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Australian Broker Call *Extra* Edition – Mar 09, 2021

Daily Market Reports | Mar 09 2021

This story features ADORE BEAUTY GROUP LIMITED, and other companies. For more info SHARE ANALYSIS: ABY

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)

ABY   AD8   AMA   ANP   APE   APX   ASG   BGA   BIN (2)   BKG   CAT   CCX (3)   CGC   CNU   CXL   EHE (2)   GDI   GEM   HMC   HMY   HUB   IEL   IRE   JHC   JLG   MAH   MAQ   MCP   MHJ   MNF   MOZ   MPL   MYX (2)   NAN (2)   NHF   NTO   NXT   OSL   PNV   PRN   PTM   PWG   REG   RIC   SCG   SLK   SOM   SPK   SSG   ST1   WOW  

ABY    ADORE BEAUTY GROUP LIMITED

Household & Personal Products – Overnight Price: $4.60

Shaw and Partners rates ((ABY)) as Buy (1) –

Adore Beauty Group's inaugural first half result (as a listed company) was above guidance with a 7% rise in revenue and a very strong beat at the operating income line, observes Shaw and Partners.

The broker believes the market under-appreciates the group's peerless focus on key customer and revenue metrics, both of which provide significant operating leverage.

Revenue growth in FY21 is guided to be above pre-covid levels. The broker has already factored this in and is optimistic for a more than 50% growth forecast going into the result.

Adore is positioned well for long-term growth, believes the broker, with a very large yet fragmented addressable market, which provides an opportunity to the company to garner further market share and to drive scale.

Buy rating is retained with a target of $8.30.

This report was published on February 24, 2021.

Target price is $8.30 Current Price is $4.60 Difference: $3.7
If ABY meets the Shaw and Partners target it will return approximately 80% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Shaw and Partners forecasts a full year FY21 dividend of 0.00 cents and EPS of 6.70 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 68.66.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 0.00 cents and EPS of 11.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 40.35.

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

AD8    AUDINATE GROUP LIMITED

Hardware & Equipment – Overnight Price: $7.16

Shaw and Partners rates ((AD8)) as Buy (1) –

Audinate Group's first-half result was largely in line at the sales, operating income and net profit line with Shaw and Partners' forecasts. The outlook points to momentum in recovery and the broker has increased its FY22-23 USD sales by 4% and 7%.

The broker believes in the long term, Audinate will be a "ripper of a story" with compelling attractions and a clear earnings runaway. 

Buy rating with a target price of $10.

This report was published on February 23, 2021.

Target price is $10.00 Current Price is $7.16 Difference: $2.84
If AD8 meets the Shaw and Partners target it will return approximately 40% (excluding dividends, fees and charges).
Current consensus price target is $9.93, suggesting upside of 40.9%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Shaw and Partners forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 3.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 188.42.

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:

Shaw and Partners forecasts a full year FY22 dividend of 0.00 cents and EPS of 0.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 3580.00.

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

AMA    AMA GROUP LIMITED

Automobiles & Components – Overnight Price: $0.63

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

With volumes now understood to be returning to pre-covid-19 levels, and with all AMA Group’s 182 panel locations open and operational, Canaccord Genuity is comfortable that 2H21 earnings (EBITDA) of around $33.1m can be achieved by the vehicle repair business in the absence of any meaningful disruption to operations.

The broker also notes acquisitions are back on the agenda, and a pipeline representing around $100m in revenues currently exits.

While average repair volumes were down -27% through the 1H21 period, AMA delivered underlying 1H21 earnings (EBITDA) of $39.1m, which included a full 6-months from the Capital Smart and ACM parts acquisitions that were effective in November 2019.

While the divestment of the ACAD operation for $70m has help deliver a net debt position of $151m as at 1H21, Canaccord Genuity expects a focus on debt reduction to continue, allowing management to potentially take the issue of covenants out of the discussion with regard to AMA and its outlook.

Buy rating is retained with the target decreasing to $0.90 from $0.95.

This report was published on February, 25 2021.

Target price is $0.90 Current Price is $0.63 Difference: $0.27
If AMA 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 0.00 cents and EPS of 3.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.00.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 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 12.60.

