Australian Broker Call

Credit Suisse rates 360 as Outperform (1) -

Credit Suisse observes the growth trajectory has moderated, which is unsurprising because of the pandemic and given the core features of the product have been of less relevance amid reduced mobility.

However, recent quarterly updates demonstrate the business has the ability to grow profitably and Credit Suisse envisages scope for high rates of revenue growth.

The US is back to user growth and 2020 revenue guidance of US$79-82m has been retained. Outperform rating. Target is reduced slightly to $4.70 from $4.80.

Target price is $4.70 Current Price is $4.00 Difference: $0.7
If 360 meets the Credit Suisse target it will return approximately 18% (excluding dividends, fees and charges).

The company's fiscal year ends in November.

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

Morgans rates ANZ as Add (1) -

ANZ Bank announced that its second half cash earnings will be impacted by an after-tax charge of -$528m, as a result of large notable items, including remediation costs and accelerated software amortisation. The charge impacts statutory profit (NPAT) by a similar amount, notes Morgans.

As the analyst already had some of the large notable items factored into forecasts, Morgans reduces the second half statutory profit (NPAT) forecast by -$372m.

Consequently, the broker reduces the final dividend forecast to 34 cents fully franked from 40 cents fully franked.

Morgans forecast for FY20 cash earnings are reduced by -10.8% and FY20 statutory earnings are reduced by -9.7%. However, the broker makes no material changes to earnings forecasts for FY21 and FY22.

The Add rating is maintained. The target price is unchanged at $21.

Target price is $21.00 Current Price is $19.16 Difference: $1.84
If ANZ meets the Morgans target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $21.49, suggesting upside of 14.6% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.9

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

Macquarie rates APT as Neutral (3) -

First quarter trading was firm in Australasia and the UK. The US was affected by seasonality with sales largely flat compared with the June quarter.

The company has announced a strategic partnership with Stripe that will offer Afterpay as a payment option. Macquarie assesses this should benefit market penetration in the US.

Separately, Afterpay has launched an express checkout for its merchants that speeds up the conversion rate and should benefit take-up of its product. Neutral retained. Target rises to $97.50 from $90.00.

Target price is $97.50 Current Price is $102.97 Difference: minus $5.47 (current price is over target).
If APT meets the Macquarie target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $92.09, suggesting downside of -7.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

Morgan Stanley rates APT as Overweight (1) -

First quarter activity was modestly ahead of Morgan Stanley's forecasts, driven by the more mature Australasian region. Active customers were below estimates, with US customers around -4% below.

Still, the broker observes new merchant signings in the US and the Stripe partnership should assist growth in the second quarter while referrals are growing.

Morgan Stanley retains its Overweight rating. Target is $115. Industry view: In-line.

Target price is $115.00 Current Price is $102.97 Difference: $12.03
If APT meets the Morgan Stanley target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $92.09, suggesting downside of -7.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

Morgans rates APT as Hold (3) -

Afterpay's group sales, customers and merchants grew solidly, but US sales growth was flat on a reported basis, comments Morgans, after a first quarter update by the company.

The ANZ performance was quite robust, in the broker's opinion, with sales growth of greater than 10% sequentially, which was driven by higher customer transaction frequency. The UK results were broadly in line with the analyst's expectations with sales growth of 17%, compared to the previous quarter.

Morgans lifts FY21 and FY22 EPS forecasts by greater than 20% in both years on higher sales and lower bad debt forecasts (versus the broker's earlier conservative covid-19 expectations).

The Hold rating is unchanged and the target price is increased to $104.30 from $91.84.

Target price is $104.30 Current Price is $102.97 Difference: $1.33
If APT meets the Morgans target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $92.09, suggesting downside of -7.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

Ord Minnett rates APT as Buy (1) -

Australasia was the main contributor to the September quarter and average expenditure per active customer was a stronger-than-expected surprise for Ord Minnett.

The broker observes that as the more mature Australasian market broadens its merchant base, customer frequency continues to increase.

The company appears well positioned heading into Christmas. Ord Minnett retains a Buy rating and raises the target to $115 from $112.

Target price is $115.00 Current Price is $102.97 Difference: $12.03
If APT meets the Ord Minnett target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $92.09, suggesting downside of -7.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

UBS rates APT as Sell (5) -

Afterpay's September quarter sales were up 115% versus last year with active customers growing 98% to 11.2m.

Region-wise, the US sales rose 229% to $1.6bn while sales were up 346% to $0.3bn in the UK. ANZ region sales saw a growth of 63% to $2.2bn. All three regions noted growth in the number of active merchants.

UBS expects Afterpay's transaction frequency to increase in the seasonally strong December quarter. On a customer basis, UBS assesses Afterpay is tracking in line with the broker's forecast of 12.5m customers at the end of the first half.

The Sell rating and target price of $28.25 are unchanged.

Target price is $28.25 Current Price is $102.97 Difference: minus $74.72 (current price is over target).
If APT meets the UBS target it will return approximately minus 73% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $92.09, suggesting downside of -7.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

Citi rates ASB as Buy (1) -

Austal's revenue growth is slowing down due to the company's commercial backlog reducing, US support work impacted by covid and a stronger A$. However profitability is increasing given cost efficiencies and higher prices for new models.

