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Australian Broker Call *Extra* Edition – Mar 08, 2021

Daily Market Reports | Mar 08 2021

This story features AUDINATE GROUP LIMITED, and other companies. For more info SHARE ANALYSIS: AD8

Dear Reader: As part of FNArena's coverage of the February reporting season in Australia, Editions of the Australian Broker Call *Extra* Report will be focusing on responses to released financial results during the month.

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An additional news report on the recommendation, valuation, forecast and opinion changes for ASX-listed equities.

In addition to The Australian Broker Call Report, which is published and updated daily (Mon-Fri), FNArena has now added The Australian Broker Call *Extra* Edition, featuring additional sources of research and insights on ASX-listed stocks, also enlarging the number of stocks that make up the FNArena universe.

One key difference is the *Extra* Edition will not be updated daily, but merely "regularly" depending on availability of suitable quality content. As such, the *Extra* Edition tries to build a bridge between daily updates via the Australian Broker Call Report and ad hoc news stories, that are not always timely for investors hungry for the next information update.

Investors using the *Extra* Edition as a source of input for their own share market research should thus take into account that information after publication may not be up to date, or yet awaiting another update by FNArena's team of journalists.

Similar to The Australian Broker Call Report, this *Extra* Edition includes concise but limited reviews of research recently published by Stockbrokers and other experts, which should be considered as information concerning likely market behaviour rather than advice on the securities mentioned. Do not act on the contents of this Report without first reading the important information included at the end of this Report.

The Australian Broker Call *Extra* Edition is a summary that has been prepared independently of the sources identified. Readers will check the full text of the recommendations and consult a Licenced Advisor before making any investment decision.

The copyright of this Report is owned by the publisher. Readers will not copy, forward or disseminate this Report to any other person. For more vital information about the sources included, see the bottom of this Report.

COMPANIES DISCUSSED IN THIS ISSUE

Click on a symbol for fast access.
The number next to the symbol represents the number of brokers covering it for this report -(if more than 1)

AD8   AIA   AIM   AX1   BLX   CGC   CLU   COH   CSL   CUP   CWY   DUG   ENN   GEM (2)   GMG   IPD   LBL   LOV   MAD   MND   MNF   MRM   MXI   NXS   OSL   OVN   PPT   QBE   QHL   SES   SKC   SLC   TYR   UWL   WES  

AD8    AUDINATE GROUP LIMITED

Hardware & Equipment – Overnight Price: $7.25

Canaccord Genuity rates ((AD8)) as Buy (1) –

Audinate Group posted its first half result with a higher than expected operating income of $1.8m versus Canaccord Genuity's estimated $1.4m.

The company upgraded its outlook statement noting good trading conditions along with a strong order backlog and this triggers expectation of more upside to Canaccord Genuity's second half and 2021 revenue growth forecasts.

The fact the share price has remained resilience only goes to show the strong performance of the business despite covid headwinds in the northern hemisphere, suggests the broker, expecting positive revenue momentum in the medium term.

The Buy rating is unchanged and the target price is increased to $9 from $8.25.

This report was published on February 22, 2021.

Target price is $9.00 Current Price is $7.25 Difference: $1.75
If AD8 meets the Canaccord Genuity target it will return approximately 24% (excluding dividends, fees and charges).
Current consensus price target is $9.93, suggesting upside of 37.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 5.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 122.88.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -6.0, implying annual growth of N/A.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 4.70 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 154.26.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -1.9, implying annual growth of N/A.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

AIA    AUCKLAND INTERNATIONAL AIRPORT LTD

Infrastructure & Utilities – Overnight Price: $6.65

Jarden rates ((AIA)) as Upgrade to Neutral from Underweight (3) –

After an in-line first half operating result, Jarden lifts the rating to Neutral from Underweight following recent share price weakness and believes believe there is now sufficient valuation support. The target price is increased to NZ$7.10 from NZ$6.95.

The Trans-Tasman bubble remains a key catalyst for a return to profitability and the resumption of capex plans, suggests the broker.

This report was published on February 19, 2021.

Current Price is $6.65. Target price not assessed.
Current consensus price target is N/A
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 2.53 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 262.85.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -1.7, implying annual growth of N/A.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 0.00 cents and EPS of 10.03 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 66.31.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 7.0, implying annual growth of N/A.
Current consensus DPS estimate is 3.9, implying a prospective dividend yield of 0.6%.
Current consensus EPS estimate suggests the PER is 95.0.

This company reports in NZD. 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

AIM    ACCESS INNOVATION HOLDINGS LIMITED

Commercial Services & Supplies – Overnight Price: $0.86

Bell Potter rates ((AIM)) as Buy (1) –

Access Innovation delivered a first half operating loss of -$3.8m, broadly on expected lines with Bell Potter. The services revenue was up 26% versus last year due to the ongoing traction in the live enterprise product, highlights the broker.

No dividend was declared, as expected. The company reaffirmed its FY21 prospectus forecasts. Bell Potter expects momentum across the company’s live enterprise product to continue, providing upside risk to the prospectus forecasts.

Buy rating with a target price of $1.35.

This report was published on February 24, 2021.

Target price is $1.35 Current Price is $0.86 Difference: $0.49
If AIM meets the Bell Potter target it will return approximately 57% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Bell Potter forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 4.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 21.50.

Forecast for FY22:

Bell Potter forecasts a full year FY22 dividend of 0.00 cents and EPS of 0.00 cents.

Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

AX1    ACCENT GROUP LIMITED

Apparel & Footwear – Overnight Price: $2.19

Bell Potter rates ((AX1)) as Buy (1) –

Accent Group's first-half result was strong, observes Bell Potter, with the numbers in line with the company's prior market update. The operating income rose 29% versus last year to $138.4m and was driven by 2.7% like-for-like sales growth. 

Bell Potter's investment thesis on Accent Group is based on a mix of omni-channel capabilities, growth levers and strong leadership.

Bell Potter retains its Buy rating with a target price of $2.65.

This report was published on February 24, 2021.

