Australian Broker Call

Ord Minnett rates AGL as Hold (3) -

Ord Minnett updates its Energy sector outlook to reflect the prolonged disruption to oil and LNG markets following the ongoing Middle East conflict and the effective closure of the Strait of Hormuz.

While the broker has modestly lowered its Brent crude and LNG price forecasts in line with the forward curve, it's felt risks remain firmly skewed to the upside.

Low OECD inventories, the threat of further supply disruptions through the Bab-el-Mandeb Strait, improving Chinese demand and continued Middle East production outages are all expected to support higher energy prices.

The target for AGL Energy remains at $11.75. Hold rating maintained.

Target price is $11.75 Current Price is $8.39 Difference: $3.36
If AGL meets the Ord Minnett target it will return approximately 40% (excluding dividends, fees and charges).

Current consensus price target is $10.04, suggesting upside of 20.5% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.0

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

Ord Minnett rates ALD as Downgrade to Accumulate from Buy (2) -

Ord Minnett updates its Energy sector outlook to reflect the prolonged disruption to oil and LNG markets following the ongoing Middle East conflict and the effective closure of the Strait of Hormuz.

While the broker has modestly lowered its Brent crude and LNG price forecasts in line with the forward curve, it's felt risks remain firmly skewed to the upside.

Low OECD inventories, the threat of further supply disruptions through the Bab-el-Mandeb Strait, improving Chinese demand and continued Middle East production outages are all expected to support higher energy prices.

Following a recent share price rise, Ord Minnett downgrades its rating for Ampol to Accumulate from Buy. The target rises to $37.10 from $36.60.

Target price is $37.10 Current Price is $37.55 Difference: minus $0.45 (current price is over target).
If ALD meets the Ord Minnett target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $38.81, suggesting upside of 2.1% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.6

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

Macquarie rates AMP as Neutral (3) -

AMP has guided to first half underlying net profit of $170-$180m, underpinned by stronger China partnerships.

Macquarie assesses the growth is enduring yet awaits further direction at the upcoming results to explain what has led to the 24% growth in the first half compared with the prior half. The $5m favourable impact from the North Guarantee Benefit appears one-off.

The stock is trading at 37% premium to net tangible assets, the broker asserts, and a cautious outlook is maintained with a Neutral rating as the announcement did not deal with any significant items such as net interest margins, flows or revenue margins.

Target is raised to $1.94 from $1.82.

Target price is $1.94 Current Price is $2.02 Difference: minus $0.08 (current price is over target).
If AMP 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 $2.04, suggesting downside of -2.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.7

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

Citi rates AUB as Neutral (3) -

Citi notes insurance stocks have performed relatively well since March and the sector's average PER is around 16x compared to circa 11x in 2022.

The valuation re-rating removes much of the appeal for the sector, the analyst believes, with only nib Holdings ((NHF)) the remaining stock ascribed a Buy rating.

AUB Group remains Neutral rated with a $27.30 target. The analyst expects the group will achieve FY26 guidance between $220m-$230m and forecasts $223.9m.

The broker will be looking to the outlook on rates for FY27 and possible upside from Marine gross written premium, as well as any updates on the UK business and AI.

Target price is $27.30 Current Price is $29.13 Difference: minus $1.83 (current price is over target).
If AUB meets the Citi target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $32.33, suggesting upside of 10.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.8

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

Ord Minnett rates BPT as Hold (3) -

Ord Minnett updates its Energy sector outlook to reflect the prolonged disruption to oil and LNG markets following the ongoing Middle East conflict and the effective closure of the Strait of Hormuz.

While the broker has modestly lowered its Brent crude and LNG price forecasts in line with the forward curve, it's felt risks remain firmly skewed to the upside.

Low OECD inventories, the threat of further supply disruptions through the Bab-el-Mandeb Strait, improving Chinese demand and continued Middle East production outages are all expected to support higher energy prices.

The target for Beach Energy slips to $1.10 from $1.16. Hold rating maintained.

Target price is $1.10 Current Price is $0.88 Difference: $0.225
If BPT meets the Ord Minnett target it will return approximately 26% (excluding dividends, fees and charges).

Current consensus price target is $0.92, suggesting upside of 3.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: -0.6

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

Macquarie rates CBA as Underperform (5) -

Despite the deterioration in the housing market and lending, institutional investors were net buyers of banks over the June quarter. Domestic institutions bought CommBank, National Australia Bank and Westpac while offshore bought CommBank and National Australia Bank.

