Australian Broker Call

Macquarie rates AFG as Outperform (1) -

Australian Finance Group’s underlying FY20 profit beat the broker by 10%, supported by AFG Securitisation book settlements and
net interest margins. Net cash flow was up 44% on FY19. Ongoing support is expected in FY21.

The company's Connective transaction remains subject to court approval but if cleared could boost forecasts, the broker suggests. Outperform and $2.34 target retained.

Target price is $2.34 Current Price is $1.85 Difference: $0.49
If AFG meets the Macquarie target it will return approximately 26% (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

Morgans rates AFG as Hold (3) -

The Australian Finance Group’s FY20 reported profit was in-line with Morgans forecast, while the dividend of 4.7cps fully franked was better than forecast.

The company said that July set a record for both lodgements and settlements, which according to Morgans is consistent with recent bank reporting suggesting the mortgage market has been quite active and competitive.

The highlight for the broker is the percentage of covid-19 hardships/arrangements in the AFG Securities loan book has reduced to 5.33% at August 21 from 9.56% at May 7.

Morgans upgrades EPS forecasts for FY20 and FY21 by 5% and 2.7%, respectively, largely due to higher net interest margin forecasts and notes significant upside risk for the potential merger with the mortgage aggregator Connective.

The Hold rating is maintained and the target price is increased to $1.80 from $1.50.

Target price is $1.80 Current Price is $1.85 Difference: minus $0.05 (current price is over target).
If AFG meets the Morgans target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.5

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

Ord Minnett rates ALG as Hold (3) -

FY20 net profit was below Ord Minnett's forecasts. The broker notes the Main Event roll-out has been put on hold for the next two years with only one new centre to be opened in each of FY21 and FY22.

Ord Minnett retains a Hold rating and lowers the target to $0.45 from $0.50.

Target price is $0.45 Current Price is $0.43 Difference: $0.02
If ALG meets the Ord Minnett target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $0.85, suggesting upside of 96.9% (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

Ord Minnett rates AMI as Upgrade to Buy from Accumulate (1) -

Ord Minnett believes the stock remains misunderstood in terms of the quality of the portfolio. While operational risks continue, the broker advises buying any dips as Aurelia Metals trades at a discount relative to fundamentals & peers.

The broker believes the Federation project is a game changer and early exploration results warrant a re-rating. Rating is upgraded to Buy from Accumulate and the target lifted to $0.75 from $0.60.

Target price is $0.75 Current Price is $0.50 Difference: $0.25
If AMI meets the Ord Minnett target it will return approximately 50% (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 AMS as Add (1) -

The Atomos FY20 result was in-line with Morgans expectations, with earnings materially impacted by covid-19 restrictions, however, revenue continues to improve monthly with August revenue still -40% on pre-pandemic sales run-rates.

The broker notes the company’s cost-out initiatives leave it well placed for a sales recovery, while new product launches/partnerships are expected to bolster revenues from September onwards.

The Add rating is maintained. The target price is increased to $1.08 from $1.02

Target price is $1.08 Current Price is $0.52 Difference: $0.56
If AMS meets the Morgans target it will return approximately 108% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Ord Minnett rates AMS as Buy (1) -

FY20 sales were down -17%, as the pandemic caused production and product development delays because of the scaling down of Chinese facilities. As a result, the company has taken a strong stance on costs.

Ord Minnett remains positive on the stock and still envisages a significant opportunity. Speculative Buy rating retained. Target rises to $1.24 from $1.15.

Target price is $1.24 Current Price is $0.52 Difference: $0.72
If AMS meets the Ord Minnett target it will return approximately 138% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

UBS rates APT as Sell (5) -

UBS found no major surprises in the FY20 result. The broker highlights positive cash flow for the second half, largely caused by the move to a first payment up-front model in Australia.

Growth in FY21 is predominantly expected to be sourced from the US. UBS currently forecasts total underlying sales of $18.4bn. The broker's view on fundamental valuation is unchanged as the current share price factors in more than $170bn in sales by FY25.

The broker retains a Sell rating with a $28.25 target.

Target price is $28.25 Current Price is $88.75 Difference: minus $60.5 (current price is over target).
If APT meets the UBS target it will return approximately minus 68% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $77.01, suggesting downside of -15.9% (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

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

Strong support from original equipment manufacturers and JobKeeper led Autosports Group to a better result than Macquarie first spotted on release. Lead indicators of order writing are exceeding deliveries heading into FY21, making the broker more positive.

No guidance provided due to uncertainty, but Macquarie suggests a swift bounce out of Victoria's lockdowns should provide a catalyst for re-rating. Upgrade to Outperform, target rises to $1.65 from $1.10.

Target price is $1.65 Current Price is $1.20 Difference: $0.45
If ASG meets the Macquarie target it will return approximately 38% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

UBS rates ASG as Buy (1) -

FY20 adjusted pre-tax profit fell -21% amid disruptions from the pandemic compounded by weaker new vehicle demand. UBS notes new car orders are up strongly across May-July, with benefits from fiscal stimulus and substitution in consumer expenditure.

The broker still envisages the luxury segment will take share and the valuation is undemanding. Buy rating retained. Target is raised to $1.50 from $1.40.