Target price is $2.65 Current Price is $2.19 Difference: $0.46
If AX1 meets the Bell Potter target it will return approximately 21% (excluding dividends, fees and charges).
Current consensus price target is $2.53, suggesting upside of 15.7%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Bell Potter forecasts a full year FY21 dividend of 11.90 cents and EPS of 14.00 cents.
At the last closing share price the estimated dividend yield is 5.43%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.64.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 13.5, implying annual growth of 30.9%.
Current consensus DPS estimate is 11.4, implying a prospective dividend yield of 5.2%.
Current consensus EPS estimate suggests the PER is 16.2.

Forecast for FY22:

Bell Potter forecasts a full year FY22 dividend of 12.20 cents and EPS of 14.40 cents.
At the last closing share price the estimated dividend yield is 5.57%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.21.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 12.9, implying annual growth of -4.4%.
Current consensus DPS estimate is 11.2, implying a prospective dividend yield of 5.1%.
Current consensus EPS estimate suggests the PER is 17.0.

Market Sentiment: 0.3
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

BLX    BEACON LIGHTING GROUP LIMITED

Furniture & Renovation – Overnight Price: $1.68

Jarden rates ((BLX)) as Buy (1) –

First half profit (NPAT) was around 8% ahead of Jarden as comparative sales were strong with positive trends continuing into 2H21. A continuation of this trend is considered likely, given the company's leverage to housing, and the broker's favourable housing view.

The analyst expects the Australian dollar tailwind to continue into the 2H21 which should support margins. Management were confident on rational pricing given the lack of supply while demand remains elevated.The Buy rating and $2 target are retained.

This report was published on February 19, 2021.

Target price is $2.00 Current Price is $1.68 Difference: $0.32
If BLX meets the Jarden target it will return approximately 19% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 7.80 cents and EPS of 15.90 cents.
At the last closing share price the estimated dividend yield is 4.64%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.57.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 7.00 cents and EPS of 11.50 cents.
At the last closing share price the estimated dividend yield is 4.17%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.61.

Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

CGC    COSTA GROUP HOLDINGS LIMITED

Agriculture – Overnight Price: $4.55

Goldman Sachs rates ((CGC)) as Upgrade to Buy from Neutral (1) –

Goldman Sachs upgrades Costa Group Holdings to Buy from Neutral with the target rising to $5.35 from $3.45.

The broker's investment thesis is driven by an improved outlook across key categories, a renewed focus on planting growth projects and a stronger balance sheet to support organic growth.

This report was published on February 23, 2021.

Target price is $5.35 Current Price is $4.55 Difference: $0.8
If CGC meets the Goldman Sachs target it will return approximately 18% (excluding dividends, fees and charges).
Current consensus price target is $4.81, suggesting upside of 5.7%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY21:

Goldman Sachs forecasts a full year FY21 dividend of 13.00 cents and EPS of 20.00 cents.
At the last closing share price the estimated dividend yield is 2.86%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.75.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 20.4, implying annual growth of 34.6%.
Current consensus DPS estimate is 11.5, implying a prospective dividend yield of 2.5%.
Current consensus EPS estimate suggests the PER is 22.3.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 13.00 cents and EPS of 19.00 cents.
At the last closing share price the estimated dividend yield is 2.86%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.95.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 22.0, implying annual growth of 7.8%.
Current consensus DPS estimate is 12.6, implying a prospective dividend yield of 2.8%.
Current consensus EPS estimate suggests the PER is 20.7.

Market Sentiment: 0.3
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

CLU    CLUEY LTD

Education & Tuition – Overnight Price: $1.24

Canaccord Genuity rates ((CLU)) as Buy (1) –

Canaccord Genuity is impressed with Cluey's first half result with revenue up 385% at $6.4m. The broker believes the company is on track to exceed the February 2021 session forecast by 10-15%.

Due to the seasonality of the company's business model, the company guidance implies circa $9m revenue in the second half with January/February the key enrollment period.

Cluey expects a step-change in monthly sessions to circa 30k in March 2021, highlighting the rapid pace at which Cluey is scaling and adopting the digital/online tutoring business model.

Buy rating with a target price of $1.80.

This report was published on February 22, 2021. 

Target price is $1.80 Current Price is $1.24 Difference: $0.56
If CLU meets the Canaccord Genuity target it will return approximately 45% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 13.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 8.99.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 9.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 13.33.

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

COH    COCHLEAR LIMITED

Medical Equipment & Devices – Overnight Price: $200.29

Jarden rates ((COH)) as Overweight (2) –

First half  underlying profit (NPAT) declined -6% versus the pcp though it beat Jarden's estimate by 23% with better-than-expected momentum in revenue and gross margin.

The company re-introduced FY21 profit guidance at $225m-$245m and re-commenced dividends of $1.05ps. The broker upgrades FY21 underlying profit by 17% and increases the target to $240.50 from $223.31. The Overweight rating is retained.

This report was published on February 22, 2021.

Target price is $240.50 Current Price is $200.29 Difference: $40.21
If COH meets the Jarden target it will return approximately 20% (excluding dividends, fees and charges).
Current consensus price target is $214.87, suggesting upside of 7.3%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 247.80 cents and EPS of 380.40 cents.
At the last closing share price the estimated dividend yield is 1.24%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 52.65.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 372.7, implying annual growth of N/A.
Current consensus DPS estimate is 237.3, implying a prospective dividend yield of 1.2%.
Current consensus EPS estimate suggests the PER is 53.7.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 335.70 cents and EPS of 479.50 cents.
At the last closing share price the estimated dividend yield is 1.68%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 41.77.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 457.7, implying annual growth of 22.8%.
Current consensus DPS estimate is 328.5, implying a prospective dividend yield of 1.6%.
Current consensus EPS estimate suggests the PER is 43.8.

Market Sentiment: 0.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

CSL    CSL LIMITED

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $248.58

Jarden rates ((CSL)) as Overweight (2) –

Jarden views 1H21 profit (NPAT) as an 'extraordinary' result that came in 28% above forecast as Seqirus beat by 61%. Seqirus has been a big beneficiary of product mix as FLUAD (influenza vaccine) sales jumped 74%, bringing with it strong pricing and margins.

Behring's earnings (EBIT) were 17% ahead of the brokers forecast though more a product of reduced opex.

The analyst is surprised management maintained guidance in light of the earnings beat though this didn't deter Jarden upgrading the FY21 profit forecast by 4%. Overweight is retained and the target increased to $334.80 from $332.70.

