian Vanadium's flow batteries represent a large scale, longer duration answer to the grid storage problem, with better environmental credentials than lithium-ion cells, suggests the broker.

The company has completed the first phase of the Optimised Feasibility Study for its Australian Vanadium Project following the merger with Technology Metals in February 2024.

 Buy rating and 8c target price retained.

Target price is $0.08 Current Price is $0.02 Difference: $0.065
If AVL meets the Shaw and Partners target it will return approximately 433% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Citi rates BHP as Buy (1) -

BHP Group and Canada's Lundin Mining are to jointly acquire Canada's Filo Corp. BHP will then form a 50:50 JV with Lundin to hold
both the Filo del Sol copper project of Filo plus Lundin’s Josemaria copper project.

BHP’s aggregate transaction cash outlay will be some -US$2.1bn. BHP has not lost its taste for copper, Citi notes.

Buy and $47.50 target retained.

Target price is $47.50 Current Price is $41.54 Difference: $5.96
If BHP meets the Citi target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $45.67, suggesting upside of 8.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.4

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

Ord Minnett rates BHP as Accumulate (2) -

BHP Group and Canada's Lundin Mining have agreed to buy Filo Corp in a deal that gives the buyers ownership of the Filo del Sol project on the border of Chile and Argentina, which is one of the world's largest copper-gold-silver deposits.

Ord Minnett has not yet incorporated the numbers into its model, but the acquisition is in keeping with BHP’s strategy to pivot towards metals exposed to the energy transition and offers medium to longer-term expansion opportunities.

Key risks relate to capital expenditure in developing the Fil del Sol project, the broker notes, given the mine would be the most elevated resources project in the world at 5,127 metres.

Accumulate and $45 target retained.

Target price is $45.00 Current Price is $41.54 Difference: $3.46
If BHP meets the Ord Minnett target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $45.67, suggesting upside of 8.5% (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: 0.4

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

UBS rates BHP as Neutral (3) -

BHP Group and Lundin Mining have proposed to acquire Filo Corp, which is the owner of the Filo del Sol copper project on the border of Argentina and Chile. BHP and Lundin will form a 50:50 JV to develop the Vicuna district containing the Josemaria and FDS projects.

While offering long-dated growth, the transaction is aligned with BHP's strategy and skill set, UBS notes, and the JV has a commanding position in one of the best undeveloped copper districts globally.

UBS remains Neutral on BHP with a $43 target, with modest iron ore price downside offset by constructive copper and met coal price expectations, and further guided copper production uplift into FY25.

Target price is $43.00 Current Price is $41.54 Difference: $1.46
If BHP meets the UBS target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $45.67, suggesting upside of 8.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.4

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

Bell Potter rates CAJ as Hold (3) -

Bell Potter assesses the June Medicare data which showed a 6.4% year-on-year increase in GP attendance and strong performance in diagnostic imaging (DI) services, with its benefits growing by 15.1%.

The broker highlights the Capitol Health merger with Integral Diagnostics ((IDX)) is due to be completed in 4Q 2024, which is expected to deliver -$10m in pre-tax cost synergies and enhance investment in high-end imaging.

Bell Potter retains earnings forecasts for Capitol Health and the target price is unchanged at 32.6c. Hold rating maintained.

Target price is $0.33 Current Price is $0.30 Difference: $0.026
If CAJ meets the Bell Potter target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $0.32, suggesting upside of 7.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.7

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

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

Macquarie views the FY24 earnings results for Credit Corp as coming in at the low-end of guidance, down -11%, year-on-year.

The broker highlights the A&NZ debt buying market remains "subdued"; US debt buying reported record quarterly collections up 6%, year-on year and the consumer lending book grew 24%.

For FY25, management is guiding to 17% growth driven primarily by consumer lending, with the US purchase debt ledger also contributing to growth.

Credit Corp has extended the amortisation period to 8 years from 6 for the ledger, affecting FY24 figures but not materially impacting future forecasts.

