Australian Broker Call

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

Morgan Stanley views the proposed changes to the Default Market Offer (DMO) process (tariffs in NSW, SA, and SE Qld) from FY27 as a negative for AGL Energy and Origin Energy.

The Default Market Offer (DMO) sets a regulated "safety net" electricity price for residential and small business customers on standing offers in these States of Australia. It also serves as a benchmark for comparing market offers.

If implemented, revisions to the DMO methodology are expected to be confirmed by the end of 2025, creating policy uncertainty and potential margin compression, suggest the analysts.

The broker 's base case is a modest impact with -$20-30m gross margin decline.

Two other scenarios provided by the analysts are: a more material -$100-150m hit if margins fall to Victoria Default Offer (VDO) levels; or a shift in market design that compresses margins but may benefit large incumbents through market share gains.

Share price sensitivity ranges from -2% for AGL and -1% for Origin under Scenario 1, to -10% and -6% under Scenario 2, with potential upside under Scenario 3.

For AGL Energy, the Neutral rating and $11.88 target are maintained. Industry View: In-Line.

Target price is $11.88 Current Price is $10.19 Difference: $1.69
If AGL meets the Morgan Stanley target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $11.77, suggesting upside of 16.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

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

Morgan Stanley sees ANZ Bank's retail transformation as a key long-term value driver, underpinned by the rollout of ANZ Plus and the acquisition of Suncorp Bank.

The bank must still migrate around 6m customers and over $160bn in deposits from its legacy Classic platform, note the analysts, and a further 1.2m customers and $56bn from Suncorp Bank.

Low rates on Classic accounts currently support margins, but Morgan Stanley warns the shift to higher-rate ANZ Plus deposits could create pressure unless pricing is adjusted or customer attrition managed.

Leadership change, including the exit of Maile Carnegie and appointment of Bruce Rush as acting head of Australia Retail, adds execution risk, in the broker's view. However, it's thought new CEO Nuno Matos may choose to accelerate platform upgrades.

Morgan Stanley retains an Equal-weight rating and $26.50 target price. Industry View: In-Line.

Target price is $26.50 Current Price is $29.13 Difference: minus $2.63 (current price is over target).
If ANZ meets the Morgan Stanley target it will return approximately minus 9% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $27.25, suggesting downside of -4.0% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.0

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

UBS rates ARF as Neutral (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower interest rate assumptions.

Neutral retained for Arena REIT. Target rises to $4.19 from $4.10.

Target price is $4.19 Current Price is $3.85 Difference: $0.34
If ARF meets the UBS target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $4.28, suggesting upside of 11.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

UBS rates AX1 as Buy (1) -

To evaluate spending intentions of Australia's around 7m youth consumers, UBS surveyed around 1,000 Australian adults between May 15 and June 2.

The broker concludes these consumers retain a more optimistic financial outlook over the next 12 months than the wider population, underpinned by rising incomes, steady employment, and greater confidence in job security.

Overall, the analysts prefer strong operators/market share gainers exposed to the youth consumer in their categories of importance, such as apparel & footwear.

Acorrdingly, UBS has Buy ratings for Accent Group, Collins foods ((CKF)), Premier Investments, and Univeral Store ((UNI)).

For Accent Group, the broker has a $1.80 target.

Target price is $1.80 Current Price is $1.29 Difference: $0.51
If AX1 meets the UBS target it will return approximately 40% (excluding dividends, fees and charges).

Current consensus price target is $1.98, suggesting upside of 47.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.8

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

UBS rates BWP as Buy (1) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. The broker expects BWP Trust to be a beneficiary of moderating inflation due to higher fixed contracts in its portfolio.

Buy. Target rises to $4.16 from $4.05.

Target price is $4.16 Current Price is $3.59 Difference: $0.57
If BWP meets the UBS target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $3.82, suggesting upside of 6.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.3

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

UBS rates CHC as Sell (5) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. The broker notes Charter Hall is the strongest performer REIT so far this year but it doesn't see a scenario of further outperformance playing out.

Sell. Target rises to $18.41 from $15.49 on an increase in EBIT multiple to 16x from 13x to reflect higher equity inflows and potential for modestly positive valuations and the benefit of lower rates.