This report was published on February 19, 2021.

Target price is $334.80 Current Price is $248.58 Difference: $86.22
If CSL meets the Jarden target it will return approximately 35% (excluding dividends, fees and charges).
Current consensus price target is $302.01, suggesting upside of 21.5%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 233.83 cents and EPS of 749.65 cents.
At the last closing share price the estimated dividend yield is 0.94%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 33.16.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 659.5, implying annual growth of N/A.
Current consensus DPS estimate is 266.3, implying a prospective dividend yield of 1.1%.
Current consensus EPS estimate suggests the PER is 37.7.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 352.30 cents and EPS of 763.63 cents.
At the last closing share price the estimated dividend yield is 1.42%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 32.55.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 654.5, implying annual growth of -0.8%.
Current consensus DPS estimate is 298.4, implying a prospective dividend yield of 1.2%.
Current consensus EPS estimate suggests the PER is 38.0.

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 0.1
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

CUP    COUNTPLUS LIMITED

Commercial Services & Supplies – Overnight Price: $1.23

Wilsons rates ((CUP)) as Overweight (1) –

Countplus reported a first-half net profit of $4.1m, up 46.6% and 81.4% ahead of Wilsons' forecast.

While expecting the second half to be challenging due to the removal of grandfathered commissions and a volatile operating environment for SMEs, Wilsons notes Countplus has begun to attract new advisers from IOOF Holdings ((IFL)), Mothercare Australia ((MLC)) and AMP ((AMP)).  

Wilsons retains its Overweight rating with the target rising to $1.40 from $1.30.

This report was published on February 24, 2021.

Target price is $1.40 Current Price is $1.23 Difference: $0.17
If CUP meets the Wilsons target it will return approximately 14% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 2.80 cents and EPS of 3.80 cents.
At the last closing share price the estimated dividend yield is 2.28%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 32.37.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 2.80 cents and EPS of 3.90 cents.
At the last closing share price the estimated dividend yield is 2.28%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 31.54.

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

CWY    CLEANAWAY WASTE MANAGEMENT LIMITED

Industrial Sector Contractors & Engineers – Overnight Price: $2.32

Jarden rates ((CWY)) as Buy (1) –

Jarden makes little change to forecasts post the first half results. After a recent share price de-rating, it’s considered the market is overlooking a number of industry tailwinds that should drive profitability over the medium-term.

The analyst highlights Liquid Waste & Health delivered strong cost containment, which was a good result given the considerable reduction in hospital admissions and lower elective surgeries. The Buy rating and target of $3 are unchanged.

This report was published on February 22, 2021.

Target price is $3.00 Current Price is $2.32 Difference: $0.68
If CWY meets the Jarden target it will return approximately 29% (excluding dividends, fees and charges).
Current consensus price target is $2.45, suggesting upside of 5.7%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 4.90 cents and EPS of 8.60 cents.
At the last closing share price the estimated dividend yield is 2.11%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 26.98.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 8.0, implying annual growth of 45.5%.
Current consensus DPS estimate is 4.7, implying a prospective dividend yield of 2.0%.
Current consensus EPS estimate suggests the PER is 29.0.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 5.80 cents and EPS of 9.70 cents.
At the last closing share price the estimated dividend yield is 2.50%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.92.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 8.7, implying annual growth of 8.7%.
Current consensus DPS estimate is 5.0, implying a prospective dividend yield of 2.2%.
Current consensus EPS estimate suggests the PER is 26.7.

Market Sentiment: 0.2
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

DUG    DUG TECHNOLOGY LTD

Cloud services – Overnight Price: $1.06

Canaccord Genuity rates ((DUG)) as Buy (1) –

DUG Technology reported its first half financials with revenue a touch lighter than Canaccord Genuity expected although the broker highlights there was a definite recovery over last year. The miss was driven by a lack of burst compute and large client projects.

The growing high-performance compute (HPC) revenue is the core tenet to the broker's growth thesis on the company. The broker believes operating momentum will build over the course of 2021.

On the flip side, while share price recoveries have been seen by many peers in the energy and services sectors, Canaccord Genuity notes DUG Technology has struggled to catch this wave.

Buy rating with the target dropping to $1.88 from $2.37.

This report was published on February 23, 2021.

Target price is $1.88 Current Price is $1.06 Difference: $0.82
If DUG meets the Canaccord Genuity target it will return approximately 77% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 5.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 21.20.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of 0.00 cents.

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

ENN    ELANOR INVESTORS GROUP

Wealth Management & Investments – Overnight Price: $1.70

Moelis rates ((ENN)) as Buy (1) –

Elanor Investors Group delivered earnings of $5.5m or 4.6c, down -55% although the result was in line with the update from December 2020. A dividend of 4.13c was announced.

The impact to distributions on co-investments, mostly due to covid related challenges and the lack of any transactional income were the main detractors during the period, notes Moelis.

No quantitative outlook was provided but the broker believes the group remains well-positioned to continue delivering strong funds management growth.

Buy rating with the target price rising to $2.05 from $1.72.

The report was published on February 23, 2021.

Target price is $2.05 Current Price is $1.70 Difference: $0.35
If ENN meets the Moelis target it will return approximately 21% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Moelis forecasts a full year FY21 dividend of 9.80 cents and EPS of 11.60 cents.
At the last closing share price the estimated dividend yield is 5.76%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.66.

Forecast for FY22:

Moelis forecasts a full year FY22 dividend of 11.80 cents and EPS of 14.00 cents.
At the last closing share price the estimated dividend yield is 6.94%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.14.

Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

GEM    G8 EDUCATION LIMITED

Childcare – Overnight Price: $1.03

Canaccord Genuity rates ((GEM)) as Hold (3) –

G8 Education's result was a little softer than Canaccord Genuity expected with the 2020 operating income circa -2% below the broker's estimate.

The outlook commentary was also somewhat unexpected with management flagging current occupancy as being flat versus last year as compared to some peers seeing higher levels of enquiry and occupancy.

While a recent debt refinance and asset sales should help lift earnings, the broker suspects this won’t be enough to offset the higher cost base in 2021 minus a decent rebound in occupancy.

Hold rating with the target falling to $1.13 from $1.45.

The report was published on February 23, 2021.

