Australian Broker Call

Macquarie rates AGL as Outperform (1) -

Quarterly data from AGL Energy has reflected a warmer summer and softer electricity volumes. Macquarie notes, combined with the raw material price caps, electricity prices have started to normalise and baseload generation has fallen.

This does not change the FY23 outlook but FY24 and FY25 forward prices have changed, reflecting concern over the approaching El Nino and the imminent closure of Liddell. Fears of a tighter market are lifting average prices.

The broker retains a positive bias in earnings expectations and an Outperform rating.  Target is $8.31.

Target price is $8.31 Current Price is $8.44 Difference: minus $0.13 (current price is over target).
If AGL 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 $8.76, suggesting upside of 1.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.5

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

Macquarie rates AMI as Outperform (1) -

The major change to the Federation project outlined by Aurelia Metals is for order to be processed at Peak instead of Hera, which will be placed into care and maintenance. Capital expenditure to first stope ore is expected to be $76m with total growth capital $143m.

Several metrics have been changed, largely in line with the 2022 feasibility study, and Macquarie updates its funding assumptions which results in -3-66% downgrades to estimates for earnings per share in FY24-27.

Outperform maintained. Target is reduced to $0.22 from $0.25.

Target price is $0.22 Current Price is $0.14 Difference: $0.08
If AMI meets the Macquarie target it will return approximately 57% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.5

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

Ord Minnett rates ANN as Downgrade to Hold from Accumulate (3) -

As the share price has moved through the trigger level Ord Minnett downgrades Ansell to Hold from Accumulate. Target is $30.

Target price is $30.00 Current Price is $28.04 Difference: $1.96
If ANN meets the Ord Minnett target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $26.32, suggesting downside of -6.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

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

Citi rates BOQ as Neutral (3) -

Ahead of the interim results release by Bank of Queensland, officially scheduled for next week Thursday, Citi analysts had opened a so-called negative catalyst watch.

This morning, the regional lender surprised by pre-releasing a series of negative data, including a goodwill impairment of -$200m plus a non-cash provision of -$60m for costs related to a three-year integrated risk program.

The preliminary indication of cash earnings at $256m implies Bank of Queensland's interim result will miss current market consensus by some -3.50%, the broker suggests.

All in all, the broker is surprised and confused at the same time. Details are lacking and why the bank took -$60m below the line as these costs seem to relate to typical bank operating expenses remains an open question, raising more questions at Citi.

Interestingly, Citi has kept its negative catalyst watch alive ahead of next week's results release. Neutral. Target $6.50. No changes to forecasts (not at this stage).

Target price is $6.50 Current Price is $6.49 Difference: $0.01
If BOQ meets the Citi target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $6.96, suggesting upside of 8.2% (ex-dividends)

The company's fiscal year ends in August.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: -0.3

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

Bell Potter rates BPT as Buy (1) -

Beach Energy reported quarterly production and revenues weaker than Bell Potter expected due to lower customer nominations in the Otways and an unplanned outage at the Cooper Basin JV.

No guidance update was provided, but year-to-date production is on track to meet FY23 guidance. First gas from Waitsia Stage 2
remains targeted for late 2023. A delay in the Otways may lead to volume downside risk in FY24, the broker notes.

Beach Energy is rolling off peak capex into a step-change in production and free cash flow in FY24, the broker notes, has a strong balance sheet, and has a capital management framework with franked dividends a key component. Buy retained. Target falls to $2.18 from $2.21.

Target price is $2.18 Current Price is $1.52 Difference: $0.66
If BPT meets the Bell Potter target it will return approximately 43% (excluding dividends, fees and charges).

Current consensus price target is $1.90, suggesting upside of 26.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.6

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

Macquarie rates BPT as Neutral (3) -

Macquarie was disappointed with Beach Energy's March quarter results, as unplanned outages in the Cooper Basin reflected the risks in the "late life" portfolio. This warrants a discounted valuation, in the broker's view, all else being equal.

Yet, upside for Perth Basin prevents the broker from becoming too negative. Meanwhile, delays in Otway well connections have added challenges for FY24, with two of the four being deferred for an unspecified period.

Neutral maintained. Target is reduced to $1.48 from $1.50.

Target price is $1.48 Current Price is $1.52 Difference: minus $0.04 (current price is over target).
If BPT 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 $1.90, suggesting upside of 26.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.6

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

Morgan Stanley rates BPT as Underweight (5) -

Morgan Stanley anticipates the reaction to Beach Energy's March quarter update will be slightly negative, as production was down -5% on the prior comparable quarter and down around -8% versus consensus estimates.

This stemmed from plant outages at Otway and unplanned outages in the Cooper Basin. Sales revenue was down -23% versus the prior corresponding quarter.

