Australian Broker Call

Credit Suisse rates AWC as Outperform (1) -

Alcoa has noted a soft start to 2019 with higher costs in aluminium. Lower realised pricing was the cause of softer numbers for AWAC.

Credit Suisse maintains an Outperform rating and $3.10 target for Alumina Ltd.

Target price is $3.10 Current Price is $2.37 Difference: $0.73
If AWC meets the Credit Suisse target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $2.61, suggesting upside of 10.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.2

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

Macquarie rates AWC as Downgrade to Neutral from Outperform (3) -

Production of bauxite and alumina was in line with Macquarie's estimates. Costs were 11% above estimates. This drives earnings downgrades. The resumption of full production at Alunorte presents a key downside risk to alumina prices, in the broker's view.

This is likely to weigh on the share price of Alumina Ltd and Macquarie downgrades to Neutral from Outperform. Target is reduced to $2.35 from $2.80.

Target price is $2.35 Current Price is $2.37 Difference: minus $0.02 (current price is over target).
If AWC 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 $2.61, suggesting upside of 10.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.2

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

Ord Minnett rates AWC as Hold (3) -

Alcoa has reported bauxite and alumina earnings of US$498m, largely in line with Ord Minnett's estimates. The outlook has become more negative and the company has downgraded aluminium demand growth estimates and reduced its forecast bauxite surplus.

While Alumina Ltd is trading on relatively attractive metrics, the stock is not cheap enough for the broker to be more positive. Hold rating and $2.60 target maintained.

Target price is $2.60 Current Price is $2.37 Difference: $0.23
If AWC meets the Ord Minnett target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $2.61, suggesting upside of 10.1% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.2

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

UBS rates AWC as Sell (5) -

AWAC produced 3.1mt of alumina and 11.2mt of bauxite in the March quarter. Realised pricing for the March quarter was US$379/t for alumina, down -19% quarter on quarter.

Alcoa continues to expect the alumina market to be in surplus in 2019, assuming the Alunorte refinery in Brazil remains at 50% capacity. A lower deficit is expected in the aluminium market than previously forecast. UBS maintains a Sell rating and $2.20 target.

Target price is $2.20 Current Price is $2.37 Difference: minus $0.17 (current price is over target).
If AWC meets the UBS target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.61, suggesting upside of 10.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.2

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

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

Stronger for longer commodity prices have allowed for steep appreciation in the share price but UBS analysts believe prices for iron ore and metallurgical coal are poised for weakness on a 6-12 months horizon, hence the analysts see further upside as limited.

On this basis they have downgraded to Neutral from Buy. In addition, the outlook for crude oil prices is also seen as "subdued", which is yet another headwind forming. Price target lifts to $36 from $35 on further updates to modeling input and forecasts.

Target price is $36.00 Current Price is $38.39 Difference: minus $2.39 (current price is over target).
If BHP 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 $37.39, suggesting downside of -2.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

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

Citi rates FMG as Neutral (3) -

Neutral rating and $7.20 price target remain in place as the analysts at Citi make modest amendments to forecasts only following the release of March quarter production volumes.

They comment lower output and higher costs are being more than compensated for through better realised pricing, marking-to-market and FX movements.

Target price is $7.20 Current Price is $7.75 Difference: minus $0.55 (current price is over target).
If FMG meets the Citi target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.12, suggesting downside of -8.1% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

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

Credit Suisse rates FMG as Neutral (3) -

March quarter shipments were affected by Cyclone Veronica. Price realisations jumped significantly, moving to 86% and assisted by the market but also a more favourable product mix, Credit Suisse observes.

Free cash flow generation under current spot iron ore pricing is expected to ensure a material drop in net debt by June 30 and provide scope for more material capital returns. The broker maintains a Neutral rating and $6.40 target.

Target price is $6.40 Current Price is $7.75 Difference: minus $1.35 (current price is over target).
If FMG meets the Credit Suisse target it will return approximately minus 17% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.12, suggesting downside of -8.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

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

Macquarie rates FMG as Outperform (1) -

Price realisation in the March quarter, as the mix of product improved, was better than Macquarie expected. Despite adverse weather, shipments remained fairly stable. The broker observes the company is on track to meet FY19 shipment guidance.

