Australian Broker Call

Bell Potter rates 360 as Buy (1) -

Life360 reported March quarter results that were ahead of expectations on most metrics. 2023 guidance has been reiterated. Bell Potter has upgraded revenue estimates by 2% and adjusted EBITDA forecasts by 42%.

These are now ahead of guidance and the broker flags the potential for an upgrade to guidance later in the year.

There is little change in the 2024 and 2025 forecasts, which already assumed strong growth.

Bell Potter maintains a Buy rating and raises the target to $9.00 from $8.75.

Target price is $9.00 Current Price is $6.47 Difference: $2.53
If 360 meets the Bell Potter target it will return approximately 39% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

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

Market Sentiment: 1.0

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

Morgan Stanley rates 360 as Overweight (1) -

Morgan Stanley notes Life360 has reiterated guidance for growth of more than 50% in its core business.

Subscription growth and cost control are ahead of expectations and the broker believes these are more important than the less predictable hardware sales which still have a wider range of potential outcomes.

Overweight rating and $8.50 retained. Industry view: In Line.

Target price is $8.50 Current Price is $6.47 Difference: $2.03
If 360 meets the Morgan Stanley target it will return approximately 31% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

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

Market Sentiment: 1.0

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

UBS rates AGL as Buy (1) -

UBS reviews AGL Energy's prospects as it enters a major reinvestment phase characterised by more flexible electricity supply and finds the company can self fund its -$3bn development pipeline while delivering strong returns in the region of 7% to 9%.

The broker says the company's plan to to grow its renewables infrastructure by FY30 should boost its ESG profile, allowing it to attract a "scarcity premium" as one of the country's few major player with the capacity to enable Australia's energy transition - a green premium.

Meanwhile, UBS observes projects to replace coal-fired power are experiencing a blowout in costs and serious delays, which it expects will force electricity prices upward.

EPS forecasts rise 11% to 44% across FY23 to FY25, to reflect the extension of gas price caps to July and lower hedging costs, and forecasts a 10%-plus rise in the dividend by FY25.

Buy rating retained. Target price rises to $9.60 from $8.05.

Target price is $9.60 Current Price is $8.84 Difference: $0.76
If AGL meets the UBS target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $9.30, suggesting upside of 3.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.5

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

Ord Minnett rates ALL as Accumulate (2) -

Ord Minnett believes the strategic rationale stacks up for Aristocrat Leisure's acquisition of NeoGames particularly in North America where legislation is progressively loosening. The transaction will increase exposure to real money gaming (RMG), a.k.a iGaming.

The broker believes there is significant future growth for iGaming, which includes online casino, slots, bingo, poker and sports betting. While extra content via NeoGames is appreciated, it's felt the iLottery and AspireCore segments are the key to the transaction.

Despite an attractive addressable market, the analyst feels the acquisition is not cheap and is broadly value neutral for the broker's unchanged $43 target price. The Accumulate rating is unchanged.

Target price is $43.00 Current Price is $39.36 Difference: $3.64
If ALL meets the Ord Minnett target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $43.86, suggesting upside of 11.8% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.9

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

Macquarie rates APX as Underperform (5) -

Appen has conducted a $600m equity raising to provide flexibility on the balance sheet. Macquarie assesses this will provide sufficient headroom and it will be FY26 before any concerns eventuate.

The company has also  announced a new "go-to-market" strategy, adding personnel. While the  balance sheet repair is a positive, Macquarie believes soft revenue outcomes will continue to weigh. Underperform maintained. Target is raised to $1.35 from $1.18.

Target price is $1.35 Current Price is $2.30 Difference: minus $0.95 (current price is over target).
If APX meets the Macquarie target it will return approximately minus 41% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.85, suggesting downside of -17.8% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: -1.0

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

Macquarie rates ASX as Outperform (1) -

Macquarie assesses Australian electricity futures should provide a small tailwind for ASX going forward, with volumes having grown 21% per annum since FY19. This is supported by the transition towards renewables.

The broker considers the outlook positive for the ongoing transition towards the Australian government's renewable energy target of 80% by 2030 yet highlights the importance of product innovation for ASX to realise the benefit. Outperform rating and $72 target maintained.

Target price is $72.00 Current Price is $67.75 Difference: $4.25
If ASX meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $69.87, suggesting upside of 3.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.2

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

Morgans rates AUA as Speculative Buy (1) -

While Morgans lowers its target to 15c from 24c for Audeara on delays to its EU launch, the broker maintains the faith with a Speculative Buy rating. The current modest market capitalisation and substantial market opportunity are noted.

