Australian Broker Call

UBS rates A2M as Buy (1) -

A meaningful recovery in in daigou infant formula sales over the next two years and substantial share gains in China underpin the UBS Buy rating. The broker believes the plan to reactivate the daigou channel is sensible and brand health and competitive position remain strong.

The broker lowers net profit estimates by 4-12% for FY21-23 because of the slower sales recovery and greater short-term margin pressure. Target is reduced to NZ$15.50 from NZ$16.00.

Current Price is $7.45. Target price not assessed.

Current consensus price target is $8.43, suggesting upside of 13.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: -0.2

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

Morgans rates ANZ as Add (1) -

Morgans reduces first half forecasts and lowers FY21 cash EPS estimates by -11.1%. This comes after ANZ Bank announced cash earnings will be reduced by -$817m (after tax) due to notable items.

The analyst now forecasts first half cash earnings of $2,629m and an interim dividend of 60cps. The Add rating and $33.50 target are maintained.

Target price is $33.50 Current Price is $28.83 Difference: $4.67
If ANZ meets the Morgans target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $30.09, suggesting upside of 7.6% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

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

Foot traffic at US plasma collection centres has risen substantially recently and Macquarie increases second half forecasts to capture higher immunoglobulin revenue.

While the broker envisages competitive risks, potentially, to key specialty products the increased plasma collections should help drive the share price over the short term. Rating is upgraded to Outperform from Neutral. Target is raised to $296.00 from $282.50.

Target price is $296.00 Current Price is $271.21 Difference: $24.79
If CSL meets the Macquarie target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $299.04, suggesting upside of 7.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.7

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

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

CSL's competitor Grifols' first quarter results showed Bioscience (plasma) revenue was down by -5.6% and profit fell by -23.3%. Grifols stated its US plasma collections are recovering gradually though provided no specifics.

In comparison, Morgan Stanley highlights CSL's December 2020 US collections were circa -20% below pre-pandemic levels. A combination of US stimulus cheques and bad weather suppressed the company's recovery for most of the March quarter.

Equal-weight rating with a target of $275. Industry view: In-Line.

Target price is $275.00 Current Price is $271.21 Difference: $3.79
If CSL meets the Morgan Stanley target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $299.04, suggesting upside of 7.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.7

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

Credit Suisse rates DHG as Neutral (3) -

Double-digit growth in third quarter residential depth revenues was a highlight for Credit Suisse. Higher depth penetration is considered to remain a key driver of the company’s revenue growth and suggests the Marketplace strategy is working.

Changes to the broker's earnings estimates to reflect a higher contribution from residential depth revenues are offset by lower forecasts at the other divisions. Despite this, the target is raised to $5.15 from $5, with the increase driven by an extension to the forecast period.

Target price is $5.15 Current Price is $4.93 Difference: $0.22
If DHG meets the Credit Suisse target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $4.99, suggesting upside of 4.3% (ex-dividends)

The company's fiscal year ends in May.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

Macquarie rates DHG as Neutral (3) -

Domain Holdings has indicated discussions have begun regarding a 6-7% price increase from July 1. The company has also reaffirmed a yield target of 12% per annum.

Macquarie observes pricing strategies designed to maintain affordable entry points for customers through targeting less elastic portions of depth - explained as properties at a higher price point.

The broker believes REA Group ((REA)) has more ability to drive mix/price in the medium term at Domain Holdings' expense. Neutral rating maintained. Target is raised to $4.83 from $4.33.

Target price is $4.83 Current Price is $4.93 Difference: minus $0.1 (current price is over target).
If DHG meets the Macquarie target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.99, suggesting upside of 4.3% (ex-dividends)

The company's fiscal year ends in May.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

Ord Minnett rates DHG as Hold (3) -

As the company has guided to an increase in costs Ord Minnett incorporates a 5.8% increase compared with FY20 levels. Depth penetration estimates are lifted because of 11.3% growth over January to April.

Hold rating retained. Target is raised to $4.80 from $4.50.

Target price is $4.80 Current Price is $4.93 Difference: minus $0.13 (current price is over target).
If DHG meets the Ord Minnett target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.99, suggesting upside of 4.3% (ex-dividends)

The company's fiscal year ends in May.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

UBS rates DHG as Neutral (3) -

Revenue trends in the March quarter are broadly as UBS expected. Revenue growth in the fourth quarter is forecast to be significantly higher, with the company expecting digital revenue growth of 8% and total revenue growth of 2%.

Australian residential listings rebounded strongly, according to the update, and UBS currently forecasts second half revenue growth of 33% for the core digital business. Neutral rating and $5.20 target maintained.

