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Weekly Ratings, Targets, Forecast Changes – 13-11-20

Weekly Reports | Nov 16 2020

This story features CSL LIMITED, and other companies. For more info SHARE ANALYSIS: CSL

By Mark Woodruff

Guide:

The FNArena database tabulates the views of seven major Australian and international stock brokers: Citi, Credit Suisse, Macquarie, Morgan Stanley, Morgans, Ord Minnett and UBS.

For the purpose of broker rating correlation, Outperform and Overweight ratings are grouped as Buy, Neutral is grouped with Hold and Underperform and Underweight are grouped as Sell to provide a Buy/Hold/Sell (B/H/S) ratio.

Ratings, consensus target price and forecast earnings tables are published at the bottom of this report.

Summary

Period: Monday November 9 to Friday November 13, 2020
Total Upgrades: 12
Total Downgrades: 17
Net Ratings Breakdown: Buy 51.64%; Hold 38.43%; Sell 9.92%

The week ending Friday the 13th of November did indeed turn out to be unlucky for ASX-listed stocks on the FNArena database. For the first time in nearly three months, downgrades (seventeen) held sway over upgrades (twelve). There appeared to be a vaccine-induced swing away from stocks that had previously benefited from virus concerns.

CSL received both a ratings upgrade and downgrade. Ord Minnett perceived a two-fold boost from a vaccine. Not only should plasma collections start to normalise by the end of FY21, but also the vaccines under manufacture have a higher probability of success. They are based upon similar antibody profiles as the leading overseas candidate.

Citi agreed with Ord Minnett on plasma collections and simultaneously downgraded the stock to Neutral from Buy, due to recent share price outperformance.

Treasury Wine Estates suffered the largest and only material percentage fall in target price for the week. Ord Minnett, like brokers in the prior week, is having difficulty pricing the risk of the reported ban on Australian exports of wine and the lack of progress on the anti-dumping investigation.

Seven West Media topped the table for largest percentage increase in target price for stocks in the FNArena database over the week. The company also earned an upgrade in rating due to a better ad market trajectory and impressive revenue growth from broadcaster video on demand (BVOD).

Coming second on the same table was Domain Holdings, with management seen by brokers to be executing on yield, depth and new product levers. This didn’t stop Credit Suisse downgrading the rating to Neutral from Buy, on the basis of limited upside to the stock from current prices.

Next was Graincorp, which received general applause from brokers in anticipation of a bumper crop. A positive outlook by management combined with strong leverage to a good harvest is surely a heady mix.

The vaccine effect was instrumental in a target price increase by Morgans for IDP Education. The broker also upgraded the company to an Add rating from a Hold. If international borders were to reopen quicker than expected, it would bolster student placement and IELTS testing volumes.

Enthusiasm for both Graincorp and Seven West Media was also apparent in the No1 and No2 spots for largest percentage earnings upgrades for the week, by brokers in the FNArena database.

Xero was next after the first half slowdown in growth was less than feared. Sales and marketing expenses also fell sharply, resulting in a strong boost to profits and cash.

Earnings upgrades accrued to Sims due to all metal operations achieving positive earnings, netting to a "solid" group effort. Finally, a combination of better sales and margin improvement drove forecast earnings revisions for News Corp.

Nearmap had the unfortunate distinction of largest percentage downgrade to earnings for the week. Morgan Stanley was expecting slightly higher revenue guidance from management and was averse to the company’s use of constant currency (which implies a -6% foreign exchange headwind).

Earnings forecasts for Senex Energy also declined after Morgan Stanley concluded there is better upside to an oil price recovery elsewhere, while conceding the growth story remains sound.

Total Neutral/Hold recommendations take up 51.64% of the total, versus 38.43% on Neutral/Hold, while Sell ratings account for the remaining 9.92%.

Upgrade

CSL LIMITED ((CSL)) Upgrade to Accumulate from Hold by Ord Minnett .B/H/S: 3/4/0

Encouraging news regarding a covid-19 vaccine provides a two-fold boost to the outlook for CSL, in the opinion of Ord Minnett.

Plasma collections should normalise by the end of FY21, allowing a potential boost to nearer-term sales from a larger inventory release, explains the broker.

The analyst believes the vaccine candidates the company is manufacturing now appear more likely to succeed, based on the similar antibody profiles. This is considered to raise the potential for a new multi-year revenue stream.

The company began production of the AstraZeneca/Uni Oxford vaccine this week at its Melbourne facility. The broker expects the company will be paid for these initial doses irrespective of whether the vaccine is successful.

