Australian Broker Call

Macquarie rates ALD as Outperform (1) -

Macquarie's first assessment is that Ampol has delivered an in-line interim result, as revealed by today's release. The analysts do add the result seems to have been assisted with low quality items.

The dividend payout ratio has turned out below expectations. The key catalyst will be an off-market buyback following the successful divestment of assets, flags the broker.

Target price is $32.25 Current Price is $28.20 Difference: $4.05
If ALD meets the Macquarie target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $27.53, suggesting upside of 2.1% (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 ANN as Underperform (5) -

Judging from Macquarie's early assessment, it seems Ansell's FY20 release plus guidance have slightly beaten both forecasts for FY20, as well as for FY21.

The broker is hampered by the share price valuation and therefore seems to have no choice but to stick with an Underperform rating.

Target price is $30.40 Current Price is $40.30 Difference: minus $9.9 (current price is over target).
If ANN meets the Macquarie target it will return approximately minus 25% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $33.69, suggesting downside of -14.6% (ex-dividends)

The company's fiscal year ends in June.

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: 0.1

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

Morgan Stanley rates APT as Overweight (1) -

Morgan Stanley increases revenue forecasts, given better app downloads in the US and more confidence regarding credit quality management. The new customer loyalty program rewards customers for responsible expenditure by offering more flexible payment terms.

The broker notes Afterpay has also embedded itself into the payments value chain with Apple Pay and Google Pay in-store payment support in the US.

The company will acquire Pagantis for EUR50m, a European BNPL. The transaction will enable entry to Spain, France, Italy and Portugal in local languages.

Morgan Stanley retains its Overweight rating. Target is raised to $106 from $101. Industry view: In-line.

Target price is $106.00 Current Price is $82.73 Difference: $23.27
If APT meets the Morgan Stanley target it will return approximately 28% (excluding dividends, fees and charges).

Current consensus price target is $68.76, suggesting downside of -26.3% (ex-dividends)

The company's fiscal year ends in June.

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 APT as Sell (5) -

Afterpay will be acquiring Pagantis, a buy now pay later (BNPL) & credit services provider in Spain, France and Italy and UK via its subsidiary Clearpay for at least circa $82m, reports UBS.

The broker notes this is consistent with the company's strategy to expand into new early-stage BNPL markets and a small step to gain the regulatory structure needed to operate in the European Union.

With the stock's fundamental valuation intact, UBS maintains its Sell rating with the target price raised to $27 from $25.

Target price is $27.00 Current Price is $82.73 Difference: minus $55.73 (current price is over target).
If APT meets the UBS target it will return approximately minus 67% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $68.76, suggesting downside of -26.3% (ex-dividends)

The company's fiscal year ends in June.

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

Citi rates ASB as Buy (1) -

Austal remains Citi's top pick in small caps driven by the company’s expansion into steel shipbuilding coupled with rising geopolitical
tensions which could lead to a considerable amount of projects for Austal.

Australasia constituted 20% of Austal's group operating income in FY20 and the broker expects operating income to increase over the medium term.

Earnings growth forecasts upgraded for FY21-22 to reflect the better than expected FY20 result.

Citi reiterates its Buy rating with the target price increasing to $4.50 from $4.23.

Target price is $4.50 Current Price is $3.51 Difference: $0.99
If ASB meets the Citi target it will return approximately 28% (excluding dividends, fees and charges).

Current consensus price target is $3.97, suggesting upside of 19.1% (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 ASB as Outperform (1) -

Austal's result beat the broker on strong numbers in both the US and A&NZ, with cash flow the highlight. Cash at hand now comprises some 20% of market cap, the broker notes, which supports growth initiatives and capital management, including debt reduction in FY21.

No guidance provided due to uncertainty but several vessel programs on the horizon underpin the outlook. With good earnings visibility and upside risk in FY21, and a -40% discount to global peers, Austal is set for re-rating in the broker's view. Outperform retained, target rises to $4.40 from $3.10.

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

Current consensus price target is $3.97, suggesting upside of 19.1% (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 ASB as Lighten (4) -

FY20 underlying profit was slightly ahead of Ord Minnett's forecasts. Management provided more detail on the transition to steel shipbuilding capacity in the US.

While believing the investment will lead to a larger set of opportunities, Ord Minnett is cautious about the outlook. This caution is based on the move to a (as yet un-awarded) new steel shipbuilding program from a mature but highly profitable aluminium shipbuilding program.

Lighten rating maintained. Target rises to $3.00 from $2.75.

Target price is $3.00 Current Price is $3.51 Difference: minus $0.51 (current price is over target).
If ASB meets the Ord Minnett target it will return approximately minus 15% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.97, suggesting upside of 19.1% (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 AVN as Outperform (1) -

Aventus Group's funds from operations were smack on the broker's forecast, albeit higher operating income was offset by higher interest costs. At 36%, gearing remains elevated, but the broker suggests this can be managed by retaining capital and reducing the dividend payout ratio.

The REIT collected 87% of rent in the June quarter, above peer average, and another 84% in July, underscoring a resilient tenant base with key tenants not subject to lockdowns. On a 7% plus yield and 35% forecast total shareholder return, Outperform retained. Target rises to $2.86 from $2.72.

Target price is $2.86 Current Price is $2.21 Difference: $0.65
If AVN meets the Macquarie target it will return approximately 29% (excluding dividends, fees and charges).

Current consensus price target is $2.66, suggesting upside of 18.8% (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

Morgans rates AVN as Add (1) -

Morgans highlights the resilience of Aventus Group’s underlying portfolio, despite a challenging environment in 2H20.

Rent collection was 87% through the covid-19 period (March-June) and the rental relief provided of around -$6m was below Morgans expectations and was a combination of abatements (75%) and deferrals (25%). The company has reached agreements with 86% of tenants requesting relief.

FY20 distributions totalled 11.9 cents. No FY21 guidance was provided, given ongoing covid-19 uncertainties, notes the analyst.

Morgans believes on the other side of the pandemic, demand for large format retail will be even stronger given the vulnerability of major shopping malls witnessed during this period.

The Add rating is maintained. The target price is increased to $2.62 from $2.53.

Target price is $2.62 Current Price is $2.21 Difference: $0.41
If AVN meets the Morgans target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $2.66, suggesting upside of 18.8% (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

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

Aventus Group's FY20 result highlighted the resilience of large format retail during the pandemic, observes UBS. The REIT's funds from operations (FFO) was slightly ahead of the broker's forecast. 

No FFO or distribution guidance was provided due to the current uncertainty.

The group's resilient large-format retail assets, strong foot traffic and benefits from changing household spending patterns will more than offset the risk of any housing slowdown, expects the broker.

UBS upgrades its rating to Buy from Neutral with the target price increasing to $2.50 from $1.65.

Target price is $2.50 Current Price is $2.21 Difference: $0.29
If AVN meets the UBS target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $2.66, suggesting upside of 18.8% (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

Macquarie rates AWC as Underperform (5) -

At first glance, today's interim report released by Alumina Ltd turned out weaker-than-expected, but Macquarie is seeing the higher-than-anticipated dividend as a positive. There was an unexpected increase in net debt as well.