The broker believes the market is showing little faith in Austal's ability to replenish its pipeline, despite increased geopolitical tensions providing multiple opportunities in the US, Australia and Philippines, and government fiscal stimulus supporting shipbuilding.

While the broker has cut its target to $4.30 from $4.50, the Buy rating is retained on multiple catalysts ahead.

Target price is $4.30 Current Price is $2.80 Difference: $1.5
If ASB meets the Citi target it will return approximately 54% (excluding dividends, fees and charges).

Current consensus price target is $3.90, suggesting upside of 43.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.3

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

Citi rates BLD as Buy (1) -

While the multiple on sale of the 50% stake in Boral's USG joint venture appears attractive, when adjusted for the broker's earnings forecasts it is more in line with valuation, and roughly in line for what USG paid for its stake in 2013.

Management is yet to settle on a capital plan from here but the pay-down of debt will be required to reduce leverage and satisfy ratings agencies. It's longer maturity debt nevertheless, so the broker sees no rush.

As the broker points out, there will still be money left over for investment and/or capital return, and if Boral sells its US building products business next year, more so.

Buy and $5.30 target retained.

Target price is $5.30 Current Price is $4.57 Difference: $0.73
If BLD meets the Citi target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $4.70, suggesting upside of 2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

Macquarie rates CHN as Outperform (1) -

Macquarie is encouraged by the drilling results in the first quarter, with the company intent on delivering a maiden mineral resource for Julimar by mid 2021.

The broker believes this is one of the most exciting discoveries in recent times and there is significant upside via exploration. Further assays from previous drilling are expected to present more positive catalysts when released. Outperform retained. Target is $3.30.

Target price is $3.30 Current Price is $2.78 Difference: $0.52
If CHN meets the Macquarie target it will return approximately 19% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Citi rates CIA as Neutral (3) -

Champion Iron posted earnings per share of 22c in the September quarter when the market had forecast 17c and Citi 15c. Bloom Lake returned to full capacity, increasing throughput and iron recoveries, as costs improved.

The miner plans to unveil its development plan for phase 2 by the end of the year, with initial works already underway. Neutral and $3.35 target retained.

Target price is $3.35 Current Price is $3.17 Difference: $0.18
If CIA meets the Citi target it will return approximately 6% (excluding dividends, fees and charges).

The company's fiscal year ends in March.

Forecast for FY21:

Forecast for FY22:

This company reports in CAD. 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

Macquarie rates CIA as Outperform (1) -

Shipments were higher and prices were better than Macquarie had expected in the second quarter. Expenditure on Bloom Lake phase 2 has increased to CAD120m. An update on the expansion is expected by the end of the year.

Macquarie considers the company's upgrade momentum significant and retains an Outperform rating. Champion Iron continues to benefit from buoyant prices, with a spot price scenario generating around 50% and 120% higher earnings in FY22 and FY23, respectively. The $3.80 target is maintained.

Target price is $3.80 Current Price is $3.17 Difference: $0.63
If CIA meets the Macquarie target it will return approximately 20% (excluding dividends, fees and charges).

The company's fiscal year ends in March.

Forecast for FY21:

Forecast for FY22:

This company reports in CAD. 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

Citi rates COL as Buy (1) -

Medium term demand for groceries remains strong, Coles revealed at its update. Gross margins are being supported by a lack of price wars and virus-related fixed costs are declining, supporting earnings margins. Sales growth of 9.7% in the quarter is nonetheless unlikely to be repeated, the broker suggests.

But with restrictions easing in Victoria, summer holidaying all to be domestic and at-home entertaining preferred, signs are upbeat for Christmas, the broker believes, forecasting sales growth to slow to a still solid 7.0%. Online sales growth marches on.

Buy retained, target rises to $21.20 from $21.00.

Target price is $21.20 Current Price is $17.68 Difference: $3.52
If COL meets the Citi target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $19.64, suggesting upside of 9.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Credit Suisse rates COL as Outperform (1) -

Coles is set for a significant first half, Credit Suisse observes. Sales momentum has been strong and gross margins appear to benefit from lower promotional intensity. Pandemic-related costs have been lower relative to expectations.

Credit Suisse assesses supermarket sales are likely to re-accelerate in November and December amid more in-home celebrations relative to the prior corresponding festive season. Supermarket sales are up 9.7% in the year to date.

Outperform rating retained. Target is raised to $21.04 from $20.16.

Target price is $21.04 Current Price is $17.68 Difference: $3.36
If COL meets the Credit Suisse target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $19.64, suggesting upside of 9.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Macquarie rates COL as Neutral (3) -

Coles reported a strong first quarter in food sales although Macquarie notes there was significant variation in the performance across the network. Strong liquor sales were also consistent with third-party expenditure data showing retail liquor strength.

Coles has also successfully reduced additional costs related to the pandemic to -$65m/quarter over the first half from -$100m/quarter as of the June quarter. The broker retains a Neutral rating and $18.70 target.