Macquarie has adjusted EPS forecasts for FY25 and FY26 by -7.3% and -6.2%.

The rating is downgraded to Neutral from Outperform and the target price revised to $18.01 from $18.32.

Target price is $18.01 Current Price is $17.32 Difference: $0.69
If CCP meets the Macquarie target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $18.10, suggesting upside of 4.8% (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

Morgans rates CCP as Add (1) -

Credit Corp's FY24 underlying NPAT of $81.2m met the low-end of management guidance, and Morgans highlights positive USA commentary for FY25 in an important execution year to establish sustainable growth.

Management's FY25 NPAT guidance was $90-100m, which would represent growth of between 11-23%. Ledger investment guidance is $200-250m with the bottom-end looking conservative, suggests the analyst.

The Add rating is unchanged. The target eases to $20.50 from $20.60.

Target price is $20.50 Current Price is $17.32 Difference: $3.18
If CCP meets the Morgans target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $18.10, suggesting upside of 4.8% (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

Ord Minnett rates CGF as Buy (1) -

Ahead of results season, Ord Minnett suggests tight discipline on operating expenses should allow Challenger to continue enjoying wider margins even as growth in revenue eases.

Buy, target $7.80.

Target price is $7.80 Current Price is $6.96 Difference: $0.84
If CGF meets the Ord Minnett target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $7.54, suggesting upside of 6.9% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Ord Minnett rates CPU as Accumulate (2) -

Ahead of results season, Ord Minnett suggests macro themes, being a softening Australian currency and the higher-for-longer interest rate environment, are proving supportive of the Computershare stock price.

That said, there could be some risks to market forecasts from the FY24 result, specifically in the costs line, as per the broker's suggestion.

Accumulate, target $29.15.

Target price is $29.15 Current Price is $28.02 Difference: $1.13
If CPU meets the Ord Minnett target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $29.87, suggesting upside of 8.0% (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: 0.9

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

Morgans rates FDV as Add (1) -

Morgans assesses "solid" 2Q revenue growth for Frontier Digital Ventures though earnings (EBITDA) of $3.3m fell a little short of expectations for $4.1m due to increased investment in long-term product opportunities.

Revenue growth for the quarter was broad-based and driven by solid performances in all operating regions, highlights the analyst. It's felt difficult current conditions for Zameen are a ‘cyclical versus structural’ issue.

An Add rating is retained, and the target reduced to 66c from 71c on softer near-term earnings margin assumptions.

Target price is $0.66 Current Price is $0.44 Difference: $0.22
If FDV meets the Morgans target it will return approximately 50% (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

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

Morgans upgrades its rating for Fortescue to Add from Hold after a material share price selloff following media speculation a discounted $1.9bn institutional block trade could be related to shareholder The Capital Group.

The broker suggests participating institutions in the block trade may have moved to lock in a short-term gain, leading to the -10% share price decline yesterday.

Conviction by the analysts in the upgrade is not absolute, however, as caution and patience is advised for less risk-tolerant investors as any downturn in iron prices could see an ongoing share price decline.

The $23 target is retained.

Target price is $23.00 Current Price is $18.28 Difference: $4.72
If FMG meets the Morgans target it will return approximately 26% (excluding dividends, fees and charges).

Current consensus price target is $19.22, suggesting upside of 2.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: -0.4

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

Ord Minnett rates IAG as Buy (1) -

Ahead of results season, Ord Minnett suggests that In its view, Insurance Australia Group will win higher increases in premium rates and report lower claim inflation than rival Suncorp.

Buy, target $8.10.

Target price is $8.10 Current Price is $7.28 Difference: $0.82
If IAG meets the Ord Minnett target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $7.34, suggesting downside of -0.6% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Citi rates IGO as Neutral (3) -

In the wake of IGO's June Q report, Citi has trimmed its net asset valuation by -12% after updating for higher Greenbushes debt and capex and lower production and higher costs at Nova. Earnings forecasts are significantly lowered.