Macquarie highlights the interim dividend of US2.8c is 22% higher than its own forecast, though -22% lower than the final dividend paid in 2019. The company has recommenced its Dividend Reinvestment Plan (DRP).

Equally noteworthy, the broker believes Alumina Ltd may need to utilise its existing debt facilities to fund a portion of the dividend payment in the near term.

Target price is $1.30 Current Price is $1.59 Difference: minus $0.29 (current price is over target).
If AWC meets the Macquarie target it will return approximately minus 18% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.87, suggesting upside of 13.8% (ex-dividends)

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: 0.4

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

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

FY20 impairment charges have been revealed and EBITDA and net profit are expected in the range of $820-825m and $175-180m, respectively, below Morgan Stanley's estimates. No final dividend will be provided.

The weaker results disappointed the broker and the lack of detail makes it difficult to comment on the source of weakness. Full results will be provided on August 28.

Equal-weight rating. Target is $4.10. Industry view is Cautious.

Target price is $4.10 Current Price is $3.68 Difference: $0.42
If BLD meets the Morgan Stanley target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $3.87, suggesting upside of 2.2% (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

Citi rates BUB as Neutral (3) -

Bubs Australia is working with the Chinese food manufacturer Beingmate to develop its China label formulation. The broker considers Bubs' localisation strategy sensible as it maximises the chance of obtaining offline market access. 

Most of the Chinese consumers feel domestic brands are more suitable for their babies, highlights Citi. Bubs will retain IP ownership of the Bubs brand and the consideration for Beingmate's brand slot is yet to be determined, adds the broker.

Citi maintains its Neutral rating with a target price of $1.

Target price is $1.00 Current Price is $0.97 Difference: $0.03
If BUB meets the Citi target it will return approximately 3% (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 CNU as Neutral (3) -

FY20 revealed solid growth in fibre subscriptions with EBITDA of NZ$648m. The target is 1m fibre connections by 2022, in line with Credit Suisse expectations. FY21 guidance for EBITDA of NZ$640-660m is also in line with forecasts.

There are several important issues at stake at the moment, suggests the broker, particularly the regulatory processes regarding infrastructure partnerships. The broker believes finalisation of the settings will influence the long-term investment credentials of Chorus.

Nevertheless, investors are focused on the FY24-25 free cash outlook, which appears attractive to the broker. Neutral retained. Target rises to NZ$8.34 from NZ$7.18.

Current Price is $7.46. Target price not assessed.

Current consensus price target is N/A

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 CNU as Neutral (3) -

Chorus reported in line with the broker and guidance. Investors remain concerned about a new regulatory structure due in 2022 but the broker believes the basic framework is essentially in place, and believes the resilience of fibre as a delivery platform demonstrated in the lockdowns makes it preferred over wireless and 5G.

The dividend is set for a strep-change from FY22 on a new cash flow-based policy, the broker notes, albeit initially constrained by residual rollout capex. Neutral retained, target rises to NZ$7.65 from NZ$7.10.

Current Price is $7.46. Target price not assessed.

Current consensus price target is N/A

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 CNU as Sell (5) -

UBS is not surprised by Chorus' FY20 result which was broadly in-line with the broker's expectations. Capex was a little above guidance, observes the broker, reflecting faster ramp up in May and June with New Zealand emerging from the level 4 alert earlier than expected 

The broker's operating income forecasts for FY21, FY22 and FY23 are largely unchanged.

UBS maintains its Sell rating with a target price of NZ$6.75. 

Current Price is $7.46. Target price not assessed.

Current consensus price target is N/A

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

Morgans rates EHL as Add (1) -

Emeco Holdings will raise around $149m via a 1:2.1 entitlement at $0.85cps and will pay down debt with the proceeds, and Morgans now forecasts the company to reach a net cash position by FY23.

The broker notes management has flagged that dividends are plausible from FY22.

The analyst states coal sector dynamics (50% of revenue) are opaque near-term, but have scope to recover sharply as in previous cycles.

The Add rating is maintained. The target price is decreased to $1.25 from $1.66.

Target price is $1.25 Current Price is $1.03 Difference: $0.22
If EHL meets the Morgans target it will return approximately 21% (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 FMG as Upgrade to Neutral from Sell (3) -

Fortescue Metals Group's FY20 profit was in line with Citi's estimates as well as the consensus. A (total) dividend of $1.76 implies a payout ratio of 77% and was more than Citi expected. There is no change in FY21 guidance with shipments of 175-180mt expected during the year.

Citi’s mining team notes upside risk to iron ore pricing in 2021 given China stimulus and positive lead indicators like excavator sales
and property starts. The mining team thinks iron price could average US$85/$75/t in 2021-22 with Fortescue earnings per share of US$1.46/$1.13 in FY21-22.

Citi upgrades its rating to Neutral from Sell with the target price increasing to $17.50 from $11.70.

Target price is $17.50 Current Price is $18.56 Difference: minus $1.06 (current price is over target).
If FMG meets the Citi target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $16.35, suggesting downside of -11.5% (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: 0.1

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

Credit Suisse rates FMG as Downgrade to Underperform from Neutral (5) -

The highlight in FY20 results was the strong $1 (final) dividend and Credit Suisse now makes less conservative assumptions around long-run unit costs and strip ratios, which increases the target to $15.00 from $12.50.

Nevertheless, given the recent sustained outperformance of the share price the rating is downgraded to Underperform from Neutral. The downgrade is a valuation call, the broker emphasises.

While a lot of the strong run up in the share price is justifiable, the question Credit Suisse believes should be asked is how much upside is available when iron ore is over US$120/t and earnings may be close to peaking.

Target price is $15.00 Current Price is $18.56 Difference: minus $3.56 (current price is over target).
If FMG meets the Credit Suisse target it will return approximately minus 19% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $16.35, suggesting downside of -11.5% (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: 0.1

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

Macquarie rates FMG as Outperform (1) -

Fortescue Metals' record result was in line with forecasts. While the final dividend left full-year dividends slightly shy of the broker's forecast, no one's complaining about an almost 10% fully franked yield.

FY21 production and cost guidance is maintained and the broker notes earnings upgrade momentum remains significant. Iron ore spot prices remain well above the broker's forecast price suggesting significant upside potential. Outperform retained, target rises to $19 from $18.

Target price is $19.00 Current Price is $18.56 Difference: $0.44
If FMG meets the Macquarie target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $16.35, suggesting downside of -11.5% (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: 0.1

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

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

FY20 results were broadly in line with Morgan Stanley's estimates. Operations remain strong, with the broker noting the iron ore price is elevating returns.

The dividend equates to a pay-out ratio of 77% against Morgan Stanley's expectation of 75%. Equal-weight rating retained. Target is $12.65. Industry view is Attractive.

Target price is $12.65 Current Price is $18.56 Difference: minus $5.91 (current price is over target).
If FMG meets the Morgan Stanley target it will return approximately minus 32% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $16.35, suggesting downside of -11.5% (ex-dividends)

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: 0.1

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

Ord Minnett rates FMG as Hold (3) -

Fortescue Metals Group reported a "clean" result, comments Ord Minnett, with an underlying FY20 net profit of US$4.75bn, which was -3% below the broker's forecast.