Macquarie's industry feedback signals banks have been used as a funding leg to play the AI theme, particularly by offshore investors. Retail investors continue to be net sellers of banks with selling activity concentrated in CommBank and National Australia Bank.

CommBank is Underperform rated with a $111 target.

Target price is $111.00 Current Price is $171.78 Difference: minus $60.78 (current price is over target).
If CBA meets the Macquarie target it will return approximately minus 35% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $123.11, suggesting downside of -28.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: -1.0

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

Ord Minnett - Cessation of coverage

Forecast for FY26:

Forecast for FY27:

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

Morgan Stanley rates EDV as Downgrade to Underweight from Equal-weight (5) -

Morgan Stanley lowers its target for Endeavour Group by -20c to $3.00 and downgrades to Underweight from Equal-weight, citing rising earnings risk and the capital required to fund a turnaround. Industry View: Cautious.

The broker believes recovering retail sales will likely require continued price investment, placing further pressure on gross margins.

Management is prioritising retail sales recovery through value, promotions, loyalty, and digital.

Morgan Stanley, however, questions whether available capital is sufficient to fund the required investment in retail, hotels and technology. Lack of available capital is stressed in commentary given elevated leverage and ongoing cost inflation.

Target price is $3.00 Current Price is $3.44 Difference: minus $0.44 (current price is over target).
If EDV meets the Morgan Stanley target it will return approximately minus 13% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.08, suggesting downside of -8.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: -0.1

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

UBS rates FPH as Neutral (3) -

In the US, UBS has surveyed 500 GLP-1 current or past users. Obstructive sleep apnoea prevalence remains high at 33% of respondents.

As with prior surveys 16% of GLP-1 users are likely to be new OSA patients. The survey points to ongoing medium-term stimulus to US market growth from wider GLP-1 use. Estimates for Fisher & Paykel Healthcare are unchanged with a NZ$37.50 target and Neutral rating.

Current Price is $33.31. Target price not assessed.

Current consensus price target is N/A

The company's fiscal year ends in March.

Forecast for FY27:

Forecast for FY28:

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

Market Sentiment: 0.5

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

Ord Minnett rates FPR as Buy (1) -

FleetPartners Group announced a better-than-expected 3Q26 trading update, according to Ord Minnett.

Business writing year-to-date advanced 8% y/y with novated generating around 40% organic growth y/y compared to the analyst's forecast of around 68% growth, including the acquired Remunerator business.

The broker's highlights included new business written to be high single-digit growth for FY26 including a solid pipeline.

Assets under management financed grew 6%. EPS forecasts are tweaked slightly with no change to FY26 guidance.

Buy rating retained with an unchanged $3.40 target price.

Target price is $3.40 Current Price is $2.90 Difference: $0.5
If FPR meets the Ord Minnett target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $3.44, suggesting upside of 20.8% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 1.0

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

Morgan Stanley rates HUB as Overweight (1) -

Morgan Stanley highlights Hub24 has delivered industry-leading net inflows, funds under administration (FUM) growth and operating leverage.

The share price has, however, underperformed peers Netwealth Group ((NWL)), Praemium ((PPS)) and AMP ((AMP)) this year.

The broker attributes current weakness to a broader de-rating across Australian growth technology stocks despite consensus earnings continuing to edge higher.

It is believed Hub24's regulatory barriers to entry should help protect it from increased competition.

Unchanged $120 target. Industry view: In-Line. Morgan Stanley has nominated Hub24 as one of its Key Picks ahead of the upcoming August results season.

Target price is $120.00 Current Price is $83.23 Difference: $36.77
If HUB meets the Morgan Stanley target it will return approximately 44% (excluding dividends, fees and charges).

Current consensus price target is $101.82, suggesting upside of 19.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.7

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

Citi rates IAG as Neutral (3) -

Citi notes insurance stocks have performed relatively well since March and the sector's average PER is around 16x compared to circa 11x in 2022.

The valuation re-rating removes much of the appeal for the sector, the analyst believes, with only nib Holdings ((NHF)) the remaining stock ascribed a Buy rating.

Insurance Australia Group remains the preferred general insurance exposure going into August reporting season.

Margins are expected to benefit from reinsurance profit commission, positive CAT, lower expenses and less of a negative drag, the analyst states, from RAC Qld insurance.

No change to Neutral rating and $9 target.