Target price is $18.70 Current Price is $17.68 Difference: $1.02
If COL meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $19.64, suggesting upside of 9.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Morgan Stanley rates COL as Overweight (1) -

First quarter update has confirmed the favourable backdrop, Morgan Stanley asserts. Sales were broadly in line with estimates with supermarket like-for-like sales growth of 9.7%. Online sales grew by 57%.

Morgan Stanley increases estimates for FY21 as a result of the slightly better start to the second quarter within the food and liquor business.

Channel checks have suggested that Woolworths ((WOW)) out-traded Coles throughout, partially reflecting a successful Disney collectables program.

Overweight rating. Target is raised to $20.25 from $19.75. Industry view: Cautious.

Target price is $20.25 Current Price is $17.68 Difference: $2.57
If COL meets the Morgan Stanley target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $19.64, suggesting upside of 9.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

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

The Coles Group reported first quarter sales growth slightly better than the forecast of Morgans.

Like-for-like sales for the core Supermarkets business increased 9.7% (broadly in line with the broker's forecast). Additionally, Liquor increased 17.8% and Express increased 10.2%. Both of these latter segments delivered stronger-than-expected growth, assesses the analyst.

Management advised that for the first four weeks of the second quarter Supermarkets like-for-like sales were up 6.4% while Liquor like-for-like sales were 16.9% higher.

The rating is upgraded to Add from Hold and the target price is increased to $19.40 from $18.90.

Target price is $19.40 Current Price is $17.68 Difference: $1.72
If COL meets the Morgans target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $19.64, suggesting upside of 9.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Ord Minnett rates COL as Hold (3) -

September quarter sales growth was better than Ord Minnett expected for liquor and convenience stores. While online supported like-for-like sales growth the broker notes penetration remains below that of Woolworths ((WOW)).

Food margins were supported by lower pandemic-related costs although the broker notes this has been moderated by ongoing digital investment. Despite the valuation support, Ord Minnett retains a Hold rating and a $19 target.

Target price is $19.00 Current Price is $17.68 Difference: $1.32
If COL meets the Ord Minnett target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $19.64, suggesting upside of 9.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

UBS rates COL as Neutral (3) -

Coles reported a circa 10% lift in sales in the first quarter, as expected by UBS. The broker believes it is possible for the group operating income to grow circa 9% in FY21 given easing covid-19 related costs and favourable top-line trends.

The broker believes listed grocers like Coles and Woolworths ((WOW)) will exit covid-19 in a structurally stronger position and is positive about the sector.

However, UBS views the risk-reward for Coles to be balanced and prefers Woolworths. Neutral rating retained with a target price of $17.90.

Target price is $17.90 Current Price is $17.68 Difference: $0.22
If COL meets the UBS target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $19.64, suggesting upside of 9.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Macquarie rates DCN as Underperform (5) -

First quarter production was in line with estimates. FY21 is an important year for the company as any outperformance on production provides greater exposure to spot gold prices, Macquarie asserts.

The broker expects a reshuffle of the hedging commitment should help alleviate any pressure and mine life extensions beyond FY23 present upside to the outlook. Underperform retained. Target is raised to $0.37 from $0.36.

Target price is $0.37 Current Price is $0.37 Difference: $0
If DCN meets the Macquarie target it will return approximately 0% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -1.0

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

Citi rates GXY as Neutral (3) -

Galaxy Resources has increased lithium production and inventory levels to satisfy solid December quarter demand for shipments.

With Altura Mining ((AJM)) going into administration and its Pilgangoora mine on care & maintenance, Galaxy may have to speed up Mt Cattlin's return to full capacity, the broker notes, to meet fresh demand enquiries.

Galaxy is now spending less on marketing and reduced costs increase the broker's earnings forecasts. Target rises to $1.40 from $1.25, Neutral (High Risk) retained.

Target price is $1.40 Current Price is $1.34 Difference: $0.06
If GXY meets the Citi target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $1.11, suggesting downside of -17.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.5

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

Credit Suisse rates GXY as Neutral (3) -

Production guidance for the December quarter is 25-30,000t with a minimum of two shipments sales. Spot sales are being pursued as well but not budgeted.

However, if achieved, Credit Suisse considers this will be a considerable advance, demonstrating that genuine growth in demand is returning to the market.

Management has reported an increase in sales enquiries from the customer base, which is partially driven by uncertainty regarding Altura Mining's ((AJM)) administration.

The broker retains a Neutral rating and raises the target to $1.30 from $0.84.

Target price is $1.30 Current Price is $1.34 Difference: minus $0.04 (current price is over target).
If GXY meets the Credit Suisse target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.11, suggesting downside of -17.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.5

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

Macquarie rates GXY as Underperform (5) -

Macquarie observes the lithium market has entered a period where both the company and downstream customers expect a tightening of supply, stemming from mine closures.

However, the broker believes this is likely to be short lived and limited to any increases in volume demand with little impact on pricing.

The broker notes Mount Cattlin is on track to meet curtailed guidance while shipments are picking up and there is potential to lift production in 2021. Underperform rating and $0.40 target retained.

Target price is $0.40 Current Price is $1.34 Difference: minus $0.94 (current price is over target).
If GXY meets the Macquarie target it will return approximately minus 70% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.11, suggesting downside of -17.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.5

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

Morgan Stanley rates GXY as Underweight (5) -

Morgan Stanley was pleased with the cost control exhibited in the September quarter. Concentrate grades were lower than expected, at 5.6%, with the latest shipment being of 16,800t of lower grade material that was accumulated previously.

