Australian Broker Call

Citi rates ABP as Buy (1) -

2022 proved a brutal experience for A-REITs with the sector among the worst performing on the ASX. Only IT and Technology fared worse as higher bond yields required a valuation reset.

While the year ahead continues to offer multiple uncertainties, sector analysts at Citi dare to be "cautiously optimistic" for the sector overall in 2023.

Their preference lays with Goodman Group, Mirvac Group and Charter Hall, hereby upgraded to Buy from Neutral, as well as with Region Group, Abacus Property, and GPT Group.

For Abacus Property, the price target has remained $3.20 alongside a Buy rating, with minor amendments made to forecasts.

Target price is $3.20 Current Price is $2.67 Difference: $0.53
If ABP meets the Citi target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $3.00, suggesting upside of 12.3% (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

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

Argosy Minerals is about to turn itself into a producer of lithium and Macquarie has initiated coverage with an Outperform rating and price target of 85c.

As the broker points out, the company's 2ktpa brine operation in Argentina is set to begin commercial production in the first half of 2023,  with approvals for a 10ktpa expansion already lodged.

Macquarie believes Argosy Minerals' lithium carbonate output can rise to 12ktpa by 2026.

Target price is $0.85 Current Price is $0.67 Difference: $0.185
If AGY meets the Macquarie target it will return approximately 28% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

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

UBS rates AIA as Sell (5) -

A general sector update on infrastructure has revealed UBS is covering Auckland International Airport with a Sell rating and NZ$6.70 price target.

It is the broker's assessment the airport's enterprise value has recovered to 17% above pre-covid levels as travel reopens, but EBITDA is not anticipated to be materially above pre-covid levels until FY25 with a structural reduction in airline seat capacity partly countered by higher aeronautical charges.

UBS argues long-term valuation support has also reduced by de-ratings across NZ utilities and REITs because of higher interest rates.

Current Price is $7.50. Target price not assessed.

Current consensus price target is $7.50, suggesting downside of -0.7% (ex-dividends)

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: 0.2

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

UBS rates ALX as Neutral (3) -

A general sector update on infrastructure reveals UBS is covering Atlas Arteria with a Neutral rating and $6.75 price target.

The broker fails to see valuation support with its price target broadly in line with the current price so any positive return will have to come from the forecast yield.

UBS thinks Atlas Arteria's defensive characteristics may not necessarily shine in light of global macro uncertainty.

Target price is $6.75 Current Price is $6.65 Difference: $0.1
If ALX meets the UBS target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $6.62, suggesting downside of -2.4% (ex-dividends)

Forecast for FY22:

Forecast for FY23:

Market Sentiment: -0.2

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

Citi rates ASX as Neutral (3) -

The share has been weak, but Citi still cannot get too excited about investing in ASX shares. The broker finds the valuation multiples are still not attractive ("far from compelling").

New management at the exchange might also elect to reset financials; a risk explicitly mentioned by Citi.

The broker has reduced estimates, lowering its price target to $70 from $83.40. Neutral rating retained.

Target price is $70.00 Current Price is $66.20 Difference: $3.8
If ASX meets the Citi target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $72.27, suggesting upside of 6.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.0

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

Credit Suisse rates AWC as Outperform (1) -

Marking to market has triggered minor revisions to earnings forecasts. Citi analysts suggest Alumina Ltd remains the best in class with exposure to alumina operations that carry the lowest carbon intensity.

Incorporating updated alumina and aluminium price forecasts has pushed up the price target to $2.05 from $1.80. Outperform.

Target price is $2.05 Current Price is $1.62 Difference: $0.43
If AWC meets the Credit Suisse target it will return approximately 27% (excluding dividends, fees and charges).

Current consensus price target is $1.57, suggesting downside of -6.0% (ex-dividends)

Forecast for FY22:

Forecast for FY23:

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

Credit Suisse rates BEN as Outperform (1) -

Analysts at Credit Suisse have downgraded their forecasts for Bendigo & Adelaide Bank, led by forecasts for weak asset growth and to also take into account the latest insigths from the regional lender's trading update in December.

Outperform rating retained. Target price $11.10.

Target price is $11.10 Current Price is $9.89 Difference: $1.21
If BEN meets the Credit Suisse target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $10.15, suggesting upside of 0.8% (ex-dividends)

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

Credit Suisse rates BHP as Neutral (3) -

On Credit Suisse's assessment, shares in BHP are similarly valued as that of competitor Rio Tinto, but without the same growth prospects.

The broker suggests acquisitions will need to fill the gap. Updating for the latest pricing forecasts for copper, nickel, etc has led to small increases to forecasts.