Target price is $1.13 Current Price is $1.03 Difference: $0.1
If GEM meets the Canaccord Genuity target it will return approximately 10% (excluding dividends, fees and charges).
Current consensus price target is $1.13, suggesting upside of 10.1%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 14.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 7.36.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 5.2, implying annual growth of N/A.
Current consensus DPS estimate is 4.3, implying a prospective dividend yield of 4.2%.
Current consensus EPS estimate suggests the PER is 19.8.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 3.00 cents and EPS of 5.00 cents.
At the last closing share price the estimated dividend yield is 2.91%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.60.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 7.5, implying annual growth of 44.2%.
Current consensus DPS estimate is 7.4, implying a prospective dividend yield of 7.2%.
Current consensus EPS estimate suggests the PER is 13.7.

Market Sentiment: 0.2
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources


Wilsons rates ((GEM)) as Overweight (1) –

G8 Education reported an FY20 operating income of $105.2m, slightly below the consensus of $108.3m. Wilsons finds the result messy across the revenue and operational lines on account of relief and subsidy packages.

Even so, the broker maintains its investment thesis on the company due to an attractive balance sheet, improving occupancy trends, divestment of poorly performing centres and an attractive valuation that presents an upside potential of 47.5%.

Wilsons retains its Overweight rating with a target price of $1.60.

This report was published on February 24, 2021.

Target price is $1.60 Current Price is $1.03 Difference: $0.57
If GEM meets the Wilsons target it will return approximately 55% (excluding dividends, fees and charges).
Current consensus price target is $1.13, suggesting upside of 10.1%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 0.00 cents and EPS of 5.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 18.39.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 5.2, implying annual growth of N/A.
Current consensus DPS estimate is 4.3, implying a prospective dividend yield of 4.2%.
Current consensus EPS estimate suggests the PER is 19.8.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 3.00 cents and EPS of 6.20 cents.
At the last closing share price the estimated dividend yield is 2.91%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.61.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 7.5, implying annual growth of 44.2%.
Current consensus DPS estimate is 7.4, implying a prospective dividend yield of 7.2%.
Current consensus EPS estimate suggests the PER is 13.7.

Market Sentiment: 0.2
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

GMG    GOODMAN GROUP

Infra & Property Developers – Overnight Price: $16.94

Jarden rates ((GMG)) as Underweight (2) –

After a first half result ahead of Jarden’s expectations and an upgrade to management guidance, the broker is now cautious. It’s considered there will be a point where the risk profile changes and achieving growth will become harder.

The broker agrees with management the opportunity for supply chain efficiency, data centres and modern distribution centres is significant.

The Underweight rating and target price of $19 are unchanged as Jarden notes the share price has rerated significantly in the last twelve months and sees better value elsewhere in the sector.

This report was published on February 22, 2021.

Target price is $19.00 Current Price is $16.94 Difference: $2.06
If GMG meets the Jarden target it will return approximately 12% (excluding dividends, fees and charges).
Current consensus price target is $20.10, suggesting upside of 18.7%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 30.00 cents and EPS of 66.40 cents.
At the last closing share price the estimated dividend yield is 1.77%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 25.51.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 65.0, implying annual growth of -21.1%.
Current consensus DPS estimate is 30.0, implying a prospective dividend yield of 1.8%.
Current consensus EPS estimate suggests the PER is 26.1.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 33.60 cents and EPS of 74.10 cents.
At the last closing share price the estimated dividend yield is 1.98%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.86.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 72.5, implying annual growth of 11.5%.
Current consensus DPS estimate is 31.5, implying a prospective dividend yield of 1.9%.
Current consensus EPS estimate suggests the PER is 23.4.

Market Sentiment: 0.8
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

IPD    IMPEDIMED LIMITED

Medical Equipment & Devices – Overnight Price: $0.11

Canaccord Genuity rates ((IPD)) as Buy (1) –

ImpediMed reported its first-half result with revenue and gross profit in line with broker Canaccord Genuity's estimates with the operating loss improving considerably.

The December half was a record result, highlights the broker, with SOZO devices up circa 42% versus last year and revenue up circa 54%. Annual recurring revenue was up circa 86% year on year.

There were also positive developments across the three clinical indications of breast cancer-related lymphoedema (BCRL), heart failure and renal failure.

ImpediMed did not provide any guidance and largely restated its December quarter objectives. Canaccord Genuity is positive and believes the current half is rich in possibilities that could trigger material share price performance with the installed base of SOZO units expected to grow in the second half. 

Buy rating is maintained with a target price of $0.23.

The report was published on February 23, 2021.

Target price is $0.23 Current Price is $0.11 Difference: $0.12
If IPD meets the Canaccord Genuity target it will return approximately 109% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 1.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 5.79.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 1.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 9.17.

Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

LBL    LASERBOND LIMITED

Mining Sector Contracting – Overnight Price: $0.63

Canaccord Genuity rates ((LBL)) as Buy (1) –

LaserBond's first result showed the virtues of running a business operating on different cycles, assesses Canaccord Genuity, with new products sales taking up the slack from the lagging services segment hit by delays to maintenance work at customers' sites.

The operating income was in line with the broker's forecast even though revenue was -$1m lesser than expected. The business demonstrated impressive operating leverage in the broker's view with a substantial part of the incremental revenue translating to the operating income line.

Buy rating and a target price of $0.90.

This report was published on February 22, 2021.

Target price is $0.90 Current Price is $0.63 Difference: $0.27
If LBL meets the Canaccord Genuity target it will return approximately 43% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 1.20 cents and EPS of 4.00 cents.
At the last closing share price the estimated dividend yield is 1.90%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.75.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 1.30 cents and EPS of 5.00 cents.
At the last closing share price the estimated dividend yield is 2.06%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.60.

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

LOV    LOVISA HOLDINGS LIMITED

Luxury – Overnight Price: $14.10

Jarden rates ((LOV)) as Underweight (2) –

Despite revenue and earnings declines, the first half results were well ahead of Jarden’s expectations, driven by a tightening of employee expenses in proportion to sales.

The broker was positively surprised by comparative sales growth of 12% in the first seven weeks of the 2H. Excluding the 87 beeline store conversions, Jarden forecasts 26 (net) new stores in the 2H versus the 25 in 1H.

