Australian Broker Call

UBS rates A2M as Buy (1) -

Infant milk formula export volumes out of Christchurch, which provides a window on the company's trading trends, were down -7% in September, taking export volume growth in the year to date to 14%.

While UBS expects commentary at the AGM on November 19 to be positive, it suspects revenue growth in the year to date could be softer and trims estimates as a result.

Buy rating maintained. Target is reduced to NZ$16.10 from NZ$16.20.

Current Price is $11.86. Target price not assessed.

Current consensus price target is $13.59, suggesting upside of 14.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

This company reports in NZD. 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

Macquarie rates AGL as Underperform (5) -

Alcoa has placed its aluminium smelter capacity under review, with a five-year program of improve, close or sell. A star contender for review is the Portland (Vic) smelter owned by Alcoa's joint venture with Alumina ((AWC)). The smelter has been heavily subsidised by the government but remains loss-making, and has 20 months to run on its power contract. The cost of power is the primary problem.

Smelter withdrawals create temporary negative shocks to electricity prices, the broker notes, and thus the fundamentals of coal-fired generators and the quantum of power they sell. Hence a decision by Alcoa to close Portland would provide a near term risk to AGL earnings.

Underperform retained, target falls to $18.84 from $19.50.

Target price is $18.84 Current Price is $19.52 Difference: minus $0.68 (current price is over target).
If AGL meets the Macquarie target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $18.12, suggesting downside of -7.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.6

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

Morgans rates ALX as Hold (3) -

Toll revenue growth of 1.8% in the September quarter at APRR was slower than Morgans expected. Traffic growth was also weaker. Toll revenue on Greenway increased 0.9%, below the broker's expectations for the second half of 1.9%.

The broker believes support for the share price is coming from ultra-low government bond yields in Europe as well as event risk related to potential restructuring of APRR management.

The broker would consider trimming overweight positions into share price strength. Hold rating maintained. Target is reduced to $7.39 from $7.53.

Target price is $7.39 Current Price is $8.35 Difference: minus $0.96 (current price is over target).
If ALX meets the Morgans target it will return approximately minus 11% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.98, suggesting downside of -4.5% (ex-dividends)

The company's fiscal year ends in December.

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 ALX as Neutral (3) -

The company reported a weighted average toll revenue increase of 1.7% in the September quarter on the back of -0.6% declines in traffic across the network.

Traffic is now down -1% on a 12-month rolling basis at APRR, affected by the 'yellow vest' protests and strong comparables in the prior year. UBS still factors in a rebound in traffic to 6% growth in the fourth quarter but acknowledges this appears difficult to achieve.

Meanwhile, Greenway traffic is now down -2% and down -13% from the highs experienced in the second quarter of 2016.

Neutral rating and $7.85 target maintained.

Target price is $7.85 Current Price is $8.35 Difference: minus $0.5 (current price is over target).
If ALX 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 $7.98, suggesting downside of -4.5% (ex-dividends)

The company's fiscal year ends in December.

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

Citi rates ASB as Neutral (3) -

Citi suspects the trading halt called by the company is likely to be related to the Philippines operation, given ongoing discussions regarding the US Navy OPV contract and Subic Bay shipyard. There was also likely to be cost over-runs in the Fjord line contract, given the catamaran is the largest vessel by volume ever built by Austal.

Citi continues to believe Austal is well-placed to drive earnings growth in FY20 through margin expansion in core markets but remains cautious about the short-term prospects. Neutral rating and $4.30 target maintained.

Target price is $4.30 Current Price is $4.07 Difference: $0.23
If ASB meets the Citi target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $4.38, suggesting upside of 7.7% (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 BGL as Outperform (1) -

Bellevue Gold finished the Sep Q in a strong funding position, Macquarie notes, with spending planned to accelerate in the Dec Q. Infill drilling at Tribune is progressing, and the broker suggests this is key to de-risking the resource.

Dilution from the additional capital raise sees the broker's target fall to $1.00 from $1.10. Outperform retained.