The price target lifts to $44 from $39. Neutral rating retained.

Target price is $44.00 Current Price is $48.51 Difference: minus $4.51 (current price is over target).
If BHP meets the Credit Suisse target it will return approximately minus 9% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $43.89, suggesting downside of -11.6% (ex-dividends)

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 BWP as Sell (5) -

2022 proved a brutal experience for A-REITs with the sector among the worst performing on the ASX. Only IT and Technology fared worse as higher bond yields required a valuation reset.

While the year ahead continues to offer multiple uncertainties, sector analysts at Citi dare to be "cautiously optimistic" for the sector overall in 2023.

Their preference lays with Goodman Group, Mirvac Group and Charter Hall, hereby upgraded to Buy from Neutral, as well as with Region Group, Abacus Property, and GPT Group.

Citi's price target for BWP Trust has fallen to $3.70 from $3.90. Sell rating retained.

Target price is $3.70 Current Price is $3.94 Difference: minus $0.24 (current price is over target).
If BWP meets the Citi target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.72, suggesting downside of -6.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: -0.8

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

Citi rates CHC as Upgrade to Buy from Neutral (1) -

2022 proved a brutal experience for A-REITs with the sector among the worst performing on the ASX. Only IT and Technology fared worse as higher bond yields required a valuation reset.

While the year ahead continues to offer multiple uncertainties, sector analysts at Citi dare to be "cautiously optimistic" for the sector overall in 2023.

Their preference lays with Goodman Group ((GMG)), Mirvac Group ((MGR)) and Charter Hall, hereby upgraded to Buy from Neutral, as well as with Region Group ((RGN)), Abacus Property ((ABP)), and GPT Group ((GPT)).

The broker's price target for Charter Hall has lifted to $14.50 from $13.90.

Target price is $14.50 Current Price is $12.41 Difference: $2.09
If CHC meets the Citi target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $14.77, suggesting upside of 14.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.8

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

Citi rates CLW as Buy (1) -

2022 proved a brutal experience for A-REITs with the sector among the worst performing on the ASX. Only IT and Technology fared worse as higher bond yields required a valuation reset.

While the year ahead continues to offer multiple uncertainties, sector analysts at Citi dare to be "cautiously optimistic" for the sector overall in 2023.

Their preference lays with Goodman Group, Mirvac Group and Charter Hall, hereby upgraded to Buy from Neutral, as well as with Region Group, Abacus Property, and GPT Group.

For Charter Hall Long WALE REIT, the broker's price target has increased to $4.90 from $4.70. Rating remains Buy.

Target price is $4.90 Current Price is $4.53 Difference: $0.37
If CLW meets the Citi target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $4.57, suggesting upside of 0.2% (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

Citi rates CQR as Buy (1) -

2022 proved a brutal experience for A-REITs with the sector among the worst performing on the ASX. Only IT and Technology fared worse as higher bond yields required a valuation reset.

While the year ahead continues to offer multiple uncertainties, sector analysts at Citi dare to be "cautiously optimistic" for the sector overall in 2023.

Their preference lays with Goodman Group, Mirvac Group and Charter Hall, hereby upgraded to Buy from Neutral, as well as with Region Group, Abacus Property, and GPT Group.

No changes made for Charter Hall Retail REIT's price target or rating at $4.30 and Buy respectively.

Target price is $4.30 Current Price is $3.87 Difference: $0.43
If CQR meets the Citi target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $4.13, suggesting upside of 5.3% (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

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

Macquarie has initiated coverage of Galan Lithium, developer of a high-grade lithium brine project in Argentina, Hombre Muerto West.

The broker suggests Galan Lithium could have its project in production by 2025. The project boasts a large resource base of 5.8mt of Lithium Carbonate Equivalent (LCE) at an above industry average lithium grade of 866mg/L, the broker highlights.

Outperform. Target $1.90.

Target price is $1.90 Current Price is $1.18 Difference: $0.72
If GLN meets the Macquarie target it will return approximately 61% (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

Citi rates GMG as Buy (1) -

2022 proved a brutal experience for A-REITs with the sector among the worst performing on the ASX. Only IT and Technology fared worse as higher bond yields required a valuation reset.

While the year ahead continues to offer multiple uncertainties, sector analysts at Citi dare to be "cautiously optimistic" for the sector overall in 2023.

Their preference lays with Goodman Group, Mirvac Group and Charter Hall, hereby upgraded to Buy from Neutral, as well as with Region Group, Abacus Property, and GPT Group.

Citi had already expressed its sector favouritism for Goodman Group. Today's update reduces the price target to $21.10 from $23.50. Buy.

