Australian Broker Call

Morgans rates AFG as Initiation of coverage with Add (1) -

Morgans believes this stock offers attractive growth prospects on top of an attractive fully franked FY17 dividend yield of 7.8%. The stockbroker initiates coverage with an Add rating and $1.60 price target.

Morgans points out at its core the company specialises in wholesale broking of residential mortgages, but the business model is increasingly focused on diversifying the product offering.

Further positive attributes include strong cash position, potential for industry consolidation and increasing focus on industry-disruptive technological innovations.

Target price is $1.60 Current Price is $1.23 Difference: $0.375
If AFG meets the Morgans target it will return approximately 31% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 1.0

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

Credit Suisse rates AQG as Outperform (1) -

Despite its best endeavours, the company has revised down December quarter and 2016 guidance to 115-125,000 ounces, around 20,000 ozs below Credit Suisse's assumptions.

Reduced production is on an unchanged cost base, which increases guided all-in sustaining costs to US$900-950/oz from prior guidance of US$780-830/oz.

Production deferred from 2016 should be recovered in 2017 and a revised forecast is expected early next year. Credit Suisse retains an Outperform rating and unchanged target at $5.30.

Target price is $5.30 Current Price is $2.44 Difference: $2.86
If AQG meets the Credit Suisse target it will return approximately 117% (excluding dividends, fees and charges).

Current consensus price target is $4.33, suggesting upside of 85.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY16:

Forecast for FY17:

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

Market Sentiment: 0.8

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

Macquarie rates AQG as Outperform (1) -

Alacer's production downgrade comes as no surprise given the wall slip last quarter and problems with the heap leach. The good news is the sulphide project is on track. 

The broker retains Outperform on the drop in the share price and the fact it had already adjusted forecasts, but does warn the transition to lower cost, higher cash flow sulphides from oxides is not without risk. Target unchanged at $3.40.

Target price is $3.40 Current Price is $2.44 Difference: $0.96
If AQG meets the Macquarie target it will return approximately 39% (excluding dividends, fees and charges).

Current consensus price target is $4.33, suggesting upside of 85.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY16:

Forecast for FY17:

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

Market Sentiment: 0.8

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

UBS rates AQG as Buy (1) -

UBS trims 2017 gold price forecast to US$1350//oz and remains bullish on gold. For Alacer, the broker lifts its discount rate assumption to 12% from 10% to account for political uncertainty and the unwillingness of the market to pay up for production.

The market has reacted quickly to the production delay from the oxide project in the September quarter and, with the stock being more closely tied to long-term gold prices, the sell off suggests to UBS that investors may have turned cold on the long-term gold price.  UBS retains a Buy rating and reduces the target to $4.60 from $5.30

Target price is $4.60 Current Price is $2.44 Difference: $2.16
If AQG meets the UBS target it will return approximately 89% (excluding dividends, fees and charges).

Current consensus price target is $4.33, suggesting upside of 85.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY16:

Forecast for FY17:

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

Market Sentiment: 0.8

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

Credit Suisse rates AWC as Neutral (3) -

Alumina prices have risen on tight supply since September. Credit Suisse expects de-stocking will ease prices back in January and February and then prices will remain steady until the second half of next year.

Underlying earnings estimates for 2016 are raised by 136% and a dividend of US8.1c is expected. Credit Suisse retains a Neutral rating and raises the target to $1.55 from $1.30.

Target price is $1.55 Current Price is $1.73 Difference: minus $0.18 (current price is over target).
If AWC meets the Credit Suisse target it will return approximately minus 10% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.54, suggesting downside of -13.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY16:

Forecast for FY17:

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

Market Sentiment: -0.4

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

Morgans - Cessation of coverage

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 1.0

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

Credit Suisse rates BHP as Downgrade to Neutral from Outperform (3) -

Credit Suisse updates its commodity price forecasts for 2017, upgrading iron ore, thermal coal and copper prices by 22%, 25% and 23% respectively.