Target price is $9.00 Current Price is $8.32 Difference: $0.68
If IAG meets the Citi target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $7.93, suggesting downside of -5.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: -0.3

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

UBS rates IAG as Buy (1) -

Insurance Australia Group has submitted a formal proposal to the ACCC to address competition concerns around its proposed $1.35bn acquisition of RAC Insurance.

The undertakings include a framework aimed at keeping RAC-branded insurance products competitively priced in Western Australia as well as commitments to preserve competition in smash repairs.

UBS considers the remedies a constructive development that could improve the potential for a deal to proceed. The ACCC review is currently in phase 2.

The broker continues to envisage upside risk in the stock, either way, and retains a Buy rating and $8.80 target.

Target price is $8.80 Current Price is $8.32 Difference: $0.48
If IAG meets the UBS target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $7.93, suggesting downside of -5.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: -0.3

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

Ord Minnett rates KAR as Buy (1) -

Ord Minnett updates its Energy sector outlook to reflect the prolonged disruption to oil and LNG markets following the ongoing Middle East conflict and the effective closure of the Strait of Hormuz.

While the broker has modestly lowered its Brent crude and LNG price forecasts in line with the forward curve, it's felt risks remain firmly skewed to the upside.

Low OECD inventories, the threat of further supply disruptions through the Bab-el-Mandeb Strait, improving Chinese demand and continued Middle East production outages are all expected to support higher energy prices.

The target for Karoon Energy slips to $2.20 from $2.30. Buy rating maintained.

Target price is $2.20 Current Price is $1.50 Difference: $0.7
If KAR meets the Ord Minnett target it will return approximately 47% (excluding dividends, fees and charges).

Current consensus price target is $1.77, suggesting upside of 15.4% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

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

Market Sentiment: 0.6

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

Citi rates MPL as Neutral (3) -

Citi notes insurance stocks have performed relatively well since March and the sector's average PER is around 16x compared to circa 11x in 2022.

The valuation re-rating removes much of the appeal for the sector, the analyst believes, with only nib Holdings ((NHF)) the remaining stock ascribed a Buy rating.

The analyst considers Medibank Private to remain relatively "defensive" despite cyber attacks. A solid FY26 result is expected.

Neutral rated with an unchanged $5.10 target.

Target price is $5.10 Current Price is $5.13 Difference: minus $0.03 (current price is over target).
If MPL meets the Citi target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $5.14, suggesting downside of -0.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.4

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

Macquarie rates NAB as Neutral (3) -

Despite the deterioration in the housing market and lending, institutional investors were net buyers of banks over the June quarter. Domestic institutions bought CommBank, National Australia Bank and Westpac while offshore bought CommBank and National Australia Bank.

Macquarie's industry feedback signals banks have been used as a funding leg to play the AI theme, particularly by offshore investors. Retail investors continue to be net sellers of banks with selling activity concentrated in CommBank and National Australia Bank.

National Australia Bank is Neutral rated with a $39 target.

Target price is $39.00 Current Price is $39.85 Difference: minus $0.85 (current price is over target).
If NAB 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 $38.85, suggesting downside of -2.1% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: -0.2

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

Citi rates NHF as Buy (1) -

Citi notes insurance stocks have performed relatively well since March and the sector's average PER is around 16x compared to circa 11x in 2022.

The valuation re-rating removes much of the appeal for the sector, the analyst believes, with only nib Holdings ((NHF)) the remaining stock ascribed a Buy rating.

The analyst expects underlying operating profit to be at the upper end of guidance supported by sticky Australian resident health insurance margins, some improvement in NZ and international insurance margins.

Citi is hopeful a fully franked special dividend will be announced post the sale of the Travel business.

Target price is $8.00 Current Price is $7.31 Difference: $0.69
If NHF meets the Citi target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $7.35, suggesting downside of -0.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.2

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

Morgans rates NUZ as Speculative Buy (1) -

Morgans notes Neurizon Therapeutics has finished its enrollment in Regimen for the trial for NUZ-100. All 260 participants were enrolled with the efficacy and safety results pulled forward to late 2Q2027 from 3Q2027.

The analyst highlights completion was under five months from the initial dosing and is the speediest regimen activation and completion in Healey's history.

Notably, the broker stresses the clinical risk remains, despite the pull forward on the timeline.

Speculative Buy rating and 20c target are unchanged.

Target price is $0.20 Current Price is $0.06 Difference: $0.137
If NUZ meets the Morgans target it will return approximately 217% (excluding dividends, fees and charges).