The company has maintained production guidance yet recoveries are running behind in the year to date, at 56%. Product testing at Sal de Vida has been positive with a technical grade product now deemed possible.

Ramp up of Mount Cattlin is also possible in the first quarter of 2021, the company indicated, although this is already in the broker's forecasts. Underweight. Target is $1.25. Industry view: Attractive.

Target price is $1.25 Current Price is $1.34 Difference: minus $0.09 (current price is over target).
If GXY meets the Morgan Stanley target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.11, suggesting downside of -17.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.5

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

UBS rates GXY as Neutral (3) -

Galaxy Resources' third-quarter update, with pre-reported production of 30.1kt, reported lower than expected costs. The company has guided to December quarter production of 25-35kt.

Management reported Galaxy Resources will examine the prospects of ramping-up the Mt Cattlin project to full rate, expected in the first quarter of 2021.

Galaxy's Sal de Vida operations are progressing as expected, but the broker considers covid-19 to be a key risk.

Neutral retained with the target price rising to $1.40 from $1.20.

Target price is $1.40 Current Price is $1.34 Difference: $0.06
If GXY meets the UBS target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $1.11, suggesting downside of -17.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.5

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

Citi rates HUB as Buy (1) -

Hub24 has implemented a round of acquisitions and divestment which management sees as expanding the platform's capacity into the high-net-worth market, with the acquisition of Xplore Wealth ((XPL)) the keystone, adding 400 new advisors.

Management stated it is not looking to vertically integrate, hence the sale of Paragem, which the broker notes reduces advice risk.

The new acquisitions provide cross-selling opportunities and cost synergies, rather than revenue synergies. Buy and $17.55 target retained.

Target price is $17.55 Current Price is $20.97 Difference: minus $3.42 (current price is over target).
If HUB meets the Citi target it will return approximately minus 16% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $20.89, suggesting downside of -8.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Credit Suisse rates HUB as Upgrade to Neutral from Underperform (3) -

HUB24 has made several acquisitions for a total consideration of $90m and announced a $60m equity raising. The company will also sell Paragem to Easton for scrip.

Credit Suisse assesses the acquisitions in total are financially accretive and also bring new revenue opportunities. The broker raises FY21-23 forecasts for earnings per share by 1-15% and increases the target to $21.50 from $18.70.

As the company continues to capitalise on the opportunity in the wealth market and provides strong earnings growth, the rating is upgraded to Neutral from Underperform.

Target price is $21.50 Current Price is $20.97 Difference: $0.53
If HUB meets the Credit Suisse target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $20.89, suggesting downside of -8.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Macquarie rates HUB as Neutral (3) -

The company has announced a $60m equity raising and along with a $12m debt facility and $30m in share issuance will fund three transactions for a total of $93m.

Macquarie assesses the acquisitions have an element of defensiveness and provide scale, while also removing a competitor from the market.

HUB24 will acquire Xplore Wealth ((XPL)), Ord Minnett's non-custody portfolio administration and reporting services, as well as take a subscription for 40% of new shares in Easton Investments while divesting Paragem to Easton.

Macquarie retains a Neutral rating and raises the target to $23.50 from $22.50.

Target price is $23.50 Current Price is $20.97 Difference: $2.53
If HUB meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $20.89, suggesting downside of -8.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

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

Morgans believe that Hub24 is acquiring scale and some capability, after the company announced three acquisitions and the divestment of Paragem.

Net consideration will be around -$93m (including integration and transaction costs), to be funded primarily via additional capital raised (around $60m) and scrip (around $30m), details the broker.

Acquisitions include Xplore Wealth ((XPL))  (around $60m), Ord Minnett PARS (around $10m) and an equity stake in Easton Investments (around $14m for up to an approximate 40% stake).

Management expects the transactions to be circa 13% EPS accretive in FY22.

Morgans continues to see the largest near-term earnings risk is the impact from lower rates (cash rate decline or cut to the margin achieved on cash).

The rating is increased to Add from Hold and the target price is increased to $22.40 from $18.10.

Target price is $22.40 Current Price is $20.97 Difference: $1.43
If HUB meets the Morgans target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $20.89, suggesting downside of -8.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Morgans rates IPD as Add (1) -

ImpediMed posted a solid first quarter cashflow report, according to Morgans. The broker highlights positive sales momentum, with annual recurring revenue (ARR) up 15% quarter-on-quarter and contracted revenue up 20% quarter-on-quarter.

The company has a number of near term catalysts with meta-analysis for lymphoedema expected within weeks, notes the analyst.

The Speculative Buy rating is maintained. The target price is decreased to $0.142 from $0.145.

Target price is $0.14 Current Price is $0.09 Difference: $0.052
If IPD meets the Morgans target it will return approximately 58% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Macquarie rates JMS as Outperform (1) -

First half results were higher than Macquarie expected. The demerger of the iron ore asset has been confirmed and more detail is expected by the end of the year.

Macquarie expects a further strengthening of operations over the remainder of FY21 but notes there is downside risk to earnings at spot manganese prices.