The broker feels material purchase orders will trigger renewed interest in the company. Management is finalising launch preparations throughout the EMEA region with first purchase orders expected in Q4 of FY23.

Target price is $0.15 Current Price is $0.05 Difference: $0.104
If AUA meets the Morgans target it will return approximately 226% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 1.0

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

Macquarie rates BRG as Neutral (3) -

In assessing Breville Group along with its competitors, Macquarie notes consumer demand has slowed in the March quarter, notably in Europe and North America.

Margins continue to be affected as costs remain elevated while inventory peaked in the third quarter of 2022.

The broker adjusts earnings estimates to allow for these impacts and reduces the target to $21.05 from $21.25 while retaining a Neutral rating.

Target price is $21.05 Current Price is $20.35 Difference: $0.7
If BRG meets the Macquarie target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $23.41, suggesting upside of 15.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.7

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

Citi rates COH as Neutral (3) -

Sonova, Cochlear's largest competitor, has signalled in its FY23 results  that volumes in the cochlear implant market were held back by hospital staffing challenges and supply shortages.

Yet Citi points out Cochlear does not have any  known supply shortages and invested in components early in the pandemic.

The Neutral rating and target price of $230 are retained.

Target price is $230.00 Current Price is $248.33 Difference: minus $18.33 (current price is over target).
If COH meets the Citi target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $217.12, suggesting downside of -11.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: -0.2

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

Bell Potter rates COI as Speculative Buy (1) -

Comet Ridge has announced two Memoranda of Understanding relating to infrastructure and offtake for the Mahalo North gas project. Bell Potter observes this is a step towards commercialising the 2P reserves of 43 PJ.

Orica ((ORI)) is in discussions with the company for long-term offtake options and development funding structures to supply the Yarwun ammonium nitrate facility near Gladstone.

The Speculative Buy rating and $0.26 target are maintained.

Target price is $0.26 Current Price is $0.17 Difference: $0.095
If COI meets the Bell Potter target it will return approximately 58% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY22:

Forecast for FY23:

Market Sentiment: 1.0

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

Bell Potter rates CRD as Speculative Buy (1) -

Conrad Asia Energy has completed the reports for its early-stage Aceh assets in Indonesia. The next step is acquiring 500,000 square metres of 3D seismic over 2024 to further delineate the shallower discoveries and initiate an independent review of deeper water areas.

Bell Potter retains a Speculative Buy rating and $2.40 target, leveraged to de-risking the Mako gas project and the deepwater potential of Aceh.

Target price is $2.40 Current Price is $1.70 Difference: $0.7
If CRD meets the Bell Potter target it will return approximately 41% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

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

Market Sentiment: 1.0

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

Macquarie rates DMP as Neutral (3) -

Domino's Pizza Enterprises is expected to remain below its target for store roll-out throughout FY24, in Macquarie's view, reflecting the impacts on franchisee profitability.

Asia and Europe are the main drivers of organic growth, while in Europe inflationary concerns are slowing the opening of stores.

Macquarie remains concerned about softer franchisee sentiment post the pandemic and retains a preference for staples in the current environment.

Moreover, downside risk is heightened if inflationary and interest-rate pressures continue and consumption out-of-home slows. Neutral maintained. Target is reduced to $53 from $55.

Target price is $53.00 Current Price is $50.45 Difference: $2.55
If DMP meets the Macquarie target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $64.00, suggesting upside of 29.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.4

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

UBS rates ELD as Neutral (3) -

Elders FY23 interim result missed consensus and UBS forecasts due to a big investment in staff numbers and its transformation program.

The broker observes this propelled the cost-to-earnings ratio to 73% from 59% in the previous corresponding period, and while typically seasonal, represents three straight quarters of weaker cash generation.

Guidance met the broker's forecasts suggesting an uptick in the September half.

Neutral rating and $9.20 target price retained, the broker doubting the company can maintain its share price momentum and observing the recent retirement of two executives.

Target price is $9.20 Current Price is $6.90 Difference: $2.3
If ELD meets the UBS target it will return approximately 33% (excluding dividends, fees and charges).

Current consensus price target is $8.86, suggesting upside of 33.5% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.2

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

Shaw and Partners rates EM2 as Buy (1) -

Multiple high-grade copper zones have been identified at the Oracle Ridge copper project in Arizona, which, according to Shaw and Partners, will now support either bulk mining or selective high-grade mining scenarios.

The analyst suggests the results auger well for another substantial resource upgrade ahead of a scoping study.