Market Sentiment: 1.0

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

Ord Minnett rates ORG as Upgrade to Hold from Lighten (3) -

Ord Minnett updates its Energy sector outlook to reflect the prolonged disruption to oil and LNG markets following the ongoing Middle East conflict and the effective closure of the Strait of Hormuz.

While the broker has modestly lowered its Brent crude and LNG price forecasts in line with the forward curve, it's felt risks remain firmly skewed to the upside.

Low OECD inventories, the threat of further supply disruptions through the Bab-el-Mandeb Strait, improving Chinese demand and continued Middle East production outages are all expected to support higher energy prices.

The target for Origin Energy remains at $10.40. The rating is upgraded to Hold from Lighten following recent share price weakness.

Target price is $10.40 Current Price is $10.53 Difference: minus $0.13 (current price is over target).
If ORG meets the Ord Minnett target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $11.35, suggesting upside of 8.1% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.2

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

Citi rates QBE as Neutral (3) -

Citi notes insurance stocks have performed relatively well since March and the sector's average PER is around 16x compared to circa 11x in 2022.

The valuation re-rating removes much of the appeal for the sector, the analyst believes, with only nib Holdings ((NHF)) the remaining stock ascribed a Buy rating.

QBE Insurance is Neutral rated with an unchanged $27.20 target price. The general insurer is expected to have a "solid" 1H2026 result to achieve 2026 earnings guidance.

Target price is $27.20 Current Price is $24.99 Difference: $2.21
If QBE meets the Citi target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $25.34, suggesting downside of -0.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY26:

Forecast for FY27:

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

Morgan Stanley rates RIO as Underweight (5) -

Morgan Stanley expects Rio Tinto's first-half 2026 result to focus on cost performance, free cash flow (FCF) generation, net debt and capital returns. Production volumes and commodity price realisations have already been disclosed.

The broker believes investors will be looking for evidence of strong cash generation and capital discipline amid ongoing cost pressures. 

The analysts expect Rio Tinto to declare an ordinary interim dividend in line with its long-standing 50% payout ratio, with no special dividend anticipated given the company's current leverage.

Morgan Stanley's UK price target is lowered to GBP6,600 from GBP6,810. Underweight rating maintained. Industry view is Attractive.

Target price is $149.00 Current Price is $160.95 Difference: minus $11.95 (current price is over target).
If RIO meets the Morgan Stanley target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $172.67, suggesting upside of 9.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY26:

Forecast for FY27:

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 RMD as Buy (1) -

In the US, UBS has surveyed 500 GLP-1 current or past users. Obstructive sleep apnoea prevalence remains high at 33% of respondents.

As with prior surveys 16% of GLP-1 users are likely to be new OSA patients. nThe survey points to ongoing medium-term stimulus to US market growth from wider GLP-1 use. Estimates for ResMed are unchanged with a target of US$312 and a Buy rating.

Current Price is $28.75. Target price not assessed.

Current consensus price target is $39.54, suggesting upside of 39.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

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

Market Sentiment: 0.7

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

Macquarie rates RRL as Outperform (1) -

Regis Resources delivered production guidance that was slightly weaker than expected, with the mid-point for FY27 of 380,000 ounces -4% below Macquarie's forecasts. AISC guidance at the mid-point of $3,190 was 10% above expectations.

The business has several options, with cash in the bank and limited short-term growth expenditure requirements. Using a 37.5% dividend payout ratio, the broker forecasts a second-half dividend of $0.18, which equates to a FY26 dividend yield of 6%.

Following the company's decision not to submit a counter-proposal for Genesis Minerals ((GMD)), Macquarie resets the target to $6.80 from $8.00. Outperform.

Target price is $6.80 Current Price is $5.64 Difference: $1.16
If RRL meets the Macquarie target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $7.97, suggesting upside of 40.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.7

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

Ord Minnett rates RRL as Hold (3) -

Regis Resources' FY27 guidance for unit costs and capex came in well above market expectations and is anticipated to result in a fall in free cash flow of -$270m against consensus forecasts, Ord Minnett highlights.

The shares fell -8% in response to the update, with the report stressing Regis has the shortest mine life and highest costs in the broker's coverage. 

Commentary states the unhedged gold position was a tailwind until January, but the fall in price by some -26% exposes the producer to lower prices, while costs are rising.

FY27 EPS forecasts are cut by -4.8% with FY26 unchanged. Target price is lowered to $5.60 from $6. No change in Hold rating.

