Australian Broker Call

Morgans rates ADI as Hold (3) -

The company has acquired two industrial assets at Wacol, Queensland, for $18.3m and an additional asset in the Brisbane Technology Park for $10m. Morgans now calculates FY20 growth of around 3.5%, incorporating the new acquisitions into forecasts.

Potential catalysts, in the broker's view, include corporate activity and positive news on leasing deals, as well as accretive acquisitions and asset re-rating. Hold maintained. Target is raised to $2.95 from $2.91.

Target price is $2.95 Current Price is $2.97 Difference: minus $0.02 (current price is over target).
If ADI meets the Morgans target it will return approximately minus 1% (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: 0.0

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

Morgan Stanley rates AGL as Underweight (5) -

The company has a conditional agreement to acquire SPC, a small national telco with 100,000 customers and contractual rights to mobile and mobile broadband products. Shareholders in SPC include 35 local councils.

AGL Energy has indicated it intends to maintain the operations, brand and product offerings focused on regional customers, should the transaction proceed.

Morgan Stanley believes this highlights the company's broader growth and convergence strategy.

Underweight maintained. Target is $18.68. Industry view is Cautious.

Target price is $18.68 Current Price is $19.33 Difference: minus $0.65 (current price is over target).
If AGL meets the Morgan Stanley target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $18.21, suggesting downside of -5.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.6

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

Credit Suisse rates ALL as Outperform (1) -

Confidence in the existing game portfolio and operating momentum supports assumptions for the company's land-based business, Credit Suisse suggests. The broker values the stock on the assumption the company's predilection to invest will uphold an expanded market share.

The initiatives include Dollar Storm, a successor to Lightning Link and Dragon Link, as well as Oasis systems, where new connectivity products enable players to deploy mobile phones to allow for seamless gaming experience.

Outperform rating maintained. Target rises to $33.40 from $30.00.

Target price is $33.40 Current Price is $31.74 Difference: $1.66
If ALL meets the Credit Suisse target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $34.03, suggesting upside of 7.2% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 1.0

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

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

Ord Minnett assesses Boral's share price is trading at roughly fair value, having recovered almost to levels pre-FY19 results. However, the outlook for concrete demand underwhelms the broker and this is forecast to trend lower through to FY23.

The broker is also reluctant to factor in the benefits from the USG joint venture in Asia and the formation of the North American division, following the acquisition of Headwaters.

Returns for North America and Asia are expected to be well short of the rate required to cover the cost of capital. Ord Minnett downgrades to Hold from Accumulate and lowers the target to $4.80 from $5.00.

Target price is $4.80 Current Price is $4.76 Difference: $0.04
If BLD meets the Ord Minnett target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $4.72, suggesting downside of -0.8% (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 BOQ as Neutral (3) -

Bank of Queensland's FY19 report missed expectations due to increased impairments and yet another cut in the dividend. Citi analysts note, upon initial assessment, CET1 is weak and the payout ratio remains elevated.

The analysts believe credit risk is on the rise for the regional lender. Management has guided to another tough year ahead.

Target price is $9.50 Current Price is $9.45 Difference: $0.05
If BOQ meets the Citi target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $8.69, suggesting downside of -8.0% (ex-dividends)

The company's fiscal year ends in August.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.7

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

UBS rates BOQ as Sell (5) -

In an early response to today's FY19 release, UBS analysts note the financial performance missed expectations on higher bad debts. Plus Bank of Queensland has announced a cut in shareholder dividend for the second consecutive half-yearly update.

According to UBS, the announced 31c in half-yearly dividend compares with 34c expected by market consensus. While UBS analysts comment "things are not getting any easier" they also indicate their valuation is unlikely to change, leaving the price target at $8.25. Sell.

Target price is $8.25 Current Price is $9.45 Difference: minus $1.2 (current price is over target).
If BOQ meets the UBS target it will return approximately minus 13% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $8.69, suggesting downside of -8.0% (ex-dividends)

The company's fiscal year ends in August.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.7

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

Citi rates CGF as Neutral (3) -

Challenger is struggling to sell Australian retail annuities, Citi observes, with many advisers so disrupted they are unable to focus on the new, potentially favourable, rules for means tests.