Target price is $1.50 Current Price is $1.20 Difference: $0.3
If ASG meets the UBS target it will return approximately 25% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Morgans rates BGA as Hold (3) -

The FY20 result for Bega Cheese was above the Morgans forecast and is viewed as a solid outcome in light of drought, the bushfires and the pandemic.

The broker notes the highlight was strong cashflow generation, which allowed the company to make good progress on reducing gearing metrics.

The analyst expects FY21 earnings growth from growth projects (eg the new Lactoferrin facility) and material cost savings to derive from the company’s organisation and process review.

The Hold rating is maintained and the target price is increased to $5.13 from $4.17.

Target price is $5.13 Current Price is $5.15 Difference: minus $0.02 (current price is over target).
If BGA meets the Morgans target it will return approximately minus 0% (excluding dividends, fees and charges - negative figures indicate an expected loss).

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

UBS rates BGA as Buy (1) -

FY20 results were strong and ahead of UBS estimates, despite the challenging market conditions. The review of the organisation is progressing and material benefits are expected to flow from the first half of FY21.

UBS expects a progressive seasonal improvement in milk supply across FY21-22. The broker retains a Buy rating and raises the target to $5.70 from $5.00.

Target price is $5.70 Current Price is $5.15 Difference: $0.55
If BGA meets the UBS target it will return approximately 11% (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

Morgans rates BIN as Hold (3) -

Bingo Industries’ FY20 earnings were in-line with Morgans forecast and cash generation was stronger than expected.

One the one hand, the broker believes material downside risk pertains to FY21 earnings, while on the other hand there is upside risk when the macroeconomic and in particular Sydney/Melbourne construction cycle improves.

The Hold rating is maintained. The target price is increased to $2.34 from $2.29

Target price is $2.34 Current Price is $2.30 Difference: $0.04
If BIN meets the Morgans target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $2.56, suggesting upside of 14.2% (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

Citi rates BLD as Neutral (3) -

Following the release of FY20 financials, Citi analysts conclude earnings at Boral are moving in the right direction, but investors should still be aware margin pressure will likely emerge as construction headwinds build in the coming months.

As Citi points out, despite a sharp recovery in US new residential construction, Boral hasn’t benefitted to the same extent as peers, but the analysts do believe better conditions will eventually show up in better sales growth for Boral.

Also, the new CEO is looking into degearing the balance sheet without the need for another capital raising, Citi points out. No dividend in FY21 is anticipated. Target declines to $4.22 from $4.35. Neutral.

Target price is $4.22 Current Price is $3.93 Difference: $0.29
If BLD meets the Citi target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $4.07, suggesting upside of 1.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Credit Suisse rates BLD as Neutral (3) -

FY20 results were pre-announced and net profit was down -58% compared with original guidance for a -5-15% decline. Credit Suisse notes one positive statement: operating earnings margin in July recovered to first half FY20 levels.

However, management cautioned that not too much can be extrapolated from one month. The strategic review is expected to be completed in October. Neutral rating retained. Target rises to $3.75 from $3.50.

Target price is $3.75 Current Price is $3.93 Difference: minus $0.18 (current price is over target).
If BLD meets the Credit Suisse target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.07, suggesting upside of 1.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

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

FY20 results were in line with previous guidance but Morgan Stanley notes the stark decline in profitability in the second half.

The broker envisages potential to unlock value but believes investors will need to wait until October for a full update on strategy.

The company has indicated there are no current plans to raise equity and there was a more favourable trend in July.

Equal-weight rating. Target is raised to $4.40 from $4.10. Industry view is Cautious.

Target price is $4.40 Current Price is $3.93 Difference: $0.47
If BLD meets the Morgan Stanley target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $4.07, suggesting upside of 1.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Ord Minnett rates BLD as Lighten (4) -

FY20 results were in line with Ord Minnett's estimates. Earnings in the second half were severely affected by the disruptions caused by the pandemic as well as bushfires and floods in Australia.

Ord Minnett takes a cautious approach, because of the North American division and Plasterboard Asia. The broker suspects both these business units are facing structural challenges and management does not appear to be of a mind to exit these positions entirely.

Lighten rating retained. Target rises to $3.70 from $3.25.

Target price is $3.70 Current Price is $3.93 Difference: minus $0.23 (current price is over target).
If BLD meets the Ord Minnett target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.07, suggesting upside of 1.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

UBS rates BLD as Buy (1) -

UBS observes margins have started off well in the second half and expects Australian EBITDA margins will lift to 13%. The broker also expects fly ash margins will normalise to 20%, having been 16.5% in the second half. Revenue in FY20 was softer than expected.

Boral has made it clear that an equity raising is not a priority. UBS assesses there is value in the stock but unlocking it could be difficult and slow, although end markets are improving. Buy rating and $4.30 target maintained.

Target price is $4.30 Current Price is $3.93 Difference: $0.37
If BLD meets the UBS target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $4.07, suggesting upside of 1.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Citi rates CGC as Buy (1) -

For Citi's initial assessment, see Friday's Report. The analysts observed the bottom line reported fell well short, but they also anticipated rather mild downgrades were forthcoming for market forecasts.