The analyst’s earnings (EBITDA) (pre-AASB 16) forecasts have risen by 38% and 19% for FY21 and FY22, respectively, due to a revision in operating cost estimates. Underweight rating retained and the target is increased to $12.71 from $10.89.

This report was published on February 22, 2021.

Target price is $12.71 Current Price is $14.10 Difference: minus $1.39 (current price is over target).
If LOV meets the Jarden target it will return approximately minus 10% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $15.44, suggesting upside of 9.5%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 30.00 cents and EPS of 27.70 cents.
At the last closing share price the estimated dividend yield is 2.13%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 50.90.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 24.2, implying annual growth of 128.3%.
Current consensus DPS estimate is 29.0, implying a prospective dividend yield of 2.1%.
Current consensus EPS estimate suggests the PER is 58.3.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 30.00 cents and EPS of 44.30 cents.
At the last closing share price the estimated dividend yield is 2.13%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 31.83.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 39.9, implying annual growth of 64.9%.
Current consensus DPS estimate is 31.9, implying a prospective dividend yield of 2.3%.
Current consensus EPS estimate suggests the PER is 35.3.

Market Sentiment: 0.8
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

MAD    MADER GROUP LIMITED

Mining Sector Contracting – Overnight Price: $0.90

Bell Potter rates ((MAD)) as Buy (1) –

Mader Group delivered a solid first half result, broadly in line with Bell Potter's estimates with a slight net profit beat of 3.7%. The revenue rose 6.4% over last year to $141.2m with growth in Australia and North America offsetting the declines in the rest of world.

Bell Potter finds the outlook for the second half to be positive with growth driven by unfilled demand in Australia; further customer acquisition in the US and a likely Canadian market-entry in the fourth quarter.

Bell Potter reaffirms its Buy rating with the target rising to $1.28 from $1.26.

This report was published on February 24, 2021.

Target price is $1.28 Current Price is $0.90 Difference: $0.38
If MAD meets the Bell Potter target it will return approximately 42% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Bell Potter forecasts a full year FY21 dividend of 4.52 cents and EPS of 13.84 cents.
At the last closing share price the estimated dividend yield is 5.02%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 6.50.

Forecast for FY22:

Bell Potter forecasts a full year FY22 dividend of 5.65 cents and EPS of 17.65 cents.
At the last closing share price the estimated dividend yield is 6.28%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 5.10.

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

MND    MONADELPHOUS GROUP LIMITED

Mining Sector Contracting – Overnight Price: $10.90

Bell Potter rates ((MND)) as Buy (1) –

Monadelphous Group delivered a resilient first half supported by a strong increase in engineering construction revenue, observes Bell Potter. The operating income margin was slightly below the broker's forecast although operating income was slightly higher than expected.

While the group's major contract wins in FY21 have lagged, the broker isn't concerned and believes this vindicates Monadelphous's long term focus as the company deliberately refrained from overextending itself during a time of resourcing constraints.

Bell Potter retains its Buy rating with the target rising to $14.40 from $14.25.

This report was published on February 24, 2021.

Target price is $14.40 Current Price is $10.90 Difference: $3.5
If MND meets the Bell Potter target it will return approximately 32% (excluding dividends, fees and charges).
Current consensus price target is $12.68, suggesting upside of 16.3%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Bell Potter forecasts a full year FY21 dividend of 48.00 cents and EPS of 56.70 cents.
At the last closing share price the estimated dividend yield is 4.40%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.22.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 60.1, implying annual growth of 55.5%.
Current consensus DPS estimate is 43.7, implying a prospective dividend yield of 4.0%.
Current consensus EPS estimate suggests the PER is 18.1.

Forecast for FY22:

Bell Potter forecasts a full year FY22 dividend of 54.00 cents and EPS of 66.10 cents.
At the last closing share price the estimated dividend yield is 4.95%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.49.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 65.3, implying annual growth of 8.7%.
Current consensus DPS estimate is 49.2, implying a prospective dividend yield of 4.5%.
Current consensus EPS estimate suggests the PER is 16.7.

Market Sentiment: 0.3
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

MNF    MNF GROUP LIMITED

Telecommunication – Overnight Price: $4.92

Canaccord Genuity rates ((MNF)) as Buy (1) –

MNF Group's first-half result shows the strength of its wholesale business with recurring revenues accelerating to 20% from 15% growth in the second half of FY20, comments Canaccord Genuity. This growth also helped propel operating income by 17%.

The shares are trading on modest valuation multiples, notes the broker. Canaccord Genuity believes there is scope to expand due to recurring revenues.

Buy rating is retained with a target of $7.15.

This report was published on February 24, 2021.

Target price is $7.15 Current Price is $4.92 Difference: $2.23
If MNF meets the Canaccord Genuity target it will return approximately 45% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 7.40 cents and EPS of 22.00 cents.
At the last closing share price the estimated dividend yield is 1.50%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.36.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 10.30 cents and EPS of 27.00 cents.
At the last closing share price the estimated dividend yield is 2.09%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 18.22.

Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

MRM    MMA OFFSHORE LIMITED

Energy Sector Contracting – Overnight Price: $0.33

Canaccord Genuity rates ((MRM)) as Buy (1) –

Every metric of MMA Offshore's first-half result was stronger than Canaccord Genuity expected.

While the outlook points to a softer second half, the broker has increased its forecasts to the top end of the guidance range, believing a good monsoon season and contract tenders could be a positive catalyst for the stock.

Canaccord Genuity believes the outlook for the offshore industry is strengthening and thus from a valuation perspective, MMA Offshore makes for an attractive investment option. 

The broker maintains its Buy rating with a target price of $0.57.

The report was published on February 23, 2021.

Target price is $0.57 Current Price is $0.33 Difference: $0.24
If MRM meets the Canaccord Genuity target it will return approximately 73% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 5.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 6.23.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 2.10 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 15.71.

Market Sentiment: 0.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

MXI    MAXITRANS INDUSTRIES LIMITED

Automobiles & Components – Overnight Price: $0.26

Canaccord Genuity rates ((MXI)) as Buy (1) –

Canaccord Genuity notes MaxiTrans's first half was strong with an operating income of $14.7m, up 125%, delivered on revenues of $185m. What made it even better, adds the broker, was the strong $2.8m net cash position showing an improvement of circa $15m since 30 June 2020.