Some offset is being provided by Japanese sales and the broker notes Fidante had a good quarter. Nevertheless, a subdued outlook is likely for some time to come and Citi maintains a Neutral rating. Target is raised to $7.30 from $7.20.

Target price is $7.30 Current Price is $7.53 Difference: minus $0.23 (current price is over target).
If CGF meets the Citi target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.28, suggesting downside of -3.4% (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 CGF as Neutral (3) -

Retail annuity sales were down -28% in the September quarter. Credit Suisse notes the stock has de-rated over the past 18 months and is now trading at a -30% discount to the market.

Over the long-term there remains a case for the company to benefit from increasing asset allocation to annuities but short-term disruption in financial advice is continuing to have an impact.

This risk prevents Credit Suisse from taking a more positive stance and a Neutral rating and $7.20 target are maintained.

Target price is $7.20 Current Price is $7.53 Difference: minus $0.33 (current price is over target).
If CGF meets the Credit Suisse target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.28, suggesting downside of -3.4% (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

Macquarie rates CGF as Outperform (1) -

After a challenging period for Challenger, Sep Q total book growth exceeded expectations thanks to Japanese annuity sales and growth in guaranteed income products. Local fixed-term sales are holding up, Macquarie notes, despite low interest rates.

Unless the cash rate takes a real dive, earnings appear to be stabilising, the broker suggests, and a 13.2x PE is -9% below the stock's five-year average. Outperform retained, target rises to $8.50 from $8.40.

Target price is $8.50 Current Price is $7.53 Difference: $0.97
If CGF meets the Macquarie target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $7.28, suggesting downside of -3.4% (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

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

Retail annuity sales of $842m were -30% below Morgan Stanley's expectations. Net retail book growth was also well short, despite lower-than-expected maturities. Ex Japan the domestic retail business is now shrinking, the broker assesses.

Equal-weight rating maintained. Target is $6.95. Industry view: In-line.

Target price is $6.95 Current Price is $7.53 Difference: minus $0.58 (current price is over target).
If CGF meets the Morgan Stanley target it will return approximately minus 8% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.28, suggesting downside of -3.4% (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

Morgans rates CGF as Hold (3) -

First quarter results were largely positive, Morgans assesses. However, domestic annuity sales continue to be of concern, down -11%. The broker upgrades FY20 and FY21 estimates by 2% to reflect higher institutional and Japanese sales forecasts.

However, more evidence of an improving trend is required to become more positive and Morgans maintains a Hold rating. Target rises to $7.53 from $7.31.

Target price is $7.53 Current Price is $7.53 Difference: $0
If CGF meets the Morgans target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $7.28, suggesting downside of -3.4% (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

Ord Minnett rates CGF as Lighten (4) -

Ord Minnett's main concern is that the company's business model is heavily weighted towards wholesale markets for funding. This requires shareholders to bear unreasonable investment risk, in the broker's view, given returns are not covering the cost of capital.

Lifetime annuities are under severe pressure, despite the company's expectations for benefits from new means testing rules. Japanese sales were strong meanwhile, emphasising the weakness in Australian retail life sales. Lighten maintained. Target is $6.50.

Target price is $6.50 Current Price is $7.53 Difference: minus $1.03 (current price is over target).
If CGF meets the Ord Minnett target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.28, suggesting downside of -3.4% (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

UBS rates CGF as Neutral (3) -

UBS observes lower interest rates are starting to have an impact on the company. First quarter retail annuity sales were down -28% and -18% below the broker's forecasts.

While the lower interest-rate environment is weighing on fixed-term sales, weakness in lifetime sales is particularly surprising to UBS.

The company attributes this to adviser disruption and the interaction of new aged pension means-test rules with lower interest rates, particularly on the CarePlus annuity.

This will be redesigned to reduce the impact. Neutral rating and $6.95 target maintained.