Target price is $21.10 Current Price is $18.62 Difference: $2.48
If GMG meets the Citi target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $21.19, suggesting upside of 13.6% (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

Macquarie rates GOR as Neutral (3) -

Gold Road Resources' preliminary Q4 production update disappointed though full year production guidance was comfortably met, comments Macquarie.

The broker suspects the company will include FY23 guidance with the release of its full quarterly report later in the month.

Disappointment came from Gruyere where production fell -14% short of the broker's estimate. Both sales and cash also disappointed.

Earnings estimates have been cut. Target price of $1.70 remains unchanged. Neutral rating retained.

Target price is $1.70 Current Price is $1.79 Difference: minus $0.085 (current price is over target).
If GOR meets the Macquarie target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.85, suggesting upside of 3.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY22:

Forecast for FY23:

Market Sentiment: 0.7

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

Citi rates GPT as Buy (1) -

2022 proved a brutal experience for A-REITs with the sector among the worst performing on the ASX. Only IT and Technology fared worse as higher bond yields required a valuation reset.

While the year ahead continues to offer multiple uncertainties, sector analysts at Citi dare to be "cautiously optimistic" for the sector overall in 2023.

Their preference lays with Goodman Group, Mirvac Group and Charter Hall, hereby upgraded to Buy from Neutral, as well as with Region Group, Abacus Property, and GPT Group.

Buy rating and $4.90 price target have been retained for GPT Group. Minor reductions have occurred to forecasts.

Target price is $4.90 Current Price is $4.37 Difference: $0.53
If GPT meets the Citi target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $4.70, suggesting upside of 6.5% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY22:

Forecast for FY23:

Market Sentiment: 0.2

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

Citi rates HUB as Downgrade to Neutral from Buy (3) -

Citi continues to hold a positive view for small cap operators of wealth platforms in Australia. Further market share gains should be on the agenda.

But while forecasts have been upgraded, the broker has also downgraded Hub24 to Neutral from Buy, on share price strength and a deteriorating risk-reward offering.

Price target has lifted to $29.45 on higher forecasts.

Target price is $29.45 Current Price is $27.40 Difference: $2.05
If HUB meets the Citi target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $31.25, suggesting upside of 16.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.8

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

Citi rates IAG as Buy (1) -

Citi analysts believe Insurance Australia Group's quota renewal with Berkshire Hathaway is a positive in that it adds further stability to the insurer's reinsurance arrangements and capital demands.

The analysts do not think this new arrangement (the previous one would expire in 2025) will add 5bps to the insurer's margin, but they also note IAG has stuck with its 15-17% medium term margin target.

Target $5.40. Buy.

Target price is $5.40 Current Price is $4.80 Difference: $0.6
If IAG meets the Citi target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $5.16, suggesting upside of 7.0% (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

Morgan Stanley rates IAG as Underweight (5) -

Warren Buffett's Berkshire Hathaway has renewed its insurance quota agreement with Insurance Australia Group for another seven years to December 2029.

Berkshire is the largest of such partners for IAG and as part of the agreement owns circa 4% of the insurer. Morgan Stanley observes pricing seems less favourable post renewal, but this is not different from renewals with Munich Re and Swiss Re.

The broker highlights IAG has stuck with its guidance and does not anticipate any material impact. Also, the new agreement allows for direct competition between IAG and Berkshire and the latter is also allowed to sell down its stake.

Underweight. Target $4.20. Industry view In-Line.

Target price is $4.20 Current Price is $4.80 Difference: minus $0.6 (current price is over target).
If IAG meets the Morgan Stanley target it will return approximately minus 12% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $5.16, suggesting upside of 7.0% (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

Citi rates JDO as Buy (1) -

Following another research update, Citi has kept its Buy rating for Judo Capital while adding 10c to its price target, now at $1.90.

Among the forecasts that have been updated are tighter funding conditions, deteriorating deposit pricing (as the local banking sector prepares for the repayment of the RBA's TFF facility from back in 2020) and an overall slower earnings trajectory.

Forecasts have been reduced. Citi believes stronger loan growth should see Judo reach its medium-term target ($15-20bn) in early FY27.

Target price is $1.90 Current Price is $1.45 Difference: $0.45
If JDO meets the Citi target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $1.95, suggesting upside of 30.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 1.0

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

Citi rates LLC as Buy (1) -

2022 proved a brutal experience for A-REITs with the sector among the worst performing on the ASX. Only IT and Technology fared worse as higher bond yields required a valuation reset.

While the year ahead continues to offer multiple uncertainties, sector analysts at Citi dare to be "cautiously optimistic" for the sector overall in 2023.

