Australian Broker Call

Citi rates CCL as Buy (1) -

Coca-Cola Amatil has released a trading update. Citi expects the volume numbers will surprise on the upside and may lead to consensus broker upgrades.

The company also revealed a non-cash impairment of -$160m-$190m. This relates to the Indonesian business and does not surprise the broker given the pace of volume decline and likely lower medium-term returns.

Citi forecasts revenue of $4,574m and earnings of $524m for FY20.

Buy Rating is maintained. Target price is $9.85.

Target price is $9.85 Current Price is $8.97 Difference: $0.88
If CCL meets the Citi target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $9.25, suggesting upside of 5.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

Credit Suisse rates CCL as Neutral (3) -

Coca-Cola Amatil’s June quarter highlights the world loves Coke and consumers will likely resume consuming the company’s products.

Australian volumes were down only -4% in June year on year with volumes growing in New Zealand.

Management commentary points towards risks to the downside. Tough economic conditions have the consumer seeking value purchases. More people working from home implies fewer purchases through vending machines.

The company may need to adjust its route trade infrastructure to accommodate this new mode of work/life, thinks the broker.

Credit Suisse retains its Neutral view with a target price of $9.

Target price is $9.00 Current Price is $8.97 Difference: $0.03
If CCL meets the Credit Suisse target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $9.25, suggesting upside of 5.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

Macquarie rates CCL as Neutral (3) -

Coca-Cola Amati's trading update has revealed recovering volumes across Australia, post what turned out sharp drops in April and May.

Macquarie analysts do observe Indonesia remains challenging for the company with volumes down -23% in June. On top of this, a write-down of -$160-190m has been flagged.

All in all, confidence has grown at Macquarie volumes are trending back towards normal. Neutral rating retained. Price target $9.20.

Target price is $9.20 Current Price is $8.97 Difference: $0.23
If CCL meets the Macquarie target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $9.25, suggesting upside of 5.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

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

Coca-Cola Amatil announced non-cash impairment for the first half. This is mostly related to its Indonesian business and amounts to -$160-$190m, notes Morgan Stanley.

The company’s June quarter group volumes are -23%, better than expected by the broker. P&L deleveraging seen in the quarter driven by channel shift has the broker concerned.

Morgan Stanley maintains its rating as Equal-weight with a target price of $9.50. Industry view: Cautious.

Target price is $9.50 Current Price is $8.97 Difference: $0.53
If CCL meets the Morgan Stanley target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $9.25, suggesting upside of 5.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

Ord Minnett rates CCL as Hold (3) -

Coca-Cola Amatil released June and second quarter volume figures. The volumes in June were slightly ahead of Ord Minnett forecasts.

The broker highlights the adverse channel mix shift to grocery away from On-The-Go continues. This amplifies the overall negative impact on earnings significantly. The other impacts are lower volumes due to social distancing, reduced tourism and weaker consumer spending.

The company expects to incur -$160m-$190m in non-cash impairments in 1H20, subject to final approvals. This relates mainly to Indonesia. The broker considers the Indonesian outlook remains challenged due to covid-19.

 Hold rating is maintained. The target price is $9.

Target price is $9.00 Current Price is $8.97 Difference: $0.03
If CCL meets the Ord Minnett target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $9.25, suggesting upside of 5.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

UBS rates CCL as Neutral (3) -

Coca-Cola Amatil's volumes increased by a better than expected 9% in the month of June, following a -26% decline in May. The bad news was an impairment taken on Indonesian assets.

The company nevertheless continues to suffer from margins on out-of-home sales, still lagging on lockdowns, being twice that of supermarket sales, the broker notes. The broker also believes covid will bring about a structural shift towards more at-home eating, declining restaurant numbers and healthier alternatives.

Target rises to $9.30 from $9.20, Neutral retained.

Target price is $9.30 Current Price is $8.97 Difference: $0.33
If CCL meets the UBS target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $9.25, suggesting upside of 5.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

Macquarie rates CIM as Neutral (3) -

Looking forward to Cimic Group's release of interim financials on July 30, Macquarie seems convinced it will be a weak performance. The forecast is for a net profit of $327m, down -11% year-on-year.

EPS forecasts have been scaled back by -6%, -7% and -7% for FY20, FY21 and FY22. Target price drops to $24.37 from $25.73.

Neutral rating remains in place.

Target price is $24.37 Current Price is $23.04 Difference: $1.33
If CIM meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $29.84, suggesting upside of 31.5% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.5

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

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

Cooper Energy has released a weaker-than-expected FY21 guidance and Macquarie blames the Otway shutdown, as well as Cooper declines and an uncertain outlook for the Sole project.

In light of a resilient share price, combined with Sole uncertainty, Macquarie thinks the safer option is to downgrade to Neutral from Outperform.

