Australian Broker Call

Citi rates ALL as Buy (1) -

Citi expects a protracted slowdown in the US land-based business before normalisation by FY22. The earlier the re-opening of casinos occurs the better for the FY20 exit run rate and outlook for FY21.

US Class II business is likely to be the first to recover as this is reopening very quickly, the broker observes.

Australasia will be boosted by the reopening of NSW pubs, clubs and casinos. Buy rating and $30.10 target retained.

Target price is $30.10 Current Price is $26.91 Difference: $3.19
If ALL meets the Citi target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $29.89, suggesting upside of 11.1% (ex-dividends)

The company's fiscal year ends in September.

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

Macquarie rates AMI as Outperform (1) -

Quarterly production is likely to be materially stronger in the fourth quarter compared with Macquarie's original estimates.

The broker revises estimates in line with the company's update which drives an $8m lift to net profit in FY20.

A maiden resource for the Federation project is expected shortly. Outperform rating and $0.50 target retained.

Target price is $0.50 Current Price is $0.45 Difference: $0.05
If AMI meets the Macquarie target it will return approximately 11% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Macquarie rates ANZ as Underperform (5) -

ANZ Bank has divested UDC Finance for NZ$762m. Macquarie considers this a positive outcome, although not material enough to affect the overall investment outlook. The bank's capital position should improve by around 10 basis points.

Macquarie adjusts net profit estimate down by around -1% to account for the sale and upgrades earnings per share by 1.0%, given the capital benefit. Underperform rating and $18.50 target maintained.

Target price is $18.50 Current Price is $18.91 Difference: minus $0.41 (current price is over target).
If ANZ meets the Macquarie target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $19.66, suggesting upside of 4.0% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

Morgan Stanley rates ANZ as Overweight (1) -

ANZ Bank has sold UDC Finance in New Zealand to Shinsei Bank for NZ$762m. Morgan Stanley considers the sale a non-core business and the capital release as an incremental positive.

Overweight. Target is $17.10. Industry view is In-Line.

Target price is $17.10 Current Price is $18.91 Difference: minus $1.81 (current price is over target).
If ANZ meets the Morgan Stanley target it will return approximately minus 10% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $19.66, suggesting upside of 4.0% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

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

The Australian dollar gold price has increased by 18% over the year to date driving the ASX gold index 24% higher. However, UBS notes relative performance among stocks has diverged.

Alacer Gold is downgraded to Neutral from Buy because of the share price outperformance. Target is raised to $10.30 from $9.50.

Target price is $10.30 Current Price is $8.90 Difference: $1.4
If AQG meets the UBS target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $9.30, suggesting upside of 4.5% (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: 0.3

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

Macquarie rates ARF as Outperform (1) -

Arena REIT has undertaken a $60m equity raising. Macquarie notes the balance sheet gearing will decline to 17.6%, materially below the target range of 35-40%.

The equity raising is assessed to be -4.3% dilutive to FY21 earnings per share before deployment of the proceeds. This can be recouped by deploying the proceeds in social infrastructure assets.

Meanwhile, rent relief discussions are complete across around 50% of tenants that are eligible. Outperform retained. Target is raised 7.3% to $2.63.

Target price is $2.63 Current Price is $2.50 Difference: $0.13
If ARF meets the Macquarie target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $2.41, suggesting downside of -3.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.3

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

Macquarie rates BAP as Outperform (1) -

Automotive recovery continues to accelerate, Macquarie observes. Earnings visibility also remains high relative to the broader market. The broker envisages further upside for the company's trade segment and specialist wholesale channels.

In the medium term the ageing of the Australian vehicle fleet should boost the aftermarket, while increased domestic travel and a preference for driving as opposed to public transport for commuters should underpin activity in the short term.

Outperform rating maintained. Target is raised to $6.70 from $5.40.

Target price is $6.70 Current Price is $6.11 Difference: $0.59
If BAP meets the Macquarie target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $6.37, suggesting upside of 4.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Citi rates BKW as Buy (1) -

From the company's update, Citi considers the industrial property portfolio is resilient. However, Australian building product sales have fallen -10% in the four months to May as projects are completed and new project commencements slow down.

This is consistent with the broker's forecasts for a sales reduction of -32% in June and July. Earnings (EBIT) of $17m for building products are forecast for the second half.