Underlying EBITDA is revised up 33% and 35% in FY17 and FY18 respectively. The broker notes BHP has been widely criticised for under investing in its conventional oil business but has now sanctioned the Mad Dog 2 expansion and first oil is expected in 2023. The company is also the winning bidder for 60% of the block containing the Trion discovery in the Gulf of Mexico.

The stock has outperformed the Australian market by 37% in the past year and is now at around fair value, in the broker's opinion. Rating is downgraded to Neutral from Outperform. Target is raised to $26.50 from $24.00.

Target price is $26.50 Current Price is $25.73 Difference: $0.77
If BHP meets the Credit Suisse target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $25.45, suggesting downside of -2.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

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

Market Sentiment: 0.3

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

Macquarie rates BVS as Initiation of coverage with Outperform (1) -

Bravura Solutions provides wealth management platform software led by its flagship Sonata product, which is attracting blue chip clients, Macquarie notes. The scalable platform is generating strong margin expansion and earnings growth.

Bravura is well positioned to capitalise on a large and growing market undergoing rapid change, the broker believes. Coverage initiated with an Outperform rating and $1.75 target.

Target price is $1.75 Current Price is $1.38 Difference: $0.375
If BVS meets the Macquarie target it will return approximately 27% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 1.0

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

UBS rates CAR as Neutral (3) -

If the companies in Australia's media sector could replicate their domestic models overseas, the broker believes the upside would be material. However, market structures are also less favourable and competition is fiercer.

The company's core domestic revenue growth has slowed materially to 5% in FY13-16 from 21% in FY10-13. Offsetting the lower earnings growth profile, UBS notes, is the fact the company's domestic business has historically been perceived as the most entrenched in the sector.

UBS has just recently upgraded to Neutral. Target is steady at $10.50.

Target price is $10.50 Current Price is $10.11 Difference: $0.39
If CAR meets the UBS target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $11.94, suggesting upside of 15.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

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) -

UBS observes, since listing, the company has exceeded prospectus forecasts and announced expansion programs across berries and into China. FY17 guidance has also been upgraded.

The broker considers the medium term outlook is robust and there is upside potential to estimates from both organic growth and acquisitions. A Buy rating is retained and the target is lifted to $3.50 from $3.00.

Target price is $3.50 Current Price is $3.08 Difference: $0.42
If CGC meets the UBS target it will return approximately 14% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 1.0

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

Credit Suisse rates FMG as Neutral (3) -

Credit Suisse updates its commodity price forecasts for 2017, upgrading iron ore, thermal coal and copper prices by 22%, 25% and 23% respectively. Underlying EBITDA in FY17 and FY18 is revised up 32% and 56% respectively.

Credit Suisse considers the stock is nearing fair value. To change this view evidence is required that Chinese steel production can be sustained at around 800mtpa for the medium term, thereby eliminating much of the anticipated surplus in the market.

A Neutral rating is retained and the target is revised up to $6.50 from $5.30.

Target price is $6.50 Current Price is $6.58 Difference: minus $0.08 (current price is over target).
If FMG meets the Credit Suisse target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $5.86, suggesting downside of -12.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

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

Market Sentiment: 0.1

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

Morgan Stanley rates FXJ as Overweight (1) -

Morgan Stanley admits that the company's joint venture SVoD service, Stan, has made better progress than previously expected, after its two years of operation.

The business is the clear number 2 player with 600,000 subscribers and revenue estimated at $60m in 2017. It is targeted to be cash flow positive in 2018.

The broker believes this is another option to create value in the stock and reiterates an Overweight rating and Attractive industry view. Target is $1.20.

Target price is $1.20 Current Price is $0.87 Difference: $0.335
If FXJ meets the Morgan Stanley target it will return approximately 39% (excluding dividends, fees and charges).

Current consensus price target is $0.94, suggesting upside of 7.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.4

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

Ord Minnett rates IOF as Lighten (4) -

The proposal from Cromwell ((CMW)) to privatise the company's $3.6bn portfolio has now been relegated directly to the shareholders. Ord Minnet suggests Cromwell should be able to open up dialogue with investors, but ultimately the outcome will largely come down to price, in the analysts' view. No changes made. Lighten. Target $4.23.