The dividend yield remains attractive at 8% for FY21 and 12% for FY22 estimates. The broker retains an Outperform rating and $0.35 target.

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

The company's fiscal year ends in February.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Morgans rates M7T as Add (1) -

Mach7 Technologies released a first quarter cashflow report which highlighted some lumpiness in cash receipts and that synergy targets are on track following the Client Outlook acquisition, explains Morgans.

During the quarter nine new customers were added and three contract renewals were signed which shows the broker strong support for the product offering.

The Add rating and target price of $1.49 are maintained. 

Target price is $1.49 Current Price is $0.93 Difference: $0.56
If M7T meets the Morgans target it will return approximately 60% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Morgans rates MDC as Add (1) -

Medlab Clinical released a first quarter cash flow report, which was broadly in-line with Morgans expectations.

The broker highlight cash receipts were $1.4m (broadly steady quarter-on-quarter) with an increase in Nutraceutical sales offsetting lower demand for the NanaBis product following supply chain constraints. This issue has now been fixed.

The analyst focuses on a number of short-term catalysts over the next six to twelve months including depression trial results expected by the end of 2020. Another two catalysts relate to potential partnership arrangements for a Ph3 cancer pain trial and the Ph3 trial commencement.

The Speculative Buy rating and target price of $0.32 are unchanged.

Target price is $0.32 Current Price is $0.18 Difference: $0.14
If MDC meets the Morgans target it will return approximately 78% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

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

Morgan Stanley found some of the metrics positive in the first quarter update. Guidance has been maintained and current occupancy is at 84.2%, well up on the 77.8% reported in June.

Average revenue per metre is higher at $200/square metre but the rate has declined, which suggests to Morgan Stanley that the company has been offering cheaper rates to customers to fill up space.

Equal-weight rating. Target price is $1.85. Industry view is In-Line.

Target price is $1.85 Current Price is $1.82 Difference: $0.03
If NSR meets the Morgan Stanley target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $1.79, suggesting downside of -1.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.1

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

Macquarie rates PNI as Outperform (1) -

Pinnacle Investment Management Group's funds under management (FUM) were up 5% in the September quarter with retail FUM up 5.3%. Earnings growth forecasts have been revised upwards for both FY21-22.

Macquarie points out 90% of Pinnacle's strategies and products have outperformed benchmarks over the last five years.

Considering Pinnacle a quality, high-beta exposure to markets, the broker retains its Outperform rating. Target is raised to $6.26 from $6.06.

Target price is $6.26 Current Price is $5.02 Difference: $1.24
If PNI meets the Macquarie target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $6.27, suggesting upside of 18.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

UBS rates QAN as Buy (1) -

UBS takes a look at the road map for a domestic travel recovery. The broker reports around 70% of domestic travel is either banned or exposed to a quarantine period leading to airlines in Australia offering only about 25% of their pre-covid capacity (the lowest among developed nations)

Qantas could generate $600m of profit before tax and $800m of free cash at 70% of its pre-covid capacity. According to UBS's estimates, Qantas has enough liquidity and gearing could be back to FY19 levels by FY23.

For FY21, profit before tax is expected to be -$0.9bn, $0.8bn in FY22 and $1.7bn in FY23. These numbers, highlights UBS, are higher than the average profit result in the years FY16-19.

UBS retains its Buy rating with the target price rising to $5.25 from $4.50.

Target price is $5.25 Current Price is $4.43 Difference: $0.82
If QAN meets the UBS target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $4.45, suggesting upside of 2.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.3

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

UBS rates REA as Neutral (3) -

REA Group will be reporting its first-quarter result on November 6. UBS expects revenue of $182m and materially better listings performance. Cost-outs are expected to be at the higher-end or exceed the group's previous guidance for -5-10% reductions.

Forecasts for the full year remain intact. Any cost upside in the first quarter is expected to be temporary.

The broker reaffirms its Neutral rating with a target price of $107.

Target price is $107.00 Current Price is $124.34 Difference: minus $17.34 (current price is over target).
If REA meets the UBS target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $111.97, suggesting downside of -8.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.2

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

Citi rates SDF as Buy (1) -

The broker had suspected Steadfast's FY21 guidance was conservative given a solid September quarter and sure enough management has upgraded to 10-15% underlying earnings growth from a prior 5-10%. But given current organic and inorganic growth momentum, the broker forecasts 18%.

The risk is Steadfast's apparent virus immunity will subside once JobKeeper winds down and insolvency relief expires next year, resulting in more business failures. But the broker sees this more as an FY22 issue given lag times. Buy retained, target rises to $4.20 from $4.00.

Target price is $4.20 Current Price is $3.56 Difference: $0.64
If SDF meets the Citi target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $4.09, suggesting upside of 13.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Macquarie rates SDF as Outperform (1) -

The first quarter of Steadfast Group noted operating income growth of 20.7% majorly led by organic growth and cost savings.

The group upgraded its operating income guidance by 4.2% to $245m-$255m. Macquarie estimates an operating income growth of 9-10% over the rest of FY21 would help Steadfast achieve the mid-point of its upgraded guidance. The broker expects M&A activity to continue and be debt-funded.