Earnings upside remains significant and the broker notes free cash flow yields and dividend yields increase to 27% and 23%, respectively, for FY20 and FY21 at spot prices. Outperform rating maintained. Target rises to $8.70 from $8.30.

Target price is $8.70 Current Price is $7.75 Difference: $0.95
If FMG meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $7.12, suggesting downside of -8.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

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 FMG as Buy (1) -

The company achieved strong prices albeit shipments were lower, in the March quarter. Ord Minnett is positive on the stock from an investment perspective as it is trading on attractive metrics, with a forecast dividend yield of more than 10% over three years.

Iron ore markets are expected to remain tight over the short to medium term, despite Vale bringing its Brucutu mine back on line. Buy rating maintained. Target is reduced to $8.60 from $8.70.

Target price is $8.60 Current Price is $7.75 Difference: $0.85
If FMG meets the Ord Minnett target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $7.12, suggesting downside of -8.1% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

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

UBS rates FMG as Sell (5) -

March quarter production was affected by the weather but remained strong. Guidance has been revised down slightly at the upper end of the range, to 165-170mt. Realised pricing was better than UBS expected, reflecting the closing of discounts across the quarter and revised pricing terms.

UBS maintains a Sell rating and assumes the market normalises over the next 1-2 years as Vale returns to full production. Target is raised to $6.15 from $5.60.

Target price is $6.15 Current Price is $7.75 Difference: minus $1.6 (current price is over target).
If FMG meets the UBS target it will return approximately minus 21% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.12, suggesting downside of -8.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

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

Macquarie rates GNC as No Rating (-1) -

The company has downgraded first half operating earnings (EBITDA) estimates for the grains business by -$40m. The business has experienced a disruption to grain trading, primarily because of international trade tensions.

As well, drought conditions in eastern Australia have significantly affected summer crops. Macquarie is currently restricted from providing a recommendation or target.

Current Price is $9.09. Target price not assessed.

Current consensus price target is $9.41, suggesting upside of 3.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.8

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

UBS rates GNC as Buy (1) -

Low-grade volumes as a result of drought on the east coast and recent trading disruptions have led to a -$40m reduction in the company's operating earnings (EBITDA) from grains. UBS is not surprised, and notes it is unclear whether the trading performance was from poor risk management rather than market movements.

The announcement is not expected to have a material impact on the takeover bid from LTAP, or the value of the two businesses should a de-merger occur at the end of the year. Buy rating and $10.42 target maintained.

Target price is $10.42 Current Price is $9.09 Difference: $1.33
If GNC meets the UBS target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $9.41, suggesting upside of 3.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.8

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

Citi rates GXY as Buy (1) -

While March quarter production came out inside management's guidance, the big news, of course, was the company cannot find a financial partner who will assist with the development of the company's Sal de Vida project.

Citi analysts believe Galaxy Resources can fund the project itself, but that also means taking all execution risk on on its own, and those risks are real, suggests Citi. Higher costs and lower production forecasts have reduced estimates.

The Buy rating remains in place, while the price target drops to $2.70 on lowered forecasts.

Target price is $2.70 Current Price is $1.57 Difference: $1.13
If GXY meets the Citi target it will return approximately 72% (excluding dividends, fees and charges).

Current consensus price target is $2.35, suggesting upside of 49.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Credit Suisse rates GXY as Outperform (1) -

Recoveries were only modestly higher in the March quarter, driven by grade rather than the long awaited upgrade to the plant.

While improvements occurred over the quarter, Credit Suisse notes the aspirations for Mount Cattlin have been structurally downgraded, as recovery is traded off against improvements to the grade.

The broker struggles to identify a near-term catalyst, given lack of a Sal de Vida sale and a deteriorating macro environment. Outperform rating maintained. Target reduced to $2.75 from $3.00.

Target price is $2.75 Current Price is $1.57 Difference: $1.18
If GXY meets the Credit Suisse target it will return approximately 75% (excluding dividends, fees and charges).