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

ANP    ANTISENSE THERAPEUTICS LIMITED

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $0.17

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

In the wake of first half results, Wilsons notes the November capital raise has helped the balance sheet with $10m cash at the bank at the end of the half. This cash is considered necessary to support drug manufacture and trial preparations.

The broker forecasts total R&D costs of approximately -$27m for the upcoming EU Phase IIb twelve month trial, which will likely be completed in 2024. The completion and success of this trial is considered a key de-risking point for the stock.

The Overweight rating and $0.57 target are maintained.

This report was published on February 25, 2021.

Target price is $0.57 Current Price is $0.17 Difference: $0.4
If ANP meets the Wilsons target it will return approximately 235% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 2.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 6.80.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 2.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 8.50.

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

APE    EAGERS AUTOMOTIVE LIMITED

Automobiles & Components – Overnight Price: $14.03

Wilsons rates ((APE)) as Market Weight (3) –

After Eagers Automotive delivered an in-line result, Wilsons notes the order book remains strong and trading conditions favourable, suggesting profitability will remain elevated in the near-term.

Wilsons lifts profit (PBT) estimates (excluding AASB16) by 14% in 2021, reflecting the ongoing favourable trading conditions. 2022 is downgraded by -6% due to divestment of the Daimler truck business partly offset by higher underlying margins in Car Retailing.

The Market Weight rating is unchanged and the target price is increased to $12.41 from $10.75.

This report was published on February 25, 2021.

Target price is $12.41 Current Price is $14.03 Difference: minus $1.62 (current price is over target).
If APE meets the Wilsons target it will return approximately minus 12% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $14.76, suggesting upside of 1.3%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 40.40 cents and EPS of 61.40 cents.
At the last closing share price the estimated dividend yield is 2.88%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.85.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 68.8, implying annual growth of -3.6%.
Current consensus DPS estimate is 44.0, implying a prospective dividend yield of 3.0%.
Current consensus EPS estimate suggests the PER is 21.2.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 36.70 cents and EPS of 54.90 cents.
At the last closing share price the estimated dividend yield is 2.62%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 25.56.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 73.6, implying annual growth of 7.0%.
Current consensus DPS estimate is 45.8, implying a prospective dividend yield of 3.1%.
Current consensus EPS estimate suggests the PER is 19.8.

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

APX    APPEN LIMITED

IT & Support – Overnight Price: $16.13

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

Appen met its downgraded guidance at the group level with the core business (that form 90% of FY20 revenue) seeing operating income margins fall to 20.9% while speech and image saw operating income fall -42% primarily due to pandemic hit business activity.

The company has guided on year to date revenue and orders-in-hand which is in-line with historical averages, although the operating income guidance is below current expectations. The company has indicated a skew towards the second half in terms of project delivery.

While retaining the Overweight rating, Wilson lowers the FY21-FY23 earnings (EBITDA) forecasts by -15% to -23% and the P/E-based valuation falls to $22.83 from $32.11.

This report was published on February 24, 2021.

Target price is $22.83 Current Price is $16.13 Difference: $6.7
If APX meets the Wilsons target it will return approximately 42% (excluding dividends, fees and charges).
Current consensus price target is $22.23, suggesting upside of 35.7%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 11.50 cents and EPS of 79.20 cents.
At the last closing share price the estimated dividend yield is 0.71%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.37.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 53.3, implying annual growth of 28.3%.
Current consensus DPS estimate is 10.9, implying a prospective dividend yield of 0.7%.
Current consensus EPS estimate suggests the PER is 30.7.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 13.50 cents and EPS of 100.20 cents.
At the last closing share price the estimated dividend yield is 0.84%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.10.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 67.1, implying annual growth of 25.9%.
Current consensus DPS estimate is 14.8, implying a prospective dividend yield of 0.9%.
Current consensus EPS estimate suggests the PER is 24.4.