Macquarie retains its Outperform rating with the target price rising to $4 from $3.90.

Target price is $4.00 Current Price is $3.56 Difference: $0.44
If SDF meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $4.09, suggesting upside of 13.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Ord Minnett rates SDF as Accumulate (2) -

The company has upgraded guidance for FY21 earnings (EBITA) amid resilient trading conditions. Ord Minnett notes the mid point of guidance at $250m implies around 12% growth.

First quarter EBITA was 20% ahead of the prior corresponding quarter, and the company has noted its underwriting agencies are showing strong organic growth.

Since June, Steadfast Group has invested $110m in acquisitions are now has a corporate debt capability of $134m.

Ord Minnett retains an Accumulate rating and raises the target to $4.33 from $4.21.

Target price is $4.33 Current Price is $3.56 Difference: $0.77
If SDF meets the Ord Minnett target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $4.09, suggesting upside of 13.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

UBS rates SDF as Buy (1) -

Steadfast Group noted operating trends during the September quarter were supported by both organic and inorganic growth leading to operating income growth of 20.7%. The group has upgraded its FY21 operating income guidance by circa 5% to $245-$255m.

Economic headwinds could emerge in the later part of the financial year but for now, UBS notes the group's momentum is robust with potential M&A upside from $134m of debt headroom. 

UBS reaffirms its Buy rating with the target price reducing to $4.10 from $3.90.

Target price is $4.10 Current Price is $3.56 Difference: $0.54
If SDF meets the UBS target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $4.09, suggesting upside of 13.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.9

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

Citi rates SFR as Neutral (3) -

Sandfire Resources enjoyed record production in the September quarter although management expects a softer six months from here before returning to strength mid next year. Black Butte's feasibility study has been updated but the broker does not believe the project is big enough to drive any significant re-rating.

More promising is the progression of T3 in Botswana to final investment decision this quarter. The broker does not believe the market is ascribing any value to growth projects, but then nor is the broker at this stage until timelines are more clear. Neutral (High Risk) and $5.50 target retained.

Target price is $5.50 Current Price is $4.29 Difference: $1.21
If SFR meets the Citi target it will return approximately 28% (excluding dividends, fees and charges).

Current consensus price target is $5.28, suggesting upside of 23.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Credit Suisse rates SFR as Outperform (1) -

Record copper production occurred at Monty in the September quarter. FY21 production guidance is unchanged at 60-70,000t copper and 36-40,000 ounces gold. Development in Botswana continues to advance, with a feasibility study expected on the initial T3 concept by the end of 2020.

However, the Black Butte reserve and feasibility study, which Credit Suisse notes has been six years in the making, has revealed the project appears un-investable in its current form. The maiden reserve presents a smaller scale, lower grade project.

Credit Suisse assesses the project needs further exploration and optimisation to warrant development and while this is possible it requires time and further capital. Outperform rating maintained. Target is reduced to $5.25 from $5.40.

Target price is $5.25 Current Price is $4.29 Difference: $0.96
If SFR meets the Credit Suisse target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $5.28, suggesting upside of 23.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Macquarie rates SFR as Neutral (3) -

Sandfire Resources' first-quarter result was strong, observes Macquarie, leading to a reduction in FY21 cost guidance. The company reported a strong start to FY21 for its DeGrussa operation. However, this was offset by a smaller and lower grade maiden reserve for the company's Black Butte project.

Sandfire Resources' T3 project feasibility study results are due before 2020-end but Macquarie believes even if approved, covid-19 travel restrictions will likely delay the commencement of construction. Accordingly, the broker has pushed back its start date by nine months.

Neutral and $4.50 target retained.

Target price is $4.50 Current Price is $4.29 Difference: $0.21
If SFR meets the Macquarie target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $5.28, suggesting upside of 23.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Morgan Stanley rates SFR as Overweight (1) -

First quarter copper production was 11% ahead of Morgan Stanley's estimates while gold was 15% ahead. Costs were also 30% better than expected. The Black Butte feasibility study and maiden reserve were in line with the broker's low expectations.

The broker upgrades estimates based on improved FY21 guidance and raises the target to $6.60 from $6.25. Overweight maintained. Industry view is Attractive.

Target price is $6.60 Current Price is $4.29 Difference: $2.31
If SFR meets the Morgan Stanley target it will return approximately 54% (excluding dividends, fees and charges).

Current consensus price target is $5.28, suggesting upside of 23.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Ord Minnett rates SFR as Hold (3) -

First quarter copper and gold output were ahead of Ord Minnett's forecasts. The feasiblity study for Black Butte showed a lower copper grade and shorter mine life than the initial technical report.

Meanwhile, in Botswana, the company is evaluating a 5.2mtpa expansion with the next catalyst being the T3 feasibility study. Ord Minnett retains a Hold rating and reduces the target to $4.60 from $5.00.

Target price is $4.60 Current Price is $4.29 Difference: $0.31
If SFR meets the Ord Minnett target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $5.28, suggesting upside of 23.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

UBS rates SFR as Buy (1) -

With production pre-reported, Sandfire Resources reported lower than expected cash costs in the September quarter. Due to lower costs, management has cut guidance for FY21 to US$0.85-0.90/lb from US$0.90-0.95/lb prior.

