Australian Broker Call

Deutsche Bank rates ALL as Buy (1) -

After meeting equipment manufacturers and casino operators, Deutsche Bank estimates the company is still gaining share in gaming and the 'for-sale' segments of the market, and this should continue for the next two years with the release of new cabinets and content.

The broker believes Aristocrat is well placed to exceed forecasts. Buy rating and $41.45 target maintained.

Target price is $41.45 Current Price is $29.45 Difference: $12
If ALL meets the Deutsche Bank target it will return approximately 41% (excluding dividends, fees and charges).

Current consensus price target is $34.94, suggesting upside of 18.6% (ex-dividends)

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.8

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

Ord Minnett rates CAJ as Buy (1) -

The company has announced the acquisition of West Coast Radiology, taking its WA network to 8 clinics and delivering earnings accretion of 1.2% for FY19.

Ord Minnett observes the stock continues to trade at a deep discount to listed peers as well as recent bid multiples, which is considered unjustified. A Buy rating is reiterated. Target is raised to $0.34 from $0.32.

Target price is $0.34 Current Price is $0.27 Difference: $0.07
If CAJ meets the Ord Minnett target it will return approximately 26% (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

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

Cochlear reiterated FY19 net profit guidance of $265-275m. Given spot FX rates Morgan Stanley expected some upside to guidance was possible, and while this was not articulated it is not necessarily ruled out.

The company has also reiterated capital expenditure commitments of $80-100m per annum for the next few years in China and IT platforms.

Equal-weight rating, In-Line industry view. Target is $182.

Target price is $182.00 Current Price is $188.72 Difference: minus $6.72 (current price is over target).
If COH meets the Morgan Stanley target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $183.11, suggesting downside of -3.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.4

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

Macquarie rates EVN as Outperform (1) -

Evolution has had a solid start to the year, the broker notes, posting a Sep Q report which featured gold production ahead of expectation and organic growth projects on track, with upside offered by recent board approval of Mt Carlton underground.

Outperform retained. Target rises to $3.10 from $3.00.

Target price is $3.10 Current Price is $3.00 Difference: $0.1
If EVN meets the Macquarie target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $3.02, suggesting upside of 0.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.4

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

UBS rates FLN as Neutral (3) -

The company has reported cash receipts were up 4% in the September quarter. Operating earnings were positive for Marketplace in the quarter.

Overall growth is still hampered by changes to memberships but this has now cycled and UBS notes memberships are now back to low levels of growth. The broker maintains a Neutral rating and $0.53 target.

Target price is $0.53 Current Price is $0.60 Difference: minus $0.07 (current price is over target).
If FLN meets the UBS target it will return approximately minus 12% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.0

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

Deutsche Bank rates FMG as Sell (5) -

Deutsche Bank incorporates the recent buyback and reviews the industry ahead of China's winter shutdown. The broker takes a cautious view in forecasting benchmark iron ore at US$65/t for the fourth quarter followed by US$62/t in 2019.

Sell rating and $3.80 target maintained.

Target price is $3.80 Current Price is $3.91 Difference: minus $0.11 (current price is over target).
If FMG meets the Deutsche Bank target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.65, suggesting upside of 18.9% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

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

Market Sentiment: 0.3

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

UBS rates JHX as Buy (1) -

UBS suspects James Hardie's business is at an inflection point. The next leg of growth is likely to prove more challenging and more expensive to achieve. Still, UBS believes the business and strategy is sound and retains a Buy rating, calculating the share price has overshot to the downside and is factoring in a bearish set of assumptions.

Target is reduced to $24.40 from $26.20. The broker reduces long-term earnings forecasts for FY22 and beyond by -10% to reflect slower growth in US housing starts and a greater appreciation for the expected increase in the cost to serve.

Target price is $24.40 Current Price is $19.50 Difference: $4.9
If JHX meets the UBS target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $24.09, suggesting upside of 23.5% (ex-dividends)

The company's fiscal year ends in March.

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: 0.9

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

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

Client losses and the effects of the Commonwealth budget have caused the stock to underperform over the past six months. However, UBS believes momentum is improving, as is gearing, and there is significant upside from capital redeployment.

The broker believes the market is ascribing no value to several positive factors, such as longer-term funds administration growth and options for capital management, which could drive an increase in value of more than 20%. UBS upgrades to Buy from Neutral. Target is raised to $8.90 from $8.00.