The international division performed strongly and has been hailed as the stand-out from the 1H20 release. Locally, droughts have been a major impediment for Costa Group.

Citi analysts highlight since mid-2017, Costa Group has spent -$250m in capex domestically and -$170m internationally. The positive impact should start to show up from FY21 onwards, suggest the analysts. Buy rating retained. Target price lifts to $3.75 from $3.40.

Target price is $3.75 Current Price is $3.31 Difference: $0.44
If CGC meets the Citi target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $3.63, suggesting upside of 4.5% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.8

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

Credit Suisse rates CGC as Outperform (1) -

Credit Suisse suggests the view on Costa Group being an agricultural stock is fading and the growth prospects are returning to favour. Earnings in the second half are expected to be driven by the rest of the citrus harvest, the main berry season in Australia, mushrooms and tomatoes.

Most of the remaining production is undercover and there is plenty of water. The broker retains an Outperform rating and raises the target to $3.60 from $3.50.

Target price is $3.60 Current Price is $3.31 Difference: $0.29
If CGC meets the Credit Suisse target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $3.63, suggesting upside of 4.5% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.8

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

Macquarie rates CGC as Neutral (3) -

Costa Group was hit with everything under the sun in FY20 -- including drought and hail, and a virus increasing labour and freight costs. It was always going to be a hard one to guess, and as it was the result fell well short of the broker's forecast. But the good news is those costs are not ongoing.

And management has highlighted strong momentum into FY21, with solid domestic and export demand and pricing in citrus providing support. The result has "put to bed", downside earnings risk fom the virus, the broker suggests, but the share price reaction means this is understood. Hence Neutral retained. Target rises to $3.53 from $2.87.

Target price is $3.53 Current Price is $3.31 Difference: $0.22
If CGC meets the Macquarie target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $3.63, suggesting upside of 4.5% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.8

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

Morgans rates CGC as Add (1) -

Overall the Costa Group Holdings interim result was in-line with Morgans forecasts, however, Produce was materially weaker than expected, while the International segment materially exceeded expectations, due to an outstanding performance by the China business and a significant recovery in Morocco.

The broker notes outlook comments were positive and a strong second half is expected with domestic drought headwinds having eased and produce prices/demand generally favourable.

Morgans sees the potential for operating leverage to return in FY21. The Add rating is maintained and the target price is increased to $3.70 from $3.60.

Target price is $3.70 Current Price is $3.31 Difference: $0.39
If CGC meets the Morgans target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $3.63, suggesting upside of 4.5% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.8

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

UBS rates CGC as Buy (1) -

First half results were below UBS estimates. However, the outlook commentary was positive and international earnings have recovered. The company has indicated water availability has improved.

The broker reduces 2020 operating earnings estimates to reflect the first half result. A Buy rating is retained as the improving earnings outlook is underpinned by strong demand for grocery items because of increased at-home consumption and more normal supply. Target is raised to $3.55 from $3.25.

Target price is $3.55 Current Price is $3.31 Difference: $0.24
If CGC meets the UBS target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $3.63, suggesting upside of 4.5% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.8

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

Macquarie rates CLQ as No Rating (-1) -

Clean Teq has issued an update on its Sunrise Project Execution Plan Study, which is due to be released at the end of September 2020. Estimated capex has increased by 33% to US$2bn, in line with the broker's forecast.

The broker is restricted form making a recommendation.

Current Price is $0.15. Target price not assessed.

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

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

Morgans rates CMW as Hold (3) -

Cromwell Property Group’s result was solid, given the difficult operating conditions, and was underpinned by growth in like-for-like property income and some good first half transactional income, explains Morgans.

The broker calculates the FY21 DPS guidance of 7.5 cps is equivalent to an above 8% yield.

Morgans awaits further clarity after the closure on September 21 of the proposed proportional takeover offer at 92 cents by the major shareholder, ARA.

The Hold rating is maintained and the target price is increased to $1.14 from $1.12.

Target price is $1.14 Current Price is $0.90 Difference: $0.24
If CMW meets the Morgans target it will return approximately 27% (excluding dividends, fees and charges).

Current consensus price target is $0.92, suggesting upside of 2.2% (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 CWP as Hold (3) -

Cedar Woods Properties reported FY20 profit down -57% on the pcp, but the company expects a significant uplift in earnings in FY21, notes Morgans. However, the broker expects this is unlikely until post FY22.

The company is benefiting from strong demand in Western Australia, buoyed by government incentive programs, whilst Victorian conditions remain difficult.

A second half dividend of 6.5cps was declared and Morgans concludes the dividend is supported by a strong project pipeline, embedded earnings within existing projects and a strong balance sheet.

The Hold rating is maintained. The target price is increased to $5.60 from $5.34.

Target price is $5.60 Current Price is $5.22 Difference: $0.38
If CWP meets the Morgans target it will return approximately 7% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Macquarie rates FLT as Neutral (3) -

Flight Centre updated guidance earlier in the month so no surprises. The good news is momentum is now positive in corporate travel, coming back from a low base. The bad news is leisure travel remains beholden to the uncertainty of when international borders may reopen.