Their preference lays with Goodman Group, Mirvac Group and Charter Hall, hereby upgraded to Buy from Neutral, as well as with Region Group, Abacus Property, and GPT Group.

For Lendlease Group, Citi's price target has tumbled to $10.40 from $13.40 on noticeably lower forecasts. Buy rating retained.

Target price is $10.40 Current Price is $8.13 Difference: $2.27
If LLC meets the Citi target it will return approximately 28% (excluding dividends, fees and charges).

Current consensus price target is $10.93, suggesting upside of 31.1% (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 LOV as Downgrade to Neutral from Buy (3) -

Citi has downgraded Lovisa Holdings to Neutral from Buy despite the fact the analysts believe Lovisa is likely to surprise positively with the release of interim financials in February.

Lovisa might prove more resilient than most of its consumer-oriented peers, suggests the broker, but the retailer remains exposed to consumers that face headwinds this year.

The risk versus reward proposition would change with a share price in the low $20s, argues the broker. New price target is $25.20.

Target price is $25.20 Current Price is $25.45 Difference: minus $0.25 (current price is over target).
If LOV meets the Citi target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $26.59, suggesting upside of 1.4% (ex-dividends)

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.8

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

Ord Minnett rates MAF as Buy (1) -

Yesterday's market update by MA Financial included a paring back of guidance for FY22 growth -a profit warning- and the share price got heavily punished for it.

Today, Ord Minnett responds by saying it merely shows the cyclicality of earnings within the corporate division, and the broker's underlying investment thesis is viewed as unchanged.

Given the broker remains confident about long term earnings growth, the present share price is seen as inexpensive. Buy rating retained. Target price remains at $8.

The revised guidance suggests underlying EPS growth of 28-30% for FY22. The broker's estimate sat at 31%. Only minor reductions have been implemented.

Target price is $8.00 Current Price is $4.42 Difference: $3.58
If MAF meets the Ord Minnett target it will return approximately 81% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

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

Morgans rates MDC as Speculative Buy (1) -

While Medlab Clinical has witnessed some positives in a recent NanaBis study, a heavily dilutive capital raising had become necessary and this has led Morgans to lower its price target to $18.84 from $44.53.

The broker acknowledges the positives, but also points out speculative stocks haven't exactly been in favour over the year past or so.

Medlab Clinical still needs to pass a number of hurdles before investors' attention is ready to return, the broker believes. Morgans is happy to stick with a wait and see approach in the meantime.

Speculative Buy.

Target price is $18.84 Current Price is $7.16 Difference: $11.68
If MDC meets the Morgans target it will return approximately 163% (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 MGR as Buy (1) -

2022 proved a brutal experience for A-REITs with the sector among the worst performing on the ASX. Only IT and Technology fared worse as higher bond yields required a valuation reset.

While the year ahead continues to offer multiple uncertainties, sector analysts at Citi dare to be "cautiously optimistic" for the sector overall in 2023.

Their preference lays with Goodman Group, Mirvac Group and Charter Hall, hereby upgraded to Buy from Neutral, as well as with Region Group, Abacus Property, and GPT Group.

Citi's price target for Mirvac Group has reduced to $2.40 from $2.60. Buy rating retained.

Target price is $2.40 Current Price is $2.20 Difference: $0.2
If MGR meets the Citi target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $2.39, suggesting upside of 6.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.8

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

Citi rates NWL as Neutral (3) -

Citi continues to hold a positive view for small cap operators of wealth platforms in Australia. Further market share gains should be on the agenda.

It's the valuation that keeps Citi's rating for Netwealth Group on Neutral. Price target $13.85.

Target price is $13.85 Current Price is $13.10 Difference: $0.75
If NWL meets the Citi target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $15.08, suggesting upside of 14.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.6

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

Macquarie - Cessation of coverage

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.1

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

Citi rates RGN as Buy (1) -

2022 proved a brutal experience for A-REITs with the sector among the worst performing on the ASX. Only IT and Technology fared worse as higher bond yields required a valuation reset.

While the year ahead continues to offer multiple uncertainties, sector analysts at Citi dare to be "cautiously optimistic" for the sector overall in 2023.

Their preference lays with Goodman Group, Mirvac Group and Charter Hall, hereby upgraded to Buy from Neutral, as well as with Region Group, Abacus Property, and GPT Group.

For Region Group, the price target has moved by -10c to $3.10. Buy rating unchanged.

Target price is $3.10 Current Price is $2.64 Difference: $0.46
If RGN meets the Citi target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $2.77, suggesting upside of 3.5% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.0

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

Credit Suisse rates RIO as Outperform (1) -

The aluminium sector is turning 'green' and Credit Suisse believes this means structurally higher prices are necessary to facilitate this change.