The Buy rating and 47c target are unchanged.

Target price is $0.47 Current Price is $0.12 Difference: $0.35
If EM2 meets the Shaw and Partners target it will return approximately 292% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 1.0

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

Shaw and Partners rates EV1 as Buy (1) -

Test work has confirmed the suitability of fine flakes (from the Chilalo Graphite project) for coated spherical graphite production for lithium-ion batteries. As a result, Evolution Energy Minerals has decided on the US for its downstream battery anode strategy.

Shaw and Partners points out multiple policy initiatives in the US that incentivise supply, including the Inflation Reduction Act.

The broker considers the company well placed to be one of the first graphite developers to produce into a tightening market, with the combination of high operating margins at Chilalo, as well as downstream integration in the US.

Buy, High Risk. Target 72c.

Target price is $0.72 Current Price is $0.23 Difference: $0.495
If EV1 meets the Shaw and Partners target it will return approximately 220% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 1.0

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

Shaw and Partners rates HLO as Buy (1) -

Shaw and Partners considers Helloworld Travel is superbly placed to benefit from increasing travel momentum.

Recent ABS data on overseas arrivals/departures, as well as April Melbourne Airport passenger traffic data, continue to recover strongly, observes the analyst.

The broker even suggests potential for a third earnings upgrade in FY23. The Buy rating and $3.40 target are unchanged.

Target price is $3.40 Current Price is $2.87 Difference: $0.53
If HLO meets the Shaw and Partners target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $3.16, suggesting upside of 10.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.3

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

Morgans rates IPD as Speculative Buy (1) -

Morgans suggests an announcement (timing uncertain) of a medical policy determination from a larger insurer will be the next key catalyst for ImpediMed.

In addition, following the inclusion of the company's BIS technology in the National Comprehensive Cancer Network (NCCN) guidelines, the broker is focusing upon the rate of growth in the installed base. 

An update to Morgans financial model results in a 19c target, up from 18c. Speculative Buy.

Target price is $0.19 Current Price is $0.17 Difference: $0.025
If IPD meets the Morgans target it will return approximately 15% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 1.0

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

Citi rates IPL as Neutral (3) -

Incitec Pivot's interim report, released this morning, proved weaker than consensus, Citi analysts point out in an initial assessment. Underlying, the "miss" amounts to -21%.

Weather and weaker commodity prices have been identified as the key factors. While selling Waggaman continues to be subject to US authorities' approval, at least the $400m buyback remains in place, the analysts comment.

Management has indicated it anticipates a positive earnings skew in H2 for the Explosives businesses, with favourable agricultural conditions in Eastern Australia for the remainder of the year.

Neutral. Target $3.40.

Target price is $3.40 Current Price is $3.19 Difference: $0.21
If IPL meets the Citi target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $3.82, suggesting upside of 29.9% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.6

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

Citi rates JHX as Buy (1) -

James Hardie Industries reported its FY23 results that were largely in line with expectations. Citi suspects the price action subsequently suggests the market believes a bottom has occurred.

Still, there remain risks around declining renovations activity and the potential for material shocks from the macro environment.

As a result of strong margin exit rates across all three divisions, Citi increases EBIT estimates by 8.8% for FY24 and 5.1% for FY25. Buy ratting maintained. Target rises to $42.50 from $34.60.

Target price is $42.50 Current Price is $36.80 Difference: $5.7
If JHX meets the Citi target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $42.83, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in February.

Forecast for FY24:

Forecast for FY25:

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

Macquarie rates JHX as Outperform (1) -

James Hardie Industries' FY23 results were in line with Macquarie's expectations and margin outcomes were strong. The broker assesses the results signalled good execution in a tough market, proving the relatively low operating leverage in the company's business.

Still, on the downside, North America was softer than expected and the company appears to be defending the new construction market with price-based actions. The main risks to the broker's view are driven by the macro, as a US recession is anticipated.

Outperform retained. Target rises to $43.15 from $41.40.

Target price is $43.15 Current Price is $36.80 Difference: $6.35
If JHX meets the Macquarie target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $42.83, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in February.

Forecast for FY24:

Forecast for FY25:

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

Morgan Stanley rates JHX as Overweight (1) -

FY23 results have demonstrated for Morgan Stanley that James Hardie Industries can provide solid price and margin despite the difficult conditions. Revenue was in line with estimates and driven by 9% growth in price/mix albeit offset by a volume decrease of -5%.

Only first quarter guidance was provided and net profit is expected to be in the range of US$145-165m, again in line with estimates.