While Greenbushes is world class and entering a growth phase, the lack of forward disclosures makes it tough to be more positive, the broker suggests.

With Nova ending in FY27 and the business looking to a non-operating future “Buy vs Build is the question of the moment”.

Neutral retained, target falls to $6.00 from $6.80. Strategy details expected with August results.

Target price is $6.00 Current Price is $5.40 Difference: $0.6
If IGO meets the Citi target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $6.15, suggesting upside of 10.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: -0.2

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

Macquarie rates IGO as Neutral (3) -

IGO reported better than expected 4Q24 production results. Macquarie highlights spodumene up 5% and nickel up 11% with spodumene sales of 530kt above consensus by 24%.

FY25 management production guidance for lithium is in line, nickel is -33% below the broker's expectations, and the higher Greenbushes capex guide exceeds market expectations by $300m.

IGO has $1bn in liquidity which Macquarie views as good for a final forecast dividend of 15c per share.

The analyst adjusts earnings estimates with a 9% lift in FY24 EPS and a -63% cut in FY25 EPS forecasts.

The target price is reduced by -7% to $5.60 and the Neutral rating unchanged.

Target price is $5.60 Current Price is $5.40 Difference: $0.2
If IGO meets the Macquarie target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $6.15, suggesting upside of 10.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: -0.2

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

Morgan Stanley rates IGO as Underweight (5) -

Following the 4Q operational report for IGO, Morgan Stanley is remaining Underweight-rated as FY25 guidance for the Nova operation was particularly weak and upcoming capex at the Greenbushes mine is significantly higher-than-expected.

Management is guiding to FY25 nickel production at Nova of around 17kt, thereby missing forecasts by the broker and consensus by -22% and -24%, respectively.

The analysts attribute the worsening capex at Greenbushes (of -$900m) for FY25 to either a significant increase in capex for the Chemical Grade Plant 3 (CGP3) or pre-strip costs.

Target $5.05. Industry View: Attractive.

Target price is $5.05 Current Price is $5.40 Difference: minus $0.35 (current price is over target).
If IGO meets the Morgan Stanley target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.15, suggesting upside of 10.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: -0.2

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

Ord Minnett rates MPL as Accumulate (2) -

As usual, suggests Ord Minnett, claims inflation will be top of mind in judging the FY24 numbers from the health insurers.

In the broker's view, Medibank Private is likely to exhibit a better claims performance and greater clarity on the earnings outlook than nib Holdings.

Accumulate, target $4.15.

Target price is $4.15 Current Price is $3.88 Difference: $0.27
If MPL meets the Ord Minnett target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $3.92, suggesting downside of -1.8% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.3

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

Morgans rates MX1 as Speculative Buy (1) -

Morgans describes a "steady" Q4 report for Micro-X highlighting progress across all divisions though a "modest" $3.2m cash position at June 30 is noted.

There are potential licensing opportunities for the CT brain scanner project, which may assist the cash position, suggest the analysts.

The broker makes no changes to forecasts and the Speculative Buy rating and 21c target are maintained.

Target price is $0.21 Current Price is $0.08 Difference: $0.134
If MX1 meets the Morgans target it will return approximately 176% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Ord Minnett rates NHF as Hold (3) -

As usual, suggests Ord Minnett, claims inflation will be top of mind in judging the FY24 numbers from the health insurers.

In the broker's view, Medibank Private is likely to exhibit a better claims performance and greater clarity on the earnings outlook than nib Holdings.

The broker nevertheless has a Buy rating on nib Holdings, target $8.65.

Target price is $8.65 Current Price is $7.27 Difference: $1.38
If NHF meets the Ord Minnett target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $8.13, suggesting upside of 8.2% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.3

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

Citi rates ORG as Buy (1) -

Citi only re-initiated coverage with a Buy rating and $12 target a little over one month ago. Post today's market update, the broker argues the medium-term growth profile for Origin Energy remains intact.