Target price is $18.41 Current Price is $19.46 Difference: minus $1.05 (current price is over target).
If CHC meets the UBS target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $18.33, suggesting downside of -6.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.2

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

UBS rates CIP as Buy (1) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. 

Buy maintained for Centuria Industrial REIT. Target rises to $3.92 from $3.82.

Target price is $3.92 Current Price is $3.19 Difference: $0.73
If CIP meets the UBS target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $3.31, suggesting upside of 3.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.6

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

UBS rates CLW as Neutral (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. The broker expects Charter Hall Long WALE REIT to be a beneficiary of moderating inflation due to higher fixed contracts in its portfolio.

Neutral. Target rises to $4.33 from $4.18.

Target price is $4.33 Current Price is $4.29 Difference: $0.04
If CLW meets the UBS target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $4.11, suggesting downside of -3.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.2

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

Morgan Stanley rates CNI as Overweight (1) -

Morgan Stanley sees the August 2025 reporting season as a potential turning point for the property cycle, with asset valuations stabilising and interest rate relief emerging into FY26.

The broker suggests earnings expectations are elevated across the sector, particularly for names like Charter Hall ((CHC)), Stockland ((SGP)) and Centuria Capital.

These names are benefiting from structural growth in third-party capital and improved operational positioning, explain the analysts.

For Centuria Capital, Morgan Stanley notes the $71m fund raise for the Logan LFR Fund has now been fully subscribed, despite the product launching prior to the first rate cut.

Management is hopeful FY26 will see an improvement in distribution capacity across its platform.

Target is $2.20. Overweight rating. Industry view: In-Line.

Target price is $2.20 Current Price is $1.70 Difference: $0.5
If CNI meets the Morgan Stanley target it will return approximately 29% (excluding dividends, fees and charges).

Current consensus price target is $1.92, suggesting upside of 11.5% (ex-dividends)

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.5

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

UBS rates CNI as Upgrade to Neutral from Sell (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. 

Rating for Centuria Capital upgraded to Neutral from Sell, with the broker noting its valuation is now significantly below peers. Target rises to $1.81 from $1.74 on earnings upgrade and an increase in FM multiple to 14x from 11x.

Target price is $1.81 Current Price is $1.70 Difference: $0.11
If CNI meets the UBS target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $1.92, suggesting upside of 11.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.5

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

UBS rates COF as Upgrade to Neutral from Sell (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Rating for Centuria Office REIT upgraded to Neutral from Sell as lower interest rates are expected to alleviate some balance sheet pressures. Target rises to $1.20 from $1.14.

Target price is $1.20 Current Price is $1.17 Difference: $0.035
If COF meets the UBS target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $1.15, suggesting downside of -2.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: -0.5

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

UBS rates CQR as Downgrade to Neutral from Buy (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. 

Rating for Charter Hall Retail REIT downgraded to Neutral from Buy. Target rises to $3.95 from $3.69 for reasons, including assumed lower debt costs for Hotel Property Investments acquisition.

Target price is $3.95 Current Price is $4.09 Difference: minus $0.14 (current price is over target).
If CQR meets the UBS target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.96, suggesting downside of -1.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

Ord Minnett rates CSL as Buy (1) -

After reviewing CSL's model, Ord Minnett has concluded growth in high-margin specialty products can help in offsetting narrowing margins in the immunoglobulin and albumin businesses.

This view was strengthened with this week's FDA approval for the Andembry injection, which the broker expects will help the company return to solid growth in specialty products. The analyst is now forecasting a compounded annual revenue growth rate of 5% for the specialty division over FY26-28.

No changes to group EPS estimates. Buy with unchanged target of $310.

Target price is $310.00 Current Price is $238.71 Difference: $71.29
If CSL meets the Ord Minnett target it will return approximately 30% (excluding dividends, fees and charges).

Current consensus price target is $326.08, suggesting upside of 35.7% (ex-dividends)

Forecast for FY25:

Forecast for FY26:

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

UBS rates DXS as Buy (1) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. Dexus is among the broker's most preferred names.

Buy rating and $8.84 target price.