Target price is $8.90 Current Price is $7.74 Difference: $1.16
If LNK meets the UBS target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $8.54, suggesting upside of 10.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.5

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

Citi rates NAB as Buy (1) -

The bank has announced compensation provisions for FY18, and Citi suspects more is to come in FY19, which may be problematic given the timing of the APRA deadline of January 2020 to reach the unquestionably strong benchmark of a CET1 ratio of 10.5%. The broker expects the CET1 ratio to recover to around 10% at the FY18 results.

The broker believes National Australia Bank requires around $2bn in capital to meet requirements based on its growth estimates. The capital position is very tight and Citi suspects the bank may choose to raise additional capital as soon as the FY18 result.

Still, its position in business banking should underpin the stock for the medium term versus peers. Buy rating and $32.25 target maintained.

Target price is $32.25 Current Price is $25.87 Difference: $6.38
If NAB meets the Citi target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $29.68, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

Deutsche Bank rates NAB as Buy (1) -

The bank is taking provisions for customer remediation and regulatory costs, impacting FY18 cash earnings by $261m, post tax. Deutsche Bank is not surprised as the bank had flagged additional provisions at its August update.

The broker estimates the capital impact on the CET1 ratio is more than eight basis points. Buy rating and $30 target maintained.

Target price is $30.00 Current Price is $25.87 Difference: $4.13
If NAB meets the Deutsche Bank target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $29.68, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

Macquarie rates NAB as Outperform (1) -

NAB has confirmed the customer rebate charge of $314 flagged at the quarterly update and warned there could be further costs in FY19. The broker is not factoring in a forecast for additional remediation costs, fines etc but rather applies a -5-10% valuation discount across the sector to account for the risk.

The broker suggests NAB will likely discount its DRP to bolster capital lost through remediation charges and may need to cut its dividend to avoid ongoing earnings pressure if further costs need to be booked. Target falls to $29 from $31, Outperform retained.

Target price is $29.00 Current Price is $25.87 Difference: $3.13
If NAB meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $29.68, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

Morgan Stanley rates NAB as Underweight (5) -

The bank will include remediation costs of $314m, post-tax, in its FY18 result and notes the potential for further costs for customer remediation is uncertain at this point in time.

Morgan Stanley does not expect the news to have a material impact on the share price but warns that recent announcements from the major banks indicate fines and/or customer remediation could emerge earlier and be greater than consensus estimates.

Underweight. Industry view: In-line. Price target is $26.30.

Target price is $26.30 Current Price is $25.87 Difference: $0.43
If NAB meets the Morgan Stanley target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $29.68, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

Ord Minnett rates NAB as Accumulate (2) -

The bank has quantified customer remediation costs to be taken in the second half of FY18 at $314m, which Ord Minnett observes is consistent with similar provisions recently outlined by other major banks.

The broker expects the second half CET1 ratio to decline to around 10.15%, which raises the prospect of a potential cut to dividends in the next 12 months. At this stage, the broker assumes capital is built through a discounted dividend reinvestment plan in preference to a cut. Accumulate rating and $32.20 target maintained.

Target price is $32.20 Current Price is $25.87 Difference: $6.33
If NAB meets the Ord Minnett target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $29.68, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

UBS rates NAB as Sell (5) -

The bank will take $449m in pre-tax charges for customer remediation. UBS reduces FY18 estimates for earnings per share by -4.5% as a result. The broker now expects the CET1 ratio to fall to 10.16% in FY18 before rising to around 10.5% by FY20.

This is predicated on impairment charges remaining near historical lows as well as ongoing revenue growth. The broker also suggests, should the credit cycle deteriorate, the bank may need to cut its dividend to a more sustainable level. Sell rating and $26.20 target maintained.

Target price is $26.20 Current Price is $25.87 Difference: $0.33
If NAB meets the UBS target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $29.68, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

Credit Suisse rates NST as Underperform (5) -

Northern Star has re-stated the Pogo mine resource to be JORC compliant. The high confidence measured and indicated resource now totals 1.67m ounces. The inferred resource has increased to 2.48m ounces, although Credit Suisse suggests progressive drilling should convert much of this back to measured and indicated.

The company has budgeted $15-20m in exploration at Pogo over the rest of FY19. Underperform rating maintained. Target is $6.10.

Target price is $6.10 Current Price is $8.87 Difference: minus $2.77 (current price is over target).
If NST meets the Credit Suisse target it will return approximately minus 31% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.89, suggesting downside of -11.1% (ex-dividends)

The company's fiscal year ends in June.

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 NST as Underweight (5) -

The company has converted its Pogo resource to a JORC compliant resource of 4.15m ounces at 14.7g/t. The percentage of inferred resources has increased to 60% from 22%. A new JORC reserve is expected at the end of FY19.

Underweight rating. Industry view is In-Line. Target is $6.95.