Target price has fallen to 44c from 55c. Estimates have been scaled back and EPS is now expected to return into the black in FY22 instead of the previously forecasted FY21.

Target price is $0.44 Current Price is $0.42 Difference: $0.02
If COE meets the Macquarie target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $0.50, suggesting upside of 28.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

Morgans rates COE as Add (1) -

Cooper Energy released a 4Q20 result with group revenue of $78m versus the broker forecast of $85m. Morgans major focus is on progress being made on commissioning of the flagship Sole gas project.

The company flagged a potentially slower path to reaching nameplate at Sole. This didn't cause the analyst to adjust modelling, as late FY21 was already factored in, as opposed to prior market consensus for early FY21.

The broker continues to see Cooper Energy as offering good value. The Add rating is maintained. The target price is decreased to $0.50 from $0.53.

Target price is $0.50 Current Price is $0.42 Difference: $0.08
If COE meets the Morgans target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $0.50, suggesting upside of 28.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

Ord Minnett rates COE as Accumulate (2) -

Cooper Energy delivered June-quarter production, sales and revenue all below Ord Minnett's estimates.

This was due mainly to a slow production ramp-up at the Sole gas project.

The company expects FY21 production to 'increase significantly' compared to FY20, although no guidance has been given for Sole production.

Accumulate rating is maintained. The target price is increased to $0.62 from $.0.61.

Target price is $0.62 Current Price is $0.42 Difference: $0.2
If COE meets the Ord Minnett target it will return approximately 48% (excluding dividends, fees and charges).

Current consensus price target is $0.50, suggesting upside of 28.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.4

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

Macquarie rates CSL as Neutral (3) -

Macquarie analysts are zooming in on lower plasma collection volumes in recent months, one of the key consequences of on out of control pandemic in the USA.

CSL does have offsets, the analysts acknowledge, but they nevertheless believe the risks are skewed to the negative, short term.

Currently, Macquarie's FY21 EPS estimate sits some -4% below market consensus. Price target remains $300.50 and the rating is Neutral.

Also, Macquarie analysts will be closely watching competitors Takeda and Grifols reporting on July 31 and July 30 respectively.

Target price is $300.50 Current Price is $282.42 Difference: $18.08
If CSL meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $307.60, suggesting upside of 11.0% (ex-dividends)

The company's fiscal year ends in May.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.4

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

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

Morgan Stanley notes larger than expected deterioration in plasma collections for CSL due to social distancing and increased donor fees. Further deterioration is expected with the broker predicting a decrease in raw material in the June and September quarters.

Since the company’s immunoglobulin (Ig) business has a nine-month inventory turn, depressed collections during these two quarters will impact the second half of FY21, highlights the broker.

The company affirmed its FY20 guidance supported by strong flu and lower R&D but may not provide any FY21 guidance due to the impact of covid-19.

Morgan Stanley retains its Equal-weight rating with the target price decreasing to $265 from $270. Industry view: In-line.

Target price is $265.00 Current Price is $282.42 Difference: minus $17.42 (current price is over target).
If CSL meets the Morgan Stanley target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $307.60, suggesting upside of 11.0% (ex-dividends)

The company's fiscal year ends in May.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.4

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

UBS rates CWY as Neutral (3) -

The broker suggests there is an expectation Cleanaway Waste Management is a defensive rather than cyclical stock given the nature of waste. But that is to overlook the impact of the virus on construction & industrial waste as opposed to general household waste. The broker suggests the FY20 result could thus disappoint some.

An increase in re-lockdowns has further implications moving into FY21. But the broker retains Neutral on a relative (rather than absolute) PE basis and notes the company could use this time to re-base costs. Target rises to $2.15 from $1.85.

Target price is $2.15 Current Price is $2.22 Difference: minus $0.07 (current price is over target).
If CWY meets the UBS target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.32, suggesting upside of 5.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.6

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

Morgan Stanley rates DTC as Overweight (1) -

Damstra Holdings reiterates its FY20 revenue of $22m and an operating income of $5.6m, in-line with its previous guidance. It also highlights 91% of its revenue is recurring.

Morgan Stanley notes the company continues to build out its partner network across Australia and the US. The broker considers the company’s ability to integrate all acquisitions and cross-sell its solutions to be crucial to its earnings.

Morgan Stanley reaffirms its Overweight rating with the target price increasing to $2 from $1.8. Industry view: In-line.

Target price is $2.00 Current Price is $1.73 Difference: $0.27
If DTC meets the Morgan Stanley target it will return approximately 16% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Macquarie rates ELD as Initiation of coverage with Outperform (1) -

Macquarie has initiated coverage on Elders with a maiden price target of $12.83, accompanied by an Outperform rating.