Target price is $8.84 Current Price is $6.91 Difference: $1.93
If DXS meets the UBS target it will return approximately 28% (excluding dividends, fees and charges).

Current consensus price target is $7.97, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.2

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

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

In the latest quarterly commodity update for Citi, the analyst downgrades Fortescue to Neutral from Buy on the back of forecast lower iron prices, as cuts to Chinese steel production are viewed as a headwind.

Citi prefers BHP Group ((BHP)) over Rio Tinto ((RIO)) due to a preference for copper over lithium, as well as better iron ore operational performance and cash flows.

Current Price is $14.77. Target price not assessed.

Current consensus price target is $16.88, suggesting upside of 14.4% (ex-dividends)

Forecast for FY25:

Forecast for FY26:

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

Market Sentiment: 0.4

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

UBS rates GMG as Buy (1) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. 

Buy maintained for Goodman Group. Target unchanged at $36.

Target price is $36.00 Current Price is $34.54 Difference: $1.46
If GMG meets the UBS target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $36.17, suggesting upside of 4.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.8

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

UBS rates GPT as Neutral (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts for GPT Group revised on lower terminal rate assumptions and factoring in new Quadreal logistics partnership.

Neutral. Target rises to $5.40 from $5.29.

Target price is $5.40 Current Price is $5.05 Difference: $0.35
If GPT meets the UBS target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $5.27, suggesting upside of 4.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.7

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

UBS rates HDN as Downgrade to Neutral from Buy (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts for HomeCo Daily Needs REIT revised on lower terminal rate assumptions and updating FY26-28 hedging higher to around 50%. The broker expects the REIT to be a beneficiary of moderating inflation due to higher fixed contracts in its portfolio.

Rating downgraded to Neutral from Buy. Target rises to $1.40 from $1.35.

Target price is $1.40 Current Price is $1.33 Difference: $0.07
If HDN meets the UBS target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $1.34, suggesting upside of 2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.3

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

UBS rates HMC as Buy (1) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

The analyst cut HMC Capital's earnings forecasts by -15% over FY26-29 on fund restructuring, including a revised performance fee hurdle.

Buy. Target cut to $8.00 from $12.40 on lower FM multiple to 16x from 20x and lower earnings forecasts.

Target price is $8.00 Current Price is $4.78 Difference: $3.22
If HMC meets the UBS target it will return approximately 67% (excluding dividends, fees and charges).

Current consensus price target is $7.36, suggesting upside of 53.0% (ex-dividends)

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

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

In the latest quarterly commodity update for Citi, the analyst downgrades IGO Ltd to Neutral from Buy, with the key price forecast revision for lithium down by -15% to -20% over the next three years.

The analyst lowers the spodumene estimates by -13% for 2025, -27% for 2026, and -20% for 2027, and chemicals by a similar amount.

Current Price is $4.05. Target price not assessed.

Current consensus price target is $4.37, suggesting upside of 12.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.0

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

UBS rates INA as Neutral (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

The broker expects Ingenia Communities to benefit from lower interest expenses.

Neutral. Target trimmed to $6.10 from $6.30.

Target price is $6.10 Current Price is $5.52 Difference: $0.58
If INA meets the UBS target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $6.24, suggesting upside of 12.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.7

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

Macquarie rates JIN as Outperform (1) -

Macquarie expects FY25 lottery volumes for Jumbo Interactive to fall -9%, versus a previous estimate of -7.5%.

Jackpot games are forecast to decline -16%, while base games rise 3%. Digital volumes are expected to lift 9% in 2H25, with penetration rising 1 percentage point to 41.5%, explains the analyst.

The broker forecasts a rebound in FY26, with total volumes up 11.5% and digital up 17%, helped by jackpot normalisation and Saturday Lotto price changes. Jumbo has lost market share in FY25, but Macquarie believes this is improving and could drive a re-rating.

Macquarie lowers its target price to $13.90 from $14.80 and retains an Outperform rating.

Target price is $13.90 Current Price is $9.59 Difference: $4.31
If JIN meets the Macquarie target it will return approximately 45% (excluding dividends, fees and charges).