Target price is $4.23 Current Price is $4.43 Difference: minus $0.2 (current price is over target).
If IOF meets the Ord Minnett target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.32, suggesting downside of -2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: -0.2

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

Citi rates JBH as Upgrade to Neutral from Sell (3) -

Citi analysts ask the question: Is JB Hi-Fi's sales growth sustainable? The combination of anticipated slowing in sales growth and the incorporation of The Good Guys only results in minor increases to estimates.

Luckily the shares are trading at a discount vis-a-vis the broader market ex-resources, and below the price target (unchanged at $27.20), so Citi analysts still upgrade to Neutral from Sell.

Bottom line: JB Hi-Fi is expected to outperform a market (consumer electronics) that is facing headwinds, in the analysts' view.

Target price is $27.20 Current Price is $26.50 Difference: $0.7
If JBH meets the Citi target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $29.71, suggesting upside of 12.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.4

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

Morgan Stanley rates NEC as Underweight (5) -

Morgan Stanley admits that the company's joint venture SVoD service, Stan, has made better progress than previously expected, after its two years of operation.

The business is the clear number 2 player with 600,000 subscribers and revenue estimated at $60m in 2017. It is targeted to be cash flow positive in 2018.

The broker acknowledges a risk to its negative thesis on Nine Entertainment, if an offset in value emerges in Stan.

Morgan Stanley retains an Underweight rating and Attractive industry view. Target rises to $0.90 from $0.80.

Target price is $0.90 Current Price is $0.99 Difference: minus $0.09 (current price is over target).
If NEC meets the Morgan Stanley target it will return approximately minus 9% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.08, suggesting upside of 6.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.0

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

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

Credit Suisse updates its commodity price forecasts for 2017, upgrading iron ore, thermal coal and copper prices by 22%, 25% and 23% respectively.

While China has pushed up the price of thermal coal recently, a policy reversal is expected to lift local supply and cool prices into 2017.

Given recent developments with the new Queensland water legislation, the broker again defers the inclusion of the expansion of New  Acland mine and assumes a 12-month hiatus between depletion of stage 2 and the commencement of stage 3.

Rating is upgraded to Neutral  from Underperform. Target is steady at $1.75.

Target price is $1.75 Current Price is $1.69 Difference: $0.06
If NHC meets the Credit Suisse target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $1.75, suggesting downside of -0.6% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.3

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

Credit Suisse rates NST as Upgrade to Outperform from Underperform (1) -

Credit Suisse observes the company's exceptional returns have been extracted from low-cost operating practice, an elevated Australian dollar gold price, and disciplined acquisitions.

The broker upgrades to Outperform from Underperform, a valuation-based call given recent share price declines. Target is reduced to $4.10 from $4.20.

Target price is $4.10 Current Price is $3.43 Difference: $0.67
If NST meets the Credit Suisse target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $4.62, suggesting upside of 34.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.6

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

Credit Suisse rates OZL as Underperform (5) -

Credit Suisse updates its commodity price forecasts for 2017, upgrading iron ore, thermal coal and copper prices by 22%, 25% and 23% respectively.

A scarcity of copper equity in Australia and the surprise rally in the copper price has meant the company's equity value has swelled. The broker also notes, while Prominent Hill is generating cash, the open pit mine life is limited and the company is transitioning into a higher capital intensity, higher operating costs and lower production, underground operator.

Underperform rating is retained on valuation. Target is raised to $7.15 from $6.80.

Target price is $7.15 Current Price is $8.26 Difference: minus $1.11 (current price is over target).
If OZL meets the Credit Suisse target it will return approximately minus 13% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.60, suggesting downside of -6.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY16:

Forecast for FY17:

Market Sentiment: 0.1

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

Ord Minnett rates PTM as Downgrade to Sell from Hold (5) -

Ord Minnett has double-downgraded Platinum Asset Management to Sell from Hold. Apart from recent net funds outflows, the analysts are referring to increased competition for retail funds from the likes of Hyperion, Magellan ((MFG)) and ex-Platinum PM run, Antipodes.