Target price is $6.95 Current Price is $7.53 Difference: minus $0.58 (current price is over target).
If CGF meets the UBS target it will return approximately minus 8% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.28, suggesting downside of -3.4% (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

Morgan Stanley rates CSL as Overweight (1) -

Management reiterated guidance at the AGM, which represents 7-10% growth at constant currency rates. Morgan Stanley observes the near-term fundamentals remain strong and Ig volumes should accelerate again in FY20.

Overweight rating maintained. Target is $251. Industry view: In-Line.

Target price is $251.00 Current Price is $252.61 Difference: minus $1.61 (current price is over target).
If CSL 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 $249.41, suggesting downside of -1.3% (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: 0.5

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

UBS rates CSL as Neutral (3) -

UBS increases forecasts for immunoglobulin volume and price growth. The broker now factors in 12% volume growth for Privigen and Hizentra in FY20 and FY21.

All up the revision has resulted in longer-term earnings upgrades of 5-6%. The target moves up commensurately to $263 from $248. However, based on relative returns and recent share price performance a Neutral rating is maintained.

Target price is $263.00 Current Price is $252.61 Difference: $10.39
If CSL meets the UBS target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $249.41, suggesting downside of -1.3% (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: 0.5

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

Credit Suisse rates CSR as Underperform (5) -

Credit Suisse expects housing approvals data to improve within months but any rebound is likely to be moderated by weak underlying economic conditions.

Any recovery is likely to only bring approvals in line with modelling of 175,000/annum, which still represents -20% volume downside versus completions.

The broker also notes no change to aluminium earnings for FY20 are expected because of weak prices.

Credit Suisse raises the target to $3.10 from $2.85 and reduces net profit estimates by -5% for FY20 and FY21. Underperform maintained.

Target price is $3.10 Current Price is $4.14 Difference: minus $1.04 (current price is over target).
If CSR meets the Credit Suisse target it will return approximately minus 25% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.54, suggesting downside of -14.6% (ex-dividends)

The company's fiscal year ends in March.

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 EVN as Hold (3) -

As a result of the issues at Mt Rawdon and the September quarter performance, Morgans reduces FY20 production estimates to 737,000 ounces. Cost estimates have increased to $974/oz, up 7.6%.

A Hold rating is maintained as the factors that have caused the Australian dollar gold price to reach record highs are still unresolved and may further elevate the price, and subsequently the share price. Target is reduced to $4.51 from $4.77.

Target price is $4.51 Current Price is $4.17 Difference: $0.34
If EVN meets the Morgans target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $4.54, suggesting upside of 9.0% (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

Ord Minnett rates HUB as Buy (1) -

Net flows were the best ever in the first quarter of FY20. While the likelihood of a reduction in cash spreads increases as the cash rate nears 50 basis points, the revenue impact needs to be weighed against the other obvious risk - booming net inflows, Ord Minnett suggests.

With flow upside ahead and imminent risks now priced in, Ord Minnett retains a Buy rating on the stock as it remains -17% off its pre-election high. Target is raised to $16.09 from $15.48.

Target price is $16.09 Current Price is $12.99 Difference: $3.1
If HUB meets the Ord Minnett target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $12.81, suggesting downside of -1.4% (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

Macquarie rates KLL as Outperform (1) -

Kalium Lakes has now awarded plant construction and gas contracts, with Beyondie remaining on schedule for first production in late 2020. Construction activity has been stepped up, the broker notes, following the positive financial investment decision.

The broker will attend an investor site tour next week. Outperform and 90c target retained.

Target price is $0.90 Current Price is $0.50 Difference: $0.4
If KLL meets the Macquarie target it will return approximately 80% (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 MHJ as Hold (3) -

First quarter same-store sales growth of 11.9% was welcomed, albeit a weak base was being cycled. Morgans notes the strength came at the expense of gross margin, which was weaker than expected.

The company has noted, while pressure on margins have started to reduce, there was only a slight recovery in the quarter. Morgans forecasts a gross margin in FY20 of 60% and expects some incremental improvement throughout the year.