There were no changes to FY21 guidance for production or capital expenditure, notes the analyst. A final fully franked dividend of $1.00 per share was declared, slightly below the broker's forecast.

Ord Minnett continues to like the stock based on an attractive dividend yield, relatively inexpensive multiples and a strong balance sheet. However, valuation metrics are elevated compared to peers.

The Hold rating is maintained. The target price is increased to $18.80 from $18.60.

Target price is $18.80 Current Price is $18.56 Difference: $0.24
If FMG meets the Ord Minnett target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $16.35, suggesting downside of -11.5% (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: 0.1

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

UBS rates FMG as Buy (1) -

Fortescue Metals Group's FY20 net profit was in line with consensus although -2% below UBS' forecast. A final dividend of $1 (fully franked) per share was announced, a little less than the broker's estimated $1.11, implying a 77% pay-out ratio.

Earnings for FY21-22 have been downgraded by -2% led by higher D&A charges expected.

The broker notes the miner's growth projects remain on schedule and more projects are being explored with a key focus on commodities that support the decarbonisation and electrification of the transport sector.

UBS retains its Buy rating with the target price increasing to $18.50 from $18.

Target price is $18.50 Current Price is $18.56 Difference: minus $0.06 (current price is over target).
If FMG meets the UBS target it will return approximately minus 0% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $16.35, suggesting downside of -11.5% (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: 0.1

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

Macquarie rates GEM as Underperform (5) -

The broker has not offered whether G8 Education posted a first half beat or miss of forecasts as 73% of forecast second half earnings represent the government's "transition payment" support package. This will lead to strong September quarter earnings, as well as a month of full JobKeeper (July), but the broker sees a decline in the December quarter.

Demand remains an unknown risk going forward as stimulus rolls off with underperforming assets likely to drag on earnings. Given the virus and government support remain evolving risks, the broker cannot be comfortable and retains Underperform. Target rises to 85c from 80c.

Target price is $0.85 Current Price is $0.93 Difference: minus $0.08 (current price is over target).
If GEM meets the Macquarie target it will return approximately minus 9% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.12, suggesting upside of 9.6% (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 GEM as Equal-weight (3) -

First half operating earnings (EBITDA) of $40m versus over $160m in government support makes interpretation difficult, Morgan Stanley asserts. Higher third quarter subsidies means the broker re-bases 2020 estimates upwards.

Beyond the subsidies, the broker found little clarity in the results. No guidance was provided and in an environment where JobKeeper may be scaled back and unemployment may rise, Morgan Stanley envisages the range of outcomes is wide.

Equal-weight rating. Target is $1. Industry view: In-line.

Target price is $1.00 Current Price is $0.93 Difference: $0.07
If GEM meets the Morgan Stanley target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $1.12, suggesting upside of 9.6% (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

Ord Minnett rates GEM as Hold (3) -

Ord Minnett found the first half result messy as rent concessions, government assistance and asset impairments all featured. Net debt is better than expected.

Going forward, the broker suggests, while 69% occupancy is solid, the outlook is uncertain. No FY20 guidance was provided. Hold rating and $1.10 target retained.

Target price is $1.10 Current Price is $0.93 Difference: $0.17
If GEM meets the Ord Minnett target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $1.12, suggesting upside of 9.6% (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 GEM as Buy (1) -

UBS observes G8 Education's first half did materially better than feared with occupancy continuing to improve. The broker feels the Melbourne lockdown has taken away some potential upside from the third quarter, but overall, 2020 has been upgraded materially.

2021 occupancy will likely be 68.5%, believes the broker, reflecting the uncertainty around demand levels post-JobKeeper cessation.

UBS retains its Buy rating with the target price raised to $1.52 from $1.40.

Target price is $1.52 Current Price is $0.93 Difference: $0.59
If GEM meets the UBS target it will return approximately 63% (excluding dividends, fees and charges).

Current consensus price target is $1.12, suggesting upside of 9.6% (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 HT1 as Neutral (3) -

UBS expects HT&E's 2020 net profit to be about $11m. Beyond 2020, the broker predicts a slower ad market recovery and has reduced its earnings forecasts for 2021-22.

The company has been subject to covid-related headwinds with radio ad markets down -46.6% in the second quarter 2020 versus last year, highlights the broker. Trading has improved since, with July revenues down only -27%.

UBS thinks upside may be dependent on the recovery in the ad market, Soprano and settlement of tax issues Neutral retained with a target price of $1.40.

Target price is $1.40 Current Price is $1.41 Difference: minus $0.01 (current price is over target).
If HT1 meets the UBS target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.32, suggesting downside of -7.2% (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

Credit Suisse rates IFM as Outperform (1) -

FY20 results were in line with expectations. Credit Suisse notes a backlog of contracts remain to be implemented as travel challenges because of the pandemic are impeding installation.

While this may be a drag on the first half of FY21 the broker observes the number of closed deals is as large as ever.

Credit Suisse assesses the stock offers an attractive proposition with a sticky customer base and multi-year organic growth outlook, as well as accretive M&A potential. Outperform reiterated. Target is reduced to $2.50 from $2.60.

Target price is $2.50 Current Price is $1.72 Difference: $0.78
If IFM meets the Credit Suisse target it will return approximately 45% (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

UBS rates IFM as Buy (1) -

The number of contracts won by Infomedia remains huge with a strong pipeline of opportunities, observes UBS. However, the pandemic impacted the second half FY20 rollout. This, expects the broker, will impact the first half of FY21 before recovery in the second half.

The broker acknowledges uncertainty faced by automotive original equipment manufacturers (OEMs) could create some potential short-term headwinds. The second half was slower due to covid-19 but broadly in-line with UBS' forecast. 

The broker considers the stock attractive and retains its Buy rating with the target price raised to $2.15 from $2.05.

Target price is $2.15 Current Price is $1.72 Difference: $0.43
If IFM meets the UBS target it will return approximately 25% (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 IRE as No Rating (-1) -

Iress' first half results featured strong Asia-Pacific revenues and segment profits, both up 11%, but new arrangements with institutions will see lower revenues in the second half, the broker notes.

The broker is currently on research restrictions.

Current Price is $10.82. Target price not assessed.

Current consensus price target is $11.43, suggesting upside of 5.1% (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 ISD as Add (1) -

The FY20 underlying earnings (EBITDA) of Isentia Group were in-line with Morgans forecast and company guidance from July.

By division, ANZ revenues fell -12.8% and Asia fell -2.6% and the company announced the exit of its North Asian business in June, 2020, highlights the broker.

No guidance was provided, given the covid-19 uncertainties and the upcoming Copyright Tribunal hearings, notes the analyst.

Morgans suggests the company is well placed as new products are released and costs are further optimised.

The Add rating is maintained. The target price is increased to $0.36 from $0.332

Target price is $0.36 Current Price is $0.22 Difference: $0.14
If ISD meets the Morgans target it will return approximately 64% (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

Morgans rates KPG as Add (1) -

Kelly Partners reported underlying FY20 profit (NPATA) up 25% on the previous corresponding period..

Morgans notes three acquisitions were executed for the year, which in combination are expected to deliver circa $3.2-$3.9m annualised group revenue.