Target price is $6.95 Current Price is $8.87 Difference: minus $1.92 (current price is over target).
If NST meets the Morgan Stanley target it will return approximately minus 22% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $7.89, suggesting downside of -11.1% (ex-dividends)

The company's fiscal year ends in June.

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

Citi rates ORA as Neutral (3) -

While the shares have corrected around -10% since the peak in August, Citi expects support in the near term as continued earnings growth has been reaffirmed for FY19.

Growth projects are progressing as planned and the company is back targeting acquisitions. At this stage, Citi retains a Neutral rating and $3.70 target.

Target price is $3.70 Current Price is $3.35 Difference: $0.35
If ORA meets the Citi target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $3.60, suggesting upside of 7.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.3

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

Deutsche Bank rates ORA as Upgrade to Hold from Sell (3) -

Deutsche Bank observes the share price has underperformed the market over the past three months, while the company has reiterated full-year guidance for underlying earnings growth, subject to global economic conditions.

The broker upgrades to Hold from Sell. Target is $3.20.

Target price is $3.20 Current Price is $3.35 Difference: minus $0.15 (current price is over target).
If ORA meets the Deutsche Bank target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.60, suggesting upside of 7.4% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.3

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

Macquarie rates ORA as Outperform (1) -

At its AGM, Orora confirmed first quarter profit is up on the previous year and in line with assumptions, with major capital projects progressing as expected. Management changes have led to a steady improvement in the performance of Orora Visual.

The broker notes the weaker A$ is a tailwind and acquisitions remain the focus given a strong balance sheet. Outperform retained, target rises to $3.78 from $3.70.

Target price is $3.78 Current Price is $3.35 Difference: $0.43
If ORA meets the Macquarie target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $3.60, suggesting upside of 7.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.3

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

Credit Suisse rates PLS as Outperform (1) -

Credit Suisse believes the operating performance in the September quarter, along with the first concentrate sale that exceeds quality benchmarks, endorses the Pilgangoora project and represents a major de-risking.

The broker believes the discount the market applies to the stock should diminish as the performance is demonstrated. Outperform and $1.15 target retained.

Target price is $1.15 Current Price is $0.81 Difference: $0.34
If PLS meets the Credit Suisse target it will return approximately 42% (excluding dividends, fees and charges).

Current consensus price target is $1.08, suggesting upside of 32.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.8

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

Ord Minnett rates PLS as Hold (3) -

Ord Minnett observes it may take longer than previously expected for the company to reach targeted recoveries at its Pilgangoora project. Pilbara Minerals processed 174,000t of ore in the September quarter.

Guidance on production costs for the September quarter was also materially higher than the broker expected. Still, there appears to be sufficient funding based on current assumptions for two concentrate shipments in the current quarter. Hold rating maintained. Target is reduced to $0.90 from $1.00.

Target price is $0.90 Current Price is $0.81 Difference: $0.09
If PLS meets the Ord Minnett target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $1.08, suggesting upside of 32.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.8

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

Citi rates RIO as Buy (1) -

Citi observes weaker iron ore production and shipments offset higher-than-forecast copper and bauxite volumes in the September quarter. Guidance is retained for Pilbara shipments at the upper end of the 330-340mt range. Copper guidance has been revised to the upper end of the prior range of 510-610,000t.

Aluminium guidance has been lowered to 3.4-3.5mt because of the ongoing strike at the Becancour smelter. Citi maintains a Buy rating and $90 target.

Target price is $90.00 Current Price is $78.89 Difference: $11.11
If RIO meets the Citi target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $88.10, suggesting upside of 11.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

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

Credit Suisse rates RIO as Outperform (1) -

Credit Suisse notes iron ore shipments were softer in the September quarter but guidance is unchanged, with the upper end of the 330-340mt forecast expected. A delayed ramp up is expected at Oyu Tolgoi amid challenges with ground conditions.

Outperform and $89 target retained.

Target price is $89.00 Current Price is $78.89 Difference: $10.11
If RIO meets the Credit Suisse target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $88.10, suggesting upside of 11.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

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

Deutsche Bank rates RIO as Hold (3) -

September quarter production was largely in line with expectations. Pilbara shipments were lower than the prior quarter, although full year guidance has been reiterated at the upper level of the former range, which Deutsche Bank calculates to mean a lift in production to 85-89mt in the current quarter, a 4-8% quarter on quarter increase.

Hold rating and $84 target maintained.