UBS values Sandfire's DeGrussa operations at circa $900m, with cashflows over the next two year expected to be $636m and net cash of $300m.

However, a market cap of circa $760m implies a negative value is being ascribed to the Black Butte project in the US and the T3 project in Botswana. UBS believes progress on these two projects is key for Sandfire to outperform.

UBS maintains its Buy rating with the target price declining to $5.50 from $5.80.

Target price is $5.50 Current Price is $4.29 Difference: $1.21
If SFR meets the UBS target it will return approximately 28% (excluding dividends, fees and charges).

Current consensus price target is $5.28, suggesting upside of 23.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Macquarie rates SGF as Outperform (1) -

SG Fleet Group's first-quarter update provided net profit guidance of $22-$24m for the first half. Macquarie assesses activity levels to be supported by buoyant corporate trading and tender wins. These trading conditions are expected to persist into the first half.

Sustained used car prices at current levels provide upside risk to the broker's expectations.

Macquarie maintains its Outperform rating with a target price of $1.92.

Target price is $1.92 Current Price is $1.69 Difference: $0.23
If SGF meets the Macquarie target it will return approximately 14% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

Citi rates SUL as Buy (1) -

Super Retail's growth continues to suprise to the upside, the broker notes, on strong sales growth, margin expansion and fixed cost leverage. Despite Victorian lockdowns weighing on Rebel and Macpac the company has been able to grow net sales by 25% despite winding back promotions in order to preserve inventory.

Super Retail is ideally placed to benefit from the reopening of domestic borders while the international border remains closed, the broker suggests. Along with Harvey Norman ((HVN)) it is the broker's preferred stock in the discretionary space. Target rises to $13.10 from $11.90, Buy retained.

Target price is $13.10 Current Price is $11.70 Difference: $1.4
If SUL meets the Citi target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $12.06, suggesting upside of 5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Credit Suisse rates SUL as Outperform (1) -

Credit Suisse was surprised by the strength of sales in the first quarter. Group sales were up 25% with a gross margin of more than 200 basis points in the first 17 weeks of FY21.

As the business portfolio is weighted to domestic leisure and international travel is heavily curtailed, the broker believes further benefits can accrue to Super Retail.

The stock is considered cheap relative to peers and Credit Suisse maintains an Outperform rating. Target rises to $12.21 from $11.83.

Target price is $12.21 Current Price is $11.70 Difference: $0.51
If SUL meets the Credit Suisse target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $12.06, suggesting upside of 5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Macquarie rates SUL as Neutral (3) -

Super Retail's like-for-like sales in the first 17 weeks of the first half were strong, observes Macquarie, despite the lockdown in Melbourne. The group has guided to capex of -$100m so as to re-invest in long term trends like digital penetration.

Macquarie thinks management has navigated the covid-19 uncertainty very well by keeping stores open and an omni-channel platform servicing higher online demand. However, the broker finds it difficult to predict the longevity of current tailwinds and prefers to sit on the fence for now.

Neutral rating is reaffirmed. Target rises to $11.30 from $10.80.

Target price is $11.30 Current Price is $11.70 Difference: minus $0.4 (current price is over target).
If SUL meets the Macquarie target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $12.06, suggesting upside of 5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Morgan Stanley rates SUL as Overweight (1) -

The latest margin commentary from Super Retail signals to Morgan Stanley there is upside to its first half earnings growth estimates of 33%, although Christmas trading will be key.

Like-for-like sales for the first 17 weeks were up 21%, although trading has slowed sequentially compared with the first seven weeks. Nevertheless, the broker points out this is a strong result given 94 stores were closed in Victoria and 21 in Auckland over three weeks.

Overweight rating maintained. Target is $11.40. Industry View: Cautious.

Target price is $11.40 Current Price is $11.70 Difference: minus $0.3 (current price is over target).
If SUL 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 $12.06, suggesting upside of 5.1% (ex-dividends)

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Morgans rates SUL as Add (1) -

Super Retail Group’s trading update was strong, as expected by Morgans, with total like-for-like sales growing by 25% in the first 17 weeks of FY21. 

The opening up of Melbourne, and a Christmas without the ability to head offshore, sets the scene for a further acceleration of sales trends in the broker's view.

The analyst highlights the group gross margins are up 200 basis points on the previous corresponding period, primarily due to reduced promotion activity (particularly in Rebel) and tight inventory. It's considered the continuation of tightly controlled costs will realise strong operating expense leverage in the first half.

The Add rating is maintained. The target price is increased to $12.59 from $11.53.

Target price is $12.59 Current Price is $11.70 Difference: $0.89
If SUL meets the Morgans target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $12.06, suggesting upside of 5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Ord Minnett rates SUL as Accumulate (2) -

Ord Minnett notes BCF and Supercheap Auto sales strengthened in the first 17 weeks of FY21 because of significant changes in consumer behaviour. Domestic holidays drove demand for camping and outdoor products while more expenditure is occurring on the home front.

Victorian store closures weighed on Macpac particularly, but the re-opening should support store visits in Melbourne. Ord Minnett retains an Accumulate rating, noting the leverage to increased domestic tourism. Target is raised to $12.50 from $11.50.