As a result, Ord Minnett thinks the outlook remains challenging. The analysts have reduced estimates. The 10% buyback should provide some downward protection, the analysts acknowledge, but at what share price level exactly? Target drops to $4.69 from $5.09.

Target price is $4.69 Current Price is $5.35 Difference: minus $0.66 (current price is over target).
If PTM meets the Ord Minnett target it will return approximately minus 12% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.79, suggesting downside of -11.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: -0.8

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

Morgans rates RBL as Add (1) -

Morgans is reducing revenue and earnings forecast to reflect slower-than-expected traffic growth to the site. The broker's review of the data indicates growth is running at around 35%, well below the 55% growth rate that was assumed.

Because of the significant discount between the revised valuation and the current share price, Morgans retains an Add rating. Target is reduced to $1.27 from $1.62.

Target price is $1.27 Current Price is $0.92 Difference: $0.35
If RBL meets the Morgans target it will return approximately 38% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 1.0

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

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

UBS suspects investors may not fully appreciate the potential for Australian residential revenue to re-accelerate in FY18, even without a rebound in volumes.

If the companies in Australia's media sector could replicate their domestic models overseas, the broker believes the upside would be material. However, market structures are also less favourable and competition is fiercer.

The broker upgrades to Buy from Neutral and raises the target to $56 from $52..

Target price is $56.00 Current Price is $52.33 Difference: $3.67
If REA meets the UBS target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $58.04, suggesting upside of 10.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.8

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

Morgans rates REG as Downgrade to Hold from Add (3) -

The government and the aged care industry have found some compromises to ensure that funding is better targeted to residents with the highest care needs. The company has re-confirmed FY17 EBITDA guidance of 15% growth.

Morgans makes no changes to forecasts but adjusts its target down to $5.02 from $5.13. Rating is downgraded to Hold from Add given the rally in the share price.

Target price is $5.02 Current Price is $4.38 Difference: $0.64
If REG meets the Morgans target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $4.66, suggesting upside of 7.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.3

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

Credit Suisse rates RIO as Upgrade to Outperform from Neutral (1) -

Credit Suisse updates its commodity price forecasts for 2017, upgrading iron ore, thermal coal and copper prices by 22%, 25% and 23% respectively.

Rio Tinto has recently revised the capital expenditure guidance and committed to a further US$5bn of free cash flow in productivity improvements over five years. The company has promised a minimum 2016 dividend of US$1.10 and the broker assumes US$1.50.

Credit Suisse upgrades to Outperform from Neutral and raises its target to $70 from $50.

Target price is $70.00 Current Price is $60.83 Difference: $9.17
If RIO meets the Credit Suisse target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $64.69, suggesting upside of 3.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY16:

Forecast for FY17:

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

Market Sentiment: 0.7

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

Deutsche Bank rates RIO as Buy (1) -

After a positive investor briefing in London, Deutsche Bank notes the company's superior cash flow generation, while growth is focused on the world-class copper assets.

The company has committed to pay at least US$1.10 per share in dividends from 2016 earnings. Deutsche Bank forecasts US$1.30 and expects the company to top this up with a US$2bn share buy-back in February.

A Buy rating is retained and the target is $66.

Target price is $66.00 Current Price is $60.83 Difference: $5.17
If RIO meets the Deutsche Bank target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $64.69, suggesting upside of 3.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY16:

Forecast for FY17:

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

Market Sentiment: 0.7

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

Macquarie rates RIO as Outperform (1) -

At its second capital markets day, Rio provided production guidance for its other commodities beyond iron ore. In general these fell short of the broker's forecasts. 

The broker has trimmed earnings assumptions but continues to point out forecasts remain well below current spot, suggesting potentially material upside. Outperform and $68 target retained.

Target price is $68.00 Current Price is $60.83 Difference: $7.17
If RIO meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $64.69, suggesting upside of 3.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY16:

Forecast for FY17:

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

Market Sentiment: 0.7

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

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

Credit Suisse observes management understands well its prospective ground at Duketon, and the operation has become a robust, cash generating project.