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

ASG    AUTOSPORTS GROUP LIMITED

Automobiles & Components – Overnight Price: $1.98

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

Wilsons assesses a very strong 1H result, with profit (PBT) growth of 164% in-line with recent guidance and driven by margin expansion associated with very favourable demand/supply dynamics. Near-term trading conditions are considered remaining strong.

Management noted January and February trading is at or above expectations, the order book is at record levels, constrained vehicle supply will continue to support margins and the acquisition environment is favourable.

The broker upgrades earnings (EBITDA) forecasts by 5-10% (excluding AASB16) though still assumes margins moderate into FY22. The target price is increased to $2.34 from $2.03. The Overweight rating is retained.

The report was published on February 25, 2021.

Target price is $2.34 Current Price is $1.98 Difference: $0.36
If ASG meets the Wilsons target it will return approximately 18% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 6.70 cents and EPS of 18.60 cents.
At the last closing share price the estimated dividend yield is 3.38%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.65.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 7.60 cents and EPS of 15.30 cents.
At the last closing share price the estimated dividend yield is 3.84%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.94.

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

BGA    BEGA CHEESE LIMITED

Dairy – Overnight Price: $6.10

Goldman Sachs rates ((BGA)) as Neutral (3) –

Bega Cheese reported first-half revenue and operating income of $712.1m and $73.0m. While the revenue was -14% less than expected by Goldman Sachs, operating income rose by 16% versus the broker's forecast.

The operating income margin improved to 10.3% from 6.5% last year led by strong bulk margins. Management expects operating income to be lower in the second half owing to seasonality.

Bega Cheese stated that its contract with Reckitt Benckiser will cease in October 2021 and the company is considering the possible fallout of the termination. Neutral rating with the target rising to $6.05 from $5.45.

This report was published on February 24, 2021.

Target price is $6.05 Current Price is $6.10 Difference: minus $0.05 (current price is over target).
If BGA meets the Goldman Sachs target it will return approximately minus 1% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $6.78, suggesting upside of 10.8%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Goldman Sachs forecasts a full year FY21 dividend of 11.00 cents and EPS of 15.00 cents.
At the last closing share price the estimated dividend yield is 1.80%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 40.67.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 16.4, implying annual growth of 65.7%.
Current consensus DPS estimate is 9.7, implying a prospective dividend yield of 1.6%.
Current consensus EPS estimate suggests the PER is 37.3.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 13.00 cents and EPS of 29.00 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 21.03.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 29.8, implying annual growth of 81.7%.
Current consensus DPS estimate is 11.8, implying a prospective dividend yield of 1.9%.
Current consensus EPS estimate suggests the PER is 20.5.

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

BIN    BINGO INDUSTRIES LIMITED

Industrial Sector Contractors & Engineers – Overnight Price: $3.16

Jarden rates ((BIN)) as Neutral (3) –

Jarden expects any confirmation around a binding bid to become clearer in the coming months. In the meantime, the broker assesses a strong 1H result versus expectations. While revenue growth was weaker, the Post Collections earnings proved resilient.

The analyst highlights the Collections earnings (EBITDA) margin contraction of -473 basis points, driven by lower building and demolition (B&D) volumes, price competition and commercial and industrial (C&I) impacts from weaker activity in NSW and Victoria.

Neutral rating. The target is set at $3.50 on the implicit assumption by Jarden the current consortium offer price drives Bingo's share price.

This report was published on February 23, 2021.

Target price is $3.50 Current Price is $3.16 Difference: $0.34
If BIN meets the Jarden target it will return approximately 11% (excluding dividends, fees and charges).
Current consensus price target is $3.15, suggesting downside of -1.4%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 3.80 cents and EPS of 6.20 cents.
At the last closing share price the estimated dividend yield is 1.20%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 50.97.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 5.6, implying annual growth of -44.6%.
Current consensus DPS estimate is 2.7, implying a prospective dividend yield of 0.8%.
Current consensus EPS estimate suggests the PER is 57.0.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 3.80 cents and EPS of 10.30 cents.
At the last closing share price the estimated dividend yield is 1.20%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 30.68.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 9.9, implying annual growth of 76.8%.
Current consensus DPS estimate is 4.5, implying a prospective dividend yield of 1.4%.
Current consensus EPS estimate suggests the PER is 32.2.