Current consensus price target is $2.35, suggesting upside of 49.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Macquarie rates GXY as Downgrade to Underperform from Neutral (5) -

Better grades offset weak recoveries at Mount Cattlin, Macquarie observes. The company has stopped looking for a development partner for Sal de Vida and the broker notes no timeline has been provided, although the company still intends to develop the asset.

As Sal de Vida is increasingly uncertain and Macquarie believes funding could be difficult to source during muted market conditions, the rating is downgraded to Underperform from Neutral. Weak recoveries at Mount Cattlin also remain of concern. Target is reduced to $1.50 from $2.10.

Target price is $1.50 Current Price is $1.57 Difference: minus $0.07 (current price is over target).
If GXY meets the Macquarie target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.35, suggesting upside of 49.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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 GXY as Buy (1) -

Spodumene production was 5% ahead of UBS estimates in the March quarter. 2019 production guidance is for 180-210,000t. Despite the lift in production, sales were down -62%, because of timing differences

 During the quarter a total of US$272m was paid by POSCO and transferred to Galaxy Resources. UBS had been expecting a further sell down at Sal de Vida but the company is formally closing the process. Negotiations are ongoing but the company expects it may have to be more flexible in terms of prices, given market conditions.

UBS maintains a Buy rating and reduces the target to $2.30 from $2.50.

Target price is $2.30 Current Price is $1.57 Difference: $0.73
If GXY meets the UBS target it will return approximately 46% (excluding dividends, fees and charges).

Current consensus price target is $2.35, suggesting upside of 49.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Credit Suisse rates HUB as Neutral (3) -

Funds under administration grew 14% in the March quarter, supported by strong net inflows. The company has also issued maiden guidance for a revenue margin decline of -6% in the second half.

Credit Suisse downgrades estimates for earnings per share by -4-5% for FY19-21, which highlights the operating leverage sensitivity for a business that has only just reached financial maturity.

The broker retains a Neutral rating but notes valuation support is beginning to wane. Target is $14.00.

Target price is $14.00 Current Price is $14.08 Difference: minus $0.08 (current price is over target).
If HUB 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 $12.80, suggesting downside of -9.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.0

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

UBS rates LYC as No Rating (-1) -

UBS incorporates the March quarter production report into its estimates. Sales volume forecasts have been reduced because of slightly weaker sales in the March quarter as well as company commentary that inventory may build up in the June quarter.

Price assumptions have also been reduced for FY19 by -4%. The broker is advising and is thus currently restricted from making a recommendation.

Current Price is $2.02. Target price not assessed.

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

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

UBS rates MP1 as Buy (1) -

March quarter operating metrics were positive and UBS envisages scope for further acceleration in the June quarter. This could have compounding benefits in FY20-21.

However, the broker wants continued momentum to be evident in the June quarter before incorporating a faster ramp up. Buy rating maintained. Target is raised to $6.25 from $4.55.

Target price is $6.25 Current Price is $5.30 Difference: $0.95
If MP1 meets the UBS target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $5.46, suggesting upside of 3.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 1.0

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

Credit Suisse rates NAB as Neutral (3) -

The bank has announced additional remediation charges of $525m after tax. This is expected to reduce first-half cash earnings by an estimated -$325m.

The bank has also announced it will review dividend settings. Credit Suisse considers this an interesting statement and believes a cut to $0.90 per share per half year would reflect a more sustainable level.

The decision will be made at the first half results on May 2. Neutral rating maintained. Target is reduced to $26.50 from $29.00.

Target price is $26.50 Current Price is $25.37 Difference: $1.13
If NAB meets the Credit Suisse target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $26.80, suggesting upside of 5.6% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.2

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

Morgans rates NAB as Hold (3) -

Morgans considers a reduction to the dividend almost certain. The bank has announced remediation-related charges of -$525m after-tax for the first half. The board will also review the dividend settings.

Morgans reduces cash estimates for earnings per share by -4.9% in FY19. Hold rating maintained. Target is steady at $24.50.

While the bank is sticking with guidance for broadly flat expenses growth, the broker expects it to underperform the other major banks on costs over the next two years.

