OUR QUEST IS NOT TO BE BULLISH OR BEARISH, BUT TO CORRECTLY ASSESS FUTURE TRENDS

UBS rates BHP as Neutral

With the BHP Group share price having outperformed Rio Tinto in recent months, UBS examines whether the valuation gap remains justified. BHP's consistently higher earnings (EBITDA) margin across its portfolio is noted.

The conclusion: the broker believes current valuation multiples offer a more attractive risk-reward for BHP Group than Rio Tinto.

While retaining Neutral ratings on both stocks, the broker continues to prefer BHP.

Target of $60 retained for BHP Group.

This is a summary of research by UBS on July 14.

Citi rates CGF as Buy

Futher to yesterday's update, Citi raises the target price on Challenger to $11.90 from $10, Buy rated.

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Citi upgrades its earnings forecasts across most diversified financials under coverage after stronger global equity markets and tighter credit spreads boosted mark-to-market valuations.

The analysts make only minor changes to Challenger's FY26 earnings forecasts, with stronger fixed income returns largely offset by weaker alternative assets, property and equities.

Looking ahead, the broker lifts its earnings forecasts to reflect recently launched products and lower dilution from capital notes.

Uncertainty surrounding an upcoming change to the company's earnings reporting basis is noted.

Buy. Target $10.

UBS rates WTC as Buy

At FY26 results on August 26, UBS expects WiseTech Global to guide to around 13% CargoWise revenue growth in FY27, below previous expectations but ahead of what the current share price implies.

The broker believes investor concerns over artificial intelligence, the DSV contract and the transition to the CargoWise Value Pack are overdone.

Scope is seen for margin expansion following the completion of the company's cost reduction program.

UBS retains a Buy rating and lowers its target to $65.00 from $67.00.

This is a summary of research by UBS on July 14.