Potential government housing stimulus could offset the slowdown, but this should be of benefit in 9-12 months time, given the late-cycle exposure to the construction process.

Meanwhile, the sales decline in North America is more severe and the US continues to be challenging. Buy rating and $14.20 target maintained.

Target price is $14.20 Current Price is $16.01 Difference: minus $1.81 (current price is over target).
If BKW meets the Citi target it will return approximately minus 11% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $15.19, suggesting downside of -5.1% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.7

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

Macquarie rates BKW as Outperform (1) -

The trading update for the first four months of the second half was better than Macquarie expected. There has been uninterrupted property development and no material rental income issues.

Brickworks has taken action to reduce costs, including cutting capacity and laying off personnel, with some US lay-offs part of the plant rationalisation process.

Macquarie continues to envisage value in the stock as it is trading at a -23% discount to the inferred asset value and the prospect of government stimulus should support demand.

Outperform retained. Target is raised to $17.80 from $16.30.

Target price is $17.80 Current Price is $16.01 Difference: $1.79
If BKW meets the Macquarie target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $15.19, suggesting downside of -5.1% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.7

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

UBS rates CAR as Neutral (3) -

UBS upgrades sales forecasts, observing a steep pick up in buyer demand, amid industry feedback which suggests that, for certain dealers, volumes, prices and gross margins have returned close to pre-pandemic levels, particularly in used cars.

The broker envisages FY20 operating earnings (EBITDA) of $195m growing to $220m in FY21. Neutral maintained. Target rises to $16.00 from $12.50.

Target price is $16.00 Current Price is $16.92 Difference: minus $0.92 (current price is over target).
If CAR meets the UBS target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $15.25, suggesting downside of -9.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.7

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

UBS rates COH as Sell (5) -

UBS has brought forward estimates for the earnings recovery, expected from the first half of FY21. Product sales are now expected to reach pre-pandemic volumes by the first half of FY22.

However, downside risks remain should further waves of infection result in the cessation of elective surgery procedures in key jurisdictions. Sell rating maintained. Target is raised to $160.50 from $150.00.

Target price is $160.50 Current Price is $195.21 Difference: minus $34.71 (current price is over target).
If COH meets the UBS target it will return approximately minus 18% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $181.83, suggesting downside of -6.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

Credit Suisse rates CPU as Neutral (3) -

Credit Suisse believes the rebound in the share price since the lows in March is largely justified because of the increased clarity around mortgage servicing risks and an improvement in operating conditions.

However, lower margin income is a headwind in FY20-21 which the company will not be able to offset. A further -5-10% drop in earnings in FY21 is expected following a -20% fall in FY20. Growth is expected to return in FY22.

Credit Suisse reiterates a Neutral rating and raises the target to $13.90 from $10.75.

Target price is $13.90 Current Price is $13.38 Difference: $0.52
If CPU meets the Credit Suisse target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $12.25, suggesting downside of -8.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.0

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

Ord Minnett rates EVN as Sell (5) -

Evolution Mining is considering divesting its Cracow gold mine, reports Ord Minnett, although no agreement has been entered into so far.

The company expects the mine to produce 82,500-87,500oz of gold at a cost of $1,200-1,250/oz in FY20 while Ord Minnett estimates 86,000oz at $1,250/oz and assumes a mine life until September 2023.

The broker wonders if other divestments will follow after this one and comments the company has done well to hold on to Cracow until this higher pricing environment.

The broker maintains its Sell rating with a target price of $3.70.

Target price is $3.70 Current Price is $5.86 Difference: minus $2.16 (current price is over target).
If EVN meets the Ord Minnett target it will return approximately minus 37% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.88, suggesting downside of -16.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

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

The Australian dollar gold price has increased by 18% over the year to date driving the ASX gold index 24% higher. However, UBS notes relative performance among stocks has diverged.

Evolution Mining has improved 63% over the year to date, outperforming peers.

From here, UBS believes a higher gold price or material improvement in operations is required and downgrades to Neutral from Buy. Target is $5.50.

Target price is $5.50 Current Price is $5.86 Difference: minus $0.36 (current price is over target).
If EVN meets the UBS target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.88, suggesting downside of -16.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

Ord Minnett rates IFN as Hold (3) -

Broker Ord Minnett highlights UAC Energy Holdings is looking to purchase a 17.1% stake in Infigen Energy. The broker considers the company to be a potential acquisition target with its implied value well below the cost to build new wind farm assets.