The broker sees defensive growth, forecast at 27% and 8% respectively for FY21 and FY22. Plus upside potential from both organic and inorganic opportunities (as well as seasonality).

On the analysts' observation, Elders has proved resilient throughout three years of drought conditions. The company should reap the benefits from improved seasonal conditions.

Target price is $12.83 Current Price is $10.25 Difference: $2.58
If ELD meets the Macquarie target it will return approximately 25% (excluding dividends, fees and charges).

The company's fiscal year ends in September.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.5

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

Citi rates EVN as Sell (5) -

Gold production for Evolution Mining was close to Citi's expectations, while performance improved universally across the sites as compared to the prior quarter.

The broker expects that a turnaround may be on track at Red Lake due to lower costs. Also, higher tonnes than the broker expected were revealed at Cowral, for the GRE46 underground area.

The final results are due on August 13, along with a three year outlook.

The broker believes organic growth is attractive but doesn't support the current share price.

Sell rating is maintained. Target price is $5.60.

Target price is $5.60 Current Price is $6.31 Difference: minus $0.71 (current price is over target).
If EVN meets the Citi target it will return approximately minus 11% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.85, suggesting downside of -16.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.7

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

Credit Suisse rates EVN as Downgrade to Neutral from Outperform (3) -

Evolution Mining’s June quarter production stands at 218koz with high free cash flows. The company has not provided any explicit guidance except for Cowal which is lower than expected.

For Red Lake, the broker reports management indicated it will be focusing on long term establishment but did not go into specifics.

Credit Suisse downgrades its rating to Neutral from Outperform with the target price increasing to $6 from $5.45.

Target price is $6.00 Current Price is $6.31 Difference: minus $0.31 (current price is over target).
If EVN meets the Credit Suisse target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.85, suggesting downside of -16.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.7

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

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

It is Macquarie's view that Evolution Mining finished FY20 with strong momentum, supported by cost discipline and buoyant metal prices.

Cash flow came in at a record. Plus the maiden reserve at Cowal proved ahead of schedule, opening up the possibility of an early start to mining, but the grade is marginally below expectation.

Macquarie, however, does not think current strong momentum can be maintained. On that basis, the rating is being downgraded to Underperform from Neutral.

Target price $5.20 (-20c).

Target price is $5.20 Current Price is $6.31 Difference: minus $1.11 (current price is over target).
If EVN 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 $4.85, suggesting downside of -16.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.7

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

Morgan Stanley rates EVN as Underweight (5) -

Evolution Mining managed to finish the year (FY20) on a good note, helped by high grading across sites. FY20 production was in-line with guidance and a little better than Morgan Stanley’s estimates.

The strong production grades also helped AISC (all-in sustaining costs) performance with costs lesser than expected by the broker. FY21 guidance is expected with the final results in August.

Morgan Stanley reaffirms its Underweight rating with a target price of $4.40. Industry view: Attractive.

Target price is $4.40 Current Price is $6.31 Difference: minus $1.91 (current price is over target).
If EVN meets the Morgan Stanley target it will return approximately minus 30% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.85, suggesting downside of -16.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.7

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

Ord Minnett rates EVN as Sell (5) -

Evolution Mining saw a strong finish to FY20 with gold production beating Ord Minnett’s forecast by 8% and costs by 12%.

Cowal’s FY21 guidance at 205-230koz is lower than the broker’s estimated 280koz. The company is expected to give three-year guidance with its result.

The broker forecasts production to shrink to 708koz for FY21 and 807koz in FY22.

Ord Minnett reaffirms its Sell rating with the target price decreasing to $4.10 from $4.20.

Target price is $4.10 Current Price is $6.31 Difference: minus $2.21 (current price is over target).
If EVN meets the Ord Minnett target it will return approximately minus 35% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.85, suggesting downside of -16.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.7

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

UBS rates EVN as Sell (5) -

The focus of Evolution Mining's June quarter report was on Cowal FY21 production and underground reserve guidance, both of which disappointed the broker on weaker than expected grades.

FY21 will be a transition year, the broker suggests, with flagship Cowal only processing stockpiles and Red Lake still in the investment phase.

Target falls to $4.60 from $5.00. Sell retained on overvaluation to peers.

Target price is $4.60 Current Price is $6.31 Difference: minus $1.71 (current price is over target).
If EVN meets the UBS target it will return approximately minus 27% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.85, suggesting downside of -16.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.7

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

Citi rates GXY as Neutral (3) -

As Galaxy Resource had pre-reported, Citi suggests there is only minor news.

The company noted the lithium market continues to experience weak demand across the entire lithium value chain and the full impact of covid-19 on sales remains uncertain.

Sales are being dictated by the pace that customers can destock inventory and shipments are currently being made on a spot price basis.

Neutral/High Risk is maintained. Target is increased to $1.10 from $0.90.