Ord Minnett raises the target price to $330 from $290, leading the broker to upgrade the recommendation to
Accumulate from Hold.

See also CSL downgrade.

FLETCHER BUILDING LIMITED ((FBU)) Upgrade to Overweight from Equal-weight by Morgan Stanley .B/H/S: 1/4/0

Fletcher Building's trading update for the four months ending October showed better revenue and operating income than last last year with improvement seen in margins across all business units.

Morgan Stanley believes the strong performance is an indication of the resilience of the New Zealand market and has increased its operating income forecast for FY21 by 66% with the estimate for FY22 increased by 46%.   

Morgan Stanley upgrades its rating to Overweight from Equal-weight with the target rising to $5.91 from $3.66. Industry view is Cautious.

GRAINCORP LIMITED ((GNC)) Upgrade to Add from Hold by Morgans .B/H/S: 4/0/0

While the FY20 result for GrainCorp was a material improvement in earnings (EBITDA) on the previous corresponding period, it was below Morgans' forecasts and consensus. 

Highlights for the broker include the benefit of the crop production contract ($47m net gain) and the non-repeat of international trading losses (up $65m). Additionally, there was a stronger Grains division performance and higher oilseed crush volumes and margins. 

The final dividend of 7 cents was a positive surprise to the analyst and highlighted the company’s positive outlook.

The FY21 outlook statements were materially stronger than Morgans expected with earnings growth in FY21. This was driven by a significantly larger 2020/21 East Coast winter crop and ongoing benefits from the company’s recent operating initiatives. 

Morgans upgrades FY21, FY22 and FY23 earnings estimates by 12.9%, 20.7% and 9.5%, respectively.

The rating is upgraded to Add from Hold and the target price is increased to $4.79 from $4.18.

IDP EDUCATION LIMITED ((IEL)) Upgrade to Add from Hold by Morgans .B/H/S: 5/0/0

Morgans reiterates the upside from a vaccine for IDP Education is the potential for international borders to reopen quicker than expected. This would bolster student placement and IELTS testing volumes and earnings. 

The broker believes the company will be materially better placed when normalised conditions prevail.

The analyst increases FY22 and FY23 EPS forecasts by around 3% and 12%, respectively. This is primarily driven by increased IELTS/Student Placement volume assumptions and slightly lower opex assumptions.

The rating is increased to Add from Hold and the target price is increased to $25.09 from $23.23.

MAGELLAN FINANCIAL GROUP LIMITED ((MFG)) Upgrade to Buy from Hold by Ord Minnett .B/H/S: 3/2/2

The flagship Global Fund has continued to perform well and Magellan Financial has added new growth avenues, including the investment in Barrenjoey.

In addition, Ord Minnett notes the company has generated its strongest institutional net inflow for a half year since 2015.

As the stock has remained flat since early July, the broker now envisages a valuation gap re-emerging and upgrades to Buy from Hold. Target is raised to $70.48 from $63.57.

NATIONAL TYRE & WHEEL LIMITED ((NTD)) Upgrade to Add from Hold by Morgans .B/H/S: 1/0/0

According to Morgans, persistently strong trading conditions and the acquisition of T4U has seen National Tyre & Wheel upgrade first half earnings (EBITDA) guidance.

The broker highlights this guidance does not include any material contribution to earnings from synergies arising from the August acquisition of Tyres4U.

The balance sheet has deleveraged far quicker than previously expected by the analyst, putting dividends firmly back on the agenda in the short term.

Given the deleveraging and potential synergy upside from T4U, the rating is upgraded to Add from Hold.

Morgans upgrades  EPS forecasts by circa 50-85% in forecast years which sees the target price increased to $1.00 from $0.63.

PENDAL GROUP LIMITED ((PDL)) Upgrade to Add from Hold by Morgans .B/H/S: 4/3/0

Morgans upgrades the rating for Pendal Group to Add from Hold due to a favourable balance of risk/reward over the next twelve months, a good net cash position and leverage to a broader equity market recovery.

The company reported 'core' net outflows of -$3.9bn in FY20, of which -$3.3bn was from EU funds. The result was broadly in-line with the analyst expectations.

The broker sees flows as remaining relatively subdued, unless assistance comes from potential funds flow into UK/EU markets. In that case, the analyst highlights the upside leverage the company has to a broad and sustained equity market improvement through 2021.

The rating is upgraded to Add from Hold and the target price of $7.02 is unchanged.