Current consensus price target is $13.37, suggesting upside of 37.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.7

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

UBS rates LIC as Buy (1) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. The broker sees Lifestyle Communities as a beneficiary of lower cash rates from both lower interest expenses and higher revenue from residential recovery.

Buy. Target rises to $10.37 from $10.20.

Target price is $10.37 Current Price is $6.41 Difference: $3.96
If LIC meets the UBS target it will return approximately 62% (excluding dividends, fees and charges).

Current consensus price target is $9.44, suggesting upside of 41.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.6

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

UBS rates LLC as Upgrade to Neutral from Sell (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. The broker upgraded Lendlease Group to Neutral from Sell as it believes the decision to exit global construction and development is the best alternative for its future.

Target trimmed to $6.05 from $6.38 on lower FM multiple of 8x from 10x.

Target price is $6.05 Current Price is $5.54 Difference: $0.51
If LLC meets the UBS target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $6.93, suggesting upside of 24.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

UBS rates LOV as Sell (5) -

To evaluate spending intentions of Australia's around 7m youth consumers, UBS surveyed around 1,000 Australian adults between May 15 and June 2.

The broker concludes these consumers retain a more optimistic financial outlook over the next 12 months than the wider population, underpinned by rising incomes, steady employment, and greater confidence in job security.

Overall, the analysts prefer strong operators/market share gainers exposed to the youth consumer in their categories of importance, such as apparel & footwear.

Acorrdingly, UBS has Buy ratings for Accent Group, Collins foods ((CKF)), Premier Investments, and Univeral Store ((UNI)).

For Lovisa Holdings, the broker has a Sell rating and $26 target.

Target price is $26.00 Current Price is $29.71 Difference: minus $3.71 (current price is over target).
If LOV meets the UBS target it will return approximately minus 12% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $30.11, suggesting upside of 1.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.3

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

Citi rates LTR as Downgrade to Sell from Neutral (5) -

In the latest quarterly commodity update for Citi, the analyst downgrades Liontown Resources to Sell from Neutral, with the key price forecast revision for lithium down by -15% to -20% over the next three years.

The analyst lowers the spodumene estimates by -13% for 2025, -27% for 2026, and -20% for 2027, and chemicals by a similar amount.

Current Price is $0.65. Target price not assessed.

Current consensus price target is $0.61, suggesting downside of -4.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: -0.3

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

UBS rates MGR as Neutral (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. The broker sees Mirvac Group as a beneficiary of lower interest rates from both lower interest expenses and residential recovery.

Neutral. Target rises to $2.32 from $2.28.

Target price is $2.32 Current Price is $2.25 Difference: $0.07
If MGR meets the UBS target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $2.36, suggesting upside of 4.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.2

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

UBS rates NSR as Buy (1) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. 

Buy and $2.57 target price retained for National Storage REIT.

Target price is $2.57 Current Price is $2.39 Difference: $0.18
If NSR meets the UBS target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $2.53, suggesting upside of 5.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.5

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

Morgan Stanley rates ORG as Underweight (5) -

Morgan Stanley views the proposed changes to the Default Market Offer (DMO) process (tariffs in NSW, SA, and SE Qld) from FY27 as a negative for AGL Energy and Origin Energy.

The Default Market Offer (DMO) sets a regulated "safety net" electricity price for residential and small business customers on standing offers in these States of Australia. It also serves as a benchmark for comparing market offers.

If implemented, revisions to the DMO methodology are expected to be confirmed by the end of 2025, creating policy uncertainty and potential margin compression, suggest the analysts.

The broker 's base case is a modest impact with -$20-30m gross margin decline.

Two other scenarios provided by the analysts are: a more material -$100-150m hit if margins fall to Victoria Default Offer (VDO) levels; or a shift in market design that compresses margins but may benefit large incumbents through market share gains.

Share price sensitivity ranges from -2% for AGL and -1% for Origin under Scenario 1, to -10% and -6% under Scenario 2, with potential upside under Scenario 3.

For Origin Energy, the Underweight rating and $9.33 target are maintained. Industry View: In-Line.