Target price is $24.50 Current Price is $25.37 Difference: minus $0.87 (current price is over target).
If NAB meets the Morgans target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $26.80, suggesting upside of 5.6% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.2

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

Ord Minnett rates NAB as Accumulate (2) -

The bank will recognise a further -$525m in customer-related remediation costs. Some of the costs related to higher assumed refund rates for adviser service fees charged by salaried advisers.

Ord Minnett is increasingly confident the bank will lower its first half dividend to $0.90 a share but still assesses a healthy 7% dividend yield.

Ord Minnett maintains an Accumulate rating and trims the target to $29.80 from $30.00.

Target price is $29.80 Current Price is $25.37 Difference: $4.43
If NAB meets the Ord Minnett target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $26.80, suggesting upside of 5.6% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.2

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

Ord Minnett rates NGI as Buy (1) -

March quarter results were slightly ahead of Ord Minnett's expectations. The broker continues to envisage merit in the investment case amid a strong record of growth in assets under management and good prospects for additional flows from Asia and Europe.

The broker maintains a Buy rating and $4 target.

Target price is $4.00 Current Price is $3.46 Difference: $0.54
If NGI meets the Ord Minnett target it will return approximately 16% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 1.0

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

Morgans rates ORE as Add (1) -

Improved brine pond management in the March quarter meant production of lithium carbonate from Olaroz was higher than the prior corresponding quarter, despite heavy seasonal rainfall in 2019.

The company has announced the final investment decision from its joint venture with Toyota Tsusho to construct the Naraha lithium oxide plant in Japan. The total cost will be met by a combination of a Japanese government subsidy, low-interest-rate loans and an equity contribution of which US$6.8m is attributable to Orocobre.

Morgans envisages limited risk with the development. The broker maintains an Add rating and reduces the target to $5.30 from $5.59.

Target price is $5.30 Current Price is $3.26 Difference: $2.04
If ORE meets the Morgans target it will return approximately 63% (excluding dividends, fees and charges).

Current consensus price target is $4.68, suggesting upside of 43.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.6

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

Citi rates S32 as Buy (1) -

With lead being the sole exception, Citi analysts report the March quarter production report missed expectations on all production fronts. Key profit generators alumina and manganese disappointed by -13% and -5% respectively.

While metallurgical coal had been battling well-communicated operational headwinds, it still disappointed by some -8%, point out the analysts. All in all, remodeling has generated cuts to forecasts in the order of -6%-7%.

Rolling forward the valuation modeling has kept the price target unchanged at $4.40. Buy.

Target price is $4.40 Current Price is $3.46 Difference: $0.94
If S32 meets the Citi target it will return approximately 27% (excluding dividends, fees and charges).

Current consensus price target is $3.91, suggesting upside of 12.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

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

Credit Suisse rates S32 as Outperform (1) -

Credit Suisse found the March quarter operations mixed. FY19 production guidance has been reduced for Worsley and SAEC. Australia and SA manganese production guidance have increased as the company continues to capitalise on favourable market conditions.

Credit Suisse believes downgrades are largely priced into the stock. No change to unit cost guidance should provide some comfort going into the June quarter and the broker finds plenty of catalysts over the next 3-6 months.

Outperform rating and $4 target maintained.

Target price is $4.00 Current Price is $3.46 Difference: $0.54
If S32 meets the Credit Suisse target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $3.91, suggesting upside of 12.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

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

Macquarie rates S32 as Downgrade to Neutral from Outperform (3) -

March quarter production was weak and guidance has been reduced for the alumina and thermal coal assets. This translates to -14-22% reductions to Macquarie's earnings forecasts for the next four years.

Cost guidance is also expected to come under pressure for a number of assets. Earnings upgrade momentum has vanished and Macquarie downgrades to Neutral from Outperform as a result. Target is reduced to $3.60 from $4.00.

Target price is $3.60 Current Price is $3.46 Difference: $0.14
If S32 meets the Macquarie target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $3.91, suggesting upside of 12.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

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

Ord Minnett rates S32 as Hold (3) -

March quarter production volumes were soft across the board. Ord Minnett considers the stock fairly valued based on 4% forecast dividend yield.

Given the recent history of production downgrades, the broker suspects this could weigh on market sentiment. Hold rating maintained with a target of $3.60.