SONIC HEALTHCARE LIMITED ((SHL)) Upgrade to Buy from Neutral by Citi .B/H/S: 3/4/0

At the AGM, Sonic Healthcare announced a level of growth that is unprecedented, according to Citi. It's considered likely the growth is directly related to the pandemic. October revenue was up 33% on the previous corresponding period.

The company is experiencing record covid testing volumes in the US and Europe, as a result of the pandemic second wave. The base business is negatively impacted but “less than first waves”, explains the broker.

The analyst considers the company should be in a solid position to pursue acquisitions beyond covid. This is considered a key upside risk to forecasts.

Citi lifts EPS estimates for FY21, FY22 and FY23 by 58%, 28% and 5%, respectively.

The rating is increased to Buy from Neutral and the target raised to $38.50 from $35.50.

SUNCORP GROUP LIMITED ((SUN)) Upgrade to Add from Hold by Morgans .B/H/S: 4/3/0

Suncorp Group has given a natural hazard update following the significant Queensland/New South Wales hailstorm on 31 October 2020.

The group has disclosed that natural hazards for the four months ended October are tracking at -$348m-$408m, which compares to the group’s FY21 hazard allowance of -$950m (split evenly 1st half vs 2nd half).

Morgans lowers FY21 and FY22 EPS forecasts by -2%-4%, which reflects an update of numbers for a mark-to-market.

The rating is increased to Add from Hold on valuation grounds. While the operating environment remains difficult for the group near term, Morgans thinks the recent pullback in share price is probably overdone.  

The target is decreased to $9.90 from $10.32.

SEVEN WEST MEDIA LIMITED ((SWM)) Upgrade to Outperform from Neutral by Credit Suisse .B/H/S: 3/1/0

The latest update points to a better ad market trajectory, hinting at a broadly flat operating income in the first half, well ahead of Credit Suisse's expected decline of -41%.

Broadcaster video on demand (BVOD) revenue growth during the first four months of the first half is considered impressive by the broker.  

Credit Suisse upgrades its rating to Outperform from Neutral. Target rises to $0.40 from $0.12.

TRANSURBAN GROUP ((TCL)) Upgrade to Outperform from Neutral by Macquarie .B/H/S: 3/2/2

Transurban has been out-bid on the Elizabeth River Crossing project in Virginia. Perhaps disappointing but it does shrink a required capital raising for the buy out of the rest of WestConnex in Sydney, Macquarie notes. There are still opportunities pending in the US.

The implied PE multiple paid for the ERC materially exceeded the broker's valuation, and the broker assumes such a premium can also be captured through the partial sale of Transurban's other US assets. To that end, target rises to $15.93 from $14.33. 

Upgrade to Outperform from Neutral.

TELSTRA CORPORATION LIMITED ((TLS)) Upgrade to Accumulate from Hold by Ord Minnett .B/H/S: 4/1/1

Ord Minnett summarises that Telstra had a primary focus at the investor day on the ongoing rollout of the 5G network and the potential spin-off of its TowerCo assets.

A key takeaway for the broker is management expects to arrest five years of operating earnings (EBITDA) declines through increased revenue and margins in the mobile segment. This is due primarily to 5G and ongoing cost savings in fixed wireless broadband.

Other highlights included earnings (EBITDA) are expected to grow 4–14% per annum over the next two years, and the sale of TowerCo could be up to 6–7% value-accretive.

Management expects to commence a process to sell InfraCo Towers in 2021. Ord Minnett estimates the TowerCo assets could be worth 3.7–3.9bn, assuming a 5% weighted average cost of capital (WACC). A sale at that price is considered to be 6% value accretive.

The rating is increased to Accumulate from Hold and the target price is increased to $3.65 from $3.40.

Downgrade

AUSNET SERVICES ((AST)) Downgrade to Lighten from Hold by Ord Minnett .B/H/S: 0/4/2

The first half underlying net profit for AusNet Services came in significantly ahead of Ord Minnett's forecast due mainly to a better-than-
expected contribution from the electricity distribution business. This was driven by increased residential consumption.

With revenue from the asset above the cap, this is expected by the broker to unwind in future periods. Aside from that, the result was in line with estimates.

Management continues to highlight growth, although the increase in the regulatory contracted asset base (RCAB) has been tempered slightly with a more conservative outlook, notes the analyst.

The rating is downgraded to Lighten from Hold and the target price of $1.75 is unchanged.