Target price is $1.10 Current Price is $1.09 Difference: $0.01
If GXY meets the Citi target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $0.83, suggesting downside of -23.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.3

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

Morgan Stanley rates GXY as Underweight (5) -

The June quarter cost of production was 18% better than Morgan Stanley’s estimate despite lower recoveries (-3%). They were likely helped by higher production and optimisation of waste stockpile, notes the broker.

Recoveries in April were lower than expected due to higher lepidolite ore. 2020 guidance remains unchanged with shipments of 26-31 kdmt expected in the third quarter.

Morgan Stanley maintains its Underweight rating with a target price of $0.70. Industry view: Attractive.

Target price is $0.70 Current Price is $1.09 Difference: minus $0.39 (current price is over target).
If GXY meets the Morgan Stanley target it will return approximately minus 36% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $0.83, suggesting downside of -23.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.3

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

UBS rates GXY as Neutral (3) -

Galaxy Resources had already pre-reported June quarter production but a -30% fall in costs was better than expected. Short term challenges remain given inventory overhang due to the virus suppressing EV demand, the broker notes.

The broker has faith in the longer term EV story but notes current lithium pricing is below levels required to incentivise new mining investment. Target rises to $1.10 from $1.09, Neutral retained.

Target price is $1.10 Current Price is $1.09 Difference: $0.01
If GXY meets the UBS target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $0.83, suggesting downside of -23.9% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: -0.3

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

Credit Suisse rates IAG as Outperform (1) -

Credit Suisse notes Insurance Australia Group is suffering from some degree of uncertainty due to business interruption claims from covid-19.

While these claims are meant to be excluded, a wording error is being legally challenged, notes the broker. Should the group be found liable, Credit Suisse expects claims to be in millions and not billions.

While the group now takes on more weather risk than Suncorp Group ((SUN)), the broker does not foresee any major renewal concerns. The group is viewed by the broker as a quality name trading at an attractive entry price.

Credit Suisse maintains its Outperform rating with a target price of $6.40.

Target price is $6.40 Current Price is $5.77 Difference: $0.63
If IAG meets the Credit Suisse target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $6.33, suggesting upside of 18.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.6

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

Ord Minnett rates LYC as Buy (1) -

Lynas Corp’s June quarter headline result was disappointing but not as bad as feared by Ord Minnett. Both operational and financial results were materially below expectations.

The production outlook remains weak due to low demand, leading the broker to reduce its first-half FY21 output forecast to 1,200t per quarter.

The broker does not find the recommencing of Pentagon funding for the Blueline JV surprising.

Ord Minnett maintains its Buy rating with the target price decreasing to $4.50 from $4.70.

Target price is $4.50 Current Price is $2.13 Difference: $2.37
If LYC meets the Ord Minnett target it will return approximately 111% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

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

Covid-19 has created uncertainty in residential housing and volumes are likely to be more volatile than previous cycles, expects Morgan Stanley.

The broker’s analysis of key drivers – stimulus and a shift to detached housing – indicates Mirvac Group volumes may decline.

The broker expects the government’s HomeBuilder stimulus package to favour Stockland ((SGP)) due to its lower price point products and state-based incentives in Queensland and Western Australia.

A trend towards detached housing will benefit Stockland more as its landbank is 99% low density versus Mirvac Group’s 86%. 

Morgan Stanley retains its Equal-weight rating with the target price decreasing to $2.40 from $2.60. Industry view: In-line.

Target price is $2.40 Current Price is $2.15 Difference: $0.25
If MGR meets the Morgan Stanley target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $2.55, suggesting upside of 22.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.6

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

Macquarie rates MGX as Outperform (1) -

Macquarie comments Mount Gibson's quarterly result was largely in line with expectations. A delayed shipment at Koolan Island was offset by higher low-grade sales.

Koolan Island sales are expected to decrease in FY21 before increasing, accompanied by a decline in costs in FY22, point out the analysts.

Macquarie remains of the view this company offers unique exposure to the premium grade iron-ore market. Plus it boasts $0.36/share in cash. Outperform. Target price untouched at $1.

Target price is $1.00 Current Price is $0.72 Difference: $0.28
If MGX meets the Macquarie target it will return approximately 39% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.5

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

Morgans rates MP1 as Hold (3) -

Megaport released its 4Q20 result. Revenue of $58m closely matched Morgans forecast. While sales for the quarter appeared to slow, the broker believes that on an underlying basis they have progressively accelerated in the last two quarters.

The company also guided towards achieving earnings breakeven by the close of FY21, which is six months ahead of the broker's forecast.

Megaport ended the financial year with $166.9m in cash, so is well funded according to Morgans. The company now has 669 enabled data centres which is more than double the footprint of their closest competitor.

The Hold rating is maintained. The target price is $14.14.