Target price is $5.20 Current Price is $4.93 Difference: $0.27
If DHG meets the UBS target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $4.99, suggesting upside of 4.3% (ex-dividends)

The company's fiscal year ends in May.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

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

Domino's Pizza has presented at the Macquarie conference, with a cautious tone regarding the outlook for the second half. Growth is being driven by store roll-out and a shift to delivery as well as a lift in TV marketing.

Macquarie downgrades to Neutral from Outperform as the share price is now trading roughly in line with its target of $108.50. Despite high hurdles, the broker points out the business has reaffirmed its 3-5-year target across all measures.

Target price is $108.50 Current Price is $106.75 Difference: $1.75
If DMP meets the Macquarie target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $93.43, suggesting downside of -10.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.1

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

Morgan Stanley rates DXS as Overweight (1) -

From Dexus's third-quarter update it looks like the company is doing well after a tough 2020, observes Morgan Stanley. FY21 dividend guidance of 50.3c was reiterated.

Office leasing activity rebounded with 44.8ksqm of deals done versus 33ksqm in the March quarter. Incentives were below the market rate of about 39% at 24.6% but the broker finds this to be a strong number.

Overweight rating with a target of $11.70. Industry View: In-line.

Target price is $11.70 Current Price is $10.29 Difference: $1.41
If DXS meets the Morgan Stanley target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $10.13, suggesting downside of -2.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

UBS rates DXS as Buy (1) -

In the March quarter office occupancy was down -60 basis points to 95.4% while incentives rose to 25%. Office leasing was active among smaller tenants while larger tenants held off on major decisions.

The company has not reinstated earnings guidance while distribution guidance is unchanged at "a level consistent with FY20". UBS assesses, despite the rental outlook being subdued, investor interest in the company has picked up, which reflects recent jobs data and major corporate is returning to the office.

The broker is still cautious regarding the longer term, with Westpac ((WBC)) announcing a target of -20% reduction in corporate space. UBS retains a Buy rating and raises the target to $11.00 from $10.25.

Target price is $11.00 Current Price is $10.29 Difference: $0.71
If DXS meets the UBS target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $10.13, suggesting downside of -2.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

Morgans rates EEG as Buy (1) -

The target price for Empire Energy Group (EEG) is increased to $1.14 from $0.643. Morgans valuation is driven by the prospective resource base, after a transformative deal for the company.

Empire Energy has acquired the interests of Pangaea Resources, and potentially its joint venture partner, to roughly treble the amount of Prospective Resource in the Northern Territory.

The deal is structured as a combination of scrip, cash and options in Empire Energy, with Pangaea Resources holding a 24% ownership in the company. $30m of new equity raised will go towards funding two development wells. The Speculative Buy rating is unchanged. 

Target price is $1.14 Current Price is $0.31 Difference: $0.83
If EEG meets the Morgans target it will return approximately 268% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Market Sentiment: 1.0

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

Citi rates FLT as Upgrade to Neutral from Sell (3) -

The earnings outlook remains highly uncertain as it is subject to the reopening of international borders yet Citi continues to expect earnings will normalise by FY25.

Firm liquidity enables the broker to look through the FY21 and FY22 earnings downgrades and upgrade to Neutral from Sell. The broker now expects profit breakeven to occur in the first half of FY23 rather than the second half of FY22.

Flight Centre is sustaining cash outflows of -$30-40m per month and as a result Citi downgrades pre-tax loss forecasts by -13%.

The broker believes the normalisation of profit will lag the recovery in revenue, which will in turn will lag a recovery in transaction value. Target is raised to $17.30 from $16.80.

Target price is $17.30 Current Price is $16.14 Difference: $1.16
If FLT meets the Citi target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $16.86, suggesting upside of 10.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.1

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

Macquarie rates FLT as Outperform (1) -

Flight Centre has indicated it will be loss-making until the second half of FY22. Both corporate and leisure business is expected to return to profitability then, with corporate travel ahead of leisure. The second half of FY21 is expected to be largely in line with the first.

Macquarie reduces estimates for FY21-23 in line with the guidance update, having previously expected break even in the first half of FY22.

The broker retains an Outperform rating, believing the valuation is supported by strong macro conditions and an expected shift in mix towards corporate. Target is reduced to $17.50 from $20.00.

Target price is $17.50 Current Price is $16.14 Difference: $1.36
If FLT meets the Macquarie target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $16.86, suggesting upside of 10.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.1

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

Morgan Stanley rates FLT as Underweight (5) -

Led by lagging markets like the UK, Canada, India and Southeast Asia, the third quarter's total transaction value was circa 16% of "normal" levels as compared to the first half's 14%, according to Flight Centre's latest update.