Target price is $84.00 Current Price is $78.89 Difference: $5.11
If RIO meets the Deutsche Bank target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $88.10, suggesting upside of 11.7% (ex-dividends)

Forecast for FY18:

Forecast for FY19:

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

Macquarie rates RIO as Outperform (1) -

A solid Sep Q production report from Rio featured an in-line result for iron ore but beats for copper and industrial minerals. Bauxite and alumina production were the only weak spots, the broker notes.

The exit from coal is now complete and robust commodity prices provide for upside potential to current capital management programs, the broker suggests. Outperform retained, target rises to $92 from $91.

Target price is $92.00 Current Price is $78.89 Difference: $13.11
If RIO meets the Macquarie target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $88.10, suggesting upside of 11.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

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

Morgans rates RIO as Add (1) -

September quarter production was slightly softer than expected. Morgans observes most of the quarterly performance was driven by iron ore as it dominates group earnings. There was a small decline in mined and shipped volumes from the Pilbara because of interruptions from maintenance and a fatality.

Morgans also observes that Rio Tinto has not participated in much of the upside stemming from tightness in the aluminium market because of legacy contracts linked to the depressed LME aluminium price. The company estimates this resulted in negative earnings impact in the first half of 2018 and a further -US$130m loss in the September quarter.

Morgans maintains an Add rating and raises the target to $82.28 from $81.32.

Target price is $82.28 Current Price is $78.89 Difference: $3.39
If RIO meets the Morgans target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $88.10, suggesting upside of 11.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

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

Ord Minnett rates RIO as Accumulate (2) -

Pilbara iron ore shipments were lower-than-expected in the September quarter, the result of a fatality and maintenance. The AutoHaul train project continues to progress. Other divisions were generally ahead of forecasts.

Ord Minnett continues to believe the stock is a compelling investment proposition and investors should also benefit from a 5.3% dividend yield and further buybacks. Accumulate rating maintained. Target is raised to $94 from $93.

Target price is $94.00 Current Price is $78.89 Difference: $15.11
If RIO meets the Ord Minnett target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $88.10, suggesting upside of 11.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

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

UBS rates RIO as Buy (1) -

Iron ore shipments in the September quarter were slightly below UBS estimates. Mined copper and titanium dioxide slag were better than expected. Production guidance for all commodities is unchanged with the exception of aluminium which has been lowered because of labour disputes at the Becancour smelter.

Rio Tinto advises a nine-month delay at Oyu Tolgoi and first sustainable production scheduled for the September quarter of 2021, largely because of adverse ground conditions. First bauxite from Amrun is forecast in the December quarter 2018, ahead of schedule.

Buy rating maintained. Target is $90.

Target price is $90.00 Current Price is $78.89 Difference: $11.11
If RIO meets the UBS target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $88.10, suggesting upside of 11.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

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 SAR as Sell (5) -

Citi observes a good start to the financial year with September quarter production at a record 88,900 ounces. Outperformance was driven by higher throughput, including Carosue Dam, which may have reduced costs.

Guidance for FY19 is maintained, and the broker suspects the company could beat this if a similar performance is maintained in subsequent quarters. Sell rating retained. Target is raised to $1.95 from $1.65.

Target price is $1.95 Current Price is $2.17 Difference: minus $0.22 (current price is over target).
If SAR meets the Citi target it will return approximately minus 10% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.0

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

Macquarie rates SAR as Outperform (1) -

Saracen has set a strong foundation for FY19, the broker suggests, given record first quarter production and both mines performing well. The broker now expects a mill expansion at Carosue Dam, under consideration, to provide a step-change in throughput.

The company has set aside funds for exploration and growth and the broker notes success at Karari and Whirling Dervish to date underpins the upside case. Outperform retained, target rises to $2.50 from $2.10.

Target price is $2.50 Current Price is $2.17 Difference: $0.33
If SAR meets the Macquarie target it will return approximately 15% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.0

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

Deutsche Bank rates SGM as Hold (3) -

The company has announced a buyback of up to 10% of issued capital. The program is to commence after the AGM on November 8. While believing the announcement is positive, Deutsche Bank does not anticipate a larger portion of capital being returned to shareholders.

Hold rating and $12.50 target maintained.

Target price is $12.50 Current Price is $12.34 Difference: $0.16
If SGM meets the Deutsche Bank target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $14.43, suggesting upside of 16.9% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.5

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

Morgans rates SYD as Upgrade to Add from Hold (1) -

Across FY18-22, Morgans upgrades the company's retail segment and decreases forecasts for parking earnings. Property earnings estimates are also increased. Overall, this provides a minor lift to operating earnings forecasts.