Total dividends for the year were 5.39cps (including a 0.55cps special). Dividend guidance was provided, with company expecting to pay 5.32cps in ordinary dividends in FY21.

The Add rating is maintained. The target price is increased to $1.26 from $1.17.

Target price is $1.26 Current Price is $1.21 Difference: $0.05
If KPG meets the Morgans target it will return approximately 4% (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

Morgans rates MVF as Add (1) -

The Monash IVF Group's result was pre-released and Morgans says the highlights were a strong balance sheet and market share growth in NSW, QLD and SA, which were offset by a weaker result in Vic and Malaysia.

The broker points out pent-up demand from the suspension of services in April and May is likely to result in record cycle numbers in July, August and September.

No final dividend was declared, although the deferred interim dividend of 2.1cps will be paid on October 2. The Add rating is maintained. The target price is increased to $0.65 from $0.63.

Target price is $0.65 Current Price is $0.58 Difference: $0.07
If MVF meets the Morgans target it will return approximately 12% (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 MYX as Neutral (3) -

A number of one-off items led Mayne Pharma to beat the broker's forecast but gross earnings fell short, due to competition in the generic market and virus-related disruptions for specialist brands. Reduced operational expense provided some offset, the broker notes.

The near term outlook remains challenging, with the potential approval of two new products key catalysts, the broker suggests. Neutral retained, target falls to 38c from 42c.

Target price is $0.38 Current Price is $0.37 Difference: $0.01
If MYX meets the Macquarie target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $0.38, suggesting upside of 4.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Citi rates NHF as Buy (1) -

FY20 results and dividends were a disappointment, observes Citi and notes the outlook has not changed much. The miss was mostly driven by a larger than expected loss in travel.

The broker remains cautious on the recovery outlook for and allows for a loss of circa -$20m in FY21. The broker notes one-off factors dented capital in FY20 but future dividends remain reasonably secure.

Citi reaffirms its Buy rating with the target price reducing to $5.15 from $5.20.

Target price is $5.15 Current Price is $4.53 Difference: $0.62
If NHF meets the Citi target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $5.09, suggesting upside of 10.1% (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

Credit Suisse rates NHF as Neutral (3) -

FY20 profit was ahead of estimates. The final dividend of 4c was in line with forecasts. However, Credit Suisse assesses the environment is not so good for the international and travel divisions.

Travel made a -$20m loss in the second half and international profits declined by -20%. Further losses are expected in FY21, given the uncertainty. Neutral retained. Target is reduced to $4.70 from $4.90.

Target price is $4.70 Current Price is $4.53 Difference: $0.17
If NHF meets the Credit Suisse target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $5.09, suggesting upside of 10.1% (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 NHF as Upgrade to Outperform from Neutral (1) -

Macquarie notes nib Holdings' result missed consensus forecasts for both earnings and the dividend. But in the wake of a sharp share price response, the broker upgrades to Outperform.

Despite no underlying profit growth guidance being offered, on a -22% discount to peers the broker believes value has emerged. Target rises to $5.15 from $4.80.

Target price is $5.15 Current Price is $4.53 Difference: $0.62
If NHF meets the Macquarie target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $5.09, suggesting upside of 10.1% (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

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

FY20 revenue was in line with expectations while underlying operating profit was below. Morgan Stanley notes claims inflation is well above premium growth and putting pressure on margins.

Management has indicated sales have picked up in FY21, although the broker points out this is countered by a catch-up in hospital & ancillary claims.

Top-line issues appear to be dissipating but claims pressure remains and the challenge is one of navigating the structural issues, in the broker's view.

Equal-weight rating. Target is reduced to $4.75 from $4.80. Industry view: In-line. 

Target price is $4.75 Current Price is $4.53 Difference: $0.22
If NHF meets the Morgan Stanley target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $5.09, suggesting upside of 10.1% (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 NHF as Hold (3) -

nib Holdings’ FY20 underlying profit of $150m was -5% below consensus, and Morgans describes it as a better-than-expected Australian Residents Health Insurance (ARHI) performance, offset by a weaker performance in all other divisions than the broker expected.

The analyst notes management outlook commentary was broad, pointing to ARHI policyholder growth of 2%-3% and an ARHI net margin of around 6%, but with covid-19 uncertainty impacting all businesses.

A 4cps 2H20 dividend was declared. Morgans lowers EPS estimates for FY21 and FY22 by -6% and -2% on more conservative margin assumptions.

The Hold rating is maintained. The target price is decreased to $4.80 from $4.92.

Target price is $4.80 Current Price is $4.53 Difference: $0.27
If NHF meets the Morgans target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $5.09, suggesting upside of 10.1% (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 NHF as Accumulate (2) -

nib Holdings reported a FY20 group underlying operating profit (UOP) of $150m versus Ord Minnett's $131m forecast.

The result was affected by large moving parts from covid-19, with underlying gross margins under pressure and significant losses in travel, notes the broker.

Management stressed it could hit 6% margins in Australian Residents Health Insurance (ARHI) in FY21, and would significantly right-size travel.

A fully franked final dividend of 4cps was declared, which was ahead of Ord Minnett's estimate of 3cps.

The broker thinks the company faces broadly similar trends to Medibank Private ((MPL)) in ARHI,  but with greater flexibility to reduce costs, given a higher starting maximum event retention and a greater ability to cut back on marketing spend.

The Accumulate rating is maintained. The target price increases to $5.95 from $5.88.

Target price is $5.95 Current Price is $4.53 Difference: $1.42
If NHF meets the Ord Minnett target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $5.09, suggesting upside of 10.1% (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

Credit Suisse rates OML as Outperform (1) -

Revenue in the first half was in line with Credit Suisse estimates while operating earnings (EBITDA) were ahead. The broker is comforted by the outlook, as while August revenue is down around -40%, forward bookings indicate improvements are occurring.

 Moreover, oOh!media has upgraded rental cost savings and confirmed the likelihood of JK2.0 benefits. Outperform rating retained. Target is reduced to $1.25 from $1.28.

Credit Suisse believes the likelihood of further share issuance has materially reduced and investors can focus on the recovery.

Target price is $1.25 Current Price is $1.04 Difference: $0.21
If OML meets the Credit Suisse target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $1.23, suggesting upside of 18.9% (ex-dividends)

The company's fiscal year ends in December.

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 OML as Outperform (1) -

In a difficult environment, oOh!media managed to beat the broker's forecast on standout cost reductions. The company's drop in revenue was less than the sector average despite greater exposure to highly lockdown-impacted airport and rail advertising.

The current quarter is showing signs of improvement but the broker retains Outperform on a long term structural growth basis, positive leverage to an ad market recovery, and a reduction in balance sheet concerns. Target rises to $1.45 from $1.25.

Target price is $1.45 Current Price is $1.04 Difference: $0.41
If OML meets the Macquarie target it will return approximately 39% (excluding dividends, fees and charges).

Current consensus price target is $1.23, suggesting upside of 18.9% (ex-dividends)

The company's fiscal year ends in December.