Target price is $12.50 Current Price is $11.70 Difference: $0.8
If SUL meets the Ord Minnett target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $12.06, suggesting upside of 5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

UBS rates SUL as Neutral (3) -

Super Retail Group's like-for-like sales for the first 17 weeks of FY21 were up 25%, beating UBS's forecast led by strength in all divisions except for Macpac. The broker has upgraded its earnings growth forecast for FY21-22.

UBS believes the retail group is well-positioned to benefit from higher auto usage & domestic tourism, has solid online capabilities and a strong balance sheet.

The broker also thinks the market is not pricing in risks of a pull-forward and increasing competitive intensity once inventory positions normalise. The broker prefers Adairs ((ADH)) in small cap discretionary retail over Super Retail.

UBS reaffirms its Neutral rating with the target price increasing to $11.30 from $10.70.

Target price is $11.30 Current Price is $11.70 Difference: minus $0.4 (current price is over target).
If SUL 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 $12.06, suggesting upside of 5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

UBS rates TGR as Buy (1) -

Tassal Group's first-quarter retail sales momentum continued with growth of 22% versus last year and versus UBS's estimated 15%. Domestic wholesale sales, impacted by covid-19, were down -19%, more than the broker expected. Processing costs were materially better than anticipated.

The group acquired a neighbouring property to its Proserpine prawn farm - Billy Creek land - for $7m. The broker expects longer-term benefits from this acquisition given lower capital investment, material unit cost benefits and asset synergies.

UBS sees value on offer, while also noting uncertainty in the near-term. Buy rating retained with a target price of $4.85.

Target price is $4.85 Current Price is $3.72 Difference: $1.13
If TGR meets the UBS target it will return approximately 30% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Morgans rates VHT as Add (1) -

Volpara Health Technologies released its second quarter cashflow report.

Key highlights for Morgans include annual recurring revenue (ARR) of NZ$19.9m, adding NZ$850k for the quarter, while average revenue per unit (ARPU) increased by 6% over the first quarter.

The company noted that many up selling opportunities exist and management continues to push its legacy capital users to its SaaS revenue contracts and its integrated breast care platform.

A key upcoming catalyst is the FDA ruling mandating that a women’s breast density must be reported, explains the broker. However, that ruling has now been delayed from the end of October to before year end.

The Add rating is unchanged and the target price is reduced to $1.71 from $1.73.

Target price is $1.71 Current Price is $1.42 Difference: $0.29
If VHT meets the Morgans target it will return approximately 20% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 0.5

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

Macquarie rates WAF as Outperform (1) -

West African resources reported its third-quarter result with production at the Sanbrado project in-line with Macquarie's forecast, while costs were -15% lower than anticipated.

The broker expects production growth to continue for the remainder of 2020 and into 2021 with high-grade underground volumes expected to double on a quarterly basis in the December quarter.

The company plans on releasing a resource update and a revised mine plan for Sanbrado towards the end of 2020.

Outperform rating and $1.30 target retained.

Target price is $1.30 Current Price is $1.05 Difference: $0.25
If WAF meets the Macquarie target it will return approximately 24% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

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 WBC as Add (1) -

Westpac Bank announced that second half cash earnings will be reduced by -$1.22bn after tax due to notable items (including the previously announced additional provision for AUSTRAC matters).

Morgans already had such notable items totaling -$1.1bn after tax included in a second half statutory earnings forecast. However, for forecasting purposes the broker was treating the majority of these items as non-cash items.

Accordingly, the analyst reduces the second half cash earnings forecast  by -4.1% and the FY20 cash earnings forecast  by -22.7%.

Additionally, the broker's final dividend forecast is reduced to 38 cents fully franked from 40 cents fully franked. Morgans reiterates the bank is the broker's preferred among the majors.

The Add rating and $22.50 target price are unchanged.

Target price is $22.50 Current Price is $18.31 Difference: $4.19
If WBC meets the Morgans target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $20.20, suggesting upside of 12.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.7

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

Macquarie rates WGN as Neutral (3) -

Macquarie notes Wagners Holding's first-quarter cement volumes were steady.

The broker believes the complex market structure is a hindrance to the company that is otherwise well-positioned to benefit from the infrastructure and housing stimulus. 

Neutral rating maintained with the target price increased to $1.45 from $1.20.

Target price is $1.45 Current Price is $1.48 Difference: minus $0.03 (current price is over target).
If WGN meets the Macquarie target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.42, suggesting downside of -1.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.3

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

Morgans rates WGN as Add (1) -

At the AGM, Wagners highlighted a positive start across its business in the first quarter, with a new haulage contract secured and composite fibre technologies (CFT) activity in the UAE starting strongly, reports Morgans.

The broker increases forecasts and continues to see clear, company specific drivers to support the company's earnings recovery in FY21.

The analyst projects that first half results will improve sequentially on the previous half, which will imply upside to consensus forecasts

The Add rating is maintained. The target price is increased to $1.70 from $1.35.

Target price is $1.70 Current Price is $1.48 Difference: $0.22
If WGN meets the Morgans target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $1.42, suggesting downside of -1.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.3

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