The offer price by UAC energy is at a 36% premium to the latest closing price, comments the broker, and expects this offer to lead to a flurry of proposals from other entities as well.

The broker reaffirms its Hold rating with a target price of $0.74.

Target price is $0.74 Current Price is $0.81 Difference: minus $0.07 (current price is over target).
If IFN meets the Ord Minnett target it will return approximately minus 9% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $0.61, suggesting downside of -24.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.3

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

Credit Suisse rates IRE as Neutral (3) -

Iress has raised $170m to acquire OneVue Holdings ((OVH)) for $115m. This will bring scale in funds administration platform services to the company's existing software capabilities.

Still, Credit Suisse points out an equity raising, in excess of requirements, to acquire a business that is just breaking even suggests a substantial dilution of around -10% pre-synergies.

In the longer term, the combination of scale and technology will provide exposure to large and profitable revenue streams, the broker acknowledges.

Neutral rating retained. Target is reduced to $11.00 from $11.60.

Target price is $11.00 Current Price is $11.51 Difference: minus $0.51 (current price is over target).
If IRE meets the Credit Suisse target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $12.15, suggesting upside of 5.5% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

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

Macquarie envisages potential for JB Hi-Fi to surprise to the upside at the FY20 results. Recent feedback has indicated strong demand for electronics and hardware continued throughout May.

The broker also notes discretionary expenditure has been propped up by the increased earnings of the JobSeeker population as well as indications that funds from early superannuation access went towards discretionary expenditure.

While the effects will wear off in September as the JobKeeper winds up, the pace at which the Australasian economies are reopening has underpinned a more positive view on the outlook.

Rating is upgraded to Outperform from Neutral and the target raised to $41.00 from $35.60.

Target price is $41.00 Current Price is $40.01 Difference: $0.99
If JBH meets the Macquarie target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $36.76, suggesting downside of -8.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.3

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

Morgan Stanley rates JHX as Overweight (1) -

Morgan Stanley notes the fibre cement share of the US siding market increased to 21% in 2019, after three years of little growth, and should align with robust primary demand growth in 2020.

The broker envisages meaningful upside if James Hardie can get to its 35% target. Morgan Stanley likes the competitive advantage and structural growth opportunity in the stock along with the reasonable valuation.

Overweight reiterated. Target is $32. Industry view: Cautious.

Target price is $32.00 Current Price is $26.57 Difference: $5.43
If JHX meets the Morgan Stanley target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $29.54, suggesting upside of 11.2% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 1.0

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

Ord Minnett rates JHX as Buy (1) -

The US Census Bureau released its 2019 characteristics of new housing dataset and Ord Minnett notes stucco and fibre cement emerged as the popular choice of materials for primary exterior walls.

The broker sees opportunity for James Hardie Industries here in terms of fibre cement taking share from vinyl while competing against Stucco with its EasyTex panel.

The broker expects growth to be 6% above market index for the North American fibre cement division over FY21-22, and then 3% through to FY30.

Buy rating maintained with a target price of $28.

Target price is $28.00 Current Price is $26.57 Difference: $1.43
If JHX meets the Ord Minnett target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $29.54, suggesting upside of 11.2% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY21:

Forecast for FY22:

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

Market Sentiment: 1.0

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

Credit Suisse rates LNK as Outperform (1) -

The business has been negatively affected by the pandemic but Credit Suisse expects revenue should be resilient. There is reduced earnings clarity in FY20-21 but when the rebound occurs the broker expects this will highlight the inherent value in the stock.

Estimates are upgraded by 2-5%, given improved trading conditions in corporate markets. Outperform rating reiterated. Target is raised to $5.90 from $4.60.

Target price is $5.90 Current Price is $4.45 Difference: $1.45
If LNK meets the Credit Suisse target it will return approximately 33% (excluding dividends, fees and charges).

Current consensus price target is $4.97, suggesting upside of 11.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.8

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

Ord Minnett rates NCM as Hold (3) -

The Fruta del Norte mine in Ecuador has restarted after being shut down due to covid-19 restrictions. The mine is owned by Lundin Gold, in which Newcrest Mining has a 32% stake.

Ord Minnett is waiting for more information on cost, ramp-up and 2020 production and debt covenants.

The broker maintains its Hold rating with a target price of $29.