Target price is $14.14 Current Price is $13.93 Difference: $0.21
If MP1 meets the Morgans target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $13.70, suggesting upside of 5.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

Ord Minnett rates MP1 as Hold (3) -

Megaport reported in-line June quarter results with some key operational metrics slowing down over the quarter.

Its monthly recurring revenue was also affected by currency headwinds during the quarter, reports Ord Minnett, offsetting a lot of its third-quarter gains.

The company saw a decline in new customer additions and services sales led by project delays. Management is focused on achieving its operating earnings breakeven by FY21.

Ord Minnett maintains its Hold recommendation with the target price increasing to $12.90 from $10.90.  

Target price is $12.90 Current Price is $13.93 Difference: minus $1.03 (current price is over target).
If MP1 meets the Ord Minnett target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $13.70, suggesting upside of 5.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.0

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

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

Even though the August profit release may cause some price weakness, Morgans prefers to get in early with a upgrade to Add, given the share price is -10% below the broker's target price of $6.92. The post-result weakness may arise from limited hospital access in the last few months.

Nanosonics has a technology platform that is highly regarded and Trophon 2, the current product offering, is soon to be expanded with the release of a new technology platform. The timing of the release remains uncertain.

Morgans believes high level disinfection will continue to be a long-term thematic.

Rating is upgraded to Add from Hold. The target price is $6.92.

Target price is $6.92 Current Price is $6.39 Difference: $0.53
If NAN meets the Morgans target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $6.24, suggesting downside of -1.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.3

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

Credit Suisse rates NCM as Neutral (3) -

Newcrest Mining’s June quarter production was 573koz, taking its total FY20 production to 2.17moz, above the miner’s mid-range 2.1-2.2moz.

Production at Lihir remains constrained due to access to fresh ore with stockpile being the dominant feed.

Credit Suisse considers this a pretty straightforward quarter with Cadia mining as the highlight. Ongoing explorations at Haverion and Red Chris look encouraging.

The broker retains its Neutral rating with the target price increased to $35.30 from $30.35.

Target price is $35.30 Current Price is $34.79 Difference: $0.51
If NCM meets the Credit Suisse target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $33.87, suggesting downside of -2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.1

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

Macquarie rates NCM as Underperform (5) -

The Q4 production report revealed 12% better gold production at lower costs than forecast (by some -11%) and Macquarie points at Cadia as the main culprit for the positive surprise.

Meanwhile, exploration at Havieron continues to return encouraging results, the analysts add. All in all, they label the June quarter performance as "strong".

Alas, the target remains unchanged at $28, well below the share price, and thus the rating remains stuck at Underperform.

Target price is $28.00 Current Price is $34.79 Difference: minus $6.79 (current price is over target).
If NCM meets the Macquarie target it will return approximately minus 20% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $33.87, suggesting downside of -2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.1

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

Morgan Stanley rates NCM as Overweight (1) -

Newcrest Mining saw strong June quarter production driven by Cadia’s high performance.

Gold production at Lihir was -6% below Morgan Stanley’s estimate but met the company’s FY20 guidance. The broker is pleased to note cash costs were in line with its estimates, led again by Cadia.

The company has started the process to seek approval to increase Cadia’s current processing capacity to 35mtpa. Expansion continues at Havieron and Red Chris deposits.

Morgan Stanley maintains its Overweight rating with a target price of $32.90. Industry view: Attractive.

Target price is $32.90 Current Price is $34.79 Difference: minus $1.89 (current price is over target).
If NCM meets the Morgan Stanley target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $33.87, suggesting downside of -2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.1

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

Ord Minnett rates NCM as Hold (3) -

Newcrest Mining reported strong June-quarter production of 573,000oz of gold, beating Ord Minnett's forecast by eight percent.

The broker cites the two highlights of Cadia achieving record mining and milling rates and the step-out drilling at Havieron continuing to grow the project's potential.

The broker suggest that FY20 was a year of underperformance but retains the stock as a key preference among the large-cap gold names due to its turnaround potential, growth pipeline, copper tailwind, superior leverage to higher gold prices and relative valuation support.

The Hold rating is maintained. The target price is $34.

Target price is $34.00 Current Price is $34.79 Difference: minus $0.79 (current price is over target).
If NCM meets the Ord Minnett target it will return approximately minus 2% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $33.87, suggesting downside of -2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.1

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

UBS rates NCM as Buy (1) -

Newcrest Mining reported June quarter production 6% ahead of the broker's forecast with costs in line. Drilling results at Havieron have increased the likelihood it will be mined, which could change the economics of Telfer.

The broker does not believe the market is pricing this in. A recent upgrade to Buy was driven by the broker's analysis on both Havieron and Red Chris. Target rises to $38.40 from $35.00.