Flight Centre has guided to a second-half loss of circa -$247m, worse than Morgan Stanley's prior estimated loss of around -$50m.

Post-Flight Centre's update, Morgan Stanley finds the recovery profile of the company uncertain. While the equity value appears to be broadly in line with pre-covid levels, the broker notes there is considerable execution risk around better post-covid earnings.

Underweight with the target dropping to $16 from $17.50. Industry view: Attractive.

Target price is $16.00 Current Price is $16.14 Difference: minus $0.14 (current price is over target).
If FLT meets the Morgan Stanley target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $16.86, suggesting upside of 10.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.1

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

Morgans rates FLT as Hold (3) -

A trading update highlighted to Morgans that total transaction volume (TTV) continues to improve slowly, with Corporate tracking well ahead of Leisure, which has a greater exposure to international travel.

The broker was surprised that management expects a similar size loss in the second half as the first, given second half TTV is well up on the first half. While cash burn has increased since the end of JobKeeper, the company has plenty of liquidity, reassures the analyst.

As FY21 guidance is softer than expected, Morgans adjusts forecasts and the target is decreased to $19 from $19.21. The Hold rating is maintained.

Target price is $19.00 Current Price is $16.14 Difference: $2.86
If FLT meets the Morgans target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $16.86, suggesting upside of 10.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.1

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

Ord Minnett rates FLT as Hold (3) -

Earnings remain under pressure, given the reliance on the sale of outbound leisure travel in Australia in other markets. Ord Minnett observes the corporate division has a sound pipeline of new business and improved digital offering but remains affected by the timing of a recovery.

Nevertheless, cost control has impressed the broker with fixed cost remaining at around $70m per month. The main issue for Ord Minnett is how much revenue the leisure division will generate after the pandemic, given the shift to online and a smaller retail footprint.

Hold maintained. Target is reduced to $15.06 from $16.35.

Target price is $15.06 Current Price is $16.14 Difference: minus $1.08 (current price is over target).
If FLT 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 $16.86, suggesting upside of 10.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.1

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

UBS rates FLT as Neutral (3) -

Flight Centre expects second half underlying losses to be broadly in line with the first half. Transaction value is recovering but remains materially lower compared with before the coronavirus outbreak.

The key catalysts to a recovery are the international vaccination roll-out and a resumption of international travel. The company has reiterated a target to return to profitability in FY22.

UBS downgrades FY21 estimates to reflect the larger costs in the second half and pushes out the trajectory of the recovery, primarily because of a slower Australian vaccine roll-out. Neutral rating and $17.70 target maintained.

Target price is $17.70 Current Price is $16.14 Difference: $1.56
If FLT meets the UBS target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $16.86, suggesting upside of 10.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.1

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

Macquarie rates FMG as Outperform (1) -

Iron ore volumes in FY21 are strong and Macquarie assesses Fortescue Metals is on track to report record shipments. Prices remain buoyant, driven by supply issues globally, particularly Brazil.

The broker anticipates an end at the top end of the 50-80% policy. Outperform and $23 target retained.

Target price is $23.00 Current Price is $22.66 Difference: $0.34
If FMG meets the Macquarie target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $21.43, suggesting downside of -5.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.3

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

Macquarie rates GEM as Neutral (3) -

Macquarie assesses the recent announcement by the Australian government of an extra $1.7bn stimulus package targeting the child care sector appears to be intent on increasing the child care workforce.

While stimulus is positive, Macquarie concludes its occupancy estimates are already generous and, as a result, numbers are unchanged.

The broker also points out larger families are the key beneficiaries of the plan. Neutral rating and $1.15 target maintained.

Target price is $1.15 Current Price is $1.03 Difference: $0.12
If GEM meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $1.15, suggesting upside of 11.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.3

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

Morgan Stanley rates IEL as Overweight (1) -

Morgan Stanley lowers its second-half IELTS volume assumptions for IDP Education as well as revenue looking at the suspension of IELTS testing in light of India's lockdowns. Earnings forecasts have been reduced by -5-8% over FY21-23 with the biggest impact in the second half.

Despite such near-term headwinds, Morgan Stanley thinks the longer this disruption lingers, the stronger IDP Education's competitive position becomes. 

Overweight retained with a target of $30. Industry view: In-line.

Target price is $30.00 Current Price is $21.58 Difference: $8.42
If IEL meets the Morgan Stanley target it will return approximately 39% (excluding dividends, fees and charges).