Target price is $3.60 Current Price is $3.46 Difference: $0.14
If S32 meets the Ord Minnett target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $3.91, suggesting upside of 12.9% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

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 S32 as Buy (1) -

Production from all the company's commodities, apart from manganese ore, underperformed UBS estimates in the March quarter. Illawarra volumes were down -38% because of two longwall moves.

Production is expected to improve in the June quarter. The company has now lowered SAEC guidance to 26.2mt from 29mt, given delays. Buy rating maintained. Target is reduced to $4.10 from $4.25.

Target price is $4.10 Current Price is $3.46 Difference: $0.64
If S32 meets the UBS target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $3.91, suggesting upside of 12.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

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

Credit Suisse rates SBM as Neutral (3) -

Credit Suisse notes exploration success at Simberi sulphide continues and the company is increasingly confident in the project. Production guidance is now slightly lower, given a softer March quarter at Simberi because of maintenance.

Neutral rating and $3.30 target maintained.

Target price is $3.30 Current Price is $3.21 Difference: $0.09
If SBM meets the Credit Suisse target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $3.56, suggesting upside of 10.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.3

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

Macquarie rates SBM as Neutral (3) -

March quarter production was marginally better than Macquarie forecast. Better grades at Gwalia assisted costs and the expansion project remains on track. Simberi was also supported by a better grades, although costs were higher than anticipated.

Cost estimates for the Gwalia mass extraction project are being finalised and will be released in July along with FY20 guidance. Neutral rating maintained. Target is reduced to $3.40 from $3.50.

Target price is $3.40 Current Price is $3.21 Difference: $0.19
If SBM meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $3.56, suggesting upside of 10.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.3

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

Ord Minnett rates SBM as Accumulate (2) -

Gold production at Gwalia in the March quarter was slightly below Ord Minnett's forecasts. Simberi exceeded expectations. St Barbara has offset lower tonnage with higher grades at Gwalia but the broker believes this means significant mineralisation is being left at each level as the mine continues to be developed vertically.

At the end of the current 12-new mine plan, significant remnant mining opportunities will remain. For this reason, Ord Minnett suggests modelling Gwalia to the end of the reserve alone grossly undervalues the resource. Accumulate rating and $4.00 target maintained.

Target price is $4.00 Current Price is $3.21 Difference: $0.79
If SBM meets the Ord Minnett target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $3.56, suggesting upside of 10.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.3

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

Citi rates SFR as Neutral (3) -

As far as Citi analysts are concerned, the March quarter production report deserves the label "modest" characterised by steady copper output and commencement of Monty production ore. Citi holds some reservation given mine life at DeGrussa is shortening and timing of Black Butte remains uncertain, as well as new discoveries.

While the target price falls to $8.10, the Neutral/High Risk rating remains in place. Citi does like the company's leverage to copper longer term, but with DeGrussa-related reservations (see above).

Target price is $8.10 Current Price is $7.46 Difference: $0.64
If SFR meets the Citi target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $7.50, suggesting upside of 0.5% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.0

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

Credit Suisse rates SFR as Underperform (5) -

March quarter production was strong and Monty made its first contribution at a 3.74% grade. Credit Suisse notes some progress on Black Butte.

The broker expects the June quarter should be stronger as Monty continues to ramp up. The broker maintains an Underperform rating and $6.15 target.

Target price is $6.15 Current Price is $7.46 Difference: minus $1.31 (current price is over target).
If SFR meets the Credit Suisse target it will return approximately minus 18% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.50, suggesting upside of 0.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.0

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

Macquarie rates SFR as Outperform (1) -

March quarter production was strong, with copper and gold output ahead of Macquarie's estimates by 5% and 15% respectively. The main focus is extending mine life beyond DeGrussa and significant drilling programs are ongoing.

Completion of the Black Butte feasibility study is likely in the next few months and this offers upside to the broker's base case forecasts. Outperform rating and $8 target.

Target price is $8.00 Current Price is $7.46 Difference: $0.54
If SFR meets the Macquarie target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $7.50, suggesting upside of 0.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.0

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

Ord Minnett rates SFR as Hold (3) -

March quarter production was solid and in line with Ord Minnett's estimates. FY19 production guidance is upgraded by 3% for copper and 7% for gold. Cost estimates were lowered by -3%.