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

Ord Minnett rates OML as Downgrade to Hold from Accumulate (3) -

oOh!media reported a first half 2020 underlying net loss of -$16.9m versus a profit of $18.2m in the same period last year, but Ord Minnett states management has done an excellent job achieving more than -$80m in cost savings, and supported by its capital raising, reducing leverage.

Despite signs of emerging positivity for regional growth, the broker lowers earnings (EBITDA) estimates for 2020 and 2021 by -50.7% and -38.8%, respectively.

This is due to lower than expected revenues in the first half, as well as the company's commute, retail, fly and locate segments continuing to be affected by macro weakness, the pandemic restrictions and reduced audiences.

The rating is downgraded to Hold from Accumulate on a lack of valuation support.  The target price is decreased to $1.05 from $1.25.

Target price is $1.05 Current Price is $1.04 Difference: $0.01
If OML meets the Ord Minnett target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $1.23, suggesting upside of 18.9% (ex-dividends)

The company's fiscal year ends in December.

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

Citi rates ORA as Neutral (3) -

The impact of the pandemic hurt earnings in FY20, with EBIT down -14%. Citi expects a further slight fall in Australian earnings in FY21 and lowers the target to $2.50 from $2.80. North American EBIT is expected to rise to $84m in FY21, largely as Covid-19 costs reduce.

The capacity to buy back stock and pay a good dividend should provide support for the share price, in the broker's view. Coverage is transferred to another analyst and Citi retains a Neutral rating.

Target price is $2.50 Current Price is $2.32 Difference: $0.18
If ORA meets the Citi target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $2.60, suggesting upside of 13.0% (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

Citi rates OSH as Neutral (3) -

Upon initial assessment of today's interim report release, Citi analysts acknowledge Oil Search's result was near the bottom of the guidance range provided, but expectations both at Citi and according to market consensus were positioned higher.

The fact there is no interim dividend equally represents a "miss" say the analysts. The company has formed a dedicated unit to cut costs, but Citi analysts are sceptical.

The development of the asset in Alaska will now be phased and the analysts comment this change of plan might just avoid Oil Search having to raise additional capital.

Target price is $3.76 Current Price is $3.00 Difference: $0.76
If OSH meets the Citi target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $3.55, suggesting upside of 16.8% (ex-dividends)

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: 0.4

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

Ord Minnett rates OSH as Accumulate (2) -

Oil Search, according to Ord Minnett's initial glance, has today released a rather mixed interim report. Also, the broker notes, there is no interim dividend.

Oil Search has largely reiterated full year guidance, with the exception of unit production costs. In addition, the company will be selling part of its Alaska project.

Target price is $3.70 Current Price is $3.00 Difference: $0.7
If OSH meets the Ord Minnett target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $3.55, suggesting upside of 16.8% (ex-dividends)

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: 0.4

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

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

Morgans increases the valuation for PTB Group on more optimistic assumptions for FY21 earnings, growth rates in the US and the potential for dividends.

The broker has increased forecast FY21 revenue significantly on the assumption that reduced customer flight hours will be mostly limited to Trans Maldivian Airways (TMA).

If US earnings remain resilient, the analyst says the company could implement its growth plans more quickly.

Morgans lifts the forecast FY21 dividend to 5cps because of higher earnings forecasts and an assumption that 50% of dividends will be funded by the DRP.

The rating is upgraded to Add from Hold. The target price is increased to $0.77 from $0.65

Target price is $0.77 Current Price is $0.63 Difference: $0.14
If PTB meets the Morgans target it will return approximately 22% (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

Ord Minnett rates QUB as Accumulate (2) -

Having had an initial look into today's FY20 release, Ord Minnett observes the underlying profit (NPATA) of $121m or 7.2cps is -15% lower than the prior corresponding period (pcp), but nevertheless 9% above the broker's forecast of 6.6cps.

Weak conditions experienced over the past six months are expected to persist and company management is weighing up whether to halt an intended transaction cum capex decision for the Moorebank asset for the time being.

Target price is $3.09 Current Price is $2.92 Difference: $0.17
If QUB meets the Ord Minnett target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $3.05, suggesting upside of 7.0% (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) -

UBS predicts FY20 group revenue to be down -5% versus last year with core net profit -65% below last year. Led by the shift to AASB16 accounting standards and various viability agreements, there is a lot of divergence in consensus forecasts, notes the broker.

UBS retains its Neutral rating. $71.20 target retained for Ramsay Health Care.

Target price is $71.20 Current Price is $66.08 Difference: $5.12
If RHC meets the UBS target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $68.45, suggesting upside of 3.6% (ex-dividends)

The company's fiscal year ends in June.

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 RWC as Outperform (1) -

FY20 results were slightly ahead of expectations and July/August trading was also well above forecasts. Still, Reliance Worldwide is wary of the continuation of the sales trend and cautioned that these July/August sales should not be capitalised.

Credit Suisse expects a margin recovery in FY21 but remains cautious about the savings flowing through. Outperform rating retained. Target rises to $4.00 from $3.25.

Target price is $4.00 Current Price is $3.38 Difference: $0.62
If RWC meets the Credit Suisse target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $3.72, suggesting upside of 2.9% (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

Macquarie rates RWC as Outperform (1) -

Reliance Worldwide reported above expectations, driven by good execution and a focus on core opportunities, the broker notes, with further cost efficiencies to come. FY21 has begun well featuring ongoing growth in the Americas and recovery in Europe, with Asia Pacific remaining flat.

Despite a big share price response, the broker retains Outperform noting the rally followed very low expectations. The market environment is uncertain, but a comparatively defensive exposure to repair activity should stand the company in good stead, the broker believes, if construction activity continues.

Target rises to $3.95 form $3.65.

Target price is $3.95 Current Price is $3.38 Difference: $0.57
If RWC meets the Macquarie target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $3.72, suggesting upside of 2.9% (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 RWC as Equal-weight (3) -

FY20 underlying operating earnings (EBITDA) were ahead of Morgan Stanley's estimates, driven by an outperformance in the Americas. Asia-Pacific and Europe were broadly in line.

No guidance was provided, although management indicated trading in July and August revealed conditions were improving. Morgan Stanley envisages upside risk to consensus expectations for FY21.

Equal-weight rating. Target is $3.20. Industry view is Cautious.

Target price is $3.20 Current Price is $3.38 Difference: minus $0.18 (current price is over target).
If RWC meets the Morgan Stanley target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.72, suggesting upside of 2.9% (ex-dividends)

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 RWC as Hold (3) -

The FY20 result of Reliance Worldwide was slightly ahead of Morgans expectations, with the key positives of a strong Americas performance, a very healthy balance sheet and higher operating cash flow, despite the drop in earnings.

However, the broker highlights the impact from UK government restrictions was severe, with demand in Europe, Middle East and Africa (EMEA) running at 35%-40% of pre-covid-19 levels for a period of time.

Earnings in the Americas benefited in part from increased spending on home improvement, notes the analyst. The deferred 1H20 dividend of 4.5cps will be paid in October along with the final dividend.

The broker highlights FY21 is off to a good start, based on figures for July and August released by the company’s management. Morgans upgrades underlying earnings (EBITDA) in FY21, FY22 and FY23 by 9%, 8% and 9%, respectively.