Current consensus price target is $30.44, suggesting upside of 36.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Credit Suisse rates IFM as Outperform (1) -

Credit Suisse expects the acquisition of SimplePart to be EPS accretive from FY22. The cost is -US45m composed of an upfront cash payment of -US24.5m and a -US$20.5m earn-out, payable over three years.

The business designs, implements, and manages consumer-facing e-commerce programmes for OEMs, helping them increase sales of genuine OEM parts, accessories and service. 

The analyst sees the acquisition as a new parts-focused software product which should benefit from cross sell in both directions. Outperform rating with the target increased to $2.40 from $2.30. 

Target price is $2.40 Current Price is $1.63 Difference: $0.77
If IFM meets the Credit Suisse target it will return approximately 47% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Macquarie rates ING as Outperform (1) -

March quarter poultry volumes were slightly lower as Inghams benefited from pantry stocking during the start of the pandemic/lockdowns in 2020.

Consumer behaviour is now showing signs of normalising and poultry volumes are performing well. Higher margin channels are also improving as restrictions ease, while the company should also benefit from lower feed prices.

Outperform rating and $3.95 target maintained.

Target price is $3.95 Current Price is $3.32 Difference: $0.63
If ING meets the Macquarie target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $3.92, suggesting upside of 18.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.7

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

Credit Suisse rates IPL as Neutral (3) -

Following updates from Mosaic and Nutrien, Credit Suisse increases FY21 forecasts to reflect higher realised DAP prices. Mosaic’s guidance of US$80-90/t improvement in June quarter DAP pricing is considered to provide near-term confidence in sustainable prices.

The broker forecasts US$420/t for China DAP fob prices for the first half and US$490 for the second half. The Neutral rating and $2.83 target are unchanged.

Target price is $2.83 Current Price is $2.65 Difference: $0.18
If IPL meets the Credit Suisse target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $3.04, suggesting upside of 12.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.7

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

Morgan Stanley rates JHX as Overweight (1) -

James Hardie Industries' North America market's operating income margin target at 20-25% has been a hallmark for a long time, observes Morgan Stanley but management has indicated a new target is likely with an updated strategy in late May.

The broker expects considerable investor focus on this new target and thinks it crucial that the target allows for sufficient potential upside to please the market while being appropriately conservative at the lower end.

Overweight rating. Target is raised to $50. Industry view is In-Line.

Target price is $50.00 Current Price is $42.75 Difference: $7.25
If JHX meets the Morgan Stanley target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $44.84, suggesting upside of 3.0% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.6

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

UBS rates JIN as Neutral (3) -

Prize pool data signals lottery revenue growth should be around 30% to the end of April. Broad-based strength in lottery should also mean Jumbo Interactive benefits from re-seller turnover as well as revenue growth.

UBS upgrades estimates by 5-6% for FY21-23. Neutral maintained. Target rises to $14.20 from $13.95.

Target price is $14.20 Current Price is $13.73 Difference: $0.47
If JIN meets the UBS target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $14.73, suggesting upside of 10.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.7

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

Citi rates NCK as Buy (1) -

Trading conditions appear slightly better than previously forecast and with an elevated order book at the end of April combined with housing tailwinds Citi finds its FY22 forecasts are looking increasingly conservative.

Citi estimates sales growth during the four months to April was 73% with written sales order growth to the tune of 95%. The broker calculates the gap between sales and written order growth that was observed in the first half is narrowing and, in turn, this suggests freight constraints are being reduced.

The broker reiterates a Buy rating, noting a dividend yield of 8% and a strong balance sheet that can support acquisitions. Target is $12.05.

Target price is $12.05 Current Price is $10.42 Difference: $1.63
If NCK meets the Citi target it will return approximately 16% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Citi rates NEA as Buy (1) -

Upgraded guidance signals to Citi another record half in the US will be forthcoming. The broker also expects additional investment to accelerate penetration in the North American market and support the company's transition to an insight/analytics provider from a content provider.

The main issue, suggests the broker, is whether Nearmap can deliver on its medium-term annual contract value (ACV) growth guidance of 20-40%. The broker expects North America will benefit from improved economic conditions and stimulus and retains a Buy rating. Target is raised to $3.15 from $3.10.

Target price is $3.15 Current Price is $2.06 Difference: $1.09
If NEA meets the Citi target it will return approximately 53% (excluding dividends, fees and charges).

Current consensus price target is $2.98, suggesting upside of 26.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.7

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

Morgan Stanley rates NEA as Overweight (1) -

Nearmap has upgraded its FY21 annual contract value (ACV) guidance to $128-$132m from $120-$128m. Continued US execution was a key feature, observes Morgan Stanley, especially in key verticals like insurance, government and roofing.

