Australian Broker Call

Credit Suisse rates 360 as Outperform (1) -

2019 results were pre-released at the December quarter update. The company has guided for revenue growth of more than 50% in 2020 with the underlying operating earnings (EBITDA) loss to be less than -US$20m.

Outperform rating reiterated. Target is $5.20 and Credit Suisse believes a material re-rating opportunity exists.

Target price is $5.20 Current Price is $2.67 Difference: $2.53
If 360 meets the Credit Suisse target it will return approximately 95% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 1.0

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

Citi rates A2M as Buy (1) -

For Citi's initial assessment, see yesterday's Broker Call Report. On another market-beating performance, Citi is now reiterating the Buy recommendation for a2 Milk. The infant milk champion should be seen as an indirect beneficiary of the coronavirus-related circumstances, state the analysts.

The one doubt the analysts have is whether a stellar performance in FY20 might spell bad news for FY21, as a2 Milk might be pulling sales forward. Earnings estimates have been lifted by 3%. Target price jumps by 10% to $19.20.

Target price is $19.20 Current Price is $15.48 Difference: $3.72
If A2M meets the Citi target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $17.34, suggesting upside of 12.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.1

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

Macquarie rates A2M as Outperform (1) -

First half operating earnings (EBITDA) were up 21%, driven by gross margin expansion, and beat Macquarie's estimates. The company continues to expect strong revenue growth. Cash on hand increased to NZ$618m.

The broker still envisages a significant opportunity for growth in existing markets and maintains an Outperform rating. Target is raised to $18.70 from $16.20.

Target price is $18.70 Current Price is $15.48 Difference: $3.22
If A2M meets the Macquarie target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $17.34, suggesting upside of 12.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.1

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

Morgans rates A2M as Hold (3) -

In a rare case of what might be considered negative beta, a2 Milk is experiencing stronger than expected sales due to the virus. On most measures, the result beat the broker's forecasts.

The broker upgrades forecasts and continues to rate the company highly, as it continues to win market share, exploit its pricing and supplier bargaining power and effectively manage its channels to market.

However, on a 27.9x FY21 forecast PE, the broker retains Hold, despite lifting its target to $17.10 from $14.20, which is well above the traded price.

Target price is $17.10 Current Price is $15.48 Difference: $1.62
If A2M meets the Morgans target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $17.34, suggesting upside of 12.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.1

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

Ord Minnett rates A2M as Lighten (4) -

First half net profit was ahead of Ord Minnett's forecast. The broker notes a negative channel mix and rising competition amid a difficult  external environment.

Commentary on operating earnings margins did not provide further insight, the broker adds. Lighten maintained. Target is raised to $14.37 from $13.90.

Target price is $14.37 Current Price is $15.48 Difference: minus $1.11 (current price is over target).
If A2M 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 $17.34, suggesting upside of 12.0% (ex-dividends)

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.1

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

UBS rates A2M as Buy (1) -

Underlying first half earnings were ahead of UBS estimates. Asian business stood out, where there was little evidence of margin dilution via a growing share of off-line sales.

The broker lifts Chinese infant milk formula forecasts materially. The US business was disappointing, with losses higher than expected.

Buy rating retained. Target is raised to NZ$18.50 from NZ$17.00.

Current Price is $15.48. Target price not assessed.

Current consensus price target is $17.34, suggesting upside of 12.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.1

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

Morgans rates ACF as Add (1) -

Acrow Formwork & Construction's underlying earnings result was in line with the broker and guidance. The integration of Uni-span is progressing well, the broker suggests, and revenue opportunities are becoming clearer with management highlighting the industrial scaffold market and equipment sales as key opportunities.

Importantly, the broker notes, second half guidance for a significant increase on the first half is unchanged. Add retained. Higher D&A, interest and tax leads to a target cut to 38c from 40c

Target price is $0.38 Current Price is $0.29 Difference: $0.09
If ACF meets the Morgans target it will return approximately 31% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

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

Historical horse racing machine expansions in Kentucky are significant and Macquarie considers Ainsworth Game the best placed manufacturer. The broker also assumes the rest of the business stabilises.

Hence, the PE of 20x FY21 estimates is considered attractive, plus there is upside earnings risk. Rating is upgraded to Outperform from Neutral. Target is steady at $0.80.

Target price is $0.80 Current Price is $0.69 Difference: $0.11
If AGI meets the Macquarie target it will return approximately 16% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

Credit Suisse rates AIZ as Neutral (3) -

First half results were weaker than Credit Suisse expected. The broker was particularly disappointed with the earnings performance and the limited cost improvement, given a number of initiatives had been implemented to deal with costs.

Despite a lower earnings outlook, previously advised, Air New Zealand announced an interim dividend that was in line with expectations. Neutral maintained. Target reduced to NZ$2.49 from NZ$2.67.

Current Price is $2.20. Target price not assessed.

Current consensus price target is N/A

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.0

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

Macquarie rates AIZ as Underperform (5) -

First half results were soft, Macquarie observes. Recently downgraded guidance for FY20 pre-tax profit of $300-350m has been maintained. Revenue was in line with expectations.

The airline is now expecting capacity growth of 1.5-2.5% in FY20, down from 4-5%.

Macquarie maintains an Underperform rating, noting the downside risk from a prolonged outbreak of coronavirus. Target is lowered to NZ$2.20 from NZ$2.40.

Current Price is $2.20. Target price not assessed.

Current consensus price target is N/A

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.0

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

UBS rates AIZ as Buy (1) -

UBS lowers estimates for earnings per share in FY20 by -16% to allow for the coronavirus impact, lower cargo revenue and higher operating costs.

The broker's base case assumes the coronavirus impact should be largely contained within the second half. This points to substantial share price upside as the earnings risk moderates.

While retaining a Buy rating, the broker acknowledges the elevated risks. Target is reduced to NZ$2.85 from NZ$3.10.

Current Price is $2.20. Target price not assessed.

Current consensus price target is N/A

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.0

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

Credit Suisse rates ALX as Neutral (3) -

2019 results were slightly below forecasts. This was because of higher costs at APRR and lower revenue at Dulles Greenway.