On Citi's projections, FY25 will prove the trough locally for Origin Energy, with strong growth forecast from FY26 onwards as Origin has material cost benefit vis a vis other energy retailers, the broker states.

Shorter term, the analysts believe Eraring outages were only partially offset by the wind drought boost, noting the latter wasn’t called out by the company in today's release.

The company has also guided towards a higher coal procurement cost.

Buy. Target $12.

Target price is $12.00 Current Price is $10.60 Difference: $1.4
If ORG meets the Citi target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $11.18, suggesting upside of 6.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Macquarie rates PPT as Neutral (3) -

The pain at Perpetual continues with Macquarie highlighting what the analyst stated as "disappointing" net flows of -$8.9bn, with market movements and FX movement providing further downward pressures for the 4Q24 trading update.

Expenses are expected to be at the lower end of guidance, rising 32%-34%, inclusive of Pendal, with $80m in synergies still expected, the analyst notes.

Macquarie observes an improvement in institutional mandates of $3bn in 1Q25, but underlying flow trends remain challenging.

EPS estimates for the broker have been revised, with FY24 up 0.1% and FY25 revised down by -14.5%.

Neutral rating and $22.80 target price. The FY24 results are expected on August 29.

Target price is $22.80 Current Price is $21.83 Difference: $0.97
If PPT meets the Macquarie target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $24.34, suggesting upside of 9.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.4

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

Citi rates PRU as Neutral (3) -

Perseus Mining's June Q production of 510koz was slightly below Citi but at the top end of guidance. Costs of $1,053/oz were in line with guidance and Citi. At the site level both Yaoure and Edikan met or exceeded guidance while Sissingue missed on production and costs.

First half FY25 production guidance is flat half on half, while costs are 9% higher than the broker's forecast.

Target falls to $2.75 from $2.80, Neutral retained.

Target price is $2.75 Current Price is $2.47 Difference: $0.28
If PRU meets the Citi 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:

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

Market Sentiment: 0.7

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

Macquarie rates PRU as Outperform (1) -

Perseus Mining reported weaker-than-forecast 4Q24 production and all-in-sustaining costs were in line with consensus but better than Macquarie expected.

The company ended the quarter with cash of US$537m, slightly below the broker's estimate with a tax payment of -US$52m accounting for the key difference and it was achieved despite the remainder of the OreCorp cash acquisition.

Management's 1H25 guidance is lower than Macquarie anticipated, due to delayed stripping at Yaoure.  Macquarie's earnings estimates are adjusted, improving FY24 EPS by 3% but reducing FY25 EPS by -16%. 

Outperform rating and $3 target remain.

Target price is $3.00 Current Price is $2.47 Difference: $0.53
If PRU meets the Macquarie target it will return approximately 21% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

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

Market Sentiment: 0.7

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

Ord Minnett rates QBE as Hold (3) -

The first-half 2024 result from QBE Insurance looks safe, Ord Minnett suggests, given it released a trading update in June.

Further out, the market will be looking for measures to combat persistent claims inflation and premium rate rises that are losing momentum.

More clarity on the consequences of its exit from some ‘non-core’ American markets would also be welcome.

Hold, target $19.

Target price is $19.00 Current Price is $17.65 Difference: $1.35
If QBE meets the Ord Minnett target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $19.50, suggesting upside of 7.8% (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: 0.6

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

Macquarie rates RHC as Neutral (3) -

Macquarie observes Australian private hospital growth has improved post-covid, but benefits and revenue remain below pre-covid trends.

The broker forecasts revenue growth for Ramsay Health Care which is slightly ahead of industry estimates and the expectation is for margin improvements for the Australian operations over FY24/FY25 which is likely to be offset by the digital/data operating expenses.

Macquarie revises EPS forecasts by -1% and -7% for FY24 and FY25, respectively. The target price is lowered to $50.10 from $53.35 and the Neutral rating unchanged.