The broker forecasts FY20 earnings (EBIT) of $39.2m. A Hold rating is maintained and the target is raised to $0.68 from $0.56.

Target price is $0.68 Current Price is $0.70 Difference: minus $0.02 (current price is over target).
If MHJ meets the Morgans target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $0.75, suggesting upside of 6.7% (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 MLX as Neutral (3) -

Three new appointees will boost the mining experience of the Metals X board, the broker notes. Meanwhile, delivering on targets for the Nifty Reset plan will be the key catalyst, although a cash flow turnaround is not expected until next year.

Neutral retained, target rises to 18c from 17c.

Target price is $0.18 Current Price is $0.18 Difference: $0
If MLX meets the Macquarie target it will return approximately 0% (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

Macquarie rates NGI as Outperform (1) -

Navigator Global saw -US$520m of funds outflows in the Sep Q and a negative performance saw funds under management fall -US$140m.

But post the disappointing update, the stock is trading on a less than 10x multiple, and a solid cash position provides for acquisitions and/or capital management, the broker notes. Outperform retained, target falls to $3.28 from $3.63.

Target price is $3.28 Current Price is $2.68 Difference: $0.6
If NGI meets the Macquarie target it will return approximately 22% (excluding dividends, fees and charges).

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: 1.0

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

Ord Minnett rates NWL as Downgrade to Hold from Buy (3) -

Net flows were the best ever in the first quarter of FY20. While the likelihood of a reduction in cash spreads increases as the cash rate nears 50 basis points, the revenue impact needs to be weighed against the other obvious risk - booming net inflows, Ord Minnett suggests.

However, the broker downgrades to Hold from Buy as the stock is now trading in line with the target, which is raised to $9.00 from $8.95.

Target price is $9.00 Current Price is $9.00 Difference: $0
If NWL meets the Ord Minnett target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $7.75, suggesting downside of -13.9% (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

Macquarie rates OGC as Outperform (1) -

OceanaGold's preliminary Sep Q production report showed weakness across all operations. Gold production guidance has been cut, as has copper guidance due to the cessation of processing at Didipio.

That said, the broker sees excellent growth potential at Waihi and in mine life extensions at Macreas. Philippine government approval at Didipio is a key catalyst but also a risk to FY20 forecasts. Outperform retained, target falls to $5.40 from $6.00.

Target price is $5.40 Current Price is $3.47 Difference: $1.93
If OGC meets the Macquarie target it will return approximately 56% (excluding dividends, fees and charges).

Current consensus price target is $4.79, suggesting upside of 38.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.9

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

Ord Minnett rates OGC as Accumulate (2) -

Access to the Didipio gold mine remains still blocked and the plant has run out of consumables so processing has been suspended. Meanwhile other parts of the business are performing well, Ord Minnett notes, as Haile continues to ramp up.

Production guidance has been lowered by -10% while costs have increased. Ord Minnett maintains an Accumulate rating and lowers the target to $4.40 from $4.70 amid reductions to earnings forecasts.

Target price is $4.40 Current Price is $3.47 Difference: $0.93
If OGC meets the Ord Minnett target it will return approximately 27% (excluding dividends, fees and charges).

Current consensus price target is $4.79, suggesting upside of 38.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.9

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

Citi rates OZL as Buy (1) -

September quarter copper production was -5% below Citi's estimates. Gold production was up 12% and 4% ahead of estimates.

Carrapateena remains on schedule. Citi maintains a Buy rating and $12.40 target.

Target price is $12.40 Current Price is $9.42 Difference: $2.98
If OZL meets the Citi target it will return approximately 32% (excluding dividends, fees and charges).

Current consensus price target is $10.94, suggesting upside of 16.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

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

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

September quarter production was softer than expected. Cash costs benefited from elevated gold prices and production. Credit Suisse notes Antas is bleeding cash despite a cost-cutting strategy.

Meanwhile unconventional technology is being trialled at West Musgrave. Rating is downgraded to Underperform from Neutral and the target reduced to $8.50 from $9.50.