FY24 guidance remains subject to a decision on BassGas development for White Ibis and Trefoil and the Enterprise tie-in to the Otway gas plant as well as first CO2 injection in Moomba CCS.

The broker retains its Underweight rating and $1.48 target. Industry view: Attractive.

Target price is $1.48 Current Price is $1.52 Difference: minus $0.04 (current price is over target).
If BPT meets the Morgan Stanley target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.90, suggesting upside of 26.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.6

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

Morgans rates BPT as Add (1) -

Beach Energy's 3Q production missed the consensus expectation by -8% and revenue disappointed, yet Morgans still sees upside to its revised $1.67 target price, down from $1.68.

The broker points out the results were impacted by lower Otway volumes due to planned outages and unplanned outages in some flowlines for the Cooper Basin JV activities.

The Add rating is unchanged.

Target price is $1.67 Current Price is $1.52 Difference: $0.15
If BPT meets the Morgans target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $1.90, suggesting upside of 26.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.6

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

Ord Minnett rates BPT as Buy (1) -

Ord Minnett envisages no longer-term implications from the miss to production expectations in the March quarter, noting Beach Energy has not altered its FY23 production guidance for 19-20.5mmboe.

Ord Minnett believes the improved dividend policy is a potential catalyst for share price appreciation as the company now pays out 40-50% of pre-growth free cash flow. The balance sheet is also considered "appropriately strong".  Buy rating maintained. Target is $3.

Target price is $3.00 Current Price is $1.52 Difference: $1.48
If BPT meets the Ord Minnett target it will return approximately 97% (excluding dividends, fees and charges).

Current consensus price target is $1.90, suggesting upside of 26.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.6

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

UBS rates BPT as Buy (1) -

First quarter production was in line with UBS estimates. Softer production occurred in the Cooper Basin because of an unplanned outage. Western Flank again missed expectations while Beach Energy has guided to more than -10% decline year-on-year in oil production.

The disappointing update was amplified by a delay to new growth in supply from Otway.

Yet the broker retains a Buy rating, assessing the company as the only Australian energy exposure under coverage with a clear path to over 20% free cash flow yield within 18 months. Target is $1.75.

Target price is $1.75 Current Price is $1.52 Difference: $0.23
If BPT meets the UBS target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $1.90, suggesting upside of 26.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.6

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

Ord Minnett rates BSL as Lighten (4) -

Ord Minnett upgrades valuation following a transition to another analyst. This is driven by a reassessment of the operating costs for BlueScope Steel following recent capital expenditure.

The broker also revisits near-term volume and HRC price assumptions in Australia and North America to reflect the probable scenario of a downturn in new residential and non-residential construction activity.

Despite the upward revision to fair value the stock screens overvalued and the broker retains a Lighten rating. Target is raised to $15 from $13.

Target price is $15.00 Current Price is $20.22 Difference: minus $5.22 (current price is over target).
If BSL meets the Ord Minnett target it will return approximately minus 26% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $20.34, suggesting upside of 1.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.4

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

Citi rates CTD as Neutral (3) -

Citi analysts do not think the GBP1.6bn contract with the UK Home Office is the true value of the contract; more an estimate of potential work (not quite the same).

On this basis, the analysts find it difficult to model potential financial impacts. For now, the analysts settle for 10-20% upside to forecast FY24 EBITDA.

Estimates have been left unchanged. Neutral, target price $17.80.

Target price is $17.80 Current Price is $21.18 Difference: minus $3.38 (current price is over target).
If CTD meets the Citi target it will return approximately minus 16% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $22.60, suggesting upside of 4.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.5

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

Macquarie rates CTD as Neutral (3) -

Corporate Travel Management has been awarded a contract from the UK Home Office that could be worth up to $3bn over a two-year period, Macquarie notes. Currently, there is little visibility into the revenue and earnings profile nor any certainty of an extension beyond the initial period.

The key to upside/downside going forward is also the performance in North America and Europe. Neutral maintained. Target is raised to $21.32 from $17.44, driven by earnings revisions and a change in valuation methodology to better reflect longer-term forecasts.

Target price is $21.32 Current Price is $21.18 Difference: $0.14
If CTD meets the Macquarie target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $22.60, suggesting upside of 4.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.5

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

Morgans rates CTD as Add (1) -

According to Morgans, the market should have increased confidence in Corporate Travel Management attaining FY23 and FY24 earnings guidance after its largest ever contract win.

The company has been appointed by the UK Home Office the Bridging Accommodation & Travel Services contract, with a total transaction value (TTV) of around $3.0bn over a two-year period.

The broker's FY25 forecasts are upgraded and FY24 guidance is now considered conservative.The target rises to $24.00 from $21.90 after the analyst also applies a higher multiple. Add.