The Hold rating is maintained. The target price is increased to $3.54 from $3.07.

Target price is $3.54 Current Price is $3.38 Difference: $0.16
If RWC meets the Morgans target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $3.72, suggesting upside of 2.9% (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

Ord Minnett rates RWC as Accumulate (2) -

Reliance Worldwide reported an adjusted net profit of $130.3m, 10% above Ord Minnett’s forecast, and group operating earnings were 5% above the broker’s estimate.

A 20% franked final dividend of 2.5cps was declared, below the 3.5cps forecast by the broker.

No FY21 guidance was provided, although management expects to achieve growth above market in all key regions as well as margin expansion, notes the analyst.

Ord Minnett lifts EPS forecasts by an average of 20% over FY21-FY23. The Accumulate rating is maintained. The target price is increased to $4.00 from $3.40.

Target price is $4.00 Current Price is $3.38 Difference: $0.62
If RWC meets the Ord Minnett target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $3.72, suggesting upside of 2.9% (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

UBS rates RWC as Buy (1) -

Reliance Worldwide's FY20 results saw second-half net profit ahead of UBS' forecast driven by better than expected margins and revenue growth in the US.

No earnings guidance was given but the company notes robust activity in the US and EMEA for July and August. UBS expects first-half FY21 US revenue growth of 4% with EMEA also growing at 4%.

The outlook for APAC for the first half looks weak due to exposure to Multis, adds the broker. Buy rating maintained. Target is increased to $3.65 from $3.29.

Target price is $3.65 Current Price is $3.38 Difference: $0.27
If RWC meets the UBS target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $3.72, suggesting upside of 2.9% (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

Macquarie rates S32 as Underperform (5) -

Having joined South32's post-result round table, the broker has not made any changes to forecasts.

It does note however that management sounded pessimistic about the final investment decision due for Eagle Downs at the end of the second half FY21, and while the South African Energy Coal divestment is expected to be completed around the same time, there remains a risk of renegotiation on price.

Underperform and $1.90 target retained.

Target price is $1.90 Current Price is $2.18 Difference: minus $0.28 (current price is over target).
If S32 meets the Macquarie target it will return approximately minus 13% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.59, suggesting upside of 19.6% (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: 0.6

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

UBS rates S32 as Buy (1) -

South32's CEO roundtable update noted exit from South Africa Energy Coal (SAEC) will be complete by the end of 2020. The company notes 2020 will be an important year for the portfolio with its intended exit from low returning and capital intensive businesses like SAEC and Tasmanian Electro Metallurgical Company (TEMCO).

The miner believes the company is well-positioned for growth with options including Hermosa, Eagle Downs and Ambler Metals.

Target price rises to $2.85 from $2.80. Buy rating retained.

Target price is $2.85 Current Price is $2.18 Difference: $0.67
If S32 meets the UBS target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $2.59, suggesting upside of 19.6% (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: 0.6

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

Credit Suisse rates SBM as Outperform (1) -

Underlying net profit in FY20 missed estimates. However, the outlook is unchanged. A final dividend of 4c brings the pay-out to a total of 8c.

The December half year is shaping up with plenty of catalysts, Credit Suisse observes, which should bring clarity to the growth opportunities.

This includes the Gwalia optimisation, the updated feasibility study at Simberi and the Atlantic development phasing. Outperform retained. Target rises to $3.80 from $3.70.

Target price is $3.80 Current Price is $3.41 Difference: $0.39
If SBM meets the Credit Suisse target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $3.63, suggesting upside of 8.0% (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 SBM as Underperform (5) -

St Barbara's FY20 profit fell short of the broker on increased D&A and corporate costs. There was no change in reserves, with depletion across all operations confirmed.

FY21 thus becomes an important year for the miner, with a final investment decision pending for Simberi sulphides, an updated development outlook for Atlantic now complete and a "new normal" for Gwalia to be established.

With all this providing an uncertain path the broker retains Underperform. Target rises to $3.30 from $3.00.

Target price is $3.30 Current Price is $3.41 Difference: minus $0.11 (current price is over target).
If SBM meets the Macquarie target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.63, suggesting upside of 8.0% (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

Morgan Stanley rates SBM as Overweight (1) -

FY20 net profit was below Morgan Stanley's estimate although cash flow was stronger. The final dividend brought the total to 8c, which provides an underlying pay-out ratio of 52%.

The broker notes all sites are being optimised, with particular focus on the Atlantic gold project and Simberi sulphide project.

Overweight rating is maintained. Target price is $3.65. Industry view is Attractive.

Target price is $3.65 Current Price is $3.41 Difference: $0.24
If SBM meets the Morgan Stanley target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $3.63, suggesting upside of 8.0% (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 SBM as Accumulate (2) -

FY20 operating earnings were in line with Ord Minnett's forecasts. The broker continues to believe St Barbara has a solid base on which to deliver value. FY21 guidance at Gwalia is for production of 175-190,000 ounces.

Reserves and resources stand at 6m ounces and 11.6m ounces, respectively. As a result, Ord Minnett suggests St Barbara has a good line of sight on mine life and further options through conversion. Accumulate rating and $3.80 target retained.

Target price is $3.80 Current Price is $3.41 Difference: $0.39
If SBM meets the Ord Minnett target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $3.63, suggesting upside of 8.0% (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 SKI as Hold (3) -

As far as Ord Minnett's initial response goes, Spark Infrastructure today released a rather mixed set of interim financials.

The broker notes underlying EBITDA and profit (NPAT) were both better than expected, the distribution is in-line with guidance, but cash flow has been impacted by a high tax bill and thus distributions were only 42% covered.

The end result does look positive though, with full year distribution guidance re-affirmed and representing a yield of more than 6%.

Additionally, points out Ord Minnett, Spark Infrastructure is noting future distributions may contain franking from March 2021 onwards.

Target price is $2.15 Current Price is $2.21 Difference: minus $0.06 (current price is over target).
If SKI 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 $2.19, suggesting downside of -1.1% (ex-dividends)

The company's fiscal year ends in December.

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 SLC as Equal-weight (3) -

FY20 results were previously guided. No FY21 guidance was provided. Recurring fibre revenue continues to accelerate, Morgan Stanley notes. Nevertheless, the balance sheet is considered stretched.

Operating earnings (EBITDA) forecasts are reduced by -5-9%. Earnings guidance is anticipated at the AGM.

Morgan Stanley retains its Equal-weight rating and raises the target to $1.10 from $0.75. Industry view: In-line.

Target price is $1.10 Current Price is $1.16 Difference: minus $0.06 (current price is over target).
If SLC meets the Morgan Stanley target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.27, suggesting upside of 11.7% (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 SLC as Add (1) -

Superloop reported a FY20 result in-line with guidance and management did well to flex the cost base, win new business and grow earnings (EBITDA), according to Morgans.

The broker states two key highlights were new annualised fibre sales growing from $11.2m in FY19 to $16.4m in FY20 and the underlying earnings (EBITDA) trajectory in the business.

No guidance was provided for FY21, but Morgans calculates the company starts FY21 with around 45% year on year earnings growth already locked in.

The Add rating and target price of $1.30 are maintained.