The dividend guidance, up 6% to 36c in 2020, explicitly excludes a potential adverse impact from the coronavirus outbreak on traffic across the network.

However, management has also noted that concerns about the pandemic could elicit higher car use against public transport. Neutral rating maintained. Target rises to $7.90 from $7.40.

Target price is $7.90 Current Price is $7.98 Difference: minus $0.08 (current price is over target).
If ALX meets the Credit Suisse target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.97, suggesting downside of -0.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

Macquarie rates ALX as Neutral (3) -

2019 results were largely in line with Macquarie's estimates. The broker notes a solid performance from APRR, with investment opportunities supported by a flexible balance sheet.

While the company is a low-risk exposure to the uncertainty centred on coronavirus, Macquarie suggests the distribution is not immune. The first dividend from Dulles Greenway could also be delayed for 12 months, slowing 2021 growth.

Neutral maintained. Target is raised to $8.42 from $8.06.

Target price is $8.42 Current Price is $7.98 Difference: $0.44
If ALX meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $7.97, suggesting downside of -0.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

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

Morgan Stanley found the increased distribution guidance a positive, which reflects a steady road performance and refinancing gains.

The stock's yield is one of the lowest in the broker's sector coverage so the constructive story appears well appreciated.

Equal-weight rating, Cautious industry view. Target is lowered to $7.92 from $8.07.

Target price is $7.92 Current Price is $7.98 Difference: minus $0.06 (current price is over target).
If ALX 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 $7.97, suggesting downside of -0.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

Morgans rates ALX as Hold (3) -

Atlas Arteria had pre-released toll revenues so no surprises with its second half result. APRR earnings rose and Dulles Greenway's fell as expected. A 6% upgrade to 2020 distribution guidance implies a 13% increase year on year, the broker notes, and a 4.2% yield, with potential for strong distribution growth in 2021.

Hold retained, target rises to $7.57 from $7.39, but would be more if the broker were to use current European and US ten-year yields as the proxy for the risk-free rate.

Target price is $7.57 Current Price is $7.98 Difference: minus $0.41 (current price is over target).
If ALX meets the Morgans target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.97, suggesting downside of -0.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

UBS rates ALX as Neutral (3) -

UBS assesses conditions are in place for strong growth over the next three years. This will underpin 15% growth per annum in the distribution.

The broker retains a Neutral rating and raises the target to $8.05 from $8.00.

Target price is $8.05 Current Price is $7.98 Difference: $0.07
If ALX meets the UBS target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $7.97, suggesting downside of -0.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

UBS rates AMA as Buy (1) -

First half results were softer than UBS expected. Some of the impacts are one-off but others require tough price negotiations with major insurers, in the broker's view.

The broker also highlights the consolidation opportunity in the Australian panel repair market. Guidance has been reiterated.

Buy rating retained. Target is reduced to $1.20 from $1.30.

Target price is $1.20 Current Price is $0.51 Difference: $0.69
If AMA meets the UBS target it will return approximately 135% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Credit Suisse rates APE as Outperform (1) -

2019 results kept analysts busy with merger, divestments and acquisition events. The base business earnings were lower than Credit Suisse expected but the risks are seen increasingly factored in by the market.

What has not changed is the view that there is a range of factors that should drive strong earnings growth for AP Eagers over the next few years. Outperform rating maintained. Target is reduced to $9.90 from $11.25.

Target price is $9.90 Current Price is $8.91 Difference: $0.99
If APE meets the Credit Suisse target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $10.80, suggesting upside of 21.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.5

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

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

The operating business from the merged company reported underlying earnings (EBITDA) of $163.2m in 2019. Synergies are tracking ahead of the initial target, Macquarie observes.

Acquisition accounting played into the underlying results, the broker points out and, although there is potential for earnings growth, the extended risk from reduced credit availability and a prolonged cyclical downturn suggests further evidence is required for a rebound.

Rating is downgraded to Neutral from Outperform. The target is lowered to $9.40 from $14.00 to align with automotive comparables.

Target price is $9.40 Current Price is $8.91 Difference: $0.49
If APE meets the Macquarie target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $10.80, suggesting upside of 21.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.5

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

Morgan Stanley rates APE as Overweight (1) -

2019 results were weaker than expected. Morgan Stanley observes the business has been affected by soft conditions and the base is being re-set lower in 2020.

Despite this, the broker believes the company is executing on items it can control.

Overweight maintained. Target is $13.50. Industry view: In-Line.

Target price is $13.50 Current Price is $8.91 Difference: $4.59
If APE meets the Morgan Stanley target it will return approximately 52% (excluding dividends, fees and charges).

Current consensus price target is $10.80, suggesting upside of 21.2% (ex-dividends)

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.5

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

Morgans rates APE as Hold (3) -

It was a messy result to pull apart given the merger with Automotive Holdings, but profit was in line with the broker's forecast on weakness for AP Eagers, offset by a stronger result in the merged business largely driven by lower depreciation.

In 2020 the broker forecasts flat profit for the existing business, an incremental 8-month contribution from the merged business and a modest uplift, and $35m in synergies.

The broker believes earnings may be at a cyclical low point after long declines in new car sales, and the company is highly leveraged to a bounce. However "time is on our side", the broker suggests, to see AP Eagers shore up Automotive Holdings profitability and for earnings risk to play out. Hold retained, target falls to $10.68 from $11.96.

Target price is $10.68 Current Price is $8.91 Difference: $1.77
If APE meets the Morgans target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $10.80, suggesting upside of 21.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.5

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

Ord Minnett rates APE as Upgrade to Accumulate from Hold (2) -

2019 underlying pre-tax profit was below Ord Minnett's forecast. The broker assesses headwinds continue for the near term, including new vehicle sales and the exit of Holden from the market.

Nevertheless, AP Eagers is considered ideally positioned to participate in industry consolidation and accelerate its market leadership.

Now that a re-basing appears to have occurred in the 2019 result, and the share price is at a more realistic level, the broker upgrades to Accumulate from Hold. Target is reduced to $10.50 from $11.50.