Target price is $38.40 Current Price is $34.79 Difference: $3.61
If NCM meets the UBS target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $33.87, suggesting downside of -2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.1

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

Citi rates NST as Neutral (3) -

Northern Star Resources released 4Q20 results. Production had been pre-released so new information pertained to costs, according to Citi.

The impacts of covid-19 on productivity was shown at Pogo, with costs 16% higher than the broker's forecast. The company also expects reduced volumes at Pogo, which suggests the company will have insufficient throughput for the current mill expansion until the virus issues are reduced, according to Citi.

Cash at 30 June was $677m with $700m of debt. Neutral rating is maintained. The target price is $16.30.

Target price is $16.30 Current Price is $15.90 Difference: $0.4
If NST meets the Citi target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $14.01, suggesting downside of -9.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.5

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

Credit Suisse rates NST as Downgrade to Neutral from Outperform (3) -

Northern Star Resources pre-disclosed quarterly production of 267koz, which is 30% of FY20’s 905koz. Credit Suisse considers the result a strong finish to the year. Jundee’s performance coupled with high group free cash flows were the highlights, notes the broker.

Mining rates at KCGM accelerated and the broker awaits management’s commentary for its longer-term strategy (due later in 2020).

The broker makes no structural changes to its Pogo investment thesis but does expect a more negative impact than expected on FY21 production. Kalgoorlie is facing issues due to grade decline and there is no clear path for improvement.

No guidance has been provided but management indicated limited growth at Pogo with productivity still constrained due to covid-19 measures.

Credit Suisse downgrades its rating to Neutral from Outperform with the target price increasing to $16 from $14.70.

Target price is $16.00 Current Price is $15.90 Difference: $0.1
If NST meets the Credit Suisse target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $14.01, suggesting downside of -9.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.5

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

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

Northern Star's pre-release market update revealed virus impacts at Pogo and an overall higher level of all-in operational costs, but Macquarie points out management still remains confident in its Australian mines given it paid down $200m in debt.

For now, Macquarie downgrades to Underperform from Neutral, also because the share price has run hard, but the analysts are keen to find out management's guidance for FY21 in August, as well as the FY20 result itself.

Target $14 (-50c).

Target price is $14.00 Current Price is $15.90 Difference: minus $1.9 (current price is over target).
If NST meets the Macquarie target it will return approximately minus 12% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $14.01, suggesting downside of -9.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.5

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

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

Northern Star Resources production and financial metrics were pre-released on July 8.

The broker expects operational improvements in FY21, especially at Pogo. FY21 guidance is expected in August with the financial result.

Morgan Stanley reaffirms its Equal-weight rating with a target price of $11.95. Industry view: Attractive.

Target price is $11.95 Current Price is $15.90 Difference: minus $3.95 (current price is over target).
If NST meets the Morgan Stanley target it will return approximately minus 25% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $14.01, suggesting downside of -9.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.5

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

Ord Minnett rates NST as Lighten (4) -

Northern Star Resources’s June quarter gold production was 267koz bringing the total FY20 production to 905koz. This is only -1% lower than the FY20 guidance that was later withdrawn due to concerns from covid-19.

The company will be providing FY21 guidance in the coming weeks.

Ord Minnett retains its Lighten rating with the target price decreasing to $11.60 from $11.70.

Target price is $11.60 Current Price is $15.90 Difference: minus $4.3 (current price is over target).
If NST meets the Ord Minnett target it will return approximately minus 27% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $14.01, suggesting downside of -9.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.5

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

UBS rates NST as Sell (5) -

Northern Star had already pre-reported June quarter production so costs were the focus of yesterday's report, and they were in line. The broker nevertheless believes the market will be disappointed by FY21 guidance.

The miner offers 5% compound annual production growth out to FY24 on the broker's numbers but this is already priced in and near term forecasts are too high, the broker believes. Target falls to $14.20 from $14.25, Sell retained.

Target price is $14.20 Current Price is $15.90 Difference: minus $1.7 (current price is over target).
If NST meets the UBS target it will return approximately minus 11% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $14.01, suggesting downside of -9.4% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: -0.5

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

Morgan Stanley rates QBE as Overweight (1) -

Covid-19-led impact on QBE Insurance Group was more severe than expected by Morgan Stanley. The quarter saw price rates hardening, leading to more gross written premiums (GWP) and stronger margin gains.

About a third of the extra cost was due to premium refunds and reinstatements, with the rest being higher claims. The broker thinks most of the future claims will relate to trade credit and liability lines.

Finding the valuation attractive, Morgan Stanley maintains its Overweight rating with the target price increasing to $12.50 from $11.60. Industry view: In-line.