Ord Minnett looks ahead to the release of the Black Butte feasibility study to gain insight into the growth outlook beyond the current operations at DeGrussa. Hold rating maintained. Target is reduced to $8.00 from $8.20.

Target price is $8.00 Current Price is $7.46 Difference: $0.54
If SFR meets the Ord Minnett target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $7.50, suggesting upside of 0.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.0

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

UBS rates SFR as Neutral (3) -

March quarter production was in line with UBS estimates. Costs were -3% lower than expected. Guidance for FY19 is lifted to 65-68,000t at a C1 cost of US$0.90/lb.

Guidance appears conservative and UBS suggests there is a risk it will be better as Monty ramps up. This has a much higher grade profile versus DeGrussa.

Monty is expected to drive a lift in production of 20% in FY20 but also comes with higher mining and haulage costs. Neutral rating and $7 target maintained.

Target price is $7.00 Current Price is $7.46 Difference: minus $0.46 (current price is over target).
If SFR 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 $7.50, suggesting upside of 0.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.0

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

Macquarie rates SGM as Outperform (1) -

The company plans to broaden its environmental sector involvement by adding energy-from-waste and landfill gas management. Macquarie notes the return profile is long-dated and so returns on investment are diluted for the near term.

A capital return also becomes more distant. Factoring in conservative returns on the new expenditure still yields solid medium-term upside, the broker assesses. Outperform rating is maintained. Target is reduced to $12.85 from $14.00.

Target price is $12.85 Current Price is $10.65 Difference: $2.2
If SGM meets the Macquarie target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $11.86, suggesting upside of 11.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

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

Citi rates WPL as Sell (5) -

March quarter production was -3% below Citi's expectations because of unplanned outages in Western Australia. The company has indicated that Scarborough marketing is being slowed as prevailing prices have been too low.

However, Citi believes contract prices are unlikely to move higher in the next 1-2 years , given the degree to which cheap new supply is competing for contracts. Hence, the broker suggests the company is unlikely to make a timely final investment decision on growth projects.

Either that, or it accepts weaker prices than currently factored into the shares. Citi maintains a Sell rating and raises the target to $31.18 from $31.12.

Target price is $31.18 Current Price is $36.59 Difference: minus $5.41 (current price is over target).
If WPL meets the Citi target it will return approximately minus 15% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $35.76, suggesting downside of -2.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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 WPL as Neutral (3) -

Revenue was stronger than Macquarie expected in the March quarter, despite weak sales, because of better-than-expected LNG pricing at North West Shelf.

The company has merged the Lambert Deep and South Goodwyn fields into a new project, GWF-3, targeting first gas in 2022. Macquarie raises the target to $34.60 from $33.90 and maintains a Neutral rating.

Target price is $34.60 Current Price is $36.59 Difference: minus $1.99 (current price is over target).
If WPL 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 $35.76, suggesting downside of -2.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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

Ord Minnett rates WPL as Hold (3) -

March quarter production was -6% below Ord Minnett's forecasts. This reflected the impact of cyclone activity in Western Australia. The broker notes some progress on development projects although no change to timelines.

Hold rating maintained. Target is raised to $34.80 from $34.65.

Target price is $34.80 Current Price is $36.59 Difference: minus $1.79 (current price is over target).
If WPL 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 $35.76, suggesting downside of -2.3% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.3

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

UBS rates WPL as Neutral (3) -

Higher realised LNG pricing for Wheatstone and the North West Shelf were features of the quarterly report, reflecting the downside protection of medium and long-term contracts.

UBS notes the company is making progress on all growth projects, although the final investment decision for Senegal appears to have slipped to the second half of 2019.

First quarter production was down -14% and missed UBS estimates, as WA projects were affected by cyclone activity and higher temperatures.

Neutral rating maintained. Target is raised to $35.50 from $35.25.

Target price is $35.50 Current Price is $36.59 Difference: minus $1.09 (current price is over target).
If WPL 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 $35.76, suggesting downside of -2.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

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