Target price is $10.50 Current Price is $8.91 Difference: $1.59
If APE meets the Ord Minnett target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $10.80, suggesting upside of 21.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.5

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

Citi rates APT as Buy (1) -

There is no denying, Citi analysts are in awe with Afterpay's multiple growth levers, embedded inside the business model. The interim report released contained key performance metrics that were either better than expected, or in-line.

Yes, the level of investments is rising, and Citi analysts acknowledge they might be underestimating exactly how much in investments will be required, but they cannot get past the positive momentum, and the multiple levers.

Target price jumps to $42.20 from $31.10. Buy. Estimates have been scaled back, and in significant fashion (increased investment), but because longer-term growth should follow at a faster pace, the valuation has gone up irrespectively.

Target price is $42.20 Current Price is $32.57 Difference: $9.63
If APT meets the Citi target it will return approximately 30% (excluding dividends, fees and charges).

Current consensus price target is $36.87, suggesting upside of 13.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.7

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

Macquarie rates APT as Outperform (1) -

Macquarie observes momentum continued in the first half, although the pay later operating earnings were below forecasts.

Ultimately, the broker suggests the company needs to convert it is early leadership into a scaled position across key markets. The merchant margin of 3.8% held up despite some dilution from higher enterprise share in the UK.

Outperform maintained. Target rises to $42 from $38.

Target price is $42.00 Current Price is $32.57 Difference: $9.43
If APT meets the Macquarie target it will return approximately 29% (excluding dividends, fees and charges).

Current consensus price target is $36.87, suggesting upside of 13.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.7

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

Morgan Stanley rates APT as Overweight (1) -

Afterpay's first half results beat estimates. Morgan Stanley notes customer usage is growing and the company is investing aggressively in order to grab market share, seeking to enter Canada by the end of 2020.

However, transaction margin of 2.1% was below estimates and the pursuit of growth will delay profitability, the broker points out. Overweight rating. Target is raised to $46.50 from $45.00. Industry view is In-Line.

Target price is $46.50 Current Price is $32.57 Difference: $13.93
If APT meets the Morgan Stanley target it will return approximately 43% (excluding dividends, fees and charges).

Current consensus price target is $36.87, suggesting upside of 13.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.7

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

UBS rates APT as Sell (5) -

First half sales were in line with UBS estimates although operating earnings (EBITDA) and net profit missed forecasts. The main surprise for the broker was materially higher operating expenditure, mostly in marketing.

This suggests the cost base is more variable than the market appreciates and significant ongoing investment will be required for the company to achieve sustained volume growth.

This could weigh on investor confidence in the second half, in the broker's view. Sell rating maintained. Target is raised to $18.20 from $17.60.

Target price is $18.20 Current Price is $32.57 Difference: minus $14.37 (current price is over target).
If APT meets the UBS target it will return approximately minus 44% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $36.87, suggesting upside of 13.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.7

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

Citi rates BOQ as Neutral (3) -

Having returned from the Bank of Queensland's strategy update, Citi analysts report the regional lender's strategy refresh revealed a focus on productivity, reinvestment but also growth.

Achieving revenue growth is premised on growing cheap deposits, point out the analysts, adding it is too early to assume success. Bank of Queensland historically has a weaker deposit franchise then the rest in the sector, the analysts highlight.

While retaining lots of doubt, Citi analysts have nevertheless taken an optimistic view and incorporated higher benefits into their modeling. This has pushed up EPS estimates by 4% and 11% for FY21 and FY22 respectively. Neutral rating retained. price target unchanged at $7.75.

On Citi's projections, shareholders should brace for 50c dividends for as long as the eye can see. This is expected to provide some support to the share price, while management is trying to execute on transformation.

Target price is $7.75 Current Price is $7.48 Difference: $0.27
If BOQ meets the Citi target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $7.76, suggesting upside of 3.8% (ex-dividends)

The company's fiscal year ends in August.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.3

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

Credit Suisse rates BOQ as Neutral (3) -

Bank of Queensland has updated FY20 guidance, expecting cash earnings to be -4-6% lower than FY19. The bank has released a new five-year strategy which encompasses several aspects of the business.

Credit Suisse notes revenue growth assumptions are somewhat ambitious in order to achieve targets. Neutral rating maintained. Target is lowered to $8.00 from $8.65.

Target price is $8.00 Current Price is $7.48 Difference: $0.52
If BOQ meets the Credit Suisse target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $7.76, suggesting upside of 3.8% (ex-dividends)

The company's fiscal year ends in August.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.3

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

Macquarie rates BOQ as Neutral (3) -

Bank of Queensland has unveiled a new five-year strategy and financial targets. While anticipating upside to longer-term expectations if the bank is successful, Macquarie believes conservatism is definitely warranted.

Moreover, medium-term targets could be difficult to meet, given the elevated level of competition and the impact of low rates on margins. Neutral maintained. Target is raised to $7.75 from $7.50.

Target price is $7.75 Current Price is $7.48 Difference: $0.27
If BOQ meets the Macquarie target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $7.76, suggesting upside of 3.8% (ex-dividends)

The company's fiscal year ends in August.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.3

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

Morgan Stanley rates BOQ as Underweight (5) -

The bank has a new five-year strategy with multi-year targets. FY20 cash profit is expected to be -4-6% lower than FY19. Targets include growth above system, expense growth below 1% and return on equity of 8% by FY22.

Morgan Stanley expects the shares to respond positively to the targets. Underweight rating. Industry view is In-Line. Price target is $7.50.

Target price is $7.50 Current Price is $7.48 Difference: $0.02
If BOQ meets the Morgan Stanley target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $7.76, suggesting upside of 3.8% (ex-dividends)

The company's fiscal year ends in August.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.3

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

Ord Minnett rates BOQ as Hold (3) -

Ord Minnett observes the strategy update provided some hope the bank is remedying its problems. The digital offering, improvement in mortgage origination practices and adding a competitive transaction account are all sensible areas of focus, in the broker's view.