Target price is $12.50 Current Price is $10.23 Difference: $2.27
If QBE meets the Morgan Stanley target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $11.07, suggesting upside of 6.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.6

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

Morgan Stanley rates SGP as Overweight (1) -

Covid-19 has created uncertainty in residential housing and volumes are likely to be more volatile than previous cycles, expects Morgan Stanley.

The broker’s analysis of the key drivers – stimulus and a shift to detached homes– indicates tailwinds for Stockland's volumes.

The broker expects the government’s HomeBuilder stimulus package to favour Stockland due to its lower price point products and state-based incentives in Queensland and Western Australia.

Morgan Stanley reiterates its Overweight rating with the target price increasing to $4.35 from $4.30. Industry view: In-line.

Target price is $4.35 Current Price is $3.35 Difference: $1
If SGP meets the Morgan Stanley target it will return approximately 30% (excluding dividends, fees and charges).

Current consensus price target is $3.68, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.3

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

UBS rates SHL as Sell (5) -

Analysis of Sonic Healthcare's contribution to virus testing leads the broker to upgrade its revenue assumptions for FY21. The broker assumes a reduction in routine pathology earnings will be fully offset by increased testing earnings, and total earnings may well be above pre-virus levels.

But trading on an enterprise multiple of 14.4x, some 32% above US peers, Sonic Healthcare remains too rich for the broker. Target rises to $28.00 from $26.75, Sell retained.

Target price is $28.00 Current Price is $32.59 Difference: minus $4.59 (current price is over target).
If SHL meets the UBS target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $31.23, suggesting downside of -2.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.3

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

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

Superloop pre-guided its FY20 result and it was on expected lines, comments Morgan Stanley.

Annualised revenue from total new fibre connectivity is up 46% year on year. The operating income is in-line with company guidance and the broker’s estimate.

While the result is positive, the broker questions the logic of an infrastructure business reducing its capital expenditure, a decision sure to impact customer and revenue growth.

Morgan Stanley retains its Equal-weight rating with a target price of $0.75. Industry view: In-line.

Target price is $0.75 Current Price is $1.15 Difference: minus $0.4 (current price is over target).
If SLC meets the Morgan Stanley target it will return approximately minus 35% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.16, suggesting upside of 0.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.5

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

Ord Minnett rates SLC as Accumulate (2) -

Superloop has achieved the midpoint of guidance with earnings of $13.5m, in line with Ord Minnett forecasts.

The company revealed 37% growth in underlying recurring fibre connectivity revenue. The broker believes this highlights the operating leverage in Superloop's core fibre network assets. 

The company has also seen a material reduction in capital expenditure over FY20, as the bulk of its major network infrastructure construction was completed in FY19, according to Ord Minnett.

The broker has lifted earnings estimates for FY21 and FY22 by 6% and 5%, respectively. The broker maintains an Accumulate rating and raises the target to $1.42 from $1.30.

Target price is $1.42 Current Price is $1.15 Difference: $0.27
If SLC meets the Ord Minnett target it will return approximately 23% (excluding dividends, fees and charges).

Current consensus price target is $1.16, suggesting upside of 0.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.5

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

Citi rates STO as Buy (1) -

Santos delivered 1H20 revenue of US$785m, which was 16% higher than Citi's forecast. This was largely responsible for 1H20 free cash flow of US$431m, which exceeded Citi's forecast by around US$100m.

The broker increases the estimated target price by 9%. This incorporates stronger Cooper oil production, lower Barossa capital expenditure and an improved net debt figure.

The Buy rating is maintained. The target price is increased to $7.32 from $6.73.

Target price is $7.32 Current Price is $5.65 Difference: $1.67
If STO meets the Citi target it will return approximately 30% (excluding dividends, fees and charges).

Current consensus price target is $6.27, suggesting upside of 12.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.6

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

Credit Suisse rates STO as Outperform (1) -

Santos’ quarterly production and revenue results were in-line with Credit Suisse’s forecast but with higher than expected third-party contribution.

Upstream unit operating expenses were 25% higher due to the acquisition of ConocoPhillips assets, but the broker expects them to drop back once the Bayu Undan facility stops production in 2021-22.

The broker sees potential upside expecting growth to return as the market recovers. Credit Suisse retains its Outperform rating with the target price decreasing to $6.58 from $6.61.

Target price is $6.58 Current Price is $5.65 Difference: $0.93
If STO meets the Credit Suisse target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $6.27, suggesting upside of 12.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.6

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

Morgans rates STO as Add (1) -

According to Morgans, Santos delivered a good result, with 2Q20 volumes 15% higher than the previous quarter and 4% ahead of the broker's forecast.

Realised LNG prices were also above expectations, with the company's small spot exposure assisting it, in a period when the spot market collapsed.

The broker believes this sets up 3Q20 as a likely floor for the company's earnings, while being leveraged to a recovery scenario for energy prices.