The Sydney Gateway road project, to reduce congestion around the airport, is considered to be a minor benefit for medium-term interest costs. Sydney Airport's compensation is $170m, with a commitment to invest the compensation in exploring other transport solutions for the airport.

As a result of the recent reduction in the share price Morgans upgrades to Add from Hold. Target is raised to $7.34 from $7.24, factoring in the Gateway deal with the NSW government.

Target price is $7.34 Current Price is $6.56 Difference: $0.78
If SYD meets the Morgans target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $7.50, suggesting upside of 14.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

Morgan Stanley rates TLS as Underweight (5) -

Telstra has reiterated FY19 earnings guidance of $8.7-9.4bn. Telstra has previously stated it will not provide distribution guidance until the first half result in February, once it has improved visibility on free cash flow.

Morgan Stanley observes it is too early to factor in any change in the competitive landscape from the TPG Telecom ((TPM)) and Vodafone merger as the deal has not yet closed.

Underweight rating. Target is $2.60. Industry view: In-Line.

Target price is $2.60 Current Price is $3.07 Difference: minus $0.47 (current price is over target).
If TLS meets the Morgan Stanley target it will return approximately minus 15% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.14, suggesting upside of 2.1% (ex-dividends)

The company's fiscal year ends in June.

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

Citi rates WHC as Buy (1) -

September quarter production was weaker than Citi expected. FY19 volume guidance has been maintained for 22-23mt of saleable coal which implies a significant ramp up at both Narrabri and Maules Creek for the rest of the financial year.

Citi maintains a Buy rating and $5.90 target. The company has now lodged the environmental impact statement for Vickery and a public hearing on the project will be conducted before the end of the year.

Target price is $5.90 Current Price is $5.57 Difference: $0.33
If WHC meets the Citi target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $5.86, suggesting upside of 5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.8

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

Credit Suisse rates WHC as Outperform (1) -

The softer September quarter was largely expected because of the move to the longwall at Narrabri. Credit Suisse expects the December quarter at both Narrabri and Maules Creek to be more normal, noting the incentive to increase metallurgical tonnage remains insufficient, given relative pricing points and as such is being sold as high calorie thermal coal.

Ahead of the AGM on October 25 Credit Suisse notes macro concerns relate to thermal coal prices, although currency tailwinds should ensure free cash flow remains strong. Outperform rating and $6 target maintained.

Target price is $6.00 Current Price is $5.57 Difference: $0.43
If WHC meets the Credit Suisse target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $5.86, suggesting upside of 5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.8

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

Deutsche Bank rates WHC as Buy (1) -

Deutsche Bank reiterates a positive view on the stock, believing it remains compelling value. Two projects likely to generate increased attention over coming months include public hearings on Vickery, and a resource statement for Winchester South.

Buy rating and $6 target maintained.

Target price is $6.00 Current Price is $5.57 Difference: $0.43
If WHC meets the Deutsche Bank target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $5.86, suggesting upside of 5.1% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.8

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

Morgan Stanley rates WHC as Overweight (1) -

A drawdown of inventory helped sales in the September quarter. Full year production guidance is unchanged. Morgan Stanley expects both Maules Creek and Narrabri to return to normal production in the December quarter, amid improving prices and production mix.

Overweight rating maintained. Target is $6.35. Industry view: In-Line.

Target price is $6.35 Current Price is $5.57 Difference: $0.78
If WHC meets the Morgan Stanley target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $5.86, suggesting upside of 5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.8

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

Morgans rates WHC as Upgrade to Add from Hold (1) -

Whitehaven Coal's September production was surprisingly softer but the company is expected to manage the ramp up at Narrabri to meet FY19 guidance. Morgans is confident in the company's experience in managing production challenges as operations age, particularly at Narrabri.

Morgans believes the stock is a compelling exposure to the stronger thermal coal dynamics, supported by the potential for further capital management. Rating is upgraded to Add from Hold. Target is raised to $6.00 from $5.38.

Target price is $6.00 Current Price is $5.57 Difference: $0.43
If WHC meets the Morgans target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $5.86, suggesting upside of 5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.8

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

UBS rates WHC as Buy (1) -

Whitehaven Coal's saleable coal production in the September quarter was -11% below UBS estimates and the mix of coal was less favourable than anticipated.

Full year production guidance is maintained for 22-23mt and the broker expects a strong finish in 2018, with sales lifted by an increase in Narrabri tonnage as production returns to normal rates. Production at Gunnedah has also been accelerated to compensate for the Narrabri outage.

Buy rating maintained. Target is $6.00.

Target price is $6.00 Current Price is $5.57 Difference: $0.43
If WHC meets the UBS target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $5.86, suggesting upside of 5.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.8

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