Target price is $5.60 Current Price is $5.64 Difference: minus $0.04 (current price is over target).
If RRL meets the Ord Minnett target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.97, suggesting upside of 40.0% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.7

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

Citi rates SDF as No Rating (-1) -

Citi notes insurance stocks have performed relatively well since March and the sector's average PER is around 16x compared to circa 11x in 2022.

The valuation re-rating removes much of the appeal for the sector, the analyst believes, with only nib Holdings ((NHF)) the remaining stock ascribed a Buy rating.

Steadfast Group has no rating or target price as Citi is under research restriction since it is advising the company in its contacts with the bidding consortium.

The analyst expects the group to achieve EPS growth for FY27 between the guidance range of 6%-10% and forecasts 7% growth with average rates remaining between 2%-3%.

Commentary states the outlook for FY27 remains the key factor.

Current Price is $5.27. Target price not assessed.

Current consensus price target is $5.52, suggesting upside of 5.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.5

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

Bell Potter rates SIG as Hold (3) -

Bell Potter believes the Grattan Institute's report entitled "Future Pharmacy - A better deal for patients and taxpayers" highlights significant inefficiencies in Australia's Community Pharmacy sector.

This is particularly the case around ownership and location rules that restrict competition and protect incumbent pharmacy earnings, the analysts highlight.

While the broker acknowledges deregulation could fundamentally reshape earnings across the sector, meaningful reform is considered unlikely given the low political priority and expected opposition from industry groups.

Bell Potter also cautions Sigma Healthcare remains exposed to regulatory risk due to its reliance on Federal Government funding, which can be altered with limited consultation.

Hold retained. Target unchanged at $3.00.

Target price is $3.00 Current Price is $2.93 Difference: $0.07
If SIG meets the Bell Potter target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $3.29, suggesting upside of 11.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.6

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

Ord Minnett rates STO as Accumulate (2) -

Ord Minnett updates its Energy sector outlook to reflect the prolonged disruption to oil and LNG markets following the ongoing Middle East conflict and the effective closure of the Strait of Hormuz.

While the broker has modestly lowered its Brent crude and LNG price forecasts in line with the forward curve, it's felt risks remain firmly skewed to the upside.

Low OECD inventories, the threat of further supply disruptions through the Bab-el-Mandeb Strait, improving Chinese demand and continued Middle East production outages are all expected to support higher energy prices.

The target for Santos slips to $7.60 from $7.80. Accumulate rating maintained.

Target price is $7.60 Current Price is $7.68 Difference: minus $0.08 (current price is over target).
If STO meets the Ord Minnett target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $8.25, suggesting upside of 5.6% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

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

Market Sentiment: 0.8

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

Citi rates SUN as Neutral (3) -

Citi notes insurance stocks have performed relatively well since March and the sector's average PER is around 16x compared to circa 11x in 2022.

The valuation re-rating removes much of the appeal for the sector, the analyst believes, with only nib Holdings ((NHF)) the remaining stock ascribed a Buy rating.

Post the trading update on 3 July, the analyst expects few surprises at the upcoming FY26 result.

A key question is whether affordability is starting to impact premium growth, the analyst states. Neutral rated with a $19.25 target price.

Target price is $19.25 Current Price is $19.05 Difference: $0.2
If SUN meets the Citi target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $19.89, suggesting upside of 3.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.5

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

Ord Minnett rates VEA as Buy (1) -

Ord Minnett updates its Energy sector outlook to reflect the prolonged disruption to oil and LNG markets following the ongoing Middle East conflict and the effective closure of the Strait of Hormuz.

While the broker has modestly lowered its Brent crude and LNG price forecasts in line with the forward curve, it's felt risks remain firmly skewed to the upside.

Low OECD inventories, the threat of further supply disruptions through the Bab-el-Mandeb Strait, improving Chinese demand and continued Middle East production outages are all expected to support higher energy prices.

The target for Viva Energy remains at $2.85. Buy rating maintained.

Target price is $2.85 Current Price is $2.34 Difference: $0.51
If VEA meets the Ord Minnett target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $2.84, suggesting upside of 16.7% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 0.8

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

Ord Minnett rates VGL as Buy (1) -

Ord Minnett previews Vista International's 1H2026 results and expects robust box office, the absence of FX headwinds and solid performance on the sites that are being transitioned, sets up the company for a "strong" year.