Producers with a lower carbon intensity should benefit, and here the broker's attention switches to Rio Tinto. Price target lifts to $145 from $110. Outperform.

Target price is $145.00 Current Price is $119.42 Difference: $25.58
If RIO meets the Credit Suisse target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $114.29, suggesting downside of -6.5% (ex-dividends)

Forecast for FY22:

Forecast for FY23:

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

Credit Suisse rates S32 as Downgrade to Neutral from Outperform (3) -

The aluminium sector is turning 'green' and Credit Suisse believes this means structurally higher prices are necessary to facilitate this change.

For South32, however, the future is all about how best to halve emissions. On Credit Suisse's assessment, the company could well spend -US$1.2bn pre FY35 to structurally decarbonise its operations.

Such projections have a negative impact on forecasts for free cash flow in the years to come. The broker has also incorporated the latest insights on short-term commodity prices.

Credit Suisse has downgraded its rating for South32 to Neutral from Outperform. Price target has lifted to $4.50 from $4.10.

Target price is $4.50 Current Price is $4.50 Difference: $0
If S32 meets the Credit Suisse target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $4.79, suggesting upside of 4.4% (ex-dividends)

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: 0.7

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

Citi rates SCG as Neutral (3) -

2022 proved a brutal experience for A-REITs with the sector among the worst performing on the ASX. Only IT and Technology fared worse as higher bond yields required a valuation reset.

While the year ahead continues to offer multiple uncertainties, sector analysts at Citi dare to be "cautiously optimistic" for the sector overall in 2023.

Their preference lays with Goodman Group, Mirvac Group and Charter Hall, hereby upgraded to Buy from Neutral, as well as with Region Group, Abacus Property, and GPT Group.

Neutral rating retained for Scentre Group with a price target of $3 (unchanged).

Target price is $3.00 Current Price is $2.94 Difference: $0.06
If SCG meets the Citi target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $2.96, suggesting downside of -1.7% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY22:

Forecast for FY23:

Market Sentiment: 0.2

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

Citi rates SGP as Neutral (3) -

2022 proved a brutal experience for A-REITs with the sector among the worst performing on the ASX. Only IT and Technology fared worse as higher bond yields required a valuation reset.

While the year ahead continues to offer multiple uncertainties, sector analysts at Citi dare to be "cautiously optimistic" for the sector overall in 2023.

Their preference lays with Goodman Group, Mirvac Group and Charter Hall, hereby upgraded to Buy from Neutral, as well as with Region Group, Abacus Property, and GPT Group.

Citi's price target for Stockland has declined to $3.81 from $3.96. Neutral rating retained.

Target price is $3.81 Current Price is $3.72 Difference: $0.09
If SGP meets the Citi target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $3.96, suggesting upside of 4.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.5

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

UBS rates SPK as Buy (1) -

A general update on infrastructure companies has revealed UBS is covering Spark New Zealand with a Buy rating and NZ$5.60 price target.

Current Price is $4.85. Target price not assessed.

Current consensus price target is $5.00, suggesting upside of 2.5% (ex-dividends)

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: 0.3

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

Citi rates TWE as Neutral (3) -

According to Citi, recent Nielsen data for December suggest Treasury Wine Estates' off-premise sales in the US continue to be strong. The broker does highlight risks stemming from consumers facing cost of living challenges.

The broker believes Treasury Wine is today a fundamentally better business than pre-China boycott. Neutral rating retained. Price target $13.50 (unchanged).

No changes were made to forecasts.

Target price is $13.50 Current Price is $13.49 Difference: $0.01
If TWE meets the Citi target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $14.22, suggesting upside of 2.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY23:

Forecast for FY24:

Market Sentiment: 0.6

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

Citi rates VCX as Neutral (3) -

2022 proved a brutal experience for A-REITs with the sector among the worst performing on the ASX. Only IT and Technology fared worse as higher bond yields required a valuation reset.

While the year ahead continues to offer multiple uncertainties, sector analysts at Citi dare to be "cautiously optimistic" for the sector overall in 2023.

Their preference lays with Goodman Group, Mirvac Group and Charter Hall, hereby upgraded to Buy from Neutral, as well as with Region Group, Abacus Property, and GPT Group.

Citi's price target for Vicinity Centres has lost -1c to $1.90, accompanied by a Neutral rating (unchanged).

Target price is $1.90 Current Price is $2.04 Difference: minus $0.14 (current price is over target).
If VCX 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 $1.93, suggesting downside of -5.8% (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