The broker also points out the timing of the upgrade which comes right before the seasonal June peak, implying confidence and de-risking the FY22 growth profile forecast.

Overweight reiterated. Target rises to $3.20 from $3.10. Industry view is In-Line.

Target price is $3.20 Current Price is $2.06 Difference: $1.14
If NEA meets the Morgan Stanley target it will return approximately 55% (excluding dividends, fees and charges).

Current consensus price target is $2.98, suggesting upside of 26.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.7

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

Credit Suisse rates NEC as Outperform (1) -

Credit Suisse makes only modest earnings revisions after a trading update, with higher earnings at 9Now and Nine Radio partly offset by
lower earnings (EBITDA) at Domain Holdings ((DHG)). The target price increases to $3.40 from $3.25 and Outperform is retained.

While the cost of content is ramping up at Stan, the broker is encouraged by average revenue per user (ARPU) trends, and Stan Sports could be close to providing some earnings accretion from FY22 onwards.

Target price is $3.40 Current Price is $2.89 Difference: $0.51
If NEC meets the Credit Suisse target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $3.40, suggesting upside of 15.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

Macquarie rates NEC as Outperform (1) -

Macquarie observes the March quarter was solid and believes a cyclical recovery is being underestimated by the market. Nine Entertainment has indicated cash flow from the digital platform will be via fixed annual payments with indexing built in.

Macquarie considers this a negative as value attached to fixed cash flow is likely to be less than digitally-linked cash flow.

Nevertheless, the broker reiterates an Outperform rating and raises the target to $3.60 from $3.50.

Target price is $3.60 Current Price is $2.89 Difference: $0.71
If NEC meets the Macquarie target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $3.40, suggesting upside of 15.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

Ord Minnett rates NEC as Buy (1) -

Ord Minnett's expectations for TV revenue have increased and 28% growth is assumed in the second half. Broadcast video on demand market growth was 50% in the March quarter and similar trends are occurring in the fourth quarter.

Ord Minnett retains a Buy rating and raises the target to $3.50 from $3.25.

Target price is $3.50 Current Price is $2.89 Difference: $0.61
If NEC meets the Ord Minnett target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $3.40, suggesting upside of 15.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

UBS rates NEC as Neutral (3) -

UBS assesses the TV business is tracking roughly in line with expectations after the March quarter update.

The company's estimate of more than 50% growth in metro TV in the fourth quarter implies a second-half growth forecast of around 26%. This compares with the broker's estimate of 24%.

Strong cost control, meanwhile, is being demonstrated in publishing and the broker retains a Neutral rating and $3.00 target.

Target price is $3.00 Current Price is $2.89 Difference: $0.11
If NEC meets the UBS target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $3.40, suggesting upside of 15.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.8

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

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

Northern Star Resources noted a strong increase in Kalgoorlie gold notably within the existing pit shells while all other sites showed limited gold added. In particular, Pogo remains impacted by covid and lacks substance in results to prove its camp scale potential.

Equal-weight rating with a $10.85 target. Industry view: Attractive.

Target price is $10.85 Current Price is $10.92 Difference: minus $0.07 (current price is over target).
If NST meets the Morgan Stanley target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $12.86, suggesting upside of 19.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.7

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

Credit Suisse rates ORA as Neutral (3) -

After reviewing North American Packaging Solutions earnings (EBIT) margins, Credit Suisse upgrades FY21-23 EPS estimates by 3%, 10% and 9%, respectively. In the broker's words 'business is flying' and the food service sector may accelerate its recovery into FY22.

The analyst raises the target price to $3.40 from $2.80 and maintains the Neutral rating. Credit Suisse thinks a tight containerboard market should be of benefit as long as cost increases can continue to be passed on.

Target price is $3.40 Current Price is $3.23 Difference: $0.17
If ORA meets the Credit Suisse target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $3.09, suggesting downside of -5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.1

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

Ord Minnett rates PSQ as Initiation of coverage with Buy (1) -

Pacific Smiles is Australia's third-largest dental services organisation and Ord Minnett observes the current structure of the industry offers opportunities for such corporates to achieve scale with relatively low levels of competition.

The broker initiates coverage with a Buy rating and $3.21 target. Since listing the business has been a story about roll-out and as of the first half the portfolio stands at 102 dental centres.