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


Shaw and Partners rates ((BIN)) as Hold (3) –

Bingo Industries' first half result was roughly in line with Shaw and Partners' expectations and consensus. The company has indicated an improving near-term outlook and the broker agrees.

The operating income margin decline in FY21 is now expected to be towards the bottom end of the company's guidance. Shaw and Partners highlights 50% of revenue is exposed to infrastructure which is set to boom.

Regarding the near-term outlook, Bingo Industries expects the group operating income decline in the year will be closer to -200bps versus the guidance of a decline of -200-300bps with the market recovering faster than expected in the early months of 2021. 

Hold rating with a target price of $3.30. 

This report was published on February 24, 2021.

Target price is $3.30 Current Price is $3.16 Difference: $0.14
If BIN meets the Shaw and Partners target it will return approximately 4% (excluding dividends, fees and charges).
Current consensus price target is $3.15, suggesting downside of -1.4%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Shaw and Partners forecasts a full year FY21 dividend of 3.00 cents and EPS of 6.00 cents.
At the last closing share price the estimated dividend yield is 0.95%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 52.67.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 5.6, implying annual growth of -44.6%.
Current consensus DPS estimate is 2.7, implying a prospective dividend yield of 0.8%.
Current consensus EPS estimate suggests the PER is 57.0.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 4.00 cents and EPS of 8.80 cents.
At the last closing share price the estimated dividend yield is 1.27%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 35.91.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 9.9, implying annual growth of 76.8%.
Current consensus DPS estimate is 4.5, implying a prospective dividend yield of 1.4%.
Current consensus EPS estimate suggests the PER is 32.2.

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

BKG    BOOKTOPIA GROUP LIMITED

Online media & mobile platforms – Overnight Price: $2.39

Shaw and Partners rates ((BKG)) as Buy (1) –

Booktopia group enjoyed its strongest first half on record, observes Shaw and Partners, with the group beating estimates across all key metrics. The operating income was up a whopping 500% over last year and 70% ahead on the broker's expectations.

Equally impressive were the operating income margins at a record 7.1%, and that too in the midst of a covid-effected period with traffic and growth delivered despite the offline channel being closed, comment the analysts.

The group has upgraded guidance with operating income 17% ahead of the broker's estimate. The broker sees the guidance as conservative and expects more.

Buy rating. Target price rises to $4.04 from $4.02.

This report was published on February 23, 2021.

Target price is $4.04 Current Price is $2.39 Difference: $1.65
If BKG meets the Shaw and Partners target it will return approximately 69% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Shaw and Partners forecasts a full year FY21 dividend of 0.00 cents and EPS of 3.10 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 77.10.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 0.00 cents and EPS of 6.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 36.21.

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

CAT    CATAPULT GROUP INTERNATIONAL LTD

Medical Equipment & Devices – Overnight Price: $1.70

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

In light of the toughest ever trading environment, Canaccord Genuity regards Catapult Group International’s 1H21 result, which included 8% annual contract value growth (CVG) US$44.5, churn less than 5%, and free cash flow up US$8.5m as not at all bad.

Catapult is currently undertaking a large realignment by, A) shifting its reporting date to a March year-end, B) changing its reporting currency to USD (circa 70% ACV USD), C) providing more transparency on divisional drivers, and D) undertaking a “revenue flip” in its Elite Wearable segment as it seeks to reduce one-off capital sales in favour of recurring subscription products.

Despite the last nine months being the most difficult for the sports industry, Catapult reported an increase in its annual contract value (ACV) of 8% to US$44.5m, while reporting a historic low ACV churn of just 4.5%, which the broker suggests illustrates the resilience/defensiveness of the company’s products.

Canaccord Genuity expects Catapult to report 10% ACV growth in FY21 (March year end), accelerating into FY22 (up 15%), FY23 (up 12%) in line with a resumption of sports-tech spend and the company’s increasing focus on subscription sales.

Buy rating with a target price of $2.45 remain unchanged.

This report was published on February 25, 2021.