Target price is $24.00 Current Price is $21.18 Difference: $2.82
If CTD meets the Morgans target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $22.60, suggesting upside of 4.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.5

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

UBS rates CTD as Buy (1) -

Corporate Travel Management has secured a large contract from the UK Home Office with an estimated value of GBP1.6bn and commencing in March 2023 for two years with a one-year extension option.

UBS highlights potential upside risk to FY24/25 forecasts should the contract be extended. Meanwhile, the trajectory in North America is improving and there has been a strong uplift in the European business. The broker retains a Buy rating with a $25.95 target, raised from $25.10.

Target price is $25.95 Current Price is $21.18 Difference: $4.77
If CTD meets the UBS target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $22.60, suggesting upside of 4.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.5

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

UBS rates ELD as Neutral (3) -

Market forces related to the price benefits of chemical agricultural inputs as well as cattle/real estate prices have all normalised faster than UBS initially expected. The broker now expects Elders will endure a decline in FY23 EBIT of around -19%.

This underpins a -19% downgrade to the broker's target, to $9.20 from $11.30.  A Neutral rating is maintained as outperformance is likely to prove challenging given a more subdued environment.

Target price is $9.20 Current Price is $8.38 Difference: $0.82
If ELD meets the UBS target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $11.82, suggesting upside of 42.4% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.4

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

Macquarie rates JIN as Outperform (1) -

Macquarie expects flat lottery volumes in FY23 and, while envisaging FY23 consensus downgrades, believes FY24 should benefit from normalised jackpot activity, digital growth and higher commissions.

The broker finds the stock attractive and expects Jumbo Interactive to re-rate in the near term, narrowing the valuation discount to Lottery Corp ((TLC)). The business has underperformed Lottery Corp by -10% since the first half results.

Outperform maintained. Target is reduced to $16.90 from $17.35.

Target price is $16.90 Current Price is $14.14 Difference: $2.76
If JIN meets the Macquarie target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $17.47, suggesting upside of 28.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 1.0

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

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

Morgan Stanley firms up its estimates of the impact from the cyber attack, reported March 15. Documents stolen relate to existing and past customers as well as previous applicants and records go back as far as 2005.

The broker points out this raises questions as to whether the business complied with privacy laws. The majority of the systems are back online so this is not likely to have a material impact on volumes.

Morgan Stanley raises cost estimates by 2-3% across FY23-25 to reflect the ongoing impact of the incident and the broader acceleration of technology transformation.

The Equal-weight rating is retained. Target is reduced to $1.15 from $1.20. Industry View: In-line.

Target price is $1.15 Current Price is $1.25 Difference: minus $0.105 (current price is over target).
If LFS meets the Morgan Stanley target it will return approximately minus 8% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.22, suggesting downside of -4.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: -0.3

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

Macquarie rates LLL as Outperform (1) -

Leo Lithium has reported drill results from the Goulamina project with high-grade intercepts. Mineralisation remains open at depth and along strike.

Macquarie assesses, despite the recent correction in lithium prices, there is upside to the valuation, which rises to more than $3.60 at spot prices. The broker calculates the current share price is factoring in a spodumene price below US$1600/t.

Outperform rating and $1.50 target maintained.

Target price is $1.50 Current Price is $0.51 Difference: $0.995
If LLL meets the Macquarie target it will return approximately 197% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 1.0

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

Shaw and Partners rates MMI as Buy (1) -

Metro Mining has updated on 2023, indicating the bauxite market is tighter and will tighten further when Indonesia implements the export ban. Shaw and Partners notes the business is very leveraged to an improving bauxite price and upgrades estimates for 2023-25 EBITDA by 13-45%.

The bauxite market has been strong, driven by Chinese demand and the tightness is finally showing up in Australian prices which have lagged those from Guinea and Indonesia. The Buy rating and target price of $0.06 are retained.

Target price is $0.06 Current Price is $0.02 Difference: $0.044
If MMI meets the Shaw and Partners target it will return approximately 275% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 1.0

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

UBS rates NUF as Buy (1) -

Nufarm is expected to reiterate guidance for modest earnings growth in FY23 and deliver a first half EBITDA of around $291m.

UBS assesses the stock is trading at an undemanding 12x FY23 PE, which is an attractive entry point to gain exposure to solid earnings growth as well as significant upside from the ramp up of the Omega-3 and Carinata seed platforms. Buy retained. Target is $7.50.

Target price is $7.50 Current Price is $5.76 Difference: $1.74
If NUF meets the UBS target it will return approximately 30% (excluding dividends, fees and charges).

Current consensus price target is $7.09, suggesting upside of 21.7% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.6

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

Citi rates NXT as Buy (1) -

It is Citi's view the freshly announced hyperscale contract/customer provides yet more evidence of an ongoing strong demand outlook.

Also, the broker argues, the fact this contract runs for 5-6 years instead of the typical 2-3 years suggests there might be some customer anxiety about potential supply constraints.