Target price is $3.21 Current Price is $2.85 Difference: $0.36
If PSQ meets the Ord Minnett target it will return approximately 13% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Credit Suisse rates RHC as Neutral (3) -

After a third quarter update, Credit Suisse lowers FY21 estimates by -5% due to softer volume and a higher short-term cost outlook. The Neutral rating is retained and the target is lowered to $70 from $71. 

There remain near-term earnings pressures with higher costs and snap lockdowns weighing on profitability in Australia, and Europe covid hospitalisations remaining high, explains the analyst. 

The broker believes earnings are likely to remain lumpy until the vaccination program is widely rolled out in Australia.

Target price is $70.00 Current Price is $66.93 Difference: $3.07
If RHC meets the Credit Suisse target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $68.97, suggesting upside of 7.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.1

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

Macquarie rates RHC as Outperform (1) -

Uncertainty prevails regarding the operating environment over the short term yet Macquarie continues to believe the outlook is favourable over the longer term amid pent-up demand for delayed procedures and increased engagement with the public system.

The company has indicated surgical and non-surgical volumes were affected by lockdowns in key states in the March quarter. Revenue rose by 4.6% in the March quarter.

Ramsay Health Care also noted additional operating costs associated with the pandemic are gradually declining. Macquarie retains an Outperform rating and reduces the target to $74.85 from $75.00.

Target price is $74.85 Current Price is $66.93 Difference: $7.92
If RHC meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $68.97, suggesting upside of 7.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.1

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

Morgan Stanley rates RHC as Underweight (5) -

Ramsay Health Care's patient revenue was up 4.6% in the third quarter versus Morgan Stanley's estimated 10.9%. Morgan Stanley's assumption was driven by 11% surgical and 7% medical volume growth.

The broker estimates Ramsay Health Care missed around 40k surgeries with the bolus caught up in early periods and perhaps the main benefit embedded in reported numbers.

Driven by persistent uncertainty, Morgan Stanley remains Underweight. Target rises to $62 from $60. Industry view: In-line.

Target price is $62.00 Current Price is $66.93 Difference: minus $4.93 (current price is over target).
If RHC meets the Morgan Stanley target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $68.97, suggesting upside of 7.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.1

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

Ord Minnett rates RHC as Accumulate (2) -

Ramsay Health has indicated that pandemic-related costs are falling more quickly than previously expected although Ord Minnett observes the earnings impact is minimal.

The recovery in the Australian business has lagged the broker's expectations because of recent snap lockdowns and a slower return to normal in Victoria. In the UK and Europe operations remain challenging because of the high levels of coronavirus admissions.

Despite a slower rebound Ord Minnett believes there is still a backlog of patients requiring surgery and this should support above-normal activity well into FY22. Accumulate maintained. Target falls to $73.50 from $74.20.

Target price is $73.50 Current Price is $66.93 Difference: $6.57
If RHC meets the Ord Minnett target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $68.97, suggesting upside of 7.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.1

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

Macquarie rates RWC as Outperform (1) -

Reliance Worldwide has a resilient business, Macquarie assesses, with strong demand and good customer relationships that enable cost-mitigating price increases.

The company, at the Macquarie conference, outlined the growth potential with a focus on margin growth over time along with value-accreting acquisitions. Still, organic growth remains the first priority.

Macquarie retains an Outperform rating with a $5.30 target.

Target price is $5.30 Current Price is $5.01 Difference: $0.29
If RWC meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $5.21, suggesting downside of -0.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.7

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

Credit Suisse rates SEK as Outperform (1) -

Management's upgraded guidance had little effect upon Credit Suisse's earnings forecasts, that had recently been lifted. The broker highlights Seek Asia is seeing the benefits of a macro recovery, which should lessen prior market concerns.

Given the settlement of the Zhaopin transaction on May 1, the analyst incorporates an earlier completion into forecasts.The Outperform rating and target price of  $34 are retained.

Target price is $34.00 Current Price is $31.30 Difference: $2.7
If SEK meets the Credit Suisse target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $31.65, suggesting upside of 4.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

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

Seek has upgraded FY21 guidance and announced a $0.20 special dividend. The upgraded guidance represents an 11% increase relative to prior guidance.

Macquarie notes the underlying business is performing well and yield and volume are both growing.

Furthermore, if the labour market maintains its current momentum, the broker envisages further upside to FY21 earnings forecasts.

Rating is upgraded to Neutral from Underperform and the target is raised to $31.60 from $23.60.

Target price is $31.60 Current Price is $31.30 Difference: $0.3
If SEK meets the Macquarie target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $31.65, suggesting upside of 4.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Morgans rates SEK as Hold (3) -

Seek has upgraded guidance for the third time this financial year and announced completion of the sale of a stake in Zhaopin. Morgans remains cautious on replacement of the lost anticipated growth for Zhaopin, with an uncertain yield on the Investments portfolio.