Target price is $29.00 Current Price is $29.98 Difference: minus $0.98 (current price is over target).
If NCM meets the Ord Minnett target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $31.07, suggesting upside of 3.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.4

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

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

The Australian dollar gold price has increased by 18% over the year to date driving the ASX gold index 24% higher. However, UBS notes relative performance among stocks has diverged with Newcrest Mining underperforming.

This has created an opportunity to consider rotating into Newcrest and the broker upgrades to Buy from Neutral. Target is raised to $35 from $33.

Target price is $35.00 Current Price is $29.98 Difference: $5.02
If NCM meets the UBS target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $31.07, suggesting upside of 3.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.4

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

Macquarie rates NEA as Outperform (1) -

The company's FY20 targets are on track. Revisions have been made to forecasts to capture the sales impact of the pandemic although cash flow break-even is still expected at the end of FY20. Guidance has narrowed, but remains within the original range.

Meanwhile, Macquarie notes sales activity has been solid, albeit still affected by the pandemic. Across existing customers, strong usage metrics continue. Outperform retained. Target is raised to $2.47 from $1.80.

Target price is $2.47 Current Price is $2.21 Difference: $0.26
If NEA meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $2.36, suggesting upside of 6.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

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

The Australian dollar gold price has increased by 18% over the year to date driving the ASX gold index 24% higher. However, UBS notes relative performance among stocks has diverged and Northern Star has outperformed, lifting 31%.

As a result, the broker downgrades Northern Star to Sell from Neutral, raising the target to $14.50 from $13.70.

Target price is $14.50 Current Price is $14.29 Difference: $0.21
If NST meets the UBS target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $13.34, suggesting downside of -6.6% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.5

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

UBS rates QAN as Buy (1) -

The administrators of Virgin Australia ((VAH)) have commenced the next stage of the sale process, with a binding agreement expected to be in place by June 30 with Bain Capital and Cyrus Capital Partners.

This increases the likelihood that Qantas will experience competition in the domestic market and reduces the reliance on government funding which UBS suspected could disproportionately hurt Qantas.

While irrational behaviour from the second carrier is possible, Qantas has brought unit costs down since 2014 and can leverage its scale and loyalty program so the broker considers this an unlikely strategy.

Buy rating and $4.65 target maintained. State borders re-opening is considered the main catalyst for an increase in both the leisure and corporate markets.

Target price is $4.65 Current Price is $4.18 Difference: $0.47
If QAN meets the UBS target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $3.87, suggesting downside of -7.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

Ord Minnett rates SCG as Hold (3) -

The decision by Vicinity Centres ((VCX)) to raise capital may complicate matters for Scentre Group, comments Ord Minnett. The broker feels although the group has ample liquidity and will not raise capital anytime soon, gearing will likely soar as more devaluations are booked.

Further, Ord Minnett expects retail book values to correct over the next 12-18 months, prompting the group to sell assets worth -$3bn in 2021 to absorb part of the impact.

The broker reiterates its Hold rating with a target price of $2.10.

Target price is $2.10 Current Price is $2.43 Difference: minus $0.33 (current price is over target).
If SCG meets the Ord Minnett target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.61, suggesting upside of 7.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.2

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

Credit Suisse rates TWE as Neutral (3) -

Credit Suisse's channel checks indicate the luxury wine market in China is not showing any meaningful sign of recovery. Business people appear unprepared to gather and "banquet".

Home consumption is improving but luxury purchases are not being made. Hence, demand for Penfolds is soft and it may take time to absorb the quantities in the market.

The broker suspects Treasury Wine may curtail shipments to China for the first half. If the market takes longer to recover, restructuring and bad debt charges may be necessary, in the broker's view.

Neutral rating retained. Target is reduced to $9.35 from $10.85.

Target price is $9.35 Current Price is $10.34 Difference: minus $0.99 (current price is over target).
If TWE 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 $11.26, suggesting upside of 8.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

UBS rates Z1P as No Rating (-1) -

Zip Co has acquired the 86% of QuadPay that it does not own. UBS notes the deal is complex and up to $200m will be raised via Heights Capital.

The consideration is $403m and up to $60m in additional performance milestones will be payable to the co-founders.

UBS places its Buy rating and $3.70 target on review.

Target price is $3.70 Current Price is $6.33 Difference: minus $2.63 (current price is over target).
If Z1P meets the UBS target it will return approximately minus 42% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.75, suggesting downside of -40.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.8

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