Target price is $1.30 Current Price is $1.16 Difference: $0.14
If SLC meets the Morgans target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $1.27, suggesting upside of 11.7% (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

Ord Minnett rates SLC as Accumulate (2) -

FY20 results were pre-guided. Ord Minnett notes a number of moving parts as Superloop continues to wind down the non-core business and cycle some one-off subsea development and fibre construction contracts.

With the network now completed, the broker observes some of the leverage from the fibre assets is starting to be realised as utilisation increases. Accumulate rating and $1.42 target retained.

Target price is $1.42 Current Price is $1.16 Difference: $0.26
If SLC meets the Ord Minnett target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $1.27, suggesting upside of 11.7% (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 SOM as Upgrade to Add from Hold (1) -

SomnoMed posted an impressive result according to Morgans, considering the impact covid-19 was supposed to have on the business, aided by strict cost containment and government assistance.

The broker states it is willing to back a recovery over the medium-term, with revenues returning to pre-covid-19 levels by FY22.

Despite lockdowns in many of the jurisdictions having an impact on sales, North America was up 3%, Europe was down -6% and the Asia Pacific Region (APAC) was down -6%, notes the analyst.

The broker highlights a number of positives including a strong thematic of sleep, a solid underlying business with a wide distribution network, net cash with minimal debt and quality market leading products and new product launches due shortly.

Morgans upgrades profit (NPAT) assumptions by 120% and 114% for FY22 and FY23. The rating is upgraded to Add from Hold. The target price is increased to $2.02 from $1.33.

Target price is $2.02 Current Price is $1.54 Difference: $0.48
If SOM meets the Morgans target it will return approximately 31% (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

Ord Minnett rates SSG as Buy (1) -

Ord Minnett found growth was exceptional despite the pandemic. While there is an element of demand being pulled forward the broker is confident of continued growth as the closure of beauty clinics/hair salons drives the purchase of at-home grooming solutions.

There is also the structural acceleration of the trend to online which is already strong. Buy rating retained. Target rises to $1.26 from $0.92.

Target price is $1.26 Current Price is $0.95 Difference: $0.31
If SSG meets the Ord Minnett target it will return approximately 33% (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) -

Citi expects like-for-like sales growth will taper off and factors in 10.6% growth over the remainder of the first half of FY21.

The automotive segment delivered a 24% incremental margin in the second half of FY20 and remains the driver of the business. Rebel is expected to close five stores in FY21 as duplication post the Amart conversion is addressed.

The broker retains a Buy rating and raises the target to $11.90 from $10.80.

Target price is $11.90 Current Price is $10.68 Difference: $1.22
If SUL meets the Citi target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $11.14, suggesting upside of 3.6% (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

Credit Suisse rates SUL as Outperform (1) -

Credit Suisse assesses Super Retail is likely to be the beneficiary of substitute spending in outdoor leisure activity. Moreover, gearing is now low and the stock appears reasonably "cheap". FY20 results were pre-released so there were no surprises for the broker.

Trading has been very strong in the first seven weeks of the first half and gross margin is also ahead of expectations because of lower promotional activity. Outperform retained. Target rises to $11.52 from $10.27.

Target price is $11.52 Current Price is $10.68 Difference: $0.84
If SUL meets the Credit Suisse target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $11.14, suggesting upside of 3.6% (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 SUL as Outperform (1) -

Super Retail's result beat recently upgraded guidance, thanks to a strong rebound out of lockdown depths for Super Cheap Auto and Rebel. Stores were able to remain open (except in NZ) and the company required little support from wage subsidies or rent relief, Macquarie notes.

Management responded quickly to the situation, the broker points out, both in preserving liquidity and keeping stores open with click-and-collect to meet online demand for stay-at-home categories. A strong balance sheet post-raising will support inventory rebuild and market share gains.

Everything's coming up roses, but the share price has come up too far. Downgrade to Neutral from Outperform. Target rises to $10.80 from $9.50.

Target price is $10.80 Current Price is $10.68 Difference: $0.12
If SUL meets the Macquarie target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $11.14, suggesting upside of 3.6% (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 SUL as Overweight (1) -

FY20 results were in line with guidance. Strong May/June trading has continued into July with Rebel re-accelerating, the broker notes.

While the outlook is uncertain because of a resurgence in Melbourne/Sydney coronavirus cases, the broker considers the update confirms Super Retail will benefit from the re-opening of Australia.

Overweight rating maintained. Target is $10. Industry View: Cautious.

Target price is $10.00 Current Price is $10.68 Difference: minus $0.68 (current price is over target).
If SUL meets the Morgan Stanley target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $11.14, suggesting upside of 3.6% (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

Morgans rates SUL as Add (1) -

Super Retail Group’s FY20 result was in line with recent guidance, comments Morgans, with profit (NPAT) flat and like most other retailers, strong year end trading has continued into early FY21.

Auto and Rebel margins expanded nicely in the second half, while BCF and Macpac saw compression, notes the analyst.

Morgans thinks the demand for the company’s products can remain robust, being a mass-market retailer with direct leverage to a couple of strong covid-19 trends.

The Add rating is maintained. The target price is increased to $11.53 from $10.27.

Target price is $11.53 Current Price is $10.68 Difference: $0.85
If SUL meets the Morgans target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $11.14, suggesting upside of 3.6% (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 SUL as Accumulate (2) -

Super Retail Group's FY20 pre-AASB-16 normalised net profit was slightly above Ord Minnett's forecast, with earnings (EBIT) also above estimates.

A fully franked final dividend of 19.5cps was declared (the interim was canceled).

Across divisions, Supercheap Auto (SCA) and Macpac came in above the broker's forecasts, while underlying operating cash flow was very strong, with one-time tailwinds reported.

Ord Minnett sees themes of domestic versus international travel, outdoor leisure and fitness as drivers, with SCA resilient and on-line growth accelerating across the company.

The Accumulate rating is maintained. The target price is increased to $11.50 from $10.50.

Target price is $11.50 Current Price is $10.68 Difference: $0.82
If SUL meets the Ord Minnett target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $11.14, suggesting upside of 3.6% (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 SUL as Neutral (3) -

Super Retail Group's FY20 net profit was circa 4% ahead of UBS' forecasts with strong cashflow. UBS observes the group seems to be benefiting from the reallocation of spending away from international travel and gyms.

The broker believes the business is well placed to benefit from rising auto usage and domestic tourism. Other factors in the group's favour include strong online capabilities and a strong balance sheet.

Considering the risk-reward to be fair, UBS reaffirms its Neutral rating with the target price increasing to $10.70 from $8.90.

Target price is $10.70 Current Price is $10.68 Difference: $0.02
If SUL meets the UBS target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $11.14, suggesting upside of 3.6% (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 SXL as Buy (1) -

Southern Cross Media Group's FY20 net profit on a like-for-like basis at circa $31.2m was below UBS's forecast. Costs were on the higher side due to provision for bad and doubtful debts.

The broker's FY21 operating income and net profit forecasts remain unchanged mostly while forecasts for FY22-23 have been lowered by -11-14% led by a slowdown expected in earnings recovery.