ACCENT GROUP LIMITED ((AX1)) Downgrade to Hold from Add by Morgans .B/H/S: 1/2/0

As a result of recent vaccine developments, Morgans lowers multiples (while largely leaving earnings unchanged) for those stocks likely to suffer from a return to some sense of normality (redirection of spend). 

The broker continues to think Christmas will be a boomer this year and first half results will show extraordinary growth with strong operating expense leverage on buoyant top-line trading. However, it's considered the market will likely look through this strength.

Accent Group is yet to provide a trading update post its FY20 result (due at the AGM). Morgans expects trading outside of Melbourne has remained robust, with online the major driver.

Nonetheless, as a discretionary retailer, the broker expects the stock's ability to outperform will be limited from here.

The rating is decreased to Hold from Add. The target price is decreased to $1.67 from $1.84

BABY BUNTING GROUP LIMITED ((BBN)) Downgrade to Hold from Add by Morgans .B/H/S: 3/1/0

As a result of recent vaccine developments, Morgans lowers multiples (while largely leaving earnings unchanged) for those stocks likely to suffer from a return to some sense of normality (redirection of spend). 

The broker continues to think Christmas will be a boomer this year and first half results will show extraordinary growth with strong operating expense leverage on buoyant top-line trading. However, it's considered the market will likely look through this strength.

Baby Bunting benefited more from covid-19 than the broker anticipated. The company's products are far less discretionary than the rest of Morgans retail coverage.

Nonetheless, the analyst downgrades to Hold from Buy on the elevated price earnings multiple versus vaccine sentiment only. Morgans still thinks the group looks very well positioned over the long term.

The price target is decreased to $4.84 from $5.23.

BEACON LIGHTING GROUP LIMITED ((BLX)) Downgrade to Hold from Add by Morgans .B/H/S: 1/1/0

As a result of recent vaccine developments, Morgans lowers multiples (while largely leaving earnings unchanged) for those stocks likely to suffer from a return to some sense of normality (redirection of spend). 

The broker continues to think Christmas will be a boomer this year and first half results will show extraordinary growth with strong operating expense leverage on buoyant top-line trading. However, it's considered the market will likely look through this strength.

Beacon Lighting was a major beneficiary of covid-19 via in-home spending and Morgans still sees upside risk to FY21 earnings.

Nonetheless, from the fourth quarter the group will cycle elevated comparisons to prior corresponding periods.

The rating is downgraded to Hold from Add and the target price is decreased to $1.50 from $1.73.

COMMONWEALTH BANK OF AUSTRALIA ((CBA)) Downgrade to Reduce from Hold by Morgans .B/H/S: 0/4/3

Following a trading update, Morgans downgrades earnings forecasts for Commonwealth Bank and lowers the rating to Reduce from Hold.

On a run-rate basis, the unaudited first quarter cash profit is -7.5% softer than the broker forecast for FY21. It’s considered the quarter had been impacted by a collective provision top-up that is not expected to be repeated in coming quarters.

Morgans lowers cash EPS forecasts by -3.8% and -4.8% for FY22 and FY23, respectively. This is largely due to lower net interest margin (NIM) forecasts and higher operating expense forecasts.

The first quarter NIM is lower than the second half FY20. The contraction was largely attributable to a lower interest rate environment as well as unfavourable lending margins and higher liquid assets.

The bank said an increase in operating expenses was the result of increased investment spend and higher staff costs due to continued impacts from covid-19.

The target price is decreased to $63 from $66.

CSL LIMITED ((CSL)) Downgrade to Neutral from Buy by Citi .B/H/S: 3/4/0

Citi now assumes plasma collections return to pre-pandemic levels from January 2021 and, with the 6-7 month lead time for production, the earnings impact will be spread over FY21 and FY22.

The broker eases back on forecast declines in earnings per share for FY21-22, and as the stock has outperformed the ASX200 by 16% over the year to date, downgrades to Neutral from Buy. Target is reduced to $320 from $325.

See also CSL upgrade.

DOMAIN HOLDINGS AUSTRALIA LIMITED ((DHG)) Downgrade to Neutral from Outperform by Credit Suisse .B/H/S: 2/4/0

A strong listings recovery in Sydney provided a favourable first quarter for Domain Holdings and Credit Suisse notes reliance on the Sydney market was evident in October volumes.

October volumes were more subdued nonetheless and the broker lowers first half digital revenue growth estimates to 4.1%. Management has also guided to a -12% reduction to the first half cost base.

Credit Suisse downgrades to Neutral from Outperform, given the limited upside from current trading levels. Target is raised to $4.40 from $4.00.

