Daily FNArena News - Small Caps

Dairy co-operative MG Unit Trust will undertake a comprehensive strategic review, acknowledging its recent performance has been unacceptable. This adds another layer of uncertainty to the outlook, brokers suggest.

Dental chain Pacific Smiles has signalled softer trading conditions occurred in April and May. Regardless, brokers remain positive about the longer term outlook.

Almond yields have fallen for Select Harvests, which has issued its second downgrade to production forecasts in as many months. Brokers opt for conservatism ahead of confirming 2017 as a one-off.

An aftermarket guidance upgrade from new world advertising and promotion provider Appen has brokers scrambling to upgrade forecasts.

Brokers agree furniture retailer Nick Scali is well-positioned, given its scale in a fragmented market and a clear growth strategy.

Lithium producer Galaxy Resources has made a positive impression on Canaccord Genuity after a site visit to Mt Cattlin.

Oil and gas explorer 88 Energy has captured the attention of DJ Carmichael as it begins an extensive exploration program in Alaska.

Success with its strategy has meant power retailer and generator, ERM Power, is able to upgrade guidance for FY17 and provide a better-than-expected outlook for FY18.

Waste business Tox Free Solutions will cease to service the Chevron Australia operations on Barrow Island at the end of FY17 and brokers are uncertain as to whether the company’s earnings trajectory has troughed.

Syrah Resources is progressing its graphite business, signing a non-binding MoU with BTR New Energy Materials.