Target price is $8.50 Current Price is $9.42 Difference: minus $0.92 (current price is over target).
If OZL meets the Credit Suisse target it will return approximately minus 10% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $10.94, suggesting upside of 16.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

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

Macquarie rates OZL as Outperform (1) -

OZ Minerals' Sep Q report showed gold and copper production lower than expected but cash greater. Carrapateena remains on track for first sales in November, the broker notes.

The ramp-up at Carrapateena is the stock's main catalyst, the broker suggests, but a number of growth opportunities provide for near and medium term catalysts as well. Outperform retained, target rises to $12.50 from $12.00.

Target price is $12.50 Current Price is $9.42 Difference: $3.08
If OZL meets the Macquarie target it will return approximately 33% (excluding dividends, fees and charges).

Current consensus price target is $10.94, suggesting upside of 16.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

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

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

Production guidance has been maintained while cost guidance is better, Morgan Stanley notes. The broker highlights Prominent Hill production rates and copper grades as both remain below forecasts and could affect 2020.

Results from the Prominent Hill expansion study are expected by the end of 2020. Equal-weight rating and $10.70 target maintained. Industry view is Attractive.

Target price is $10.70 Current Price is $9.42 Difference: $1.28
If OZL meets the Morgan Stanley target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $10.94, suggesting upside of 16.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

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

Morgans rates OZL as Add (1) -

September quarter production numbers have confirmed the company is on track to, or ahead of, 2019 targets. The broker highlights the re-confirmation of the Carrapateena construction schedule and budget, given this has a dominant impact on valuation.

Recent stabilisation of the copper price and progress on a US/China trade resolution have materially reduced external risks, in the broker's view. Add rating maintained. Target is reduced to $10.90 from $10.95.

Target price is $10.90 Current Price is $9.42 Difference: $1.48
If OZL meets the Morgans target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $10.94, suggesting upside of 16.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

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

Ord Minnett rates OZL as Hold (3) -

September quarter production of copper missed Ord Minnett's forecasts because of lower mill throughput at Prominent Hill. 2019 guidance for copper remains unchanged while expectations for gold are slightly higher.

Ord Minnett maintains a Hold rating and raises the target to $10.10 from $9.80.

Target price is $10.10 Current Price is $9.42 Difference: $0.68
If OZL meets the Ord Minnett target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $10.94, suggesting upside of 16.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

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

UBS rates OZL as Buy (1) -

September quarter production was slightly weaker than forecast but, importantly, Carrapateena remains on track for first production in November.

UBS retains a Buy rating because of the company's exposure to copper and because the valuation suggests the share price is trading at a discount. Target is raised to $11.50 from $10.50.

The broker's valuation does not include various options such as a potential block cave at Carrapateena, an uplift in haulage at Prominent Hill, and West Musgrave.

Target price is $11.50 Current Price is $9.42 Difference: $2.08
If OZL meets the UBS target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $10.94, suggesting upside of 16.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

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

Citi rates RIO as Buy (1) -

September quarter production was generally in line with expectations. Iron ore cost guidance for 2019 is unchanged.

Citi notes work at Oyu Tolgoi continues, with the primary production shaft due for commissioning this month. Buy rating and $105 target maintained.

Target price is $105.00 Current Price is $87.40 Difference: $17.6
If RIO meets the Citi target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $96.94, suggesting upside of 10.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.3

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

Credit Suisse rates RIO as Underperform (5) -

Credit Suisse found the September quarter result unspectacular, with no major misses or beats versus guidance. The broker still struggles to find an upside catalyst for the near term.

Underperform rating and $86 target maintained.

Target price is $86.00 Current Price is $87.40 Difference: minus $1.4 (current price is over target).
If RIO meets the Credit Suisse target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $96.94, suggesting upside of 10.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.3

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

Macquarie rates RIO as Outperform (1) -

Rio Tinto achieved strong iron ore and copper production in the Sep Q but aluminium guidance has been cut and energy prices are weighing on smelter competitiveness, the broker notes. Buoyant iron ore prices continue to drive earnings upgrades.