Nevertheless  Ord Minnett is sceptical of the targeted 8% FY22 return on equity target as it is predicated on the bank growing sustainably above system in the housing business. Hold maintained. Target rises to $7.90 from $7.70.

Target price is $7.90 Current Price is $7.48 Difference: $0.42
If BOQ meets the Ord Minnett target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $7.76, suggesting upside of 3.8% (ex-dividends)

The company's fiscal year ends in August.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.3

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

UBS rates BOQ as Neutral (3) -

Bank of Queensland has announced a new strategy including digital investment, the rebuilding of essential IT infrastructure and the focus on niche business.

UBS believes the strategy is intuitive and credible but to achieve its financial targets execution needs to be impeccable and the economic and competitive environment benign.

While upgrading forecasts for a better revenue and credit outlook, the broker remains cautious on net interest margins. Neutral retained. Target is $8.25.

Target price is $8.25 Current Price is $7.48 Difference: $0.77
If BOQ meets the UBS target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $7.76, suggesting upside of 3.8% (ex-dividends)

The company's fiscal year ends in August.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.3

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

Morgans rates CDD as Add (1) -

Cardno is now a pure-play consulting business since the demerger of Intega Group, and its first result as such beat the broker's forecast on a strong performance in the Americas division. FY20 guidance suggests a repeat performance or better.

The APAC division is taking longer to turn around than anticipated, the broker notes, but upside is on offer from improved margins and acquisitions over time. Target cut to 59c from 67c on this short term weakness, but this still implies 50% upside, Add retained.

Target price is $0.59 Current Price is $0.41 Difference: $0.18
If CDD meets the Morgans target it will return approximately 44% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Citi rates CGC as Neutral (3) -

For Citi's first response to Costa Group's FY19 result, see yesterday's Broker Call Report. The analysts describe FY19 as a tough year for the agri-company, but they also have seen enough evidence that things will turn around -and in a big way- throughout the year ahead.

After yesterday having concluded the in-line result wasn't going to trigger much in terms of changes to market consensus, today Citi is forecasting operational profit (EBITDA) to rise by $44m, or 44% in FY20, carried by berries, mushrooms and more sales into Morocco and China.

The positive view on China comes with some caution on Coronavirus, given harvesting begins in March. EPS forecasts have been increased by 21% and 12% for FY20 and FY21. Neutral rating retained, given valuation and some concerns. Target jumps to $3.20 from $2.80.

Target price is $3.20 Current Price is $2.97 Difference: $0.23
If CGC meets the Citi target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $3.16, suggesting upside of 6.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

Credit Suisse rates CGC as Outperform (1) -

The company has maintained 2020 guidance for earnings of $150m (EBITDAS). Improved prices are expected to enable the mushroom produce division to recover some growth.

Citrus has been downgraded slightly on the prospects of smaller crops. Berry forecasts are unchanged.

Credit Suisse notes some forecast risk from coronavirus, which has affected the logistics of moving fruit to market although the peak harvest is in March and bottlenecks have improved.

Outperform rating maintained. Target is raised to $3.50 from $3.40.

Target price is $3.50 Current Price is $2.97 Difference: $0.53
If CGC meets the Credit Suisse target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $3.16, suggesting upside of 6.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

Macquarie rates CGC as Underperform (5) -

2020 guidance is reiterated with the caveat being citrus and any impact from coronavirus in China. 2019 earnings were in line with October's downgraded guidance.

Macquarie notes the market reacted positively to the reiteration of 2020 guidance. The company intends to transition to qualitative earnings guidance commencing in 2021.

Macquarie remains cautious at this early stage and retains an Underperform rating. Target rises to $2.78 from $2.51.

Target price is $2.78 Current Price is $2.97 Difference: minus $0.19 (current price is over target).
If CGC meets the Macquarie target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.16, suggesting upside of 6.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

Morgans rates CGC as Hold (3) -

Costa Group's result met the broker's forecast and guidance, and the balance sheet at end-2019 was healthier than expected. Guidance for 2020 was reiterated but comes with caveats. There is cause for optimism in some parts of the portfolio, the broker notes, but citrus remains challenging due to low yields and hail damage, and then there's the virus.

The broker has made only modest changes to forecasts but sits -10% below profit guidance. On a 2020 PE of 23.6x the broker believes valuation is full. Hold retained, target rises to $3.05 from $2.56.

Target price is $3.05 Current Price is $2.97 Difference: $0.08
If CGC meets the Morgans target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $3.16, suggesting upside of 6.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

UBS rates CGC as Buy (1) -

2020 guidance is reiterated while 2019 net profit was in line with expectations. The caveats include uncertainty over the coronavirus impact and smaller early sizing of citrus.

UBS suspects the negatives could  be offset by a favourable early start in Morocco and a stronger performance from mushrooms.  Buy rating and $3.25 target maintained.

Target price is $3.25 Current Price is $2.97 Difference: $0.28
If CGC meets the UBS target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $3.16, suggesting upside of 6.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

Ord Minnett rates CMW as Lighten (4) -

First half operating earnings were ahead of Ord Minnett's estimates. However, the result also included funds management earnings of $31.1m, compared with the broker's forecast of $15m.

Ord Minnett retains a Lighten rating. Target is $1.10.

Target price is $1.10 Current Price is $1.14 Difference: minus $0.04 (current price is over target).
If CMW meets the Ord Minnett target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.18, suggesting upside of 3.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.7

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

Morgan Stanley rates DTC as Overweight (1) -

Damstra Holdings' first half result was in line with guidance. The company has announced the acquisition of APE Mobile, a provider of digital form and workflow management solutions to the civil construction and mining industries.

FY20 prospectus forecasts are now exceeded. Overweight and $1.60 target retained. Industry view: In Line.

Target price is $1.60 Current Price is $1.00 Difference: $0.6
If DTC meets the Morgan Stanley target it will return approximately 60% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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 Neutral (3) -

Upon initial assessment yesterday, Citi analysts pointed out Flight Centre has now downgraded FY20 guidance for the sixth time, including with revised guidance that came with the in-line interim performance (in-line with downgrade number five).