Target price is $1.00 Current Price is $0.53 Difference: $0.47
If BGL meets the Macquarie target it will return approximately 89% (excluding dividends, fees and charges).

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

Morgans rates CDD as Reinstate coverage with Add (1) -

Morgans reinstates coverage with an Add rating and $0.67 target. Cardno is undertaking a de-merger that will create two separate ASX-listed entities. Cardno will become a pure play consulting business while Intega Group ((ITG)) will take the quality & materials testing operations.

Cardno believes this will maximise shareholder value, allowing each business to control its operating model and provide greater transparency as well as increase access to both equity and debt markets.

While acknowledging neither stock has traded post de-merger, Morgans would add both to portfolios if the stocks were trading below $0.60 in the case of Cardno and $0.48 in the case of Intega.

Target price is $0.67 Current Price is $0.56 Difference: $0.11
If CDD meets the Morgans target it will return approximately 20% (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 CIM as Neutral (3) -

Cimic reported 2% profit year on year growth in the Sep Q and left 2019 guidance unchanged. The company's metrics have not got any worse, Macquarie notes, but nor are they any better. Cash flow conversion remains weak.

Delivery of improved cash conversion and positive construction growth are required for a sustainable re-rating of the stock, the broker suggests.

Neutral retained, target falls to $35.00 from $35.65. The broker prefers Downer EDI ((DOW)) and WorleyParsons ((WOR)) in the space.

Target price is $35.00 Current Price is $32.51 Difference: $2.49
If CIM meets the Macquarie target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $41.30, suggesting upside of 27.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.1

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

UBS rates CIM as Neutral (3) -

The company has reiterated 2019 guidance and third quarter results were in line with estimates. However, UBS notes operating cash flow conversion has not shown the seasonal recovery that is typical for the third quarter.

The broker maintains a Neutral rating and $46 target.

Target price is $46.00 Current Price is $32.51 Difference: $13.49
If CIM meets the UBS target it will return approximately 41% (excluding dividends, fees and charges).

Current consensus price target is $41.30, suggesting upside of 27.0% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.1

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

UBS rates DXS as Neutral (3) -

The company's first quarter update highlighted the increased demand for office assets in Australia from offshore investors.

Despite the fundamentals moderating, UBS believes the business is well-placed to grow and Dexus Property is likely to outperform other A-REITs.

The broker assesses guidance is conservative, for growth in free funds from operations in FY20 of 3%. Neutral rating and $12.90 target maintained.

Target price is $12.90 Current Price is $11.91 Difference: $0.99
If DXS meets the UBS target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $12.96, suggesting upside of 8.8% (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

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

The share price has pulled back in the last month as the nickel price has eased and Citi upgrades to Neutral from Sell on valuation.

The broker envisages downside risks to nickel from global growth risks and the disconnect between prices and exchange tightness. However, for Independence Group these factors are partly offset by the appeal of gold as a macro portfolio hedge.

Current Price is $6.16. Target price not assessed.

Current consensus price target is $6.01, suggesting downside of -2.4% (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

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

Cardno ((CDD)) will de-merge its quality & materials testing operations to form ASX-listed Intega Group. Cardno believes this will maximise shareholder value, allowing each business to control its operating model and provide greater transparency as well as increase access to both equity and debt markets.

Intega's core operations have been run independently since 2016. While acknowledging neither stock has traded post de-merger, Morgans would add both to portfolios if the stocks were trading below $0.60 in the case of Cardno and $0.48 in the case of Intega.

Target price is $0.54 Current Price is $0.48 Difference: $0.06
If ITG meets the Morgans target it will return approximately 13% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Market Sentiment: 1.0

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

Credit Suisse rates JHX as Outperform (1) -

Further input cost reductions strengthen FY20/21 expectations. Positive end market data and early US reporting commentary leads Credit Suisse to increase North American earnings estimates by 2% for FY20 and 6% for FY21.