The broker makes little change to recently upgraded forecasts, which sit just above the upgraded guidance.

The Hold rating is unchanged and the target price is decreased to $27.14 from $27.48 as reduced earnings from Zhaopin have been largely offset by other changes to the broker's financial modelling.

Target price is $27.14 Current Price is $31.30 Difference: minus $4.16 (current price is over target).
If SEK meets the Morgans target it will return approximately minus 13% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $31.65, suggesting upside of 4.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Ord Minnett rates SEK as Hold (3) -

The Australasian and Asian segments continue to perform strongly and the company has upgraded guidance for FY21. Following the sell down of Zhaopin, Ord Minnett estimates Zhaopin will contribute $44.1m to operating earnings for the four months of prior ownership levels in the second half.

A $0.20 special dividend will be paid from the Zhaopin sale. Ord Minnett forecasts operating earnings of $483.8m. Hold maintained. Target rises to $31 from $26.

Target price is $31.00 Current Price is $31.30 Difference: minus $0.3 (current price is over target).
If SEK meets the Ord Minnett target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $31.65, suggesting upside of 4.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

UBS rates SEK as Buy (1) -

Recent data has signalled job advertising has been strong and the company's guidance upgrade, therefore, is not a complete surprise to UBS. EBITDA ex Zhaopin is now expected to be around $480m.

The main reason cited for the upgrade is cyclical strength, primarily outperformance in Australasia and Seek Asia. Seek has announced a special dividend of $0.20, having received the majority of the proceeds relating to the Zhaopin sale.

Buy rating retained. Target rises to $34.50 from $32.00.

Target price is $34.50 Current Price is $31.30 Difference: $3.2
If SEK meets the UBS target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $31.65, suggesting upside of 4.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Morgans rates STA as Add (1) -

Morgans assesses the company is now fully funded for the Coburn project development, following a successful bond issue of US$60m and capital raising of $122m.

While the equity raising at 20.5cps was below the broker’s estimates, the dilution is offset by increasing commodity price forecasts. The Add rating is maintained and the target price is increased to $0.52 from $0.47.

Target price is $0.52 Current Price is $0.21 Difference: $0.31
If STA meets the Morgans target it will return approximately 148% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Citi rates SUL as Buy (1) -

While Super Retail is yet to cycle the sales in May and June 2020 that were boosted by the pandemic/lockdowns, Citi believes the earnings outlook is still strong. Momentum has continued throughout the second half.

A clean inventory position, strong demand and a reset of promotions has meant gross margins in the second half are up at a similar percentage to the first half.

Earnings estimates are upgraded by 5% for FY21 and 3% for FY22. Target is raised to $14.40 from $14.00 and a Buy rating is reiterated.

Target price is $14.40 Current Price is $11.72 Difference: $2.68
If SUL meets the Citi target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $13.35, suggesting upside of 12.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Credit Suisse rates SUL as Outperform (1) -

While Credit Suisse assesses the third quarter trading update as very strong, the broker shifts focus to the sustainability of earnings. It's felt spending should eventually revert to ‘reopening’ activities though the reversion is likely a 2022 theme rather than 2021. 

Credit Suisse maintains an Outperform rating. Target falls to $14.45 from $14.64 after an adjustment to forecasts to reflect likely sustainable earnings.

The analyst believes the market underestimates the company's strong position in auto accessories, sport and an improving leisure business.

Target price is $14.45 Current Price is $11.72 Difference: $2.73
If SUL meets the Credit Suisse target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $13.35, suggesting upside of 12.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Morgan Stanley rates SUL as Overweight (1) -

Super Retail's update shows both Super Cheap Auto and BCF did well, with implied like for like sales growth over weeks 8-17 of the second half in line with the first 7 weeks. Rebel like for like sales growth has grown 28% (across weeks 8-17).

Morgan Stanley thinks Super Retail Group remains in a strong position. The broker believes international travel will be the key catalyst for a return towards normalcy among discretionary retailers. 

Overweight rating maintained. Target is $13.30. Industry View: Attractive.

Target price is $13.30 Current Price is $11.72 Difference: $1.58
If SUL meets the Morgan Stanley target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $13.35, suggesting upside of 12.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Morgans rates SUL as Hold (3) -

The third quarter trading update showed Morgans strong top-line momentum continued across all divisions. It’s believed the eventual normalisation of earnings is likely to be well above pre-covid levels. 

Management noted that due to strong consumer demand, promotional levels have remained relatively subdued. This has seen the first half gross margin improvement maintained into the second.