DOMINO'S PIZZA ENTERPRISES LIMITED ((DMP)) Downgrade to Underperform from Neutral by Macquarie .B/H/S: 0/3/4

In a response to the response to the vaccine news with regard consumer stocks, Macquarie suggests that while virus winners will have a positive 2020, consumer behaviour will return to normal in 2021. To that end the broker has reverted to pre-covid sum-of-the-parts valuations.

Domino's Pizza's target is lowered to $72.10 from $84.30. Downgrade to Underperform from Neutral.

The broker has not provided earnings/dividend forecast updates.

FINEOS CORPORATION HOLDINGS PLC ((FCL)) Downgrade to Accumulate from Buy by Ord Minnett .B/H/S: 2/0/0

The company has reiterated guidance for 30% underlying growth in FY21 subscription revenue at its AGM but did not recommit to the 20% organic top-line growth target.

While the long duration growth opportunity is highly attractive, particularly in the US, Ord Minnett moves the rating down to Accumulate from Buy, pending a clearer view on the impact of macro conditions, such as the pandemic and the US election.

Uncertainty around new deal closures are likely to overhang the stock, in the broker's view, albeit probably short term. Target is reduced to $4.50 from $5.00.

GPT GROUP ((GPT)) Downgrade to Neutral from Outperform by Macquarie .B/H/S: 4/1/1

GPT has surged 13% in two days as part of the vaccine-inspired value switch and outperformed the ASX REIT index by 4.6%, Macquarie notes. The broker had previously identified GPT as a value pick.

Not anymore. On the strength of the rally, and ongoing risk of lower office/retail asset valuations, the broker downgrades to Neutral from Outperform. Macquarie has nonetheless backed off its valuation risk assumptions slightly, so target rises to $4.79 from $4.48.

INCITEC PIVOT LIMITED ((IPL)) Downgrade to Neutral from Outperform by Macquarie .B/H/S: 5/2/0

Incitec Pivot's FY20 underlying profit and earnings fell short of Macquarie's and consensus forecasts. Dyno Americas (explosives) was the biggest source of the miss, with management suggesting a return to normal only post-covid.

We're not yet post-covid, so no dividend was declared due to ongoing uncertainty when the broker had forecast 3.5c. An anticipated earnings recovery has been pushed out to FY22, with FY21 a "transition year", management suggests.

Vaccine news since announced is a positive but coal volumes remain challenging. Macquarie pulls back to Neutral for now from Outperform. Target falls to $2.30 from $2.63.

JB HI-FI LIMITED ((JBH)) Downgrade to Neutral from Outperform by Macquarie .B/H/S: 0/7/0

In a response to the response to the vaccine news with regard consumer stocks, Macquarie suggests that while virus winners will have a positive 2020, consumer behaviour will return to normal in 2021. To that end the broker has reverted to pre-covid sum-of-the-parts valuations.

JB Hi-Fi's target is lowered to $49.50 from $54.90.. Downgrade to Neutral from Outperform.

The broker has not provided earnings/dividend forecast updates.

JAMES HARDIE INDUSTRIES N.V. ((JHX)) Downgrade to Neutral from Outperform by Credit Suisse .B/H/S: 4/2/0

Cash flow has been confirmed as strong in the second quarter, with revenue and earnings having been pre-announced. Credit Suisse notes operating cash flow was already 92% of full FY22 cash flow because of an inventory reduction attributed to customer integration.

Net debt is reduced and the company will pay a full-year equivalent dividend for the final, which the broker estimates at US48c.

Given the earnings revisions over the year to date, Credit Suisse considers the potential for further material upgrades in FY21/22 has diminished. Rating is downgraded to Neutral from Outperform. Target is raised to $39.00 from $38.50.

MOTORCYCLE HOLDINGS LIMITED ((MTO)) Downgrade to Hold from Add by Morgans .B/H/S: 0/1/0

As a result of recent vaccine developments, Morgans lowers multiples (while largely leaving earnings unchanged) for those stocks likely to suffer from a return to some sense of normality (redirection of spend). 

The broker continues to think Christmas will be a boomer this year and first half results will show extraordinary growth with strong operating expense leverage on buoyant top-line trading. However, it's considered the market will likely look through this strength.

Motorcycle Holdings was a major beneficiary of covid-19 and Morgans still sees potentially material upside to FY21 forecasts. However, the company's products are highly discretionary and a potential redirection of spend is a key risk from current elevated earnings levels.