Today, Citi analysts surmise the sixth downgrade seems "realistic", but it should by no means be seen as "conservative". Coronavirus fallout can still wreak more havoc is the message that rises from today's report.

Citi forecasts long term margins will remain below the targeted 2%. Its own average forecast is 1.65%, down from an earlier assumed 1.75%. Coronavirus impact is not anticipated to stop at the start of FY21. Neutral. Target price declines to $36.80 from $41.60.

Target price is $36.80 Current Price is $32.51 Difference: $4.29
If FLT meets the Citi target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $39.95, suggesting upside of 22.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

Credit Suisse rates FLT as Upgrade to Outperform from Neutral (1) -

First half results were in line with recently issued guidance but the company has revised down earnings guidance to $240-300m for FY20 because of a broad-based slowdown in travel.

Credit Suisse also downgrades FY21 first half assumptions, expecting travel to recover slowly. The broker does not believe the results quell the debate regarding the Australian leisure distribution, which is now exacerbated by coronavirus risks.

A balanced view also acknowledges the potential for strong growth in corporate and the expanding presence in North America and Europe.

Hence, Credit Suisse suggests stabilisation of earnings is likely to be most important for the share price performance and upgrades to Outperform from Neutral. Target is raised to $47.40 from $44.83.

Target price is $47.40 Current Price is $32.51 Difference: $14.89
If FLT meets the Credit Suisse target it will return approximately 46% (excluding dividends, fees and charges).

Current consensus price target is $39.95, suggesting upside of 22.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

Macquarie rates FLT as Neutral (3) -

First half results were in line with prior guidance. FY20 has been downgraded with the company expecting pre-tax profit at the lower end of the $240-300m range if current conditions re coronavirus persist.

Macquarie finds it difficult to believe current conditions will improve, with a lack of clarity regarding the extent to which corporate will be affected as well as changes to leisure traveller plans.

The broker suspects there is a strong risk of a further downgrade in the second half. Neutral maintained. Target is reduced to $35.40 from $39.00.

Target price is $35.40 Current Price is $32.51 Difference: $2.89
If FLT meets the Macquarie target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $39.95, suggesting upside of 22.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

Morgan Stanley rates FLT as Overweight (1) -

First half results were broadly in line although the material reduction to full-year guidance signals scope for significant near-term disruption, Morgan Stanley points out.

Corporate growth of 24% in the Americas was solid and, importantly, the broker notes account wins seem to be gaining momentum.

Overweight retained. Target is reduced to $42 from $45. Industry view is Cautious.

Target price is $42.00 Current Price is $32.51 Difference: $9.49
If FLT meets the Morgan Stanley target it will return approximately 29% (excluding dividends, fees and charges).

Current consensus price target is $39.95, suggesting upside of 22.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

Morgans rates FLT as Hold (3) -

It was of no surprise Flight Centre reported a weak first half result, with all business units declining bar EMEA, the broker notes.

FY20 guidance has been downgraded -14-23% due to the virus and the broker follows accordingly, while acknowledging ongoing short term uncertainty, as well as structural issues impacting the A&NZ leisure business. 

Hold retained, target falls to $36.56 from $40.55.

Target price is $36.56 Current Price is $32.51 Difference: $4.05
If FLT meets the Morgans target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $39.95, suggesting upside of 22.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

Ord Minnett rates FLT as Hold (3) -

First half results were slightly below Ord Minnett's forecasts and coincided with another downgrade to FY20 guidance.

The broker notes the result highlighted just how far the Australian business has declined in terms of relative importance.

This is largely driven by an underperformance in the Australian leisure business and strong growth in the global corporate business.

Ord Minnett retains a Hold rating, believing a conservative approach is warranted in the current environment. Target is reduced to $35.52 from $41.38.

Target price is $35.52 Current Price is $32.51 Difference: $3.01
If FLT meets the Ord Minnett target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $39.95, suggesting upside of 22.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

UBS rates FLT as Buy (1) -

First half pre-tax profit was below UBS estimates. The broker is now forecasting FY20 pre-tax profit at the lower end of guidance, around $248m. The issue centres on whether earnings recover in FY21.

UBS has little confidence in a return to historical levels of earnings in the near term. Buy rating is retained as the stock is seen offering an attractive risk/reward profile. Target is reduced to $46.00 from $50.50.

Target price is $46.00 Current Price is $32.51 Difference: $13.49
If FLT meets the UBS target it will return approximately 41% (excluding dividends, fees and charges).

Current consensus price target is $39.95, suggesting upside of 22.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

Citi rates FNP as Buy (1) -

Citi analysts suspect, underlying, Freedom Foods' interim performance matched market consensus, but their own projections sat a lot lower and were handsomely beaten.

The analysts observe company management is doing a great job navigating a difficult milk environment. Gross margins surprised to the upside. Core divisions performed a lot better than what Citi had penciled in.

The company announced increased capex, but the analysts state they are comfortable with it. China represents 15% of group sales, and management expects short term disruption. Citi looks at the H1 report and concludes here is a successful transformation happening. Buy. Target price $5.80.

Target price is $5.80 Current Price is $4.07 Difference: $1.73
If FNP meets the Citi target it will return approximately 43% (excluding dividends, fees and charges).

Current consensus price target is $6.02, suggesting upside of 47.9% (ex-dividends)

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.7

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

UBS rates FNP as Buy (1) -

First half earnings missed UBS estimates. Guidance has been reiterated for higher sales and earnings growth in the second half.

While operations were strong, the results were lower quality in the broker's view and there is some risk in the near term of supply chain disruption in China. Buy rating. Target is $7.10.

Target price is $7.10 Current Price is $4.07 Difference: $3.03
If FNP meets the UBS target it will return approximately 74% (excluding dividends, fees and charges).

Current consensus price target is $6.02, suggesting upside of 47.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.7

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

Morgans rates HLS as Add (1) -

Healius posted a mixed earnings result, the broker notes, given solid revenue growth was offset by higher overheads and significant one-offs. Pathology and Imaging posted double digit growth while Medical Centres went backwards. Guidance suggests an improving second half but visibility is limited.