Target price is $50.10 Current Price is $44.93 Difference: $5.17
If RHC meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $53.88, suggesting upside of 15.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.3

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

Citi rates RIO as Neutral (3) -

In an initial response to today's H1 release by Rio Tinto, Citi analysts comment the underlying net profit looks in line with forecasts, though underlying EBITDA seems to have missed the broker's estimate to the tune of -3% (in line with market consensus, though).

The dividend declared missed consensus by -4%, but met Citi's estimate.

Capex is expected to accelerate in H2 and management stuck with its guidances provided with the June quarter update.

Citi also highlights Rio Tinto believes it's arrived at a growth inflection point, with a step change from aluminium and consistent Pilbara production, plus Oyu Tolgoi, and with more value to come at Simandou and the Rincon lithium project.

Neutral. Target $137.

Target price is $137.00 Current Price is $114.66 Difference: $22.34
If RIO meets the Citi target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $130.25, suggesting upside of 11.4% (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

Bell Potter rates RMY as Speculative Buy (1) -

RMA Global reported a resilient 4Q24 according to the analyst at Bell Potter including strong cost control and a good performance in challenging macro conditions.

The US claimed profiles increased by 10% year-on-year, with US reviews up 19%, and  FY24 group revenue grew by 4% year-on-year, driven by a 35% increase in US subscription revenue.

Bell Potter believes the potential for lower US interest rates will potentially benefit the company's platform activity and subscription growth.

Despite a cash burn of -$0.25m, RMA Global ended the period with $3.0m in cash and no debt. Speculative Buy, The target price is revised to 10c from 12c.

Target price is $0.10 Current Price is $0.06 Difference: $0.037
If RMY meets the Bell Potter target it will return approximately 59% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Macquarie rates SBM as Outperform (1) -

St. Barbara reported higher than forecast production for the 4Q24 and lower than anticipated all-in-sustaining costs, Macquarie highlights, but management offered a mixed outlook for FY25.

The analyst points to FY25 production guidance for Simberi at 65-75koz, some - 9% below expectations, but cost guidance is in line at $3,200-3,600oz.

The company's net cash was $191m, slightly below expectations, and the reserves at Simberi increased by 40% to 2.8Moz, with resources up 5% to 5.0Moz of gold.

Macquarie adjusts EPS estimates for FY24 and FY25 by 9% and 5% respectively. Outperform rating and 28c target price retained.

Target price is $0.28 Current Price is $0.21 Difference: $0.07
If SBM meets the Macquarie target it will return approximately 33% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.5

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

Ord Minnett rates SDF as Accumulate (2) -

Ahead of results season, Ord Minnett suggests market expectations for Steadfast Group appear to be too downbeat.

Strong guidance for FY25 earnings should overcome this, and the broker expects a forecast of 10-15% growth from Steadfast.

Accumulate, target $6.85

Target price is $6.85 Current Price is $6.40 Difference: $0.45
If SDF meets the Ord Minnett target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $6.61, suggesting upside of 1.8% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Citi rates SDR as Buy (1) -

Citi had previewed earnings for SiteMinder with a suite of forecast downgrades earlier in July. Following today's quarterly update by the company, the analysts have responded quickly by defining it a "mixed" market update.

Subscriber growth is strong, surmises the broker, but the disappointment came through weaker ARPU from those subscribers. Citi suggests underlying FY24 revenues missed consensus by some -2%.

Larger properties generated better subscriber growth, points out the broker, adding there was stimulus from discounting. Another positive surprise came via free cash flow.

Citi retains a positive outlook for SiteMinder. Buy. Target $6.15.

Target price is $6.15 Current Price is $5.47 Difference: $0.68
If SDR meets the Citi target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $6.49, suggesting upside of 16.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 1.0

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

Ord Minnett rates SUN as Accumulate (2) -

Ahead of results season, Ord Minnett suggests that in its view, Insurance Australia Group will win higher increases in premium rates and report lower claim inflation than rival Suncorp Group.