At spot iron ore, the broker's earnings forecasts would rise 30% and 75% in 2020-21. Outperform retained, target falls to $105 from $106.

Target price is $105.00 Current Price is $87.40 Difference: $17.6
If RIO meets the Macquarie target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $96.94, suggesting upside of 10.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.3

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

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

September quarter production was ahead of forecasts. 2019 volume and cost guidance has been confirmed for iron ore & copper and trimmed for alumina & bauxite. This has minimal impact on Morgan Stanley's forecasts.

Morgan Stanley maintains an Equal-weight rating and GBP46 target. Industry view is In-Line.

Current Price is $87.40. Target price not assessed.

Current consensus price target is $96.94, suggesting upside of 10.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.3

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

Morgans rates RIO as Hold (3) -

September quarter operating results were reasonable, Morgans assesses. Iron ore shipments rebounded and were slightly ahead of estimates. Mined copper was also slightly ahead of estimates. The company has downgraded bauxite and alumina guidance for 2019.

While the stock is trading near fair value, the broker suspects near-term volatility in iron ore could uncover a better entry point. Hold rating maintained. Target is raised to $91.64 from $91.52.

Target price is $91.64 Current Price is $87.40 Difference: $4.24
If RIO meets the Morgans target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $96.94, suggesting upside of 10.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.3

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

Ord Minnett rates RIO as Buy (1) -

The third quarter update revealed solid iron ore shipments, while copper production was 13% above Ord Minnett's forecast and driven by a bounce in grades at the Kennecott mine. Koodaideri is on track for late 2021.

Rio Tinto remains the broker's preferred diversified miner and a Buy rating is maintained. Target is $99.

Target price is $99.00 Current Price is $87.40 Difference: $11.6
If RIO meets the Ord Minnett target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $96.94, suggesting upside of 10.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.3

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

UBS rates RIO as Neutral (3) -

Iron ore production was ahead of expectations in the September quarter while shipments were in line. Guidance has been downgraded across the aluminium business unit.

UBS notes a consistent theme is maintenance, with earlier-than-expected pot-line replacements at Kitimat. This is expected to impact production into 2020.

The broker downgrades estimates by -1-3% over 2019-21, given the volume downgrades in aluminium/alumina, lower grades at Oyu Tolgoi and increased percentage of lower-quality iron ore. Neutral rating and $95 target maintained.

Target price is $95.00 Current Price is $87.40 Difference: $7.6
If RIO meets the UBS target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $96.94, suggesting upside of 10.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.3

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

Macquarie rates SDF as Outperform (1) -

Premium increases continue to be supportive for Steadfast Group, the broker notes, but the rate of growth is moderating as the company continues to cycle positive comparative numbers from last year.

The broker forecasts a 6.7% premium increase in the Sep Q against 5% FY20 guidance. Outperform and $4.10 target retained.

Target price is $4.10 Current Price is $3.60 Difference: $0.5
If SDF meets the Macquarie target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $3.95, suggesting upside of 9.7% (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

Macquarie rates SGP as Neutral (3) -

The broker suggests Stockland's residential earnings should improve into FY21. But cycling a flat funds from operations and dividend profile over FY20-21 will limit the stock's ability to continue re-rating, the broker warns.

Neutral retained, target rises to $4.46 from $4.34 on improving settlement volumes and prices.

Target price is $4.46 Current Price is $4.67 Difference: minus $0.21 (current price is over target).
If SGP meets the Macquarie target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.17, suggesting downside of -10.7% (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 TRS as Underweight (5) -

The company has delivered comparable sales growth of 0.3% in the year to date. No commentary on gross profit or broader profitability was offered at the AGM, Morgan Stanley notes.

The broker finds no reason to get excited although suspects there is some stabilisation. However, the upcoming few months will have a much greater bearing on FY20 sales and an Underweight rating, $1.30 target and In-Line industry view are maintained.

Target price is $1.30 Current Price is $2.28 Difference: minus $0.98 (current price is over target).
If TRS meets the Morgan Stanley target it will return approximately minus 43% (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