The broker notes the company has made "excellent" progress in reducing costs, but ongoing uncertainty means Neutral retained. An unchanged target of $12.50 reflects a forecast return to "normal" in FY25.

Target price is $12.50 Current Price is $13.18 Difference: minus $0.68 (current price is over target).
If FLT 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 $13.34, suggesting upside of 0.9% (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

Morgan Stanley rates FLT as Overweight (1) -

Morgan Stanley expects Flight Centre will continue to trade in relation to news regarding the pandemic, highlighting the FY20 results confirm a significant amount of liquidity.

July activity levels are tracking at 10% of the usual. Importantly, the broker notes, the company has a variable cost base and is currently at 32% of pre-pandemic costs. Morgan Stanley now expects total transaction value at 33% of normal in FY21.

Overweight rating. Target is reduced to $15 from $16. Industry view is Cautious.

Target price is $15.00 Current Price is $13.18 Difference: $1.82
If FLT meets the Morgan Stanley target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $13.34, suggesting upside of 0.9% (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

Morgans rates GNX as Add (1) -

Genex Power’s FY20 revenue beat Morgans forecast by 15%, while the pre-tax loss slightly missed.

Jemalong’s commissioning will be completed in 3Q21, while the financial close on K2-H should be achieved when a joint venture partner is selected and the Queensland government confirms a funding package for the transmission line, explains the broker.

The analyst notes the Como battery project is early stage, but offers upside potential to the target price. Batteries will become an increasingly important part of the technology mix in the grid, posits the broker.

The Speculative Buy rating is maintained and the target price is decreased to $0.36 from $0.37.

Target price is $0.36 Current Price is $0.22 Difference: $0.14
If GNX meets the Morgans target it will return approximately 64% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 1.0

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

Ord Minnett rates HSN as Buy (1) -

FY20 results were better than expected. No guidance was provided. However, Ord Minnett suggests management has done a good job communicating confidence in the business going forward.

This appears to be contrary to the way the stock was being priced ahead of the results. The broker continues to like the stock because it is defensive and attractively priced and retains a Buy rating. Target is raised to $4.15 from $3.95.

Target price is $4.15 Current Price is $3.85 Difference: $0.3
If HSN meets the Ord Minnett target it will return approximately 8% (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 HVN as Buy (1) -

Citi found the FY20 result difficult to fault; better-than-expected, clean, strong cash flows, high operating leverage and a shift to a net cash balance sheet.

The analysts see one more half of exceptionally strong earnings. After that, they predict an inevitable normalisation.

FY21 estimates have received a boost upwards. Buy rating retained. Price target lifts to $5 from $4.80.

Target price is $5.00 Current Price is $4.24 Difference: $0.76
If HVN meets the Citi target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $4.56, suggesting upside of 3.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Credit Suisse rates HVN as Neutral (3) -

FY20 results were significantly ahead of expectations and guidance from early June. July and August trading have been robust. Still, Credit Suisse notes, on current government policy, household income in Australia is set to decline materially in 2021.

The broker is not confident expenditure on household goods will be sustained into next year. Still, Harvey Norman is net cash which puts it in a strong position to withstand a deterioration in consumer expenditure. Neutral retained. Target rises to $4.48 from $3.90.

Target price is $4.48 Current Price is $4.24 Difference: $0.24
If HVN meets the Credit Suisse target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $4.56, suggesting upside of 3.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Macquarie rates HVN as Outperform (1) -

Harvey Norman's 26% profit increase in FY20 surprised even management, beating guidance by 20%. It was a high quality beat, the broker notes, given strength in almost every division. Australian franchisee margins were the highest in 20 years.

A reduction in exposure to ancillary investments concentrates the company's focus on the home-related spend basis which led the broker to upgrade to Outperform back in March at the depth of the market. Outperform retained, target rises to $4.50 from $4.20.

Target price is $4.20 Current Price is $4.24 Difference: minus $0.04 (current price is over target).
If HVN meets the Macquarie target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.56, suggesting upside of 3.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

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

FY20 earnings (EBIT) ex property revaluations were ahead of Morgan Stanley's estimates. Australian franchising was 8% ahead and New Zealand 23% ahead. Strong trading has continued into FY21.

Morgan Stanley envisages scope for future capital management and retains an Equal-weight rating, $4 target and Cautious industry view.

Target price is $4.00 Current Price is $4.24 Difference: minus $0.24 (current price is over target).
If HVN 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 $4.56, suggesting upside of 3.9% (ex-dividends)

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Ord Minnett rates HVN as Accumulate (2) -

Harvey Norman's FY20 results were ahead of Ord Minnett's forecasts. The final dividend of $0.18 was also ahead of expectations and brings the full-year pay-out to $0.24.

Trading remains strong with franchising like-for-like sales up 40.9% in July and 35.1% in August. Ord Minnett expects momentum to remain strong and retains an Accumulate rating. Target is raised to $5.00 from $4.75.