Target price is $2.45 Current Price is $1.70 Difference: $0.75
If CAT meets the Canaccord Genuity target it will return approximately 44% (excluding dividends, fees and charges).
The company's fiscal year ends in March.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 2.94 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 57.82.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 3.61 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 47.09.

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

CCX    CITY CHIC COLLECTIVE LTD

Apparel & Footwear – Overnight Price: $3.67

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

Canaccord Genuity believes the signs of the domestic business leading a sharp recovery, with group comps accelerating and gross margins similarly improving through the half, bode well for City Chic's US and European operations, which are expected to represent more than 50% of sales next year.

The broker expects the cash-adjusted FY23 PER gap of less than 20x that City Chic trades on, compared to Lovisa Holdings ((LOV)) (on 27x), can close as the underlying performance of the business continues to improve and Evans (UK) is integrated.

City Chic's comps accelerated from 19% (20-week mark) to 21% at balance date, and management called out a continuation of strong comps for January/February.

Canaccord Genuity takes the company’s reluctance to return over $80m in surplus cash as a dividend as a pretty clear sign the potential for acquisitive activity remains, which offers upside to its medium-term expectations.

After a 10% beat on sales and a view that comps will remain healthy, the broker’s EPS revisions: are for FY21 up 8%, FY22 up 5%, FY23 up 8%.

The Buy rating is maintained with a target price rising to $5 from $4.

This report was published on February 25, 2021.

Target price is $5.00 Current Price is $3.67 Difference: $1.33
If CCX meets the Canaccord Genuity target it will return approximately 36% (excluding dividends, fees and charges).
Current consensus price target is $4.54, suggesting upside of 23.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 4.00 cents and EPS of 11.00 cents.
At the last closing share price the estimated dividend yield is 1.09%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 33.36.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 9.8, implying annual growth of 104.2%.
Current consensus DPS estimate is 0.5, implying a prospective dividend yield of 0.1%.
Current consensus EPS estimate suggests the PER is 37.7.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 6.00 cents and EPS of 15.00 cents.
At the last closing share price the estimated dividend yield is 1.63%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 24.47.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 14.1, implying annual growth of 43.9%.
Current consensus DPS estimate is 4.0, implying a prospective dividend yield of 1.1%.
Current consensus EPS estimate suggests the PER is 26.2.

Market Sentiment: 0.6
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources


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

First half underlying earnings (EBITDA) were in-line with Jarden's forecast while the earnings margin of 19.6% was ahead. Revenue was below expectations reflecting a lower wholesale/marketplace mix due to the US covid impact.

ANZ Online sales growth of 30% was ahead of the broker's forecasts for 25%, while US online sales were slightly below. Management noted the Evans UK business integration is progressing with a third party logistics provider secured in the UK. 

Overweight rating and target is decreased to $4.71 from $4.72.

This report was published on February 25, 2021. 

Target price is $4.71 Current Price is $3.67 Difference: $1.04
If CCX meets the Jarden target it will return approximately 28% (excluding dividends, fees and charges).
Current consensus price target is $4.54, suggesting upside of 23.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 2.50 cents and EPS of 10.10 cents.
At the last closing share price the estimated dividend yield is 0.68%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 36.34.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 9.8, implying annual growth of 104.2%.
Current consensus DPS estimate is 0.5, implying a prospective dividend yield of 0.1%.
Current consensus EPS estimate suggests the PER is 37.7.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 5.50 cents and EPS of 12.90 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 28.45.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 14.1, implying annual growth of 43.9%.
Current consensus DPS estimate is 4.0, implying a prospective dividend yield of 1.1%.
Current consensus EPS estimate suggests the PER is 26.2.

Market Sentiment: 0.6
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources


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

Wilsons highlights the opportunity to leveraging the company's supply chain to expand across the UK and the broader European region, following the recent acquisition of Evans.

First half gross margins declined to 48.7% from 54.2% in the pcp driven by the mix shift to online, which typically attracts higher fulfillment costs and lower gross margins, explains the broker.

Wilsons maintains its Overweight rating and lifts the target price to $4.40 from $4 after upgrades to the FY21 earnings (EBITDA) forecast of 6.6% and FY22 by 1.0%, due to higher sales growth.