The broker highlights the balance sheet position looks rock solid post covid-19.

The rating is downgraded to Hold from Add and the target price is decreased to $2.67 from $2.83.

RAMSAY HEALTH CARE LIMITED ((RHC)) Downgrade to Neutral from Outperform by Credit Suisse .B/H/S: 2/4/1

Credit Suisse notes the shares are up 6% following the Pfizer announcement of positive interim data for its coronavirus vaccine.

While continuing to believe that Ramsay Health Care would benefit from volume post the pandemic, significant earnings pressure is assessed for the near term as cases rise in Europe.

Credit Suisse makes earnings downgrades of -1-2% across the forecast period. The stock is now trading in line with a target of $70 and the rating is downgraded to Neutral from Outperform.

SUPER RETAIL GROUP LIMITED ((SUL)) Downgrade to Hold from Add by Morgans .B/H/S: 4/3/0

As a result of recent vaccine developments, Morgans lowers multiples (while largely leaving earnings unchanged) for those stocks likely to suffer from a return to some sense of normality (redirection of spend). 

The broker continues to think Christmas will be a boomer this year and first half results will show extraordinary growth with strong operating expense leverage on buoyant top-line trading. However, it's considered the market will likely look through this strength.

Super Retail Group's businesses (excl. Macpac) have benefited from domestic consumption conditions resulting from covid-19 in recent months, notes Morgans. The balance sheet is also considered in a solid position (zero net debt).

While the broker expects this will continue to play for a period yet, it's expected the market will be less willing to capitalise current earnings at higher price earnings (PE) levels.

The rating is decreased to Hold from Add and the target price decreased to $11.78 from $12.59.

WESFARMERS LIMITED ((WES)) Downgrade to Neutral from Outperform by Macquarie .B/H/S: 1/4/1

In a response to the response to the vaccine news with regard consumer stocks, Macquarie suggests that while virus winners will have a positive 2020, consumer behaviour will return to normal in 2021. To that end the broker has reverted to pre-covid sum-of-the-parts valuations.

Wesfarmers' target is lowered to $49.70 from $51.00. Downgrade to Neutral from Outperform.

The broker has not provided earnings/dividend forecast updates.

Total Recommendations
Recommendation Changes

Broker Recommendation Breakup

Broker Rating

 

Order Company New Rating Old Rating Broker
Upgrade
1 CSL LIMITED Buy Neutral Ord Minnett
2 FLETCHER BUILDING LIMITED Buy Neutral Morgan Stanley
3 GRAINCORP LIMITED Buy Neutral Morgans
4 IDP EDUCATION LIMITED Buy Buy Morgans
5 MAGELLAN FINANCIAL GROUP LIMITED Buy Neutral Ord Minnett
6 NATIONAL TYRE & WHEEL LIMITED Buy Neutral Morgans
7 PENDAL GROUP LIMITED Buy Neutral Morgans
8 SEVEN WEST MEDIA LIMITED Buy Neutral Credit Suisse
9 SONIC HEALTHCARE LIMITED Buy Neutral Citi
10 SUNCORP GROUP LIMITED Buy Neutral Morgans
11 TELSTRA CORPORATION LIMITED Buy Neutral Ord Minnett
12 TRANSURBAN GROUP Buy Neutral Macquarie
Downgrade
13 ACCENT GROUP LIMITED Neutral Buy Morgans
14 AUSNET SERVICES Sell Neutral Ord Minnett
15 BABY BUNTING GROUP LIMITED Neutral Buy Morgans
16 BEACON LIGHTING GROUP LIMITED Neutral Buy Morgans
17 COMMONWEALTH BANK OF AUSTRALIA Sell Neutral Morgans
18 CSL LIMITED Neutral Buy Citi
19 DOMAIN HOLDINGS AUSTRALIA LIMITED Neutral Buy Credit Suisse
20 DOMINO'S PIZZA ENTERPRISES LIMITED Sell Neutral Macquarie
21 FINEOS CORPORATION HOLDINGS PLC Buy Buy Ord Minnett
22 GPT GROUP Neutral Buy Macquarie
23 INCITEC PIVOT LIMITED Neutral Buy Macquarie
24 JAMES HARDIE INDUSTRIES N.V. Neutral Buy Credit Suisse
25 JB HI-FI LIMITED Neutral Buy Macquarie
26 MOTORCYCLE HOLDINGS LIMITED Neutral Buy Morgans
27 RAMSAY HEALTH CARE LIMITED Neutral Buy Credit Suisse
28 SUPER RETAIL GROUP LIMITED Neutral Buy Morgans
29 WESFARMERS LIMITED Neutral Buy Macquarie