Target price is $5.00 Current Price is $4.24 Difference: $0.76
If HVN meets the Ord Minnett target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $4.56, suggesting upside of 3.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

UBS rates HVN as Buy (1) -

FY20 results were ahead of UBS estimates. However, no further capital management was outlined, probably because of the uncertainty. The company is benefiting from increased at-home consumption but risks are still envisaged as stimulus fades.

In the year to date trading has shown no signs of slowing, and the broker assesses this would have been even stronger if not for inventory constraints and mobility restrictions in Victoria. Buy rating retained. Target rises to $4.70 from $4.35.

Target price is $4.70 Current Price is $4.24 Difference: $0.46
If HVN meets the UBS target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $4.56, suggesting upside of 3.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.6

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

Morgans rates ICQ as Add (1) -

The second quarter for Icar Asia was impacted by varying degrees of lockdown restrictions in all geographies, while the first half revenue was up 4% on the previous corresponding period (helped by the Camudi acquisition), notes Morgans.

Cost control measures have seen EBITDA profitability maintained in two of three regions, highlights the broker.

The analyst sees a likely boost from the pandemic for product development and adoption and there are positive signs of recovery post the second quarter.

The Add rating is is maintained and the target price is decreased to $0.388 from $0.419.

Target price is $0.39 Current Price is $0.30 Difference: $0.088
If ICQ meets the Morgans target it will return approximately 29% (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 LNK as Downgrade to Hold from Add (3) -

Link Administration Holdings reported a FY20 result broadly in-line with consensus for revenue and operating profit (NPATA), according to Morgans.

The broker expects FY21 to be a tough year before growth recovers on cost-out, the Pepper European Servicing (PES) acquisition and property Exchange Australia, PEXA.

The analyst downgrades EPS estimates for FY21 and FY22 by -11% to -18% on reduced revenue and margin forecasts in both years.

The rating is downgraded to Hold from Add pending signs of improving earnings momentum, which Morgans believes will be more a FY22 story, and the target price is decreased to $4.21 from $4.80.

Target price is $4.21 Current Price is $4.10 Difference: $0.11
If LNK meets the Morgans target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $4.55, suggesting upside of 11.0% (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 LNK as Accumulate (2) -

The FY20 net loss contrasted with Ord Minnett's expectations for a profit, with a difference largely because of the write-down of goodwill relating to European corporate markets. Most divisions, in terms of operating earnings, missed estimates.

Ord Minnett suggests there may be some pressure on earnings in FY21 although growth should return in FY22, underpinned by the purchase of Pepper European Servicing which could be a strong counter-cyclical acquisition. Accumulate rating and $4.60 target retained.

Target price is $4.60 Current Price is $4.10 Difference: $0.5
If LNK meets the Ord Minnett target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $4.55, suggesting upside of 11.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.4

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

Morgans rates LVH as Add (1) -

Morgans believes Livehire is poised to deliver significant growth in the medium-term, with a greatly enhanced strategy and ability to execute.

Churn in FY20 on the permanent hire product of 20% remains elevated and is a slight concern to the analyst, who expects this to improve in FY21 and beyond, given the majority of the client base has now moved to the full product suite and a large (greater than 70%) proportion of new sales in FY20 were on multi-year arrangements.

Morgans predicts the US direct sourcing opportunity should dwarf the current business and states the company has secured a couple of very prospective customers quite quickly.

The Add rating is maintained and the target price is decreased to $0.50 from $0.565.

Target price is $0.50 Current Price is $0.36 Difference: $0.14
If LVH meets the Morgans target it will return approximately 39% (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 its FY20 results which were a miss for Morgans, reflecting a difficult trading period with pandemic lockdowns and an acceleration of research and development programs.

Nutraceutical product ranges have been rationalised and increased focus on digital sales and marketing channels continue to be refined to optimise the division, comments the broker.

Nonetheless, investor focus will be focused on a number of catalyst in the next few months including the depression trial results and potential partnership for the Ph3 trial in cancer pain, notes the analyst.

Morgans adjusts forecasts to reflect delays in clinical timeframes. The Speculative Buy rating is maintained and the target price is decreased to $0.32 from $0.36.

Target price is $0.32 Current Price is $0.16 Difference: $0.16
If MDC meets the Morgans target it will return approximately 100% (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 MTO as Add (1) -

The Motorcycle Holdings FY20 earnings result was 6% above Morgans forecast, with the second half revenue growth of 18% highlighted.

A recent market concern has been alleviated by a reduction in debt, notes the broker.

Morgans highlights new bike volumes are still around -33% below the 2016 peak, despite current buoyant trading conditions (assisted by government stimulus).

The Add rating is maintained. The target price is increased to $2.50 from $2.12.

Target price is $2.50 Current Price is $1.95 Difference: $0.55
If MTO meets the Morgans target it will return approximately 28% (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 MX1 as Add (1) -

Micro-X had a solid end to FY20 with sales momentum for the Nano building, as the health crisis drives demand for x-ray equipment, explains Morgans. The underlying net loss was better than the analyst had forecast.

The broker calculates the company can fund growth comfortably for at least 12 months after a successful $15m capital raising.

Morgans points out a few key catalysts including first orders from the US defence force for the Rover and the decision on a grant funding application to develop a scanner to be used for imaging stroke patients.