The right-sizing (or sale) of Medical Centres and projected cost savings should improve the earnings outlook, the broker believes, and downside is limited given the takeover offer. Target falls to $3.45 from $3.50, Add retained.

Target price is $3.45 Current Price is $3.04 Difference: $0.41
If HLS meets the Morgans target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $3.31, suggesting upside of 9.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

Citi rates HVN as Neutral (3) -

Upon first read-through, Harvey Norman's underlying H1 performance missed both market consensus and Citi's projection by -3% and -8%, respectively. The pain, or so it seems, was concentrated inside franchising operations across Australia.

Management has called out negative sentiment and bushfires to explain why trading in January and February was equally not up to expectations in Australia. Citi analysts suggest what is really on show here is the late-cycle character of the business, combined with constraints of the franchise model.

Target price is $4.00 Current Price is $3.73 Difference: $0.27
If HVN meets the Citi target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $4.20, suggesting upside of 12.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

Credit Suisse rates IFM as Outperform (1) -

First half results beat Credit Suisse estimates. FY20 guidance includes low double-digit growth in revenue and earnings and the question for Credit Suisse centres on how conservative this guidance is.

The broker envisages three attractive growth drivers heading into FY21 including next-generation products, Nidasu and data opportunities. Outperform rating maintained. Target is $2.60.

Target price is $2.60 Current Price is $2.11 Difference: $0.49
If IFM meets the Credit Suisse target it will return approximately 23% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

UBS rates IFM as Upgrade to Buy from Neutral (1) -

UBS was impressed with the revenue growth in the first half, complemented by strong operating leverage. Results were in line. The broker envisages opportunity for continued growth across multiple existing and new segments.

Rating is upgraded to Buy from Neutral, as UBS recognises the business deserves a higher premium. Target is raised to $2.40 from $1.95.

Target price is $2.40 Current Price is $2.11 Difference: $0.29
If IFM meets the UBS target it will return approximately 14% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Ord Minnett rates INR as Buy (1) -

First half results provided no surprises for Ord Minnett relative to the comprehensive quarterly updates. All cash flow figures were consistent.

The outlook for the second half is particularly positive, finds the broker, with the definitive feasibility study due to be released. This is considered a key de-risking event to enable strategic partnerships.

A Speculative Buy rating is reiterated. Target is $0.40.

Target price is $0.40 Current Price is $0.16 Difference: $0.24
If INR meets the Ord Minnett target it will return approximately 150% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Morgans rates KSL as Add (1) -

Kina Securities profit beat the broker by 6% on 7% better than expected revenues. It was a very solid result, the broker suggests, in a period the company bedded down the transitional ANZ PNG acquisition.

Cost-to-income has risen slightly, but Kina is creating a solid recent track record of delivery to complement its strong organic growth profile, suggests Morgans.

On only a 7x forward PE, despite 25% earnings growth in 2019, the stock is undervalued as far as the broker is concerned. Add retained, target rises to $1.67 from $1.65.

Target price is $1.67 Current Price is $1.26 Difference: $0.41
If KSL meets the Morgans target it will return approximately 33% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 1.0

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

Citi rates LNK as No Rating (-1) -

Judging from Citi's research report issued the day after Link Administration released its H1 report, it is clear the analysts have been mystified (to put it nicely) by company management revising guidance for FY20 to -10% from a prior guidance for a flat result.

There are some seasonal factors to support this outlook, but it appears some optimism had been incorporated previously (Brexit) and it now has transpired that growth in Funds Administration and Corporate Markets will be offset by declines in Fund Solutions and Banking and Credit Management.

Citi suggests the one positive stand-out was PEXA, while cost reductions are running behind schedule. No rating or price target.

Current Price is $4.74. Target price not assessed.

Current consensus price target is $6.62, suggesting upside of 39.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.8

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

Credit Suisse rates LNK as Upgrade to Outperform from Neutral (1) -

Operating earnings missed Credit Suisse estimates in the first half. However net profit was better, as stronger-than-expected earnings in PEXA offset the operating earnings miss.

The company has provided net profit guidance for FY20 of "at least $160m" but downgraded operating earnings guidance for continuing operations to "approximately -10% lower".

Credit Suisse was disappointed with the outcome but can envisage the benefit from owning a portfolio of businesses that contain growth in some that offsets the challenges in others.

Rating is upgraded to Outperform from Neutral, predicated on a re-rating which may take some time to come as the market rebuilds confidence. Target is reduced to $5.90 from $6.90.

Target price is $5.90 Current Price is $4.74 Difference: $1.16
If LNK meets the Credit Suisse target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $6.62, suggesting upside of 39.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.8

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

Macquarie rates LNK as Outperform (1) -

First half results revealed weak EBITDA margin trends, Macquarie notes, but observes PEXA is delivering sooner than previously expected, with the prospect of capital returns reiterated for late 2020.

The broker suggests this could drive additional interest in the stock over the coming year.

Another downgrade to guidance is made, with 2020 operating earnings expected to be around -10% below the prior year.

Outperform rating maintained. Target is reduced to $7.10 from $7.70. The broker also transfers coverage to another analyst.

Target price is $7.10 Current Price is $4.74 Difference: $2.36
If LNK meets the Macquarie target it will return approximately 50% (excluding dividends, fees and charges).

Current consensus price target is $6.62, suggesting upside of 39.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.8

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

Morgan Stanley rates LNK as Downgrade to Equal-weight from Overweight (3) -

First half earnings missed expectations. The combination of another downgrade to FY20 guidance, soft new business and some client concentration risk means Morgan Stanley considers re-positioning for growth is harder than previously anticipated.

While acknowledging several issues should stabilise over the next 12-24 months, Morgan Stanley downgrades to Equal-weight from Overweight. Target is reduced to $5.30 from $7.50. In-Line industry view maintained.