The business benefited from a rise in production volumes for new transport units, highlights the broker, while the parts operation was able to maintain its positive earnings momentum.

Canaccord increases its target price rises to $0.50 from $0.45 with a Buy rating.

This report was published on February 22, 2021.

Target price is $0.50 Current Price is $0.26 Difference: $0.24
If MXI meets the Canaccord Genuity target it will return approximately 92% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of 5.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 5.20.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of 4.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 6.50.

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

NXS    NEXT SCIENCE LIMITED

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $1.22

Canaccord Genuity rates ((NXS)) as Buy (1) –

Next Science's FY20 result beat Canaccord Genuity's estimates with revenue circa 5.2% higher than expected. Due to a slight beat at the gross profit line, the operating loss was -2.9% lower than expected.

The company has guided to a continuation of the December quarter result and if that holds, the broker thinks there could be a tripling of the FY20 outcome.

The million-dollar question for the broker remains the FDA approval of XP and the subsequent execution of the market launch. 

The Buy rating is unchanged with a target of $2.70.

This report was published on February 23, 2021.

Target price is $2.70 Current Price is $1.22 Difference: $1.48
If NXS meets the Canaccord Genuity target it will return approximately 121% (excluding dividends, fees and charges).
The company's fiscal year ends in December.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of 0.99 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 123.48.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of 9.04 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.50.

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

OSL    ONCOSIL MEDICAL LTD

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $0.09

Bell Potter rates ((OSL)) as Buy (1) –

Bell Potter highlights Oncosil Medical suffered a net loss of -$4.8m for the six months to December with net cash outflow from operations at -$3.2m.

In the months ahead, the broker expects more sales likely in the UK where nine hospitals are now on the cusp of screening for patients. The covid vaccine is also welcome news. 

The Buy rating and price target of $0.42 are unchanged.

This report was published on February 24, 2021.

Target price is $0.42 Current Price is $0.09 Difference: $0.33
If OSL meets the Bell Potter target it will return approximately 367% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Bell Potter forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 0.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 18.00.

Forecast for FY22:

Bell Potter forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 0.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 11.25.

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

OVN    OVENTUS MEDICAL LIMITED

Medical Equipment & Devices – Overnight Price: $0.19

Canaccord Genuity rates ((OVN)) as Buy (1) –

Oventus Medical reported a solid first half result, observes Canaccord Genuity, that was in line with its revenue and gross profit expectations but lower than expected operating expenses led to a -27% lesser operating loss than last year.

The broker thinks Oventus is showing progress despite restrictions in the US with the move to a virtual model providing positive results. Canaccord Genuity expects to see the momentum built in the December quarter to continue.

The second half revenue is estimated to be circa $2.59m.

Buy rating is retained with a target of $0.42.

This report was published on February 23, 2021.

Target price is $0.42 Current Price is $0.19 Difference: $0.23
If OVN meets the Canaccord Genuity target it will return approximately 121% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 6.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 2.79.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 3.10 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 6.13.

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

PPT    PERPETUAL LIMITED

Wealth Management & Investments – Overnight Price: $30.26

Jarden rates ((PPT)) as Overweight (2) –

While operating revenue (ex performance fees) in the first half was in-line with Jarden's estimate, total costs were well above expectations. As a result, management revised FY21 cost guidance upwards. The target is reduced to $36.80 from $37.70.

The broker retains the Overweight rating as underlying EPS growth (driven by Barrow Hanley/Trillium acquisitions) sees the company trading at an attractive valuation and dividend yield. Some of the additional costs are considered likely to fuel longer-term growth.

This report was published on February 19, 2021.

Target price is $36.80 Current Price is $30.26 Difference: $6.54
If PPT meets the Jarden target it will return approximately 22% (excluding dividends, fees and charges).
Current consensus price target is $35.49, suggesting upside of 17.3%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 170.50 cents and EPS of 121.40 cents.
At the last closing share price the estimated dividend yield is 5.63%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 24.93.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 208.0, implying annual growth of 18.0%.
Current consensus DPS estimate is 175.0, implying a prospective dividend yield of 5.8%.
Current consensus EPS estimate suggests the PER is 14.5.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 208.80 cents and EPS of 188.60 cents.
At the last closing share price the estimated dividend yield is 6.90%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.04.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 236.9, implying annual growth of 13.9%.
Current consensus DPS estimate is 194.7, implying a prospective dividend yield of 6.4%.
Current consensus EPS estimate suggests the PER is 12.8.

Market Sentiment: 0.3
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

QBE    QBE INSURANCE GROUP LIMITED

Insurance – Overnight Price: $9.43

Jarden rates ((QBE)) as Buy (1) –

Despite a pre-announced FY20 loss, Jarden notes stronger premium growth and improved underlying core operating ratios (COR) that saw underlying underwriting profits double.

The broker sees underlying profits rising another circa 30% in FY21 and around 50% by FY23, with a further 15% upside should new FY23 expense ratio targets be delivered. Buy rating and target is increased to $11.70 from $11.50.

This report was published on February 22, 2021.

Target price is $11.70 Current Price is $9.43 Difference: $2.27
If QBE meets the Jarden target it will return approximately 24% (excluding dividends, fees and charges).
Current consensus price target is $10.67, suggesting upside of 13.1%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 55.07 cents and EPS of 64.67 cents.
At the last closing share price the estimated dividend yield is 5.84%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.58.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 59.0, implying annual growth of N/A.
Current consensus DPS estimate is 46.2, implying a prospective dividend yield of 4.9%.
Current consensus EPS estimate suggests the PER is 16.0.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 79.07 cents and EPS of 93.05 cents.
At the last closing share price the estimated dividend yield is 8.39%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.13.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 82.2, implying annual growth of 39.3%.
Current consensus DPS estimate is 59.3, implying a prospective dividend yield of 6.3%.
Current consensus EPS estimate suggests the PER is 11.5.

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 0.8
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

QHL    QUICKSTEP HOLDINGS LIMITED

Commercial Services & Supplies – Overnight Price: $0.07

Canaccord Genuity rates ((QHL)) as Downgrade to Hold from Buy (3) –

Canaccord Genuity downgrades to Hold from Buy with the target price dropping to $0.12 from $0.14.