While the ad market declines are improving, the broker notes the group is a long way from pre-covid levels. Buy rating maintained with a target price of $0.20.

Target price is $0.20 Current Price is $0.17 Difference: $0.03
If SXL meets the UBS target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $0.17, suggesting upside of 2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Citi rates SXY as Buy (1) -

Senex Energy's FY20 operating income beat Citi's forecast while net profit at $3.4m was ahead of the broker's projected loss of -$7.4m. The broker clarifies the beat was a result of lower D&A charges. 

FY21 is considered the year of positive cash flows, the broker comments, with a clear line of sight to low-risk delivery of a circa 20% free cash flow yield. The company trimmed the Atlas gas price modestly which is now consistent with the broker's forecast.

Citi maintains its Buy rating with the target price lowered to $0.38 from $0.42.

Target price is $0.38 Current Price is $0.28 Difference: $0.1
If SXY meets the Citi target it will return approximately 36% (excluding dividends, fees and charges).

Current consensus price target is $0.38, suggesting upside of 29.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Credit Suisse rates SXY as Outperform (1) -

FY20 earnings were at the top of guidance although interest expenses were higher than Credit Suisse estimated because of the lease accounting.

The company has indicated expenditure efficiency improvements from FY22, which leaves FY22 guidance for EBITDA at $100-110m. Credit Suisse also suspects the expansion at Roma North could add another 6c per share by FY22.

Further guidance will be forthcoming on growth/capital management over the next six months. Outperform retained. Target rises to $0.39 from $0.36.

Target price is $0.39 Current Price is $0.28 Difference: $0.11
If SXY meets the Credit Suisse target it will return approximately 39% (excluding dividends, fees and charges).

Current consensus price target is $0.38, suggesting upside of 29.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Macquarie rates SXY as Outperform (1) -

Senex Energy's result landed at the upper end of recently updated guidance. With FY21 set to be a transition year, the broker suggests investors should concentrate on FY22, with Surat's growth trajectory to that point remaining intact as production rises.

Peak debt will be seen in FY21 but by end-FY22 the miner is expected to be net cash, allowing for a maiden dividend. Sharper than expected Cooper declines take the target down to 40c from 45c but Outperform retained.

Target price is $0.40 Current Price is $0.28 Difference: $0.12
If SXY meets the Macquarie target it will return approximately 43% (excluding dividends, fees and charges).

Current consensus price target is $0.38, suggesting upside of 29.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Morgan Stanley rates SXY as Overweight (1) -

FY20 underlying earnings were at the top of revised guidance & production and the capital expenditure outlook for FY21 is slightly better than Morgan Stanley anticipated.

Morgan Stanley continues to use conservative long-term oil price assumptions. The broker envisages further upside at Project Atlas. Equal-weight retained. Target rises to $0.31 from $0.30. Industry view is Cautious.

Target price is $0.31 Current Price is $0.28 Difference: $0.03
If SXY meets the Morgan Stanley target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $0.38, suggesting upside of 29.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Morgans rates SXY as Add (1) -

The FY20 earnings (EBITDA) result for Senex Energy was $53m versus Morgans forecast of $54.7m, which was at the high end of the company’s already upgraded FY20 guidance, despite significant second half oil price weakness, explains the broker.

Morgans suggests, as the company has significantly ramped up its Surat operations, the company provides an attractive (and de-risked) earnings growth profile that is not reliant on an oil price recovery.

The analyst expects the balance sheet to move to a net cash position in FY22 and states capital management is on the cards with the company being ex-capex.

The Add rating is maintained. The target price is decreased to $0.42 from $0.433.

Target price is $0.42 Current Price is $0.28 Difference: $0.14
If SXY meets the Morgans target it will return approximately 50% (excluding dividends, fees and charges).

Current consensus price target is $0.38, suggesting upside of 29.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Ord Minnett rates SXY as Accumulate (2) -

FY20 net profit was below Ord Minnett's forecasts, largely resulting from the impact of accounting changes. There was no dividend. Production growth combined with cost savings is expected to generate strong cash flow and a reduction in debt over the next two years.

The broker remains positive on the stock and reiterates an Accumulate rating and $0.35 target. Management is guiding for FY21 operating earnings of $65-75m and FY22 of $100-110m.

Target price is $0.35 Current Price is $0.28 Difference: $0.07
If SXY meets the Ord Minnett target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $0.38, suggesting upside of 29.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Citi rates TAH as Neutral (3) -

Citi updated its model adjusting for dilution from the entitlement offer relative to its prior forecasts for Tabcorp Holdings.

Neutral rating retained. Target is increased to $3.60 from $3.57.

Target price is $3.60 Current Price is $3.63 Difference: minus $0.03 (current price is over target).
If TAH meets the Citi target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.84, suggesting upside of 6.2% (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 TPG as Overweight (1) -

First half results slightly missed Morgan Stanley's estimates. No explicit guidance for 2020 was provided.

The broker envisages opportunity in cost reductions, new products and market share gains. However, as with any large merger, there are risks and integration is likely to take time.

In sum, the broker considers the risk/return on the merged business is attractive. Overweight and $10 target retained. Industry view: In-line.

Target price is $10.00 Current Price is $8.25 Difference: $1.75
If TPG meets the Morgan Stanley target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $8.34, suggesting upside of 1.5% (ex-dividends)

The company's fiscal year ends in December.

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 TPG as Add (1) -

Proforma numbers for TPG Telecom were provided, which were in-line with Morgans forecasts.

The broker expects the company will generate healthy free cash flow, as management estimates total capital expenditure in the years ahead, including the 5G rollout, will be broadly similar to the last few years.

The company did not declare a dividend or provide specific guidance, other than noting Vodafone will be more impacted from a lack of international travelers in 2H20 than 1H20, which didn’t surprise the broker.

The analyst expects dividends will be paid in around 12 months.

The Add rating is maintained. The target price is decreased to $8.71 from $9.12.

Target price is $8.71 Current Price is $8.25 Difference: $0.46
If TPG meets the Morgans target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $8.34, suggesting upside of 1.5% (ex-dividends)

The company's fiscal year ends in December.

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 UWL as Buy (1) -

FY20 underlying operating earnings were in line with expectations. Regulatory changes have delivered positive vertical integration, Ord Minnett observes. The stand-out contributors were Fuzenet, 1300 Australia and Fonedynamics.

Uncertainty continues in the broad acre and multi-dwelling unit housing market and the broker tapers the rate of broadband activation growth in FY21. Buy rating retained. Target reduced to $2.03 from $2.06.

Target price is $2.03 Current Price is $1.54 Difference: $0.49
If UWL meets the Ord Minnett target it will return approximately 32% (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

UBS rates Z1P as Sell (5) -

Zip Co reported following a flat June quarter QuadPay's operating momentum accelerated in July to 30%, adding 133k customers in the month.

The company will be entering into new partnerships with multiple online retail merchants, with a combined US$3bn in online volumes, highlights UBS.

Target remains unchanged at $5.70 with a Sell rating.

Target price is $5.70 Current Price is $7.45 Difference: minus $1.75 (current price is over target).
If Z1P meets the UBS target it will return approximately minus 23% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $6.20, suggesting downside of -18.2% (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