The Speculative Buy rating is maintained and the target price is increased to $0.34 from $0.32.

Target price is $0.34 Current Price is $0.17 Difference: $0.17
If MX1 meets the Morgans target it will return approximately 100% (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 NTD as Downgrade to Hold from Add (3) -

The rating for National Tyre and Wheel is downgraded to Hold from Add, following a strong share price rally and increased debt position.

Morgans notes the earnings from the Tyres4U (T4U) acquisition are key to the future performance. The broker awaits the findings of the T4U strategic review in September.

The FY20 earnings result was 8% above Morgans forecast, with a strong surge in demand/trading in the fourth quarter.

The post balance date acquisition of T4U has seen the group gear up its balance sheet to a net debt position of circa $24m.

The target price is increased to $0.633 from $0.501.

Target price is $0.63 Current Price is $0.58 Difference: $0.053
If NTD meets the Morgans target it will return approximately 9% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Credit Suisse rates NXT as Neutral (3) -

FY20 results were in line. Guidance for FY21 is below Credit Suisse estimates largely because of increased operating expenditure being incurred at S2.

The upgrade of M2 clearly reflects an environment of increased demand, in the broker's view. Neutral retained. Target rises to $11.70 from $11.35.

Target price is $11.70 Current Price is $11.89 Difference: minus $0.19 (current price is over target).
If NXT meets the Credit Suisse target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $12.67, suggesting upside of 3.6% (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 NXT as Neutral (3) -

NextDC's FY20 report and FY21 outlook guidance were both in-line with expectations and labeled as "solid" in a first-glance report the broker provided on Friday.

After a closer look, the broker notes the company is seeing strong demand from both its hyperscale and enterprise customers and is one of the few businesses to benefit from the virus both short and long-term.

Despite a premium valuation, the stock remains an attractive exposure, the broker believes. Neutral retained, target rises to $12.30 from $10.50.

Target price is $12.30 Current Price is $11.89 Difference: $0.41
If NXT meets the Macquarie target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $12.67, suggesting upside of 3.6% (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 NXT as Overweight (1) -

FY20 result was slightly ahead of Morgan Stanley's estimates. The broker highlights the difficulty of keeping up with strong demand.

The company needs inventory to sell and because of the strength in demand across the retail and hyper-scale markets, the broker envisages the possibility that NextDC may run out in S2 and M2 before the new centres go live.

Overweight retained. Target is raised to $13.40 from $12.00. Industry view is In-Line.

Target price is $13.40 Current Price is $11.89 Difference: $1.51
If NXT meets the Morgan Stanley target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $12.67, suggesting upside of 3.6% (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 NXT as Upgrade to Add from Hold (1) -

NextDC’s FY20 result was in-line with guidance and the result and outlook demonstrates to Morgans how uncorrelated digital infrastructure is to economic cycles and what a high quality the company’s business model and earnings streams are.

The broker projects earnings to exceed $200m in the next four years and potentially $300m in the next five, if options granted to cloud solution provider (CSP) customers are granted.

Morgans poses are we currently seeing a short-term spike in cloud demand due to remote working or has the world permanently changed? The broker is betting on demand remaining robust.

The rating is upgraded to Add from Hold and the target price is increased to $13.89 from $11.11.

Target price is $13.89 Current Price is $11.89 Difference: $2
If NXT meets the Morgans target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $12.67, suggesting upside of 3.6% (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 NXT as Upgrade to Accumulate from Hold (2) -

FY20 results highlight the appeal of the stock, in Ord Minnett's view. Revenue was in line with forecasts. The net loss of -$45m included a large one-off adjustment for tax losses and timing differences.

The broker envisages NextDC is well-placed to benefit from the increased demand for public cloud and data centre services post the pandemic. Rating is upgraded to Accumulate from Hold and the target lifted to $13 from $10.

Target price is $13.00 Current Price is $11.89 Difference: $1.11
If NXT meets the Ord Minnett target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $12.67, suggesting upside of 3.6% (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 NXT as Buy (1) -

UBS observes another strong result in FY20. The company is targeting 20-24% growth in operating earnings (EBITDA) and the broker states there is little not to like about the stock.

One small negative? Smaller sites are taking longer to fill, although this is immaterial, UBS points out, relative to the growth coming from the Sydney and Melbourne markets.

Buy rating and $14.15 target maintained.

Target price is $14.15 Current Price is $11.89 Difference: $2.26
If NXT meets the UBS target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $12.67, suggesting upside of 3.6% (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 OGC as Accumulate (2) -

OceanaGold has downgraded 2020 guidance. Ord Minnett had expected a strong finish from Haile but production is now reduced to 135-175,000 ounces gold.

There was no material update on Didipio and the broker pushes out the re-start to 2022. Accumulate retained. Target is reduced to $4.20 from $4.50.

Target price is $4.20 Current Price is $3.25 Difference: $0.95
If OGC meets the Ord Minnett target it will return approximately 29% (excluding dividends, fees and charges).

Current consensus price target is $3.88, suggesting upside of 21.1% (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: 0.6

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

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

2020 production guidance has been downgraded to 295-345,000 ounces. This stems from disruptions at Haile. Meanwhile, progress at Didipio remains stalled and the operation has now been shut for over a year.