The broker assesses the bear case, i.e. a sharp reduction in price and margins in the face of declining volumes, is not on the horizon now.

The stock is considered the highest-quality name in Morgan Stanley's building materials coverage and an Overweight rating is maintained. Target is raised to $44 from $39. Industry View: In-Line.

Target price is $44.00 Current Price is $36.80 Difference: $7.2
If JHX meets the Morgan Stanley target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $42.83, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in February.

Forecast for FY24:

Forecast for FY25:

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

Ord Minnett rates JHX as Accumulate (2) -

James Hardie Industries Q4 earnings were a 4% beat against Ord Minnett's forecast with stronger than expected earnings in North America, while the FY23 result was only a 1% beat.

The broker maintains its $38 target and existing FY24 profit forecast. This forecast reflects a further deterioration in demand for the company's products in the new home construction, as well as the renovations and remodelling markets in Australia and North America.

Management provided no FY24 guidance due to ongoing economic uncertainty. The broker remains cautious on both US pricing outcomes and market share gains in FY24. Accumulate. 

Target price is $38.00 Current Price is $36.80 Difference: $1.2
If JHX meets the Ord Minnett target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $42.83, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in February.

Forecast for FY24:

Forecast for FY25:

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 JHX as Buy (1) -

James Hardie Industries' FY23 full-year result appears to have pleased UBS, volumes holding up despite the slowing economy. Management guided to a -16% decline in volumes this July quarter. Capital expenditure guidance disappointed.

UBS believes the company's margin is now greater than 25% in all scenarios and upgrades FY24 EPS forecasts by 5% to reflect an expectation of better than forecast margins.

The broker expects FY24 will represent the nadir for the company and believes current prices represent good value.

Buy rating retained. Target price rises to $46.50 from $44.50.

Target price is $46.50 Current Price is $36.80 Difference: $9.7
If JHX meets the UBS target it will return approximately 26% (excluding dividends, fees and charges).

Current consensus price target is $42.83, suggesting upside of 14.7% (ex-dividends)

The company's fiscal year ends in February.

Forecast for FY24:

Forecast for FY25:

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

Bell Potter rates KZA as Speculative Buy (1) -

Kazia Therapeutics has continued to execute on its development plan for paxalisib and clinical data is now imminent in the second indication for  diffuse intrinsic pontine glioma (DIPG).

Bell Potter considers this study an important catalyst for a future licensing deal although concedes it remains likely the company will require further capital in the short term.

The Speculative Buy rating is retained. Target is reduced to $0.30 from $0.45.

Target price is $0.30 Current Price is $0.19 Difference: $0.115
If KZA meets the Bell Potter target it will return approximately 62% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 1.0

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

Ord Minnett rates PBH as Upgrade to Buy from Hold (1) -

Ord Minnett bypasses an Accumulate rating and upgrades PointsBet Holdings to Buy from Hold after the '"bold call" to sell its US business. The target is also raised to $1.70 from $1.45.

The company has entered into a binding agreement with Fanatics Betting and Gaming to sell its US operations for US$150m though PointsBet will need to fund up to -US$21m up to transaction close after the late-June shareholder meeting.

The net proceeds will likely be distributed to shareholders, along with excess capital, in two tranches, explains the broker. It's felt around $30-40m will remain on the balance sheet of the remaining Australian and Canadian business.

Target price is $1.70 Current Price is $1.36 Difference: $0.34
If PBH meets the Ord Minnett target it will return approximately 25% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 1.0

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

Citi rates PME as Neutral (3) -

Pro Medicus has a new $20m, seven-year contract with US health network Gunderson Health System. The contract involves three Visage products all of which will be deployed in the cloud. The contract will deliver revenue from FY24.

Citi expects the company will announce contracts worth $13m a year in the second half and suggests the biggest risk to the business is the potential for competitors to offer equivalent or better features than Visage at lower prices.

The broker finds the business model attractive but does not explicitly forecast any contribution from cardiology or AI, awaiting more details on new products to be launched by the end of 2023. Neutral maintained with a target of $61.

Target price is $61.00 Current Price is $59.82 Difference: $1.18
If PME meets the Citi target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $52.84, suggesting downside of -11.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: -0.3

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

Ord Minnett rates PME as Sell (5) -

Ord Minnett edges up its profit estimates and raises its target for Pro Medicus to $30 from $28.50 mostly due to a weaker Australian dollar with the balance deriving from the time value of money.

A new $20m (over seven years) contract win with Gunderson Health System had no impact on the broker's constant currency earnings forecasts as further wins had been assumed.