The Add rating is maintained. The target price is increased to $6.05 from $6.00.

Target price is $6.05 Current Price is $5.65 Difference: $0.4
If STO meets the Morgans target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $6.27, suggesting upside of 12.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.6

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

Ord Minnett rates STO as Accumulate (2) -

Santos delivered a strong June quarter production report, according to Ord Minnett.

The broker believes the positives include a new record for production, prices achieved were higher than peers due to downside price protection and growth remains on track.

Ord Minnett retains Santos as the preferred stock in the sector, offering attractive valuation, good growth, strong free cash flow and a robust balance sheet.

Accumulate maintained. Target is increased to $7.45 from $7.00.

Target price is $7.45 Current Price is $5.65 Difference: $1.8
If STO meets the Ord Minnett target it will return approximately 32% (excluding dividends, fees and charges).

Current consensus price target is $6.27, suggesting upside of 12.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.6

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

UBS rates STO as Neutral (3) -

In UBS's opinion, Santos achieved better than expected realised LNG prices in the June quarter and better than peers, given a lesser ratio of spot sales, thanks to using Roma storage for GLNG.

The broker believes announced impairments were already priced in.

The company has sufficient liquidity and free cash flow to suggest a possible 2c interim dividend, the broker notes. Neutral and $6.00 target retained.

Target price is $6.00 Current Price is $5.65 Difference: $0.35
If STO meets the UBS target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $6.27, suggesting upside of 12.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.6

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

UBS rates SYR as Neutral (3) -

Syrah Resources will temporarily suspend production at Balama in Mozambique to further reduce cash burn.

It will cost the company -US$1m to do so but fixed costs will reduce by -US10m a quarter, the broker notes, with five and a half quarters left on cash on the balance sheet on this basis.

It's a short term setback ahead of longer term upside for EV and thus graphite demand, the broker believes. Neutral and 44c target retained.

Target price is $0.44 Current Price is $0.35 Difference: $0.09
If SYR meets the UBS target it will return approximately 26% (excluding dividends, fees and charges).

Current consensus price target is $0.43, suggesting upside of 27.2% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY20:

Forecast for FY21:

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

Market Sentiment: 0.0

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

UBS rates TAH as Buy (1) -

The broker has surveyed 1000 gamblers and found 40% have increased their wagering (digital) in the Days of Covid. Tabcorp Holdings has picked up a little bit of share from Sportsbet, which remains number one, largely due to "attractive promotions".

This will go some way to offsetting Tabcorp's loss of traditional gambling at pubs and clubs, the broker suggests, albeit at lower margins, but leading to profits increasing above FY19 levels. Share price underperformance seen as an attractive entry point.

Buy retained, target rises to $5.00 from $4.60.

Target price is $5.00 Current Price is $3.62 Difference: $1.38
If TAH meets the UBS target it will return approximately 38% (excluding dividends, fees and charges).

Current consensus price target is $3.54, suggesting downside of -2.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 0.1

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

Ord Minnett rates VVA as Buy (1) -

Viva Leisure used the bulk of the capital it raised in June to purchase Plus Fitness, a franchise group with clubs across Australia, New Zealand and India. Ord Minnett notes the Plus network has opened up new regions for the company to use its hub and spoke model.

The model also gives it an opportunity to test offshore markets with minimal risk and capital.

Ord Minnett retains its Buy rating with the target price increasing to $4 from $3.78.

Target price is $4.00 Current Price is $2.43 Difference: $1.57
If VVA meets the Ord Minnett target it will return approximately 65% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Macquarie rates WGX as Outperform (1) -

Westgold Resources' June quarter performance proved broadly in-line, comments Macquarie, with production and sales both better than and costs matching forecasts.

Macquarie's forecast for progressively growing production over FY21 is largely dependent on Big Bell’s continued ramp-up over the year, the analysts clarify.

Rolling forward expectations has added 4% to the price target, to $2.80. Outperform rating maintained.

Target price is $2.80 Current Price is $2.46 Difference: $0.34
If WGX meets the Macquarie target it will return approximately 14% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY20:

Forecast for FY21:

Market Sentiment: 1.0

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

Morgan Stanley rates XRO as Overweight (1) -

Xero has outperformed the market, up 14% since January to date versus the ASX200’s -10% during the same period. The broker has increased its earnings forecasts for FY20-22 expecting fewer insolvencies due to the support measures provided.

Risk exists in the form of easing support measures post-September which may lead to a spike in business failures in the second half.

Morgan Stanley retains its Overweight rating with the target price increasing to $100 from $85. Industry view: Attractive.

Target price is $100.00 Current Price is $93.32 Difference: $6.68
If XRO meets the Morgan Stanley target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $77.25, suggesting downside of -16.6% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY21:

Forecast for FY22:

This company reports in NZD. 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