Recommendation

Positive Change Covered by > 2 Brokers

Order Symbol Company New Rating Previous Rating Change Recs
1 GNC GRAINCORP LIMITED 100.0% 75.0% 25.0% 4
2 SWM SEVEN WEST MEDIA LIMITED 75.0% 50.0% 25.0% 4
3 IEL IDP EDUCATION LIMITED 100.0% 80.0% 20.0% 5
4 SIQ SMARTGROUP CORPORATION LTD 60.0% 40.0% 20.0% 5
5 WEB WEBJET LIMITED 40.0% 20.0% 20.0% 5
6 ING INGHAMS GROUP LIMITED 50.0% 33.0% 17.0% 6
7 TWE TREASURY WINE ESTATES LIMITED 29.0% 14.0% 15.0% 7
8 TCL TRANSURBAN GROUP 7.0% -7.0% 14.0% 7
9 PDL PENDAL GROUP LIMITED 50.0% 36.0% 14.0% 7
10 SUN SUNCORP GROUP LIMITED 50.0% 36.0% 14.0% 7

Negative Change Covered by > 2 Brokers

Order Symbol Company New Rating Previous Rating Change Recs
1 AX1 ACCENT GROUP LIMITED 33.0% 67.0% -34.0% 3
2 BBN BABY BUNTING GROUP LIMITED 75.0% 100.0% -25.0% 4
3 PPH PUSHPAY HOLDINGS LIMITED 13.0% 38.0% -25.0% 4
4 DHG DOMAIN HOLDINGS AUSTRALIA LIMITED 33.0% 50.0% -17.0% 6
5 JHX JAMES HARDIE INDUSTRIES N.V. 58.0% 75.0% -17.0% 6
6 GPT GPT GROUP 42.0% 58.0% -16.0% 6
7 IPL INCITEC PIVOT LIMITED 71.0% 86.0% -15.0% 7
8 CBA COMMONWEALTH BANK OF AUSTRALIA -43.0% -29.0% -14.0% 7
9 NAB NATIONAL AUSTRALIA BANK LIMITED 36.0% 50.0% -14.0% 7
10 SUL SUPER RETAIL GROUP LIMITED 50.0% 64.0% -14.0% 7

Target Price

Positive Change Covered by > 2 Brokers

Order Symbol Company New Target Previous Target Change Recs
1 SWM SEVEN WEST MEDIA LIMITED 0.250 0.163 53.37% 4
2 DHG DOMAIN HOLDINGS AUSTRALIA LIMITED 3.912 3.570 9.58% 6
3 GNC GRAINCORP LIMITED 4.995 4.593 8.75% 4
4 IEL IDP EDUCATION LIMITED 22.664 21.530 5.27% 5
5 SHL SONIC HEALTHCARE LIMITED 36.931 35.270 4.71% 7
6 WES WESFARMERS LIMITED 46.999 45.084 4.25% 7
7 AST AUSNET SERVICES 1.886 1.820 3.63% 7
8 WEB WEBJET LIMITED 3.978 3.898 2.05% 5
9 JHX JAMES HARDIE INDUSTRIES N.V. 40.258 39.558 1.77% 6
10 CSL CSL LIMITED 314.957 309.957 1.61% 7

Negative Change Covered by > 2 Brokers

Order Symbol Company New Target Previous Target Change Recs
1 TWE TREASURY WINE ESTATES LIMITED 9.664 10.820 -10.68% 7
2 AX1 ACCENT GROUP LIMITED 1.757 1.813 -3.09% 3
3 IPL INCITEC PIVOT LIMITED 2.493 2.563 -2.73% 7
4 DMP DOMINO'S PIZZA ENTERPRISES LIMITED 72.357 74.100 -2.35% 7
5 BBN BABY BUNTING GROUP LIMITED 4.985 5.083 -1.93% 4
6 SUL SUPER RETAIL GROUP LIMITED 11.941 12.057 -0.96% 7
7 SIQ SMARTGROUP CORPORATION LTD 6.856 6.896 -0.58% 5