In Europe, Fermacell appears to be a better quality business than the broker previously thought, with a more expansive product range and less chance of encroachment by competitors.

The company's second quarter results are scheduled for November 7. Outperform rating maintained. Target rises to $28.90 from $23.70.

Target price is $28.90 Current Price is $25.27 Difference: $3.63
If JHX meets the Credit Suisse target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $25.84, suggesting upside of 2.3% (ex-dividends)

The company's fiscal year ends in March.

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: 0.9

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

UBS rates KGN as Neutral (3) -

The company provided a strong first quarter update and UBS upgrades estimates for earnings per share by 6-7%. However, the broker notes the business is cycling an easier comparable and growth is likely to moderate into the second quarter.

The broker now forecasts 21% growth in the first half. Neutral rating maintained. Target rises to $6.90 from $6.10.

Target price is $6.90 Current Price is $6.97 Difference: minus $0.07 (current price is over target).
If KGN meets the UBS target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company's fiscal year ends in June.

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

Morgans rates RBL as Hold (3) -

The company has gained approval for the listing of American depositary receipts on the NASDAQ. US investors now account for around 20% of the company's shareholdings. Morgans expects this proportion will continue to grow.

The business has exceeded all expectations for key performance metrics in the September quarter and the broker upgrades forecasts. Hold rating maintained. Target rises to $1.99 from $1.51.

Target price is $1.99 Current Price is $1.73 Difference: $0.26
If RBL meets the Morgans target it will return approximately 15% (excluding dividends, fees and charges).

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 RIO as Buy (1) -

Rio Tinto has announced its Tiwai Point aluminium smelter in New Zealand is under review, with closure in 2020 a possible option. This smelter accounts for 0.5% of global aluminium supply and closure could tighten markets, thereby increasing the profitability of the company's aluminium smelting business in Canada.

Ord Minnett also notes Rio Tinto has tried unsuccessfully to sell its aluminium business in the Pacific and other smelters could face similar reviews. Pacific Aluminium has the highest emissions intensity of businesses in the company's portfolio and this could incentivise management to close it.

Buy rating is maintained. Target is $99.

Target price is $99.00 Current Price is $90.56 Difference: $8.44
If RIO meets the Ord Minnett target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $96.94, suggesting upside of 7.0% (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 RMD as Underperform (5) -

Ahead of ResMed's quarterly earnings release, Macquarie has made minor forecast adjustments for revenue/cost growth assumptions and forex changes.

The broker considers the current share price ascribes limited medium-term risk in relation to reimbursement changes or the longer-term impact of competing technologies.

Underperform maintained. Target is raised to $15.70 from $15.35.

Target price is $15.70 Current Price is $18.56 Difference: minus $2.86 (current price is over target).
If RMD meets the Macquarie target it will return approximately minus 15% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $18.81, suggesting upside of 1.4% (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: 0.4

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

Morgans rates SYD as Add (1) -

Morgans found the final report from the Productivity Commission benign. The broker considers this a de-risking of the investment case which should close the gap between the share price and the 12-month target.

The report indicated there was no justification for significant changes to the current approach to economic regulation, also noting that, with scarce capacity, increasing charges could be an efficient way to ration access to services.

The Productivity Commission also suggested anti-competitive contract clauses between airports and airline should be removed. Add rating maintained. Target is steady at $8.71.

Target price is $8.71 Current Price is $8.72 Difference: minus $0.01 (current price is over target).
If SYD meets the Morgans target it will return approximately minus 0% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $8.22, suggesting downside of -5.7% (ex-dividends)

The company's fiscal year ends in December.

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

UBS rates TWE as Buy (1) -

UBS suspects, on the back of Nielsen data, the company's performance over the three months to October 10 has softened, with market share down -7 basis points. By brand, the company's top five brands in the US continue to outperform.

There are limitations in the data as it only covers 40-50% of the company's US business. UBS reduces forecast by -2% for FY20 and expects growth in line with recently reiterated guidance. Buy rating and $20.50 target.