The broker sees potential for more hyperscalers to come on board, equally to lock-in their future requirements.

Buy rating reiterated. Target price rises to $14.45 from $12.70.

Target price is $14.45 Current Price is $12.22 Difference: $2.23
If NXT meets the Citi target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $13.57, suggesting upside of 11.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.8

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

Macquarie rates NXT as Outperform (1) -

NextDC has announced new contract wins including a hyper-scale customer. Revenue benefits will be skewed towards FY28-29. S3 remains the key beneficiary, now expected to be 46% contracted, which implies most of the contract wins were allocated to S3.

Macquarie welcomes the announcement which provides more certainty to revenue forecasts. Outperform reiterated. Target is raised to $15.30 from $11.10.

Target price is $15.30 Current Price is $12.22 Difference: $3.08
If NXT meets the Macquarie target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $13.57, suggesting upside of 11.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.8

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

Macquarie rates OZL as No Rating (-1) -

OZ Minerals has secured shareholder approval  in relation to BHP Group's ((BHP)) takeover offer. A special dividend of $1.75/share has been declared, subject to the final outcome of the scheme.

The scheme is expected to become effective on April 18. Macquarie remains on research restrictions.

Current Price is $28.17. Target price not assessed.

Current consensus price target is $28.25, suggesting upside of 0.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.3

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

Macquarie rates PMT as Outperform (1) -

Patriot Battery Metals has updated activities at Corvette. A pre-feasibility study is progressing and further drill results are expected in coming months.

Recent drilling results extended the strike at CV5 to 3.15 kilometres and the high-grade Nova zone to over 750m. A maiden resource later this year presents a major catalyst, Macquarie adds. Outperform maintained. Target is $2, raised from $1.80.

Target price is $2.00 Current Price is $1.49 Difference: $0.51
If PMT meets the Macquarie target it will return approximately 34% (excluding dividends, fees and charges).

The company's fiscal year ends in March.

Forecast for FY23:

Forecast for FY24:

This company reports in CAD. 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

Morgan Stanley rates SHL as Overweight (1) -

Morgan Stanley notes base business margins are resilient with benefits from price mix and volume recovery. Furthermore, there are options on the balance sheet.

The broker upgrades forecasts for Sonic Healthcare by 2.7% for FY23 and 7.0% for FY24. At this stage costs appear well managed and revenue growth is outpacing the market.

The broker maintains its Overweight rating despite limited upside to the new price target, raised to $37.75 from $34.80. This stems from the stock's relative ranking to other Australian service providers and its balance sheet strength. Industry view is In-Line.

Target price is $37.75 Current Price is $36.36 Difference: $1.39
If SHL meets the Morgan Stanley target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $34.44, suggesting downside of -5.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.0

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

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

Macquarie observes Australian lotteries have experienced low jackpot activity in the financial year to date. While downgrades are likely for FY23 the broker expects FY24 to benefit from normalised jackpot activity as well as digital growth and higher commissions.

Macquarie assesses Lottery Corp is one of the more defensive ASX discretionary stocks, having outperformed the ASX100 index by 8% since listing in May 2022.

Now the valuation is considered fair the rating is downgraded to Neutral from Outperform. Target is reduced to $5.35 from $5.50.

Target price is $5.35 Current Price is $5.16 Difference: $0.19
If TLC meets the Macquarie target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $5.31, suggesting upside of 6.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.4

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

Bell Potter rates TNE as Hold (3) -

TechnologyOne will report first half earnings on May 23 and Bell Potter is expecting another solid result.

The key focus for the broker will nevertheless be on total annual recurring revenue, forecast to grow by 21% at the end of the half and such a result will make the company's $500m+ target by the end of FY26 look very achievable if not conservative.

Bell Potter has increased the multiple applied in ist enterprise valuation from 25.0x to 27.5x given it believes TechnologyOne should trade at only a modest discount to Altium ((ALU)) which currently trades on an FY23 multiple of around 34x.

Target thus rises to $16.10 from $15.50, Hold retained.

Target price is $16.10 Current Price is $15.10 Difference: $1
If TNE meets the Bell Potter target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $13.26, suggesting downside of -12.7% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.0

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

Macquarie rates TWE as Outperform (1) -

Macquarie reviews the Chinese market for Australian wine, in the expectation trade restrictions could be gradually softened. Red wine has been the growth driver for Australian wine exports to China, in which Penfolds has played a key part.

On the broker's estimates, if the Chinese market were to reopen it would provide EBITS upside of around 17% on FY23 earnings for Treasury Wine Estates.

Nevertheless, it will take a multi-year process to fully service the market again as production needs to be ramped up and wines to be cellared. The Outperform rating and target price of $14.90 are retained. 

Target price is $14.90 Current Price is $14.01 Difference: $0.89
If TWE meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $14.35, suggesting upside of 1.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.5

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