Target price is $9.33 Current Price is $10.85 Difference: minus $1.52 (current price is over target).
If ORG meets the Morgan Stanley target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $10.59, suggesting downside of -3.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.2

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

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

In the latest quarterly commodity update for Citi, the analyst downgrades Pilbara Minerals to Neutral from Buy, with the key price forecast revision for lithium down by -15% to -20% over the next three years.

The analyst lowers the spodumene estimates by -13% for 2025, -27% for 2026, and -20% for 2027, and chemicals by a similar amount.

Current Price is $1.30. Target price not assessed.

Current consensus price target is $1.88, suggesting upside of 51.2% (ex-dividends)

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

UBS rates PMV as Neutral (3) -

To evaluate spending intentions of Australia's around 7m youth consumers, UBS surveyed around 1,000 Australian adults between May 15 and June 2.

The broker concludes these consumers retain a more optimistic financial outlook over the next 12 months than the wider population, underpinned by rising incomes, steady employment, and greater confidence in job security.

Overall, the analysts prefer strong operators/market share gainers exposed to the youth consumer in their categories of importance, such as apparel & footwear.

Acorrdingly, UBS has Buy ratings for Accent Group, Collins foods ((CKF)), Premier Investments, and Univeral Store ((UNI)).

For Premier Investments, the broker has a $24 target.

Target price is $24.00 Current Price is $19.20 Difference: $4.8
If PMV meets the UBS target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $25.62, suggesting upside of 33.9% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

UBS rates REP as Buy (1) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. 

Buy and unchanged 75c target price for RAM Essential Services Property Fund.

Target price is $0.75 Current Price is $0.57 Difference: $0.18
If REP meets the UBS target it will return approximately 32% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 1.0

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

UBS rates RFF as Neutral (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. 

Neutral retained for Rural Funds. Target rises to $1.89 from $1.84 on revised forecasts, including higher FY25 macadamia income.

Target price is $1.89 Current Price is $1.82 Difference: $0.07
If RFF meets the UBS target it will return approximately 4% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.5

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

Morgan Stanley rates RGN as Underweight (5) -

Morgan Stanley sees the August 2025 reporting season as a potential turning point for the property cycle, with asset valuations stabilising and interest rate relief emerging into FY26.

The broker suggests earnings expectations are elevated across the sector, particularly for names like Charter Hall ((CHC)), Stockland ((SGP)) and Centuria Capital.

These names are benefiting from structural growth in third-party capital and improved operational positioning, explain the analysts.

Region Group’s share price is now trading close to NTA, notes the broker, prompting the CFO to recently suggest conditions may be more conducive to pursuing acquisitions.

The Underweight rating and $2.25 target are maintained. Industry View: In-Line.

Target price is $2.25 Current Price is $2.40 Difference: minus $0.15 (current price is over target).
If RGN 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 $2.32, suggesting downside of -2.0% (ex-dividends)

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.1

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

UBS rates RGN as Neutral (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts for Region Group revised on lower terminal rate assumptions, Greystanes sale and buyback and lower FY26 overheads forecast.

Neutral. Target rises to $2.35 from $2.30.

Target price is $2.35 Current Price is $2.40 Difference: minus $0.05 (current price is over target).
If RGN meets the UBS target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.32, suggesting downside of -2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.1

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) -

Rio Tinto has agreed to pay -$214m (more precisely: US$138.75m) to settle a class action brought by US investors over its handling of the Oyu Tolgoi project in Mongolia.

Morgan Stanley notes this settlement adds to a series of challenges for the asset, including a tax arbitration, a lawsuit from the Mongolian government, and unresolved licensing issues with Canadian-based Entree Resources.

The analysts estimate the settlement will weigh on Rio’s free cash flow yield, already around 4%, or closer to 3% when fully factoring aluminium tariff impacts.

Oyu Tolgoi represents roughly US$20bn of Rio’s enterprise value, or around 13% of the group total, but it is unclear to the broker if the settlement was included in prior legal provisions

Morgan Stanley retains an Equal-weight rating and a $119.50 target price. Industry View: In-line.

Target price is $119.50 Current Price is $103.55 Difference: $15.95
If RIO meets the Morgan Stanley target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $121.58, suggesting upside of 18.5% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY25:

Forecast for FY26:

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) -

UBS expects Rio Tinto’s Simandou iron ore project to commence first shipments by November 2025. Unfortunately, potential delays in production scale-up are expected due to lagging mine-site development, heavy rainfall and political risks in Guinea.