This report was published on February 25, 2021.

Target price is $4.40 Current Price is $3.67 Difference: $0.73
If CCX meets the Wilsons target it will return approximately 20% (excluding dividends, fees and charges).
Current consensus price target is $4.54, suggesting upside of 23.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 0.00 cents and EPS of 9.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 38.63.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 9.8, implying annual growth of 104.2%.
Current consensus DPS estimate is 0.5, implying a prospective dividend yield of 0.1%.
Current consensus EPS estimate suggests the PER is 37.7.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 0.00 cents and EPS of 13.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 27.80.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 14.1, implying annual growth of 43.9%.
Current consensus DPS estimate is 4.0, implying a prospective dividend yield of 1.1%.
Current consensus EPS estimate suggests the PER is 26.2.

Market Sentiment: 0.6
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

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

Costa Group reported a materially stronger 2H20 with profit (NPAT) around 17% ahead of Jarden's estimate, driven by higher margins. The Overweight rating is unchanged and the target increases to $4.80 from $4.40.

The broker highlights cost-control and the mix and benefit of recent growth initiatives all yielded results. It's expected these trends will continue into 2021 which, coupled with cycling -$25m of one-off costs, should ensure a strong year.

Jarden believes risk sits to the upside versus its own forecasts, given 2021 has started well and demand and pricing remain strong, with costs well controlled. The only headwind is the translation effects of the rising Australian dollar.

This report was published on February 23, 2021. 

Target price is $4.80 Current Price is $4.55 Difference: $0.25
If CGC meets the Jarden target it will return approximately 5% (excluding dividends, fees and charges).
Current consensus price target is $4.81, suggesting upside of 4.5%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 11.00 cents and EPS of 21.00 cents.
At the last closing share price the estimated dividend yield is 2.42%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.67.

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 22.5.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 13.00 cents and EPS of 25.30 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 17.98.

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 2.7%.
Current consensus EPS estimate suggests the PER is 20.9.

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

CNU    CHORUS LIMITED

Telecommunication – Overnight Price: $7.45

Jarden rates ((CNU)) as Neutral (3) –

The 1H operating result  was in-line with Jarden's expectations while management guidance range was maintained. 

The broker highlights the trend in revenue continues to reflect benefits of higher ARPU fibre uptake, offset by ongoing decline in fixed market share to Local Fibre Companies (LFCs) and fixed wireless. The target is increased to NZ$7.99  from NZ$7.75.

A Neutral rating is retained until Jarden has more visibility on risks around evolving network competition, the level of near-term capex and the outcome from a regulatory process (entry level discounted fibre program targeted at closing the"digital divide").

 This report was published on February 23, 2021. 

Current Price is $7.45. 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 23.43 cents and EPS of 13.68 cents.
At the last closing share price the estimated dividend yield is 3.14%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 54.45.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 11.3, implying annual growth of N/A.
Current consensus DPS estimate is 23.2, implying a prospective dividend yield of 3.2%.
Current consensus EPS estimate suggests the PER is 64.6.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 28.11 cents and EPS of 11.34 cents.
At the last closing share price the estimated dividend yield is 3.77%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 65.70.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 12.0, implying annual growth of 6.2%.
Current consensus DPS estimate is 26.5, implying a prospective dividend yield of 3.6%.
Current consensus EPS estimate suggests the PER is 60.8.

This company reports in NZD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: -0.3
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

CXL    CALIX LIMITED

Mining Sector Contracting – Overnight Price: $2.00

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

With Calix benefitting from positive structural thematic tailwinds, including record ESG fund flows, and net-zero emissions targets now around 50% of GDP, Canaccord Genuity expects 2021 to be a strong year.

Underlying the broker’s outlook are three key drivers: 1) momentum in the US-based water treatment business (gross profit margin 30%-plus); 2) a potential European wastewater acquisition; and 3) CO2 Mitigation being catalyst-driven with Calix currently in “project specific concept discussions” with 10 Cement/Lime partners.