Earning Forecast

Positive Change Covered by > 2 Brokers

Order Symbol Company New EF Previous EF Change Recs
1 GNC GRAINCORP LIMITED 24.153 1.263 1812.35% 4
2 SWM SEVEN WEST MEDIA LIMITED 16.900 4.095 312.70% 4
3 XRO XERO LIMITED 46.521 28.801 61.53% 6
4 SGM SIMS LIMITED 24.935 19.537 27.63% 6
5 NWS NEWS CORPORATION 52.589 41.217 27.59% 4
6 TCL TRANSURBAN GROUP 7.833 6.390 22.58% 7
7 NAB NATIONAL AUSTRALIA BANK LIMITED 144.171 117.757 22.43% 7
8 ECX ECLIPX GROUP LIMITED 14.250 12.050 18.26% 4
9 AST AUSNET SERVICES 8.369 7.160 16.89% 7
10 SHL SONIC HEALTHCARE LIMITED 197.000 174.157 13.12% 7

Negative Change Covered by > 2 Brokers

Order Symbol Company New EF Previous EF Change Recs
1 NEA NEARMAP LTD -5.900 -3.900 -51.28% 3
2 SXY SENEX ENERGY LIMITED 0.582 1.040 -44.04% 6
3 WHC WHITEHAVEN COAL LIMITED -9.026 -7.740 -16.61% 7
4 SEK SEEK LIMITED 14.448 15.938 -9.35% 6
5 WPL WOODSIDE PETROLEUM LIMITED 72.273 77.963 -7.30% 7
6 IEL IDP EDUCATION LIMITED 16.000 16.920 -5.44% 5
7 FLT FLIGHT CENTRE LIMITED -111.500 -105.929 -5.26% 7
8 SM1 SYNLAIT MILK LIMITED 38.366 40.099 -4.32% 4
9 CHC CHARTER HALL GROUP 53.817 54.983 -2.12% 6
10 MQG MACQUARIE GROUP LIMITED 616.333 629.067 -2.02% 6

Technical limitations

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CHARTS

AST AX1 BBN BLX CBA CSL DHG DMP FBU FCL GNC GPT IEL IPL JBH JHX MFG MTO NTD PDL RHC SHL SUL SUN SWM TCL TLS WES

For more info SHARE ANALYSIS: AST - AUSNET SERVICES

For more info SHARE ANALYSIS: AX1 - ACCENT GROUP LIMITED

For more info SHARE ANALYSIS: BBN - BABY BUNTING GROUP LIMITED

For more info SHARE ANALYSIS: BLX - BEACON LIGHTING GROUP LIMITED

For more info SHARE ANALYSIS: CBA - COMMONWEALTH BANK OF AUSTRALIA

For more info SHARE ANALYSIS: CSL - CSL LIMITED

For more info SHARE ANALYSIS: DHG - DOMAIN HOLDINGS AUSTRALIA LIMITED

For more info SHARE ANALYSIS: DMP - DOMINO'S PIZZA ENTERPRISES LIMITED

For more info SHARE ANALYSIS: FBU - FLETCHER BUILDING LIMITED

For more info SHARE ANALYSIS: FCL - FINEOS CORPORATION HOLDINGS PLC

For more info SHARE ANALYSIS: GNC - GRAINCORP LIMITED

For more info SHARE ANALYSIS: GPT - GPT GROUP

For more info SHARE ANALYSIS: IEL - IDP EDUCATION LIMITED

For more info SHARE ANALYSIS: IPL - INCITEC PIVOT LIMITED

For more info SHARE ANALYSIS: JBH - JB HI-FI LIMITED

For more info SHARE ANALYSIS: JHX - JAMES HARDIE INDUSTRIES N.V.

For more info SHARE ANALYSIS: MFG - MAGELLAN FINANCIAL GROUP LIMITED

For more info SHARE ANALYSIS: MTO - MOTORCYCLE HOLDINGS LIMITED

For more info SHARE ANALYSIS: NTD - NATIONAL TYRE & WHEEL LIMITED

For more info SHARE ANALYSIS: PDL - PENDAL GROUP LIMITED

For more info SHARE ANALYSIS: RHC - RAMSAY HEALTH CARE LIMITED

For more info SHARE ANALYSIS: SHL - SONIC HEALTHCARE LIMITED

For more info SHARE ANALYSIS: SUL - SUPER RETAIL GROUP LIMITED

For more info SHARE ANALYSIS: SUN - SUNCORP GROUP LIMITED

For more info SHARE ANALYSIS: SWM - SEVEN WEST MEDIA LIMITED

For more info SHARE ANALYSIS: TCL - TRANSURBAN GROUP

For more info SHARE ANALYSIS: TLS - TELSTRA CORPORATION LIMITED

For more info SHARE ANALYSIS: WES - WESFARMERS LIMITED