Accumulate rating for Suncorp, target $18.20.

Target price is $18.20 Current Price is $17.44 Difference: $0.76
If SUN meets the Ord Minnett target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $18.00, suggesting upside of 1.1% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Morgans rates TNE as Add (1) -

The analysts at Morgans came away from TechnologyOne's investor day with greater confidence in management’s ability to execute and deliver shareholder value, noting a huge upcoming opportunity for growth.

The broker anticipates the company's EPS growth will keep compounding and then accelerate in the medium-term once
the short-term drag from the transition to SaaS-Plus has been cleared.

SaaS-Plus extends the traditional Software as a Service (SaaS) model by providing a comprehensive, all-inclusive enterprise resource planning (ERP) solution.

The Add rating and $20.50 target are unchanged.

Target price is $20.50 Current Price is $19.57 Difference: $0.93
If TNE meets the Morgans target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $18.44, suggesting downside of -10.4% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

UBS rates TNE as Buy (1) -

UBS recently upgraded TechnologyOne to Buy based on positive customer feedback around the company's product stack and willingness of customers to spend more with TechnologyOne over time.

The investor day supported this view, with management also bringing forward its FY25 $500m annual recurring revenue target to the first half, and providing a FY30 ARR target of $1bn.

UBS sees TechnologyOne growing profit at near-20% pa over the next five years, and in this context sees valuation as defendable. Buy and $21.90 target retained.

Target price is $21.90 Current Price is $19.57 Difference: $2.33
If TNE meets the UBS target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $18.44, suggesting downside of -10.4% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.6

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

Ord Minnett rates TWE as Hold (3) -

Ord Minnett has used the latest June-quarter wine export data as an opportunity to review its model for Treasury Wine Estates and incorporate the vintner’s pricing and product mix in China for its flagship Penfolds brand.

The end result is that, in the broker's view, Treasury Wine’s guidance for Penfolds is too high once the faltering Chinese economy and a constant news flow from luxury brands highlighting softening conditions in the Chinese market are considered.

While exports have increased from pre-covid levels, this likely represents merchant restocking rather than retail sales, the broker notes.

Target falls to $11.50 from $12.00, Lighten retained.

Target price is $11.50 Current Price is $12.33 Difference: minus $0.83 (current price is over target).
If TWE meets the Ord Minnett target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $13.76, suggesting upside of 11.9% (ex-dividends)

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.7

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

UBS rates TWE as Buy (1) -

China mainland wine value growth was very strong in the June Q and first half, UBS notes, with the $10-plus/bottle category considerably stronger  This growth is pleasing for Treasury Wine Estates yet reflects restocking post duty removal with end-market demand less certain, UBS warns.

Wine Australia notes “consumption of both domestic and imported wines in mainland China is less than a third of what it was six years ago and thus it is very unlikely that Australian wine exports will return to those previous peaks in the short to medium term.”

UBS remains confident in the broader premiumisation trend, with Treasury Wine repositioning its portfolio accordingly. Buy and $14.50 target retained.

Target price is $14.50 Current Price is $12.33 Difference: $2.17
If TWE meets the UBS target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $13.76, suggesting upside of 11.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY24:

Forecast for FY25:

Market Sentiment: 0.7

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

Citi rates WDS as Neutral (3) -

Outside of the shocks (Ukraine, Fukushima), history is not kind on the inference for Woodside’s recent Dritwood acquisition, Citi warns. One argument is for Woodside to seek greater vertical integration within the energy complex to capture rents where it is not available in floating spreads.

However, Woodside has no competitive advantage in either upstream or downstream integration, the broker notes. The issue for equity investors is that Driftwood is another example of the company replacing first quartile production with middle of the cost curve production.

Neutral and $28 target retained.

Target price is $28.00 Current Price is $26.87 Difference: $1.13
If WDS meets the Citi target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $31.08, suggesting upside of 12.6% (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