Target price is $20.50 Current Price is $17.35 Difference: $3.15
If TWE meets the UBS target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $19.00, suggesting upside of 9.5% (ex-dividends)

The company's fiscal year ends in June.

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 VCX as Neutral (3) -

First quarter sales growth across the portfolio was stable at 2%. Western Australia and the specialty sales portion are improving while CBD assets are affected by re-mixing.

UBS notes, on the downside, uncertainty over asset values continues and the business has elevated gearing heading into a period of increased development expenditure. Neutral rating and $2.60 target maintained.

Target price is $2.60 Current Price is $2.65 Difference: minus $0.05 (current price is over target).
If VCX meets the UBS target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.57, suggesting downside of -3.2% (ex-dividends)

The company's fiscal year ends in June.

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

Citi rates WBC as Downgrade to Neutral from Buy (3) -

Westpac has announced further customer remediation and Citi downgrades FY19 cash earnings estimates by -4.5%. From here the broker considers the prospect of further outperformance is difficult and expects the bank will reduce the dividend at the FY19 result.

Capital appears tight post further remediation and the rating is downgraded to Neutral from Buy. Target is unchanged at $31.25.

Target price is $31.25 Current Price is $28.92 Difference: $2.33
If WBC meets the Citi target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $29.06, suggesting upside of 0.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.1

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

Credit Suisse rates WBC as Outperform (1) -

Credit Suisse adjusts estimates to allow for the reduction in second half cash earnings of -$377m because of customer remediation programs.

FY19 cash earnings estimates are reduced by -4% and FY21 by -2% as a result of expenses associated with the AUSTRAC matter.

Credit Suisse maintains an Outperform rating and $30.55 target.

Target price is $30.55 Current Price is $28.92 Difference: $1.63
If WBC meets the Credit Suisse target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $29.06, suggesting upside of 0.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.1

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

Macquarie rates WBC as Neutral (3) -

As Macquarie puts it, another day, another remediation. Westpac has announced another $539m of provision, bringing the FY19 total to $1.6bn. The bank cited the risk of enforcement action from AUSTRAC.

The increased provision only adds weight to the broker's expectation Westpac will announce an underwritten DRP at next month's result release. Neutral and $28.50 target retained.

Target price is $28.50 Current Price is $28.92 Difference: minus $0.42 (current price is over target).
If WBC 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 $29.06, suggesting upside of 0.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.1

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

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

Westpac has announced additional charges for customer remediation and wealth management restructuring. Additional charges reduce Morgan Stanley's cash profit estimates by -6.5% for the second half and -3.5% overall for FY19.

The charges lower the CET1 ratio by -9 basis points and imply a pro forma FY19 ratio of 10.4% based on the broker's estimates.

Equal-weight maintained, as Morgan Stanley expects a satisfactory result and believes investors are factoring in a -10-15% reduction to the dividend and some further capital build. Target is $27.30. Industry view: In Line.

Target price is $27.30 Current Price is $28.92 Difference: minus $1.62 (current price is over target).
If WBC meets the Morgan Stanley target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $29.06, suggesting upside of 0.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.1

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

Ord Minnett rates WBC as Hold (3) -

Westpac will recognise a $341m post-tax impact on its second half from additional customer remediation. Ord Minnett was not surprised, given similar movements by other major banks recently.

With this new set of provisions, and the likelihood of more to come, Ord Minnett now assumes the final dividend will be reduced to $0.85 per share from $0.99 per share, implying a forecast dividend yield of 5.9% and FY20-21 pay-out ratio of 75%.

The broker maintains a Hold rating and $28.30 target.

Target price is $28.30 Current Price is $28.92 Difference: minus $0.62 (current price is over target).
If WBC meets the Ord Minnett target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $29.06, suggesting upside of 0.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.1

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

Macquarie rates WGX as Outperform (1) -

Westgold's Meekatharra mill is back to full capacity after a bearing failure stopped production for 14 days and reduced capacity to 50% for another six. The company suggests the stoppage will reduce Dec Q production by -2.5koz but the broker has decided to assume -4.5koz.