Revenue and cloud site transitions are noted as being skewed to the second half with this year proving to be the same. Vista is expected to achieve 2000 cloud site targets and revenue is anticipated to come in at the upper end of 2026 guidance.

Box office domestically is running at $4.8bn year-to-date, the broker notes, the second highest half year since 2019. Around 20% of revenue is tied to the box office.

The analyst points out the stock has been out of favour for a few months and is trading at 12x 2027 EV/earnings (EBITDA); well below the sector average of 15x.

Buy rated with a lower target of $2.99, down from $3.10.

Target price is $2.99 Current Price is $2.07 Difference: $0.92
If VGL meets the Ord Minnett target it will return approximately 44% (excluding dividends, fees and charges).

Current consensus price target is $2.99, suggesting upside of 45.1% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY26:

Forecast for FY27:

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

Market Sentiment: 0.7

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

Macquarie rates WBC as Underperform (5) -

Despite the deterioration in the housing market and lending, institutional investors were net buyers of banks over the June quarter. Domestic institutions bought CommBank, National Australia Bank and Westpac while offshore bought CommBank and National Australia Bank.

Macquarie's industry feedback signals banks have been used as a funding leg to play the AI theme, particularly by offshore investors. Retail investors continue to be net sellers of banks with selling activity concentrated in CommBank and National Australia Bank.

Westpac has an Underperform rating and $30 target.

Target price is $30.00 Current Price is $36.56 Difference: minus $6.56 (current price is over target).
If WBC meets the Macquarie target it will return approximately minus 18% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $33.85, suggesting downside of -7.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: -0.7

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

Morgans rates WDS as Hold (3) -

Morgans marks-to-market the 2026 earnings estimates which results in a slight decline in EBITDA forecasts of -2.5% for 2026 and -1.1% for 2027.

Target price slips to $33.40 from $34 with no change to Hold rating.

Target price is $33.40 Current Price is $30.46 Difference: $2.94
If WDS meets the Morgans target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $29.81, suggesting downside of -3.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY26:

Forecast for FY27:

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 WDS as Sell (5) -

Ord Minnett updates its Energy sector outlook to reflect the prolonged disruption to oil and LNG markets following the ongoing Middle East conflict and the effective closure of the Strait of Hormuz.

While the broker has modestly lowered its Brent crude and LNG price forecasts in line with the forward curve, it's felt risks remain firmly skewed to the upside.

Low OECD inventories, the threat of further supply disruptions through the Bab-el-Mandeb Strait, improving Chinese demand and continued Middle East production outages are all expected to support higher energy prices.

The target for Woodside Energy remains at $24.75. Sell rating maintained.

Target price is $24.75 Current Price is $30.46 Difference: minus $5.71 (current price is over target).
If WDS meets the Ord Minnett target it will return approximately minus 19% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $29.81, suggesting downside of -3.6% (ex-dividends)

Forecast for FY26:

Forecast for FY27:

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

Bell Potter rates WTC as Buy (1) -

Bell Potter believes WiseTech Global could be the next large-cap technology stock to rally as recent headwinds begin to ease.

Commentary notes headwinds include governance concerns, uncertainty around customer DSV and expectations for FY26 results and FY27 guidance.

The broker expects the company to meet FY26 guidance and believes reduced market expectations increase the likelihood FY27 guidance meets consensus.

Positive commentary around customer migration to the new pricing model could provide a further catalyst, Bell Potter suggests.

Buy retained. Target unchanged at $71.75.

Target price is $71.75 Current Price is $34.95 Difference: $36.8
If WTC meets the Bell Potter target it will return approximately 105% (excluding dividends, fees and charges).

Current consensus price target is $69.50, suggesting upside of 106.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

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

Citi rates ZIP as Buy (1) -

Citi upgrades EBTDA forecasts for Zip Co to reflect stronger US TTV growth, partially offset by lower Australasian growth. Upside risks to its FY26 cash forecast of $265m are anticipated, amid potentially lower operating expenditure as hiring activity analysis points to a slowdown.

The focus of the upcoming result will be on the building blocks for US TTV growth and state-based regulations are likely to be "topical", Citi suspects, as New York City has published draft regulations for consultation.

Buy rating and the target is increased to $3.55 from $2.60, largely reflecting higher peer multiples.

Target price is $3.55 Current Price is $2.98 Difference: $0.57
If ZIP meets the Citi target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $3.76, suggesting upside of 30.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY26:

Forecast for FY27:

Market Sentiment: 1.0

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