Quickstep Holdings is currently trading at an almost -40% discount to Canaccord Genuity's valuation of its existing contracts and the broker comments the stock has been catalyst light over the past 12 months as defence pipeline wins have been slower than expected.

In the broker's view, investors will be looking for accretive gross profit margin on the QAS acquisition, AeroQure commercialisation milestones being incrementally achieved and a reinvigorated defence pipeline with contract wins to regain top-line growth momentum.

While the broker sees positive catalysts, the timeline for realisation appears to be longer than 12 months.

This report was published on February 23, 2021.

Target price is $0.12 Current Price is $0.07 Difference: $0.05
If QHL meets the Canaccord Genuity target it will return approximately 71% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of 0.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.33.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of 0.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.33.

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

SES    SECOS GROUP LTD

Paper & Packaging – Overnight Price: $0.28

Canaccord Genuity rates ((SES)) as Buy (1) –

Secos Group posted a strong first half result, comments Canaccord Genuity, with biopolymer sales rising 129% over last year and the key driver of the result. This rise was offset by sales of traditional products which were hit by covid.

The broker continues to see a change in the mix shift toward biopolymer products. Going ahead, Canaccord Genuity expects more of the same with a strong pipeline of opportunity, expansion of existing contracts and new products.

Secos's balance sheet is strong, highlights the broker, which could be used for growth initiatives.

Buy rating with the target rising to $0.38 from $0.25.

This report was published on February 23, 2021.

Target price is $0.38 Current Price is $0.28 Difference: $0.1
If SES meets the Canaccord Genuity target it will return approximately 36% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of 0.00 cents.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of 1.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 28.00.

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

SKC    SKY CITY ENTERTAINMENT GROUP LIMITED

Gaming – Overnight Price: $2.93

Jarden rates ((SKC)) as Buy (1) –

The first half result was ahead of Jarden's expectation, underpinned by New Zealand (including online) and a strong improvement
from Adelaide. There was no change to previous guidance for FY21.

After factoring in the 1H performance and the medium-term likelihood of the International Business segment being downsized and refocused, the broker maintains the Buy rating and increases the target to NZ$3.40 from NZ$3.35.

This report was published on February 19, 2021.

Current Price is $2.93. Target price not assessed.
Current consensus price target is N/A
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 4.69 cents and EPS of 9.84 cents.
At the last closing share price the estimated dividend yield is 1.60%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 29.77.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 9.0, implying annual growth of N/A.
Current consensus DPS estimate is 3.2, implying a prospective dividend yield of 1.1%.
Current consensus EPS estimate suggests the PER is 32.6.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 9.37 cents and EPS of 13.31 cents.
At the last closing share price the estimated dividend yield is 3.20%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.02.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 13.6, implying annual growth of 51.1%.
Current consensus DPS estimate is 10.3, implying a prospective dividend yield of 3.5%.
Current consensus EPS estimate suggests the PER is 21.5.

This company reports in NZD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

SLC    SUPERLOOP LIMITED

Telecommunication – Overnight Price: $0.88

Canaccord Genuity rates ((SLC)) as Buy (1) –

Superloop's first-half earnings were a little below Canaccord Genuity's expectations but the broker highlights the company secured its largest contract to date and that its shift toward being free cash flow positive continues to gather pace. 

The company is set to continue its rapid growth, asserts Canaccord Genuity, with an estimated compounded annual growth rate of 28% over FY20-FY24 in operating income.

The broker maintains its Buy rating with the target price falling to $1.24 from $1.29.

This report was published on February 24, 2021.

Target price is $1.24 Current Price is $0.88 Difference: $0.36
If SLC meets the Canaccord Genuity target it will return approximately 41% (excluding dividends, fees and charges).
Current consensus price target is $1.24, suggesting upside of 40.9%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 8.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 9.89.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -8.9, implying annual growth of N/A.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 6.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 14.19.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -7.4, implying annual growth of N/A.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

TYR    TYRO PAYMENTS LIMITED

Business & Consumer Credit – Overnight Price: $3.13

Goldman Sachs rates ((TYR)) as Upgrade to Buy from Neutral (1) –

Goldman Sachs was concerned about the potential impact of Tyro Payments' connectivity issues on the first half result. The company's indicated remediation cost of circa -$15m provides some form of quantification of this exposure.

In the broker's view, the January churn rate was in line with its average, suggesting there may not be a long-lasting impact on Tyro's future growth. Furthermore, the broker expects the revenue growth profile to accelerate through 2021.

Goldman Sachs upgrades to Buy from Neutral with the target price rising to $3.70 from $3.15. 

This report was published on February 22, 2021.

Target price is $3.70 Current Price is $3.13 Difference: $0.57
If TYR meets the Goldman Sachs target it will return approximately 18% (excluding dividends, fees and charges).
Current consensus price target is $3.72, suggesting upside of 18.7%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Goldman Sachs forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 3.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 104.33.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -3.8, implying annual growth of N/A.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 1.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 313.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -0.7, implying annual growth of N/A.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Market Sentiment: 0.3
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

UWL    UNITI GROUP LIMITED

Telecommunication – Overnight Price: $2.11

Canaccord Genuity rates ((UWL)) as Buy (1) –

Uniti Group reported a strong interim result, observes Canaccord Genuity, with operating income of $29.3m and revenue of $54.2m. The broker highlights the group has now started to realise earnings from the cash-generative businesses acquired.

The wholesale and infrastructure division achieved an operating income run rate of circa $100m as at 31 December 2020, highlights the broker, and is poised for rapid growth given a contracted pipeline of circa 202,000 premises.

The Buy rating is unchanged and the target rises to $2.60 from $2.40.

This report was published on February 24, 2021.

Target price is $2.60 Current Price is $2.11 Difference: $0.49
If UWL meets the Canaccord Genuity target it will return approximately 23% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of 10.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.10.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of 11.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.18.

Market Sentiment: 0.5
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

WES    WESFARMERS LIMITED

Apparel & Footwear – Overnight Price: $49.53

Jarden rates ((WES)) as Overweight (2) –

Underlying 1H21 profit (NPAT) exceeded Jarden's expectations by around 10% with Kmart group being the standout, with earnings (EBIT) up circa 32% year-on-year versus around 9% sales growth. 