UBS removes assumptions for a re-start and does not factor in earnings or valuation from this asset. This has resulted in a material downgrade to estimates.

The broker downgrades to Neutral from Buy, contemplating no near-term catalysts to close the gap to peers. Target is reduced to $3.40 from $4.40.

Target price is $3.40 Current Price is $3.25 Difference: $0.15
If OGC meets the UBS target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $3.88, suggesting upside of 21.1% (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: 0.6

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

Citi rates ORE as Buy (1) -

Released FY20 was -broadly- in-line, though if we were nitpickers we'd argue Citi is being generous and the result actually slightly missed.

Orocobre equally wrote down inventory and other items, leading to a net loss of -$67m for the year; underlying the loss was greater than expected, Citi analysts concede.

The company has announced an institutional placement of $126m with an additional non-underwritten SPP of up to $30m. The new shares represent circa 18% of existing capital, explain the analysts.

Citi has pushed out Olaroz stage 2 commissioning to FY23, which results in reduced forecasts. Plus dilution means the target drops to $3.70 from $3.90. Buy/High Risk rating retained.

Target price is $3.70 Current Price is $2.90 Difference: $0.8
If ORE meets the Citi target it will return approximately 28% (excluding dividends, fees and charges).

Current consensus price target is $2.79, suggesting upside of 7.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Credit Suisse rates ORE as Neutral (3) -

FY20 results were in line with Credit Suisse estimates. The company has announced a $126m placement. The broker was not impressed with the financials, given the margin compression, underlying loss and evidence of the severe deterioration in the lithium market.

Nevertheless, this bears no resemblance to future earnings and capability and the broker suggests the capital raising should buy some time to support the business until there is a recovery in the market.

Credit Suisse retains a Neutral rating and reduces the target to $2.85 from $3.05.

Target price is $2.85 Current Price is $2.90 Difference: minus $0.05 (current price is over target).
If ORE meets the Credit Suisse target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.79, suggesting upside of 7.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

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

In the wake of the FY20 results Morgan Stanley's view is unchanged. Current assets and the growth pipeline are high-quality but the lithium market remains overwhelmed by elevated inventory and significant latent capacity.

The company will raise $126m and, accounting for all expansion requirements at stage 2 and Naraha, this should still leave it with flexibility on the balance sheet.

Equal-weight rating with a target price of $2.40. Industry view: Attractive.

Target price is $2.40 Current Price is $2.90 Difference: minus $0.5 (current price is over target).
If ORE meets the Morgan Stanley target it will return approximately minus 17% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.79, suggesting upside of 7.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

UBS rates ORE as Neutral (3) -

FY20 results were broadly in line with UBS estimates. Despite an improving macro environment, particularly in Europe, UBS notes the supply chain is still oversupplied and inventory remains high, depressing prices.

Orocobre is guiding to sales of 380,000t at a realised price of US$3000-3200/t for the September quarter. The broker lowers realised lithium price estimates by -26% for FY21 and -8% for FY22.

UBS maintains its Neutral rating with a target price of $2.50.

Target price is $2.50 Current Price is $2.90 Difference: minus $0.4 (current price is over target).
If ORE 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 $2.79, suggesting upside of 7.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Morgans rates PAR as Reduce (5) -

Paradigm Biopharmaceuticals reported a FY20 result with research and development expenses lower than Morgans forecast as clinical timeframes continue to extend due to covid-19.

No detail or commentary was provided in the report and the analyst reminds us the company is a catalyst driven story and the timing,structure and cost of the Phase 3 OA trial creates uncertainty.

The Reduce rating is maintained. The target price is decreased to $1.72 from $1.74.

Target price is $1.72 Current Price is $2.65 Difference: minus $0.93 (current price is over target).
If PAR meets the Morgans target it will return approximately minus 35% (excluding dividends, fees and charges - negative figures indicate an expected loss).

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

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

The company has announced an agreement with NBCUniversal, to be funded by scrip and options which Credit Suisse asserts actually turns PointsBet into an option.

The market commitment, at US$393m over five years, is so large that the company is unlikely to deliver operating earnings in the US until at least FY25, predicts the broker.

Given the power of NBCUniversal, if PointsBet can demonstrate revenue that covers the new costs investors are likely to focus on revenue for valuation purposes, in the broker's view.

Credit Suisse downgrades to Underperform from Neutral. Target is $6.50.

Target price is $6.50 Current Price is $14.00 Difference: minus $7.5 (current price is over target).
If PBH meets the Credit Suisse target it will return approximately minus 54% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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

Citi rates PLS as Sell (5) -

Sell/High Risk retained as Citi assesses the FY20 performance didn't quite meet expectations. And then there was an inventory write-down on top of it.

Citi analysts are seeing common themes among listed lithium miners in Australia, as they all are battling soft market conditions, and have been for a while.

No FY21 guidance was provided. The analysts forecast spot spodumene prices to remain around US$400/t for the next six months. Price target is steady at $0.32.