A more consistent performance over FY20 will be a key catalyst for Westgold from here, the broker suggests. Outperform and $3.50 target retained.

Target price is $3.50 Current Price is $2.04 Difference: $1.46
If WGX meets the Macquarie target it will return approximately 72% (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

Citi rates WSA as Neutral (3) -

September quarter nickel production was largely in line with expectations. Citi adjusts FY20 estimates for earnings per share lower to account for potential hedging losses on its nickel price deck.

Estimates increase for FY21 because of a weaker Australian dollar forecast. Target is increased to $3.55 from $3.45 and a Neutral rating is maintained.

Target price is $3.55 Current Price is $3.36 Difference: $0.19
If WSA meets the Citi target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $3.18, suggesting downside of -5.3% (ex-dividends)

The company's fiscal year ends in June.

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 WSA as Neutral (3) -

Credit Suisse was satisfied with the overall production and advancement of Odysseus in the September quarter, although did not find the the sustainability outlook for Forrestania inspiring. Scoping studies continue at New Morning.

On balance, the broker retains a Neutral rating, recognising that if nickel prices persist at current levels the stock is likely to trade above valuation. Target is $2.50.

Target price is $2.50 Current Price is $3.36 Difference: minus $0.86 (current price is over target).
If WSA meets the Credit Suisse target it will return approximately minus 26% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.18, suggesting downside of -5.3% (ex-dividends)

The company's fiscal year ends in June.

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

Macquarie rates WSA as Outperform (1) -

Western Areas posted a solid Sep Q with production, costs and cash all in line with Macquarie's forecasts. FY guidance is unchanged.

The development of Cosmos remains on track and offtake negotiations are underway. The broker has lifted expectations given a tight nickel market and suggests a positive outcome represents a significant catalyst.

Outperform and $3.60 target retained.

Target price is $3.60 Current Price is $3.36 Difference: $0.24
If WSA meets the Macquarie target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $3.18, suggesting downside of -5.3% (ex-dividends)

The company's fiscal year ends in June.

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

Morgan Stanley rates WSA as Overweight (1) -

September quarter production and costs were in line with Morgan Stanley's expectations. Odysseus remains on track. Flying Fox grades have moved closer to reserve grade while Spotted Quoll is tracking slightly ahead. The mined grade at Spotted Quoll was 4.1%.

The company expects favourable offtake terms, with contract negotiations commencing early in 2020. Overweight. Industry view is Attractive. Target is $3.45.

Target price is $3.45 Current Price is $3.36 Difference: $0.09
If WSA meets the Morgan Stanley target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $3.18, suggesting downside of -5.3% (ex-dividends)

The company's fiscal year ends in June.

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

Ord Minnett rates WSA as Hold (3) -

September quarter production was steady at Forrestania and the company remains on track to achieve FY20 guidance. Meanwhile, Odysseus is beginning to ramp up. Ord Minnett models higher payability rates from offtake at Odysseus amid healthy nickel prices.

The broker maintains a Hold rating and $3.20 target.

Target price is $3.20 Current Price is $3.36 Difference: minus $0.16 (current price is over target).
If WSA 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 $3.18, suggesting downside of -5.3% (ex-dividends)

The company's fiscal year ends in June.

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

UBS rates WSA as Sell (5) -

The company's September quarter update revealed production was slightly below UBS estimates. Realised revenue was 11% above estimates.

The company is benefiting from the nickel price, which is up 25% since June. UBS is forecasting a flat nickel price into 2020, expecting US$7.50/lb.

The broker maintains a Sell rating as the stock is trading at a premium to valuation. Target is reduced to $2.80 from $2.90.

Target price is $2.80 Current Price is $3.36 Difference: minus $0.56 (current price is over target).
If WSA meets the UBS target it will return approximately minus 17% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.18, suggesting downside of -5.3% (ex-dividends)

The company's fiscal year ends in June.

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