While Bunnings was considered to show little operating leverage, the broker believes the turnaround looks to be gaining momentum, suggesting near-term upside risk for Target.

Cash conversion of around 100% was considered pleasing though the analyst felt it should have been reflected in the dividend. Jarden expects a stronger second half dividend and full-year payout of circa 82%. Overweight rating and target is increased to $60 from $56.

This report was published on February 19, 2021.

Target price is $60.00 Current Price is $49.53 Difference: $10.47
If WES meets the Jarden target it will return approximately 21% (excluding dividends, fees and charges).
Current consensus price target is $52.63, suggesting upside of 6.3%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 170.00 cents and EPS of 206.90 cents.
At the last closing share price the estimated dividend yield is 3.43%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.94.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 204.2, implying annual growth of 42.4%.
Current consensus DPS estimate is 168.5, implying a prospective dividend yield of 3.4%.
Current consensus EPS estimate suggests the PER is 24.3.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 169.00 cents and EPS of 211.20 cents.
At the last closing share price the estimated dividend yield is 3.41%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.45.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 200.1, implying annual growth of -2.0%.
Current consensus DPS estimate is 172.6, implying a prospective dividend yield of 3.5%.
Current consensus EPS estimate suggests the PER is 24.8.

Market Sentiment: -0.1
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources


Disclaimer:
The content of this information does in no way reflect the opinions of FNArena, or of its journalists. In fact we don't have any opinion about the stock market, its value, future direction or individual shares. FNArena solely reports about what the main experts in the market note, believe and comment on. By doing so we believe we provide intelligent investors with a valuable tool that helps them in making up their own minds, reading market trends and getting a feel for what is happening beneath the surface. This document is provided for informational purposes only. It does not constitute an offer to sell or a solicitation to buy any security or other financial instrument. FNArena employs very experienced journalists who base their work on information believed to be reliable and accurate, though no guarantee is given that the daily report is accurate or complete. Investors should contact their personal adviser before making any investment decision.

As part of emerging new trends overseas, The Australian Broker Call *Extra* Edition also includes providers of sponsored research. Readers should bear in mind, sponsored research, while not necessarily of lower quality, has the embedded complication that the company that is the subject of the research has paid for this research. Providers of sponsored research that can potentially be included in this Report are Breakaway Research, Edison Investment Research, Independent Investment Research, NDF Research, Pitt Street Research, and TMT Analytics.

Decisions about inclusions in this Report are made independently of the providers of stock market research and at full discretion of the team of journalists responsible for content at FNArena. Inclusion does not equal endorsement, in any way, shape or form. This Report is provided for informational purposes only.

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CHARTS

AD8 AIA AIM AMP AX1 BLX CGC CLU COH CSL CUP CWY DUG ENN GEM GMG IFL IPD LBL LOV MAD MND MNF MRM MXI NXS OSL OVN PPT QBE QHL SES SKC SLC TYR UWL WES

For more info SHARE ANALYSIS: AD8 - AUDINATE GROUP LIMITED

For more info SHARE ANALYSIS: AIA - AUCKLAND INTERNATIONAL AIRPORT LIMITED

For more info SHARE ANALYSIS: AIM - AI-MEDIA TECHNOLOGIES LIMITED

For more info SHARE ANALYSIS: AMP - AMP LIMITED

For more info SHARE ANALYSIS: AX1 - ACCENT GROUP LIMITED

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

For more info SHARE ANALYSIS: CGC - COSTA GROUP HOLDINGS LIMITED

For more info SHARE ANALYSIS: CLU - CLUEY LIMITED

For more info SHARE ANALYSIS: COH - COCHLEAR LIMITED

For more info SHARE ANALYSIS: CSL - CSL LIMITED

For more info SHARE ANALYSIS: CUP - COUNTPLUS LIMITED

For more info SHARE ANALYSIS: CWY - CLEANAWAY WASTE MANAGEMENT LIMITED

For more info SHARE ANALYSIS: DUG - DUG TECHNOLOGY LIMITED

For more info SHARE ANALYSIS: ENN - ELANOR INVESTORS GROUP

For more info SHARE ANALYSIS: GEM - G8 EDUCATION LIMITED

For more info SHARE ANALYSIS: GMG - GOODMAN GROUP

For more info SHARE ANALYSIS: IFL - IOOF HOLDINGS LIMITED

For more info SHARE ANALYSIS: IPD - IMPEDIMED LIMITED

For more info SHARE ANALYSIS: LBL - LASERBOND LIMITED

For more info SHARE ANALYSIS: LOV - LOVISA HOLDINGS LIMITED

For more info SHARE ANALYSIS: MAD - MADER GROUP LIMITED

For more info SHARE ANALYSIS: MND - MONADELPHOUS GROUP LIMITED

For more info SHARE ANALYSIS: MNF - MNF GROUP LIMITED

For more info SHARE ANALYSIS: MRM - MMA OFFSHORE LIMITED

For more info SHARE ANALYSIS: MXI - MAXITRANS INDUSTRIES LIMITED

For more info SHARE ANALYSIS: NXS - NEXT SCIENCE LIMITED

For more info SHARE ANALYSIS: OSL - ONCOSIL MEDICAL LIMITED

For more info SHARE ANALYSIS: OVN - OVENTUS MEDICAL LIMITED

For more info SHARE ANALYSIS: PPT - PERPETUAL LIMITED

For more info SHARE ANALYSIS: QBE - QBE INSURANCE GROUP LIMITED

For more info SHARE ANALYSIS: QHL - QUICKSTEP HOLDINGS LIMITED

For more info SHARE ANALYSIS: SES - SECOS GROUP LIMITED

For more info SHARE ANALYSIS: SKC - SKYCITY ENTERTAINMENT GROUP LIMITED

For more info SHARE ANALYSIS: SLC - SUPERLOOP LIMITED

For more info SHARE ANALYSIS: TYR - TYRO PAYMENTS LIMITED

For more info SHARE ANALYSIS: UWL - UNITI GROUP LIMITED

For more info SHARE ANALYSIS: WES - WESFARMERS LIMITED