Target price is $0.32 Current Price is $0.35 Difference: minus $0.03 (current price is over target).
If PLS meets the Citi target it will return approximately minus 9% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $0.31, suggesting downside of -10.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.5

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

Credit Suisse rates PLS as Outperform (1) -

FY20 results were mixed. Credit Suisse considers the FY20 result a formality, with no news to change the outlook or investment view. The de-risking of Pilgangoora was achieved.

The upcoming refinancing and the cash position should support the business through another 12 months of weak markets, the broker suggests. Outperform rating maintained. Target is $0.40.

Target price is $0.40 Current Price is $0.35 Difference: $0.05
If PLS meets the Credit Suisse target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $0.31, suggesting downside of -10.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: -0.5

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

Morgan Stanley rates PRT as Underweight (5) -

FY20 results were broadly in line with Morgan Stanley's estimates. The company has indicated the regional TV advertising market remains depressed.

The broker notes Prime Media has moved to net cash in the absence of paying a dividend and this should support the valuation somewhat. The bull case, Morgan Stanley contends, depends on industry consolidation.

Morgan Stanley maintains an Underweight rating. Target is $0.08. Industry view: Attractive.

Target price is $0.08 Current Price is $0.12 Difference: minus $0.04 (current price is over target).
If PRT meets the Morgan Stanley target it will return approximately minus 33% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Market Sentiment: -1.0

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

Morgans rates REH as Hold (3) -

The FY20 result for Reece was slightly above Morgans expectations, despite underlying earnings margins falling -70 basis points to 8.9%.

The broker’s positives were an above-consensus dividend and operations have continued to trade during the pandemic.

Morgans increases FY21 earnings estimates by 42% and notes the balance sheet improved following the $647m capital raising in April, leaving capacity for further acquisitions.

On the broker's assessment, the total DPS of 12 cents was above the consensus of the broking community. The Hold rating is maintained and target price is increased to $11.60 from $9.

Target price is $11.60 Current Price is $12.40 Difference: minus $0.8 (current price is over target).
If REH meets the Morgans target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $10.73, suggesting downside of -12.3% (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

Macquarie rates RSG as Outperform (1) -

Resolute Mining's FY20 profit was below Macquarie's estimate, while cash flows were better than expected. FY21 production and cost guidance is unchanged. Syama Sulphides' recent momentum is adding confidence to the broker's longer term expectations.

Continued incremental improvement is nevertheless required over the second half to meet the broker's forecasts. A life-of-mine update is expected in the half. Outperform and $1.60 target retained.

Target price is $1.60 Current Price is $1.09 Difference: $0.51
If RSG meets the Macquarie target it will return approximately 47% (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 SHJ as Add (1) -

Shine Justice’s FY20 result was solid and ahead of Morgans forecasts across most measures and earnings exceeded guidance for growth by around 10%.

The broker upgrades earnings expectations as the company expects earnings growth in FY21 in the high single digit range.

The analyst highlights litigation has traditionally been a defensive business, and the strong result in pandemic times illustrates this.

The final dividend of 2.75cps was ahead of forecasts, notes the broker.

The Add rating is maintained. The target price is increased to $1.44 from $1.23.

Target price is $1.44 Current Price is $0.79 Difference: $0.65
If SHJ meets the Morgans target it will return approximately 82% (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 SHL as Neutral (3) -

Macquarie's forecasts for Sonic Healthcare assume incremental earnings contributions from virus testing in the US in FY21. However, the broker sees Abbott Laboratories' new rapid antigen testing as a threat, presenting risks to consensus earnings forecasts and the current PE multiple.

While the broker expects a continuation of incremental virus revenue in FY21, the outlook for these volumes, and for the recovery in base volumes, remains uncertain. Neutral and $33.50 target retained.

Target price is $33.50 Current Price is $32.46 Difference: $1.04
If SHL meets the Macquarie target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $33.71, suggesting upside of 5.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.1

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

Citi rates TAH as Neutral (3) -

Citi analysts are using recent market updates by Sportsbet and BetEasy to justify their subdued expectations for Tabcorp Holdings, arguing investments made by the former competitors mean increasing headwinds for Tabcorp's wagering operations.

Citi does not anticipate Tabcorp's retail wagering channel can fully recover in FY21. The accelerated structural shift to online should increase competitive pressure on yields, say the analysts.

Citi's FY22 wagering EBITDA forecast for Tabcorp is -16% below FY19 levels. Target price $3.60 (unchanged). Neutral.

Target price is $3.60 Current Price is $3.65 Difference: minus $0.05 (current price is over target).
If TAH meets the Citi target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.84, suggesting upside of 5.9% (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

Ord Minnett rates VRL as Hold (3) -

FY20 results reflected significant impacts from the pandemic. Improvements in the first half were more than offset by the forced closure of theme parks and cinemas in the fourth quarter.

Ord Minnett does not envisage a huge improvement in circumstances any time soon and recommends holders take advantage of market valuation underpinned by the BGH takeover offer. Hold maintained. Target is reduced to $2.20 from $4.00.

Target price is $2.20 Current Price is $2.11 Difference: $0.09
If VRL meets the Ord Minnett target it will return approximately 4% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Forecast for FY22:

Market Sentiment: 0.0

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