Target price is $5.30 Current Price is $4.74 Difference: $0.56
If LNK meets the Morgan Stanley target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $6.62, suggesting upside of 39.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.8

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

UBS rates LNK as Buy (1) -

PEXA's profits continue to ramp up strongly but UBS observes offshore divisions have not fared so well. First half operating net profit was ahead of the broker's estimates, largely reflecting the stronger PEXA profits.

Despite the stronger first half, FY20 net profit guidance is slightly below UBS forecasts.

With cost cutting supporting double-digit growth in the outer years and PEXA providing capital management options, UBS retains a Buy rating. Target is reduced to $6.80 from $7.45.

Target price is $6.80 Current Price is $4.74 Difference: $2.06
If LNK meets the UBS target it will return approximately 43% (excluding dividends, fees and charges).

Current consensus price target is $6.62, suggesting upside of 39.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.8

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

Morgans rates MSV as Add (1) -

Mitchell Services reported in line with its December quarter update. A 1.1c special dividend was a surprise as it stretches debt levels, Morgans notes, but free cash flow is forecast to accelerate in the second half. Outlook commentary remains strong, reaffirming the broker's assumptions and leading to only slight forecast adjustments.

The stock is too cheap, the broker declares, hence solid quarterly results from here will be key catalysts and the market should begin to take notice when the company approaches net cash in FY22. Add retained, target rises to $1.03 from 95c.

Target price is $1.03 Current Price is $0.57 Difference: $0.46
If MSV meets the Morgans target it will return approximately 81% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Morgans rates MTO as Hold (3) -

Motorcycle Holdings reported in line, with revenues up 3% but earnings down -5%. The broker suggests a strong recovery in dealership earnings was needed to offset weakness in Cassons Wholesales and flat sales for MCA. The broker expects new motorcycle sales from here will remain volatile -- the bushfires being once factor -- but even stable sales would be a win given a reduced cost base.

The broker forecasts a return to strong growth in FY21 as the group should benefit from the Indian agreement, Finance JV contribution, acquisition contributions and a continued recovery in dealership volumes/margins. Add retained, target falls to $2.19 from $2.28.

Target price is $2.19 Current Price is $1.50 Difference: $0.69
If MTO meets the Morgans target it will return approximately 46% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

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

The first half result serves to remind Ord Minnett of the cyclical nature of price and volume demand in the company's business, particularly from Chinese customers.

The normalised net loss was slightly below Ord Minnett's forecasts. Guidance has been reiterated and the company is yet to witness any significant impact arising from the coronavirus outbreak.

Ord Minnett considers guidance is achievable if Asian paper production remains robust. 

With the share price materially below valuation, the rating is upgraded to Buy from Hold. Target edges up to $2.08 from $2.07.

Target price is $2.08 Current Price is $1.48 Difference: $0.6
If MWY meets the Ord Minnett target it will return approximately 41% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.5

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

Morgan Stanley rates NTO as Overweight (1) -

2019 results beat prospectus forecasts. Morgan Stanley notes churn was higher but explained by a skew towards low-end SME customers. Subscription growth was 133% and beat estimates.

Prospectus forecasts for 2020 are reiterated. Overweight rating, $2.40 target and In-Line industry view maintained.

Target price is $2.40 Current Price is $1.68 Difference: $0.72
If NTO meets the Morgan Stanley target it will return approximately 43% (excluding dividends, fees and charges).

Market Sentiment: 1.0

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

Morgans rates ORE as Add (1) -

Orocobre's production at Olaroz (66.5% stake) increased year on year in the first half, but realised lithium prices were significantly lower and costs increased.

In this weak price environment the company is focused on providing attractive product in terms of grade, impurities and particle size, together with generating operational and safety improvements.

The broker forecasts a weak lithium price through 2020. Add and $4.80 target retained.

Target price is $4.80 Current Price is $2.68 Difference: $2.12
If ORE meets the Morgans target it will return approximately 79% (excluding dividends, fees and charges).

Current consensus price target is $3.33, suggesting upside of 24.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

Macquarie rates PGL as Outperform (1) -

First half results were slightly ahead of expectations. The outlook is unchanged, for originations worth $626-640m and at least $150m in revenue.

Guidance implies 15-20% growth in the second half. Macquarie assesses the company needs to beat guidance to support its investment case.

Outperform maintained. Target is reduced to $2.88 from $3.00.

Target price is $2.88 Current Price is $1.74 Difference: $1.14
If PGL meets the Macquarie target it will return approximately 66% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

UBS rates PGL as Buy (1) -

First half results were in line with expectations. Average loan terms continue to lengthen and the benefit from lower risk customers has delayed a positive impact on provisioning, which should support lower cost of funds.

The company remains the market leader in its sector and UBS believes opportunity remains. Buy rating retained. Target is reduced to $3.05 from $3.10.

Target price is $3.05 Current Price is $1.74 Difference: $1.31
If PGL meets the UBS target it will return approximately 75% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

UBS rates PRN as Buy (1) -

First half results beat UBS estimates. The broker believes Perenti Global is on track to deliver FY20 guidance, most likely at the top end. Underground mining stood out.

The broker envisages further catalysts from the potential acquisition of Downer EDI ((DOW)) awards (Mining and Underground) across North America and Africa. Buy rating reiterated. Target is reduced to $2.15 from $2.30.

Target price is $2.15 Current Price is $1.36 Difference: $0.79
If PRN meets the UBS target it will return approximately 58% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Morgan Stanley rates PRT as Underweight (5) -

First half results were in line with expectations. Full-year guidance has been lowered, now implying a fall in FY20 EBITDA of -38-43%, Morgan Stanley calculates.

The broker notes that, after abandoning the dividend and focusing on debt reduction, the first half was in a small net cash position for the first time. However, the dividend is not reinstated, given the uncertainty.

Morgan Stanley maintains an Underweight rating. Target is $0.18. Industry view: Attractive.

Target price is $0.18 Current Price is $0.14 Difference: $0.04
If PRT meets the Morgan Stanley target it will return approximately 29% (excluding dividends, fees and charges).