The analyst feels the market is underestimating competitive pressures and retains its Sell rating on Pro Medicus. It's anticipated wider uptake beyond US academic hospitals will be slow, despite the IDN Gunderson win.

Target price is $30.00 Current Price is $59.82 Difference: minus $29.82 (current price is over target).
If PME meets the Ord Minnett target it will return approximately minus 50% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $52.84, suggesting downside of -11.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: -0.3

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

Ord Minnett rates PMV as Upgrade to Lighten from Sell (4) -

As the share price of Premier Investments has moved through Ord Minnett's trigger level, its rating is upgraded to Lighten from Sell. 

The broker's target price remains at $19.

Target price is $19.00 Current Price is $25.04 Difference: minus $6.04 (current price is over target).
If PMV meets the Ord Minnett target it will return approximately minus 24% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $26.92, suggesting upside of 8.2% (ex-dividends)

The company's fiscal year ends in July.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.3

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

UBS rates RIO as Sell (5) -

UBS reviews Rio Tinto's lithium prospects, observing further market consolidation with the Allkem ((AKE)) merger and Albemarle's bid for Liontown Resources ((LTR)).

The broker speculates that Chile, which has already nationalised copper mines, may turn its sights to lithium after current licences expire. The broker observes the Allkem-Livent entity will be the only non-Chilean and non Chinese Top-10 lithium producer.

While Rio Tinto has said it will exercise M&A discipline, UBS suspects the market's reaction would depend on the size and cost of the deal, and that the market would likely appreciate the company's further diversification away from iron ore.

In the meantime, the company remains hostage to the vagaries of the iron ore price, which UBS expects will fall, and the broker retains its Sell rating and $95 target price.

Target price is $95.00 Current Price is $108.77 Difference: minus $13.77 (current price is over target).
If RIO meets the UBS target it will return approximately minus 13% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $113.07, suggesting upside of 4.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

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

Market Sentiment: 0.0

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

Citi rates SKO as Buy (1) -

Following an analysis of website visits, Citi analysts have lowered their FY23 revenue forecast for Serko towards the bottom of management's guidance.

Citi's analysis suggests Booking.com for business is performing poorly, with the analysts drawing a connection with industrial action in Europe.

April did see an improvement and the analysts retain a positive view on the recent partnership with CWT. Buy/High Risk rating retained. Target price loses -10% to $3.60.

Target price is $3.60 Current Price is $2.12 Difference: $1.48
If SKO meets the Citi target it will return approximately 70% (excluding dividends, fees and charges).

Current consensus price target is $4.40, suggesting upside of 54.2% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY23:

Forecast for FY24:

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

Market Sentiment: 0.7

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

Shaw and Partners rates SND as Buy (1) -

Shaw and Partners remains positive on the broader Engineering & Construction sector, and Saunders International in particular after securing a contract worth $11.22m with the Port Macquarie Bridges Project.

The contract involves replacing five existing timber bridges across the Port Macquarie Hastings Council area with concrete bridges.

The Buy rating and $1.35 target are unchanged.

Target price is $1.35 Current Price is $1.03 Difference: $0.315
If SND meets the Shaw and Partners target it will return approximately 30% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 1.0

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

Ord Minnett rates SZL as Buy (1) -

Ord Minnett assesses a strong Q1 result for Sezzle and materially upgrades its earnings estimates after an ongoing rise for the net transaction margin.

The business now generates positive cash flows, which the analyst suggests provides options to either increase growth or build  funds on hand.

The stock is too cheap, according to the broker, as the company now stands out as the only North American Buy Now, pay Later operator with positive cash flow. 

The Buy rating is maintained, while a new target of  $48.10 is set, which also allows for the recent share consolidation/split.

Target price is $48.10 Current Price is $0.66 Difference: $47.44
If SZL meets the Ord Minnett target it will return approximately 7188% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY23:

Forecast for FY24:

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

Market Sentiment: 1.0

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

Bell Potter rates TLG as Initiate coverage with Speculative Buy (1) -

Bell Potter initiates coverage on Talga Group with a Speculative Buy rating and $2.50 target. The company is the highest-grade and one of the most advanced graphite developers on the ASX, the broker observes.

The business is leveraged to the electric vehicle theme with a comparatively short timeframe to production. The broker expects demand for coated spherical purified natural graphite will grow to 2.4mtpa by 2030.

Target price is $2.50 Current Price is $1.30 Difference: $1.2
If TLG meets the Bell Potter target it will return approximately 92% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 1.0

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