Satellite imagery shows material progress across port and rail infrastructure, though construction at Rio-managed Blocks 3&4 is well behind the WCS-operated Blocks 1&2, explain the analysts.

UBS estimates just 20mt of iron ore exports from Simandou in 2026 versus the Guinean government’s 60mt forecast.

The broker notes Rio Tinto maintains its guidance for first production in 2025 and a 60mtpa ramp-up over 30 months. Within this, Rio’s attributable share is 27mtpa. Workforce growth to 18,900 from 13,300 since January is seen as supportive.

Despite confidence in project delivery, UBS remains cautious due to wet-season disruption and doubts around Guinea’s political timeline, including a delayed transition from military rule. 

A Neutral rating and $120 target are maintained.

Target price is $120.00 Current Price is $103.55 Difference: $16.45
If RIO meets the UBS target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $121.58, suggesting upside of 18.5% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY25:

Forecast for FY26:

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

Bell Potter rates RRL as Hold (3) -

Following a site tour of Regis Resources' Duketon and Tropicana (30% owned) gold projects, including process plants, Bell Potter notes the company is focused on underground operations as open-pit mines move closer to the end of their lives. 

The broker expects production at current or above levels until 1H29 as the share of underground increases, and beyond that, it sees production from underground only.

An update of mine life and production resulted in a shortening of open pit mine life at Duketon and Tropicana's Havana open pit to 2H2028. 

EPS forecast for FY25 cut by -6% and for FY26 by -7% on higher D&A costs. Target price rises to $4.82 from $4.72 as lower milling costs are expected to offset lower gold production, resulting in a 2% lift to NPV.

Hold retained.

Target price is $4.82 Current Price is $4.62 Difference: $0.2
If RRL meets the Bell Potter target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $4.32, suggesting downside of -8.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: -0.3

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

UBS rates SCG as Neutral (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. While cost pressures are abating, the broker sees limited scope for cost cuts for Scentre Group.

Neutral. Target rises to $3.82 from $3.74.

Target price is $3.82 Current Price is $3.64 Difference: $0.18
If SCG meets the UBS target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $3.79, suggesting upside of 4.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.5

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

Macquarie rates SEK as Outperform (1) -

Macquarie remains positive on the outlook for Seek, expecting job ad volume declines to moderate through FY25 and anticipating a return to growth in FY26.

These outcomes are supported by anticipated rate cuts in Australia and ongoing tightness in the labour market, suggets the analyst.

The broker was commenting after analysing the Seek employment report for May 2025, showing Australian job ad volumes were down -6% year-on-year in May, and are tracking -10% down for FY25 year-to-date.

Outperform. Unchanged $26.75 target.

Target price is $26.75 Current Price is $23.77 Difference: $2.98
If SEK meets the Macquarie target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $27.91, suggesting upside of 16.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 1.0

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

UBS rates SGP as Neutral (3) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. The broker expects Stockland to benefit from lower interest rates via residential recovery and lower interest expenses, and also sees scope for more cost reduction as cost pressures abate.

Neutral. Target rises to $5.55 from $5.37.

Target price is $5.55 Current Price is $5.60 Difference: minus $0.05 (current price is over target).
If SGP 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 $5.73, suggesting upside of 2.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

Ord Minnett rates SSM as Buy (1) -

Service Stream has secured a major contract extension with NBN Co for a 3.5-year term, the last expected NBN contract extensions.

The broker expects telco revenue to remain stable in FY26, with the utilities segment expected to be a key driver of volume lift from existing contracts and the first full-year contribution from the Urban Utilities contract win.

Next likely catalyst is an update on defence contracts.

Buy. Target rises to $2.15 from $1.94 on valuation roll-forward and enhanced confidence on forecasts, plus capital management optionality.

Target price is $2.15 Current Price is $1.90 Difference: $0.25
If SSM meets the Ord Minnett target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $2.00, suggesting upside of 4.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 1.0

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

Bell Potter rates STP as Buy (1) -

Bell Potter notes two rounds of interest rate cuts by both the Bank of England and the Reserve Bank of Australia have strengthened consumer confidence and translated to higher retail spending.