Reliable commercial outcomes that are readily developed and quickly converted to cash flow are being delivered, the broker notes.

The broker upgrades to Neutral from Underperform on the back of share price declines. Target is reduced to $2.80 from $2.95.

Target price is $2.80 Current Price is $2.67 Difference: $0.13
If RRL meets the Credit Suisse target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $3.19, suggesting upside of 18.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.3

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

UBS rates RRL as Upgrade to Buy from Sell (1) -

UBS trims 2017 gold price forecasts to US$1350//oz and remains bullish on gold. The broker notes it was a volatile year for the company and remains drawn to the stock, although a premium valuation versus peers was always difficult to appreciate.

Nevertheless, with the share price pulling back and organic growth options turning into production growth, as well as a strong balance sheet, the broker expects investor interest  to remain high.  Rating is upgraded to Buy from Sell. Target is reduced to $3.08 from $3.10.

Target price is $3.08 Current Price is $2.67 Difference: $0.41
If RRL meets the UBS target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $3.19, suggesting upside of 18.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.3

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

Credit Suisse rates S32 as Neutral (3) -

Credit Suisse updates its commodity price forecasts for 2017, upgrading iron ore, thermal coal and copper prices by 22%, 25% and 23% respectively. Underlying EBITDA in FY17 and FY18 is revised up 59% and 51% respectively.

Credit Suisse observes the company's mine life is shorter than its diversified peers so there is not the same discounted cash flow support. Nevertheless, the stock trades on attractive near-term multiples.

Despite a stellar performance in the past year the broker does not think it is time to sell out and raises its target to $2.80 from $2.50. Credit Suisse cannot envisage any reason to sell given the prospects of a significant capital return. Neutral retained.

Target price is $2.80 Current Price is $2.97 Difference: minus $0.17 (current price is over target).
If S32 meets the Credit Suisse target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.85, suggesting downside of -5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

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

Market Sentiment: 0.4

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

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

Drilling at Thunderbox and Carosue Dam continue to return positive results, Macquarie notes. Confirmation of thick mineralisation at Thunderbox is particularly encouraging as it supports the broker's assumption of an underground operation down the track.

This confirmation, and Saracen's recent share price fall, leads Macquarie to upgrade to Outperform. Target unchanged at $1.30.

Target price is $1.30 Current Price is $0.90 Difference: $0.4
If SAR meets the Macquarie target it will return approximately 44% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 1.0

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

Credit Suisse rates SBM as Upgrade to Outperform from Neutral (1) -

Credit Suisse considers the company's operational and financial turnaround has been stunning. Free cash generation from the maturing Gwalia asset has been maximised and the life of the operation has been extended.

The challenge is now to replace the short life Simberi asset with a value-adding acquisition. Credit Suisse removes the Simberi sulphide contribution from forecasts, with the recent strategic review indicating there are no plans to develop the project and no willing buyers in the current climate.

Rating is upgraded to Outperform from Neutral on the share price decline. Target is reduced to $2.60 from $2.90.

Target price is $2.60 Current Price is $2.15 Difference: $0.45
If SBM meets the Credit Suisse target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $3.07, suggesting upside of 40.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 1.0

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

UBS rates SEK as Sell (5) -

If the companies in Australia's media sector could replicate their domestic models overseas, the broker believes the upside would be material. However, market structures are also less favourable and competition is fiercer.

For Seek, UBS envisages limited near-term financial contributions from new earnings streams. Instead, new initiatives will bolster the company's value for its two key stakeholders: hirers & applicants.

The broker believes monetisation of a greater share of placements will be long dated and consensus expectations for FY18 margin expansion appear unrealistic.

Sell rating retained. Target unchanged at $14.00.

Target price is $14.00 Current Price is $14.37 Difference: minus $0.37 (current price is over target).
If SEK 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 $15.88, suggesting upside of 8.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.3

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

Morgans rates SLC as Hold (3) -

BigAir ((BGL)) shareholders have voted in favour of the takeover offer by Superloop. Morgans updates its valuation to reflect the acceptance.