Current consensus price target is $0.18, suggesting upside of 28.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -1.0

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

Morgans rates RBL as Add (1) -

Redbubble reported slightly ahead of Morgans, bearing in mind the company had previously issued a profit warning in December due in part to a "sticker price war" with Amazon. The CEO was recently shown the door.

The deterioration in the December quarter has kept the spotlight on the company’s challenge of restoring the growth trajectory of the core business, the broker suggests.

Fortunately the TeePublic business is growing faster than the broker had expected, and growth actually accelerated as the half progressed. Assuming moderate success in restoring the Redbubble brand to single-digit growth rates, the broker retains Add.

Target falls to $1.53 from $2.10.

Target price is $1.53 Current Price is $0.94 Difference: $0.59
If RBL meets the Morgans target it will return approximately 63% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

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

Citi thought it was an in-line result, but incorporating AASB16 accounting is pushing down EPS forecasts by -8% and -4% for FY20 and FY21 respectively. The recommendation shifts to Neutral from Buy given recent share price increase.

Ramsay Health Care's price target has gained $1 to $75. Citi notes how management has stuck with its FY20 guidance but due to AASB16 low single-digit growth in EPS is translating into -6%.

The margin in Australia is under pressure because health insurers cannot increase prices. Citi expects less decline in H2 and a subsequent reversal in FY21. Part of Citi's future outlook for private hospital operators is based upon the view that governments cannot let the malaise in health care and insurance deteriorate indefinitely.

Target price is $75.00 Current Price is $67.94 Difference: $7.06
If RHC meets the Citi target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $71.77, suggesting upside of 5.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

Credit Suisse rates RHC as Neutral (3) -

First half earnings were ahead of Credit Suisse estimates. While there were subdued conditions in Australia and the earnings risk is skewed to the downside, France and the UK showed continuing signs of improvement.

Neutral rating maintained. Target is reduced to $73 from $75.

Target price is $73.00 Current Price is $67.94 Difference: $5.06
If RHC meets the Credit Suisse target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $71.77, suggesting upside of 5.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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) -

First half results were largely in line with expectations. Weaker volumes in Australia could present near-term headwinds, but Macquarie envisages opportunities for growth in all regions over the longer term.

Outperform maintained. Target is raised to $79.00 from $71.50.

Target price is $79.00 Current Price is $67.94 Difference: $11.06
If RHC meets the Macquarie target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $71.77, suggesting upside of 5.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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 Equal-weight (3) -

First half results were ahead of Morgan Stanley's estimates but a reaffirmation of FY20 guidance means second half forecasts are reduced.

The broker suspects Australian hospital margins will come under further pressure, noting the FY20 outlook appears to assume rates with major insurers stay near historical levels.

Equal-weight rating retained. Target is $61. Industry view is In-Line.

Target price is $61.00 Current Price is $67.94 Difference: minus $6.94 (current price is over target).
If RHC meets the Morgan Stanley target it will return approximately minus 10% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $71.77, suggesting upside of 5.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

Morgans rates RHC as Hold (3) -

Ramsay Health Care's result was in line but a bit of a mess given accounting changes, one-offs and the Capio acquisition.

Domestic hospital admissions growth remains soft, the broker notes, with margins contracting, while the future is challenged short term due to bushfires and drought and long term by health insurance affordability.

UK and France performed well and Capio is tracking as planned, but the virus adds another layer of uncertainty. Hold retained. Target rises to $67.38 from $64.22 on a valuation roll-forward.

Target price is $67.38 Current Price is $67.94 Difference: minus $0.56 (current price is over target).
If RHC meets the Morgans target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $71.77, suggesting upside of 5.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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 Hold (3) -

First half net profit was ahead of Ord Minnett's forecasts. The broker was not surprised by the margin compression, given the timing of health fund contract negotiations. 

As long as Ramsay Health Care can negotiate a satisfactory contract with Medibank Private ((MPL)), the broker is confident earnings will improve in the second half.

Hold rating maintained along with a $74 target.

Target price is $74.00 Current Price is $67.94 Difference: $6.06
If RHC meets the Ord Minnett target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $71.77, suggesting upside of 5.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

UBS rates RHC as Neutral (3) -

First half results were in line with UBS estimates. The broker notes ongoing issues affecting Australian hospitals, including protracted insurance negotiations and declining participation.

UBS does not envisage significant government intervention in the short term to remedy the situation. Neutral rating maintained. Target is reduced to $73 from $76.

Target price is $73.00 Current Price is $67.94 Difference: $5.06
If RHC meets the UBS target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $71.77, suggesting upside of 5.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

Citi rates SXY as Neutral (3) -

Citi has kept its response to the interim report short and sharp, with no actual quantification. Post the release, the analysts are projecting modestly higher production volumes.

Neutral rating retained, with an unchanged price target of 46c. Earnings estimates have gone up.

Target price is $0.46 Current Price is $0.26 Difference: $0.2
If SXY meets the Citi target it will return approximately 77% (excluding dividends, fees and charges).

Current consensus price target is $0.45, suggesting upside of 71.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.7

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

Morgan Stanley rates TRS as Underweight (5) -

First half results missed Morgan Stanley's estimates at every level. While sales in the first eight weeks of the second half are up 2.3%, the broker is wary of the net impact of stronger comparables, given currency and gross margin headwinds.

Underweight rating, $1.30 target and In-Line industry view are maintained.

Target price is $1.30 Current Price is $3.01 Difference: minus $1.71 (current price is over target).
If TRS meets the Morgan Stanley target it will return approximately minus 57% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -1.0

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

Ord Minnett rates Z1P as Accumulate (2) -

First half results were largely signalled in the December quarterly update. Strong growth rates have not come without a cost, Ord Minnett notes, and marketing expenditure is expected to increase in the second half.

Targets and FY20 guidance have been reaffirmed but the broker believes it will take significant work to grow the customer base to 2.5m by June 30.

Accumulate rating retained. Target is reduced to $3.30 from $3.95.

Target price is $3.30 Current Price is $2.68 Difference: $0.62
If Z1P meets the Ord Minnett target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $3.95, suggesting upside of 47.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.5

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