The Hold rating is retained and the target price is increased to $12.83 from $12.60 on the back of earnings upgrades, partially offset by higher capex assumptions.

Target price is $12.83 Current Price is $11.72 Difference: $1.11
If SUL meets the Morgans target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $13.35, suggesting upside of 12.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Citi rates SUN as Buy (1) -

Citi believes Suncorp should prove to be an investment for the medium term with an opportunity to improve returns in both the insurance and bank divisions. There is potential to realise more value by splitting the two.

The broker considers the market is not currently expecting Suncorp will achieve its targets, which implies upside if proven incorrect. There are also prospects for capital initiatives at the FY21 results. Hence, Citi retains a Buy rating and $11.40 target.

Target price is $11.40 Current Price is $10.69 Difference: $0.71
If SUN meets the Citi target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $11.53, suggesting upside of 6.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.7

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

UBS rates TAH as No Rating (-1) -

Prize pool data signals lottery revenue is around 30% higher for the period to end of April. Strength has been broad-based. UBS forecasts second half lottery revenue growth of 18% after factoring in a moderation over the final two months.

This drives a 2-4% upgrade to earnings per share estimates for FY21-23. The broker is restricted on rating and target at present.

Current Price is $5.02. Target price not assessed.

Current consensus price target is $5.08, suggesting upside of 1.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

Morgan Stanley rates VCX as Underweight (5) -

Vicinity Centres released its March quarter update and the numbers look a mixed bag to Morgan Stanley. Vicinity Centres did not provide any FY21 guidance.

The broker notes the lead indicators did well with foot traffic at 83% while portfolio occupancy held firm at 98%. Cash collection was 82% of gross billings in the quarter. While the lead indicators look good, Morgan Stanley believes any earnings recovery may lag.

Underweight rating. The target is $1.63. Industry view: In-line.

Target price is $1.63 Current Price is $1.58 Difference: $0.05
If VCX meets the Morgan Stanley target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $1.64, suggesting upside of 3.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.3

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

Ord Minnett rates VCX as Hold (3) -

The company's update has revealed March quarter retail trends are slowly improving. Ord Minnett observes the stock has valuation support although the recovery appears elongated and re-leasing spreads are materially negative. Occupancy levels remain flat at 98%.

The broker also notes a lack of guidance, which does not inspire confidence that income is stabilising. Hold rating and $1.80 target retained.

Target price is $1.80 Current Price is $1.58 Difference: $0.22
If VCX meets the Ord Minnett target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $1.64, suggesting upside of 3.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.3

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

UBS rates VCX as Sell (5) -

Foot traffic in the March quarter was around 77% of the corresponding quarter in 2019, UBS notes. Re-leasing spreads were slightly below that reported in the first half of FY21. Earnings guidance was not provided in the update because of uncertainty.

UBS assumes a distribution payout ratio of 70%, in order to retain capital for the substantial development program. Previously the company has targeted a 95-100% distribution policy.

The broker assesses the downside risks of a disorderly re-setting of rents has been avoided for now. Sell rating and $1.54 target retained.

Target price is $1.54 Current Price is $1.58 Difference: minus $0.04 (current price is over target).
If VCX meets the UBS target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.64, suggesting upside of 3.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.3

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

Macquarie rates WBC as Neutral (3) -

Macquarie assesses the ambitious cost reduction plan overshadowed the first half result but execution remains key given the sector's poor track record on cost reductions.

The first half result included lower impairments and better margins and, while this was enough to drive the share price re-rating, the broker assesses the underlying performance is subdued.

While divesting non-core businesses is critical to the simplification strategy, Macquarie estimates these contributed around 7% to cash earnings in the half. The broker maintains a Neutral rating and raises the target to $27.25 from $25.75.

Target price is $27.25 Current Price is $25.99 Difference: $1.26
If WBC meets the Macquarie target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $28.06, suggesting upside of 8.0% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.7

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

Macquarie rates WOR as Outperform (1) -

Worley has reiterated expectations for a stronger second half. Momentum in the awarding of contracts has improved and there is evidence some project deferrals are resuming.The company has indicated energy transition and circular economy opportunities are accelerating and represent 18% of the total sales pipeline.

Bottom-up sector expenditure is expected to increase in 2021 across the company's three segments and operating expenditure should mean a gradual recovery as activity normalises. Macquarie maintains an Outperform rating and $12.00 target.

Target price is $12.00 Current Price is $11.03 Difference: $0.97
If WOR meets the Macquarie target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $11.26, suggesting downside of -1.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.3

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