The broker's primary changes involve a higher share count, as less cash and more scrip was issued than previously expected.

A Hold rating is retained and the target is reduced to $2.81 from $3.16.

Target price is $2.81 Current Price is $2.56 Difference: $0.25
If SLC meets the Morgans target it will return approximately 10% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.0

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

Deutsche Bank rates TPM as Buy (1) -

Management has indicated that the company is tracking well against FY17 guidance.  A number of positive trends in subscribers and business performance were outlined at the AGM.

Deutsche Bank retains a Buy rating and target of $11.01.

Target price is $11.01 Current Price is $7.22 Difference: $3.79
If TPM meets the Deutsche Bank target it will return approximately 52% (excluding dividends, fees and charges).

Current consensus price target is $9.41, suggesting upside of 28.0% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.2

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

Morgan Stanley rates TPM as Overweight (1) -

While competition has clearly intensified the company has reiterated its outlook at the AGM and Morgan Stanley finds evidence that growth can still be achieved and good returns made.

Positive subscriber momentum has returned to consumer broadband and balance sheet de-leveraging continues. While there was nothing dramatically new announced, the broker is reassured and retains an Overweight rating. Industry view is In-Line and target is $10.75.

Target price is $10.75 Current Price is $7.22 Difference: $3.53
If TPM meets the Morgan Stanley target it will return approximately 49% (excluding dividends, fees and charges).

Current consensus price target is $9.41, suggesting upside of 28.0% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: 0.2

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

Credit Suisse rates VAH as Neutral (3) -

The company's domestic  ticket price performance has outperformed Qantas ((QAN)) over the past couple of years as it gained share of the attractive corporate travel market, Credit Suisse observes. This could now be slowing and pricing could become weaker than at Qantas.

Credit Suisse retains a Neutral rating and lowers the target to $0.23 from $0.26.

Target price is $0.23 Current Price is $0.22 Difference: $0.01
If VAH meets the Credit Suisse target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $0.22, suggesting upside of 1.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: -0.6

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

Deutsche Bank rates WES as Sell (5) -

Deutsche Bank considers the decision by John Gillam to step down as managing director of Bunnings is a negative, given Bunnings only recently entered the UK and the turnaround agenda is in early stages.

The outlook for Australia is bright but the UK is more challenging and the broker would be more comfortable if Mr Gillam, having been 12 years in the role, was still at the helm. The risk is somewhat mitigated by the fact that he is staying on in an advisory capacity.

Sell and $38 target retained.

Target price is $38.00 Current Price is $40.38 Difference: minus $2.38 (current price is over target).
If WES meets the Deutsche Bank target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $41.15, suggesting upside of 0.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: -0.1

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

Ord Minnett rates WES as Accumulate (2) -

In a surprise move, Bunnings CEO John Gillam is stepping down from an executive role and into an advisory role. Ord Minnett analysts take it as a negative surprise, but no changes have been made. They do not believe this should trigger worries about performance at Bunnings. Accumulate. Target $45.

Target price is $45.00 Current Price is $40.38 Difference: $4.62
If WES meets the Ord Minnett target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $41.15, suggesting upside of 0.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: -0.1

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

Credit Suisse rates WSA as Downgrade to Neutral from Outperform (3) -

Nickel prices have risen strongly on the back of supply restrictions. Nickel in stainless steel had also been stronger than expected. Credit Suisse maintains its price forecasts at US$5/lb in the first half of 2017 and at US$5.50/lb in the second half, increasing to US$6/lb in 2018.

The broker notes Western Areas has now completed a favourable offtake tender process, which will result in a greater return from nickel produced in concentrate versus the contracts that are due to expire in January 31, 2017.

As the shares have rallied 60% since the beginning of the year, the stock has become less attractive and the broker downgrades to Neutral from Outperform. Target rises to $3.25 from $3.00.

Target price is $3.25 Current Price is $3.11 Difference: $0.14
If WSA meets the Credit Suisse target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $2.64, suggesting downside of -16.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY17:

Forecast for FY18:

Market Sentiment: -0.3

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