The broker points to a 3% y/y rise in clothing retail spending in the Jan-Apr period in Australia, and the tenth consecutive month of retail sales growth in the UK and a 6% rise in online clothing sales in April.

The recent May rate cut is expected to marginally benefit Step One Clothing's June end-of-year sales, with the broker noting an increase in web traffic in the UK and Australia.

Target unchanged at $1.30. Buy retained as the broker remains optimistic about 2H26 being a turnaround story for the company.

Target price is $1.30 Current Price is $0.65 Difference: $0.655
If STP meets the Bell Potter target it will return approximately 102% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 1.0

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

UBS rates SUL as Neutral (3) -

To evaluate spending intentions of Australia's around 7m youth consumers, UBS surveyed around 1,000 Australian adults between May 15 and June 2.

The broker concludes these consumers retain a more optimistic financial outlook over the next 12 months than the wider population, underpinned by rising incomes, steady employment, and greater confidence in job security.

Overall, the analysts prefer strong operators/market share gainers exposed to the youth consumer in their categories of importance, such as apparel & footwear.

Acorrdingly, UBS has Buy ratings for Accent Group, Collins foods ((CKF)), Premier Investments, and Univeral Store ((UNI)).

For Super Retail, the broker has a Neutral rating and $13.50 target.

Target price is $13.50 Current Price is $13.65 Difference: minus $0.15 (current price is over target).
If SUL 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 $14.74, suggesting upside of 6.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.3

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

Morgan Stanley rates SUN as Overweight (1) -

Morgan Stanley sees reinsurance as a key opportunity for Suncorp Group to improve earnings quality or unlock over $1.4bn in capital.

The broker believes management is likely to pursue an aggregate or volatility cover at the July 2025 renewals, which has broad investor appeal and could support a re-rating.

A quota share is considered less urgent, with investor views mixed and Morgan Stanley expecting it to be delayed until at least 2026.

The broker retains a positive outlook and believes margin momentum and reinsurance pricing trends give Suncorp the flexibility to restructure capital effectively.

The Overweight rating and $25 target are kept. Industry View: In-Line.

Target price is $25.00 Current Price is $21.57 Difference: $3.43
If SUN meets the Morgan Stanley target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $21.93, suggesting upside of 1.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.4

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

Macquarie rates TLC as Outperform (1) -

Macquarie expects Lottery Corp's FY25 volumes to fall -9%, revised from a -7.5% decline previously, with jackpot games down -16% and base games up 3% for FY25.

Digital volumes are forecast to grow 9% sequentially in 2H25, lifting penetration to 41.5%. The broker expects FY26 volumes will rebound 11.5%, including 17% digital growth, helped by jackpot normalisation and Saturday Lotto pricing changes.

No changes have been made to guidance, though the analyst highlights long-dated licence duration and limited franking credit availability as barriers to enhanced capital returns.

Macquarie retains an Outperform rating and a $5.40 target price.

Target price is $5.40 Current Price is $5.23 Difference: $0.17
If TLC meets the Macquarie target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $5.58, suggesting upside of 5.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: 0.7

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

UBS rates VCX as Downgrade to Sell from Neutral (5) -

UBS believes the backdrop is positive for the REIT sector from a likely trough in asset valuations, falling interest rates and robust rental growth. However, headwinds remain from both residential and commercial construction, making completed assets/core real estate more valuable.

The broker is forecasting a terminal RBA policy rate of 3.6% (from 4.0% before) but notes market pricing is for a 3.1% rate by December. If that materialises, its FY26 EPS forecasts for stocks would rise by 2%.

Forecasts revised on lower terminal rate assumptions. The broker downgraded Vicinity Centres to Sell from Neutral on a stretched valuation and its view that development expectations are elevated.

Target rises to $2.38 from $2.27.

Target price is $2.38 Current Price is $2.52 Difference: minus $0.14 (current price is over target).
If VCX meets the UBS target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.31, suggesting downside of -8.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY25:

Forecast for FY26:

Market Sentiment: -0.3

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