The broker believes that as Calix completes milestones associated with proving-up operational robustness and scaling its Low Emissions Intensity Lime and Cement (LEILAC) projects, investors will incrementally update risk weightings, which will bring about continued share price momentum.

Canaccord Genuity has made modest changes to its FY21, FY22, FY23 revenue forecasts which are up 0% ($19.9m), 5% ($26.3m), and 4% ($33.7m) respectively.

The broker retains its Buy rating with the target price increasing to $2.50 from $1.70.

This report was published on February 25, 2021.

Target price is $2.50 Current Price is $2.00 Difference: $0.5
If CXL meets the Canaccord Genuity target it will return approximately 25% (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 1.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 142.86.

Forecast for FY22:

Canaccord Genuity 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 250.00.

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

EHE    ESTIA HEALTH LIMITED

Aged Care & Seniors – Overnight Price: $2.00

Jarden rates ((EHE)) as Buy (1) –

The highlight in the first half results for Jarden was the rebound in group occupancy sitting at 92.7% as at 19 February 2021. Additional covid costs were somewhat offset by temporary additional funding and grants of $8.5m, explains the broker.

The analyst is looking for a sustainable visible funding environment for the sector from the Royal Commission final report, which would provide scope for earnings upgrade risk. Buy rating and the price target is increased to $3.20 from $3.15.

This report was published on February 24, 2021.

Target price is $3.20 Current Price is $2.00 Difference: $1.2
If EHE meets the Jarden target it will return approximately 60% (excluding dividends, fees and charges).
Current consensus price target is $2.01, suggesting upside of 2.2%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 0.90 cents and EPS of 1.40 cents.
At the last closing share price the estimated dividend yield is 0.45%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 142.86.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 1.8, implying annual growth of N/A.
Current consensus DPS estimate is 2.3, implying a prospective dividend yield of 1.2%.
Current consensus EPS estimate suggests the PER is 109.4.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 10.10 cents and EPS of 10.10 cents.
At the last closing share price the estimated dividend yield is 5.05%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.80.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 7.7, implying annual growth of 327.8%.
Current consensus DPS estimate is 6.3, implying a prospective dividend yield of 3.2%.
Current consensus EPS estimate suggests the PER is 25.6.

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


Moelis rates ((EHE)) as Downgrade to Hold from Buy (3) –

Estia Health's first-half result showed spot occupancy at December 31 (ex-Victoria) at 95.3%. The operating income was $20.8m in mature homes including circa -$20m covid-related costs. Moelis considers the balance sheet strong with net debt at almost $86m in December. 

In addition to its strong financial position, the broker notes Estia also boasts of a well-established model of care and experienced management. These features are expected to drive market share gains over the medium-long term.

Moelis opines Estia Health remains relatively well-positioned for an eventual industry recovery expected to take place in FY22. 

The rating is downgraded to Hold from Buy with the target rising to $2.24 from $2.08.

This report was published on February 24, 2021.

Target price is $2.24 Current Price is $2.00 Difference: $0.24
If EHE meets the Moelis target it will return approximately 12% (excluding dividends, fees and charges).
Current consensus price target is $2.01, suggesting upside of 2.2%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Moelis forecasts a full year FY21 dividend of 0.60 cents and EPS of 2.00 cents.
At the last closing share price the estimated dividend yield is 0.30%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 100.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 1.8, implying annual growth of N/A.
Current consensus DPS estimate is 2.3, implying a prospective dividend yield of 1.2%.
Current consensus EPS estimate suggests the PER is 109.4.

Forecast for FY22:

Moelis forecasts a full year FY22 dividend of 3.20 cents and EPS of 6.20 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 32.26.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 7.7, implying annual growth of 327.8%.
Current consensus DPS estimate is 6.3, implying a prospective dividend yield of 3.2%.
Current consensus EPS estimate suggests the PER is 25.6.

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

GDI    GDI PROPERTY GROUP

REITs – Overnight Price: $1.04

Moelis rates ((GDI)) as Buy (1) –

GDI Property Group delivered funds from operations of $14.2m, down circa -40% versus last year, impacted by a -$9.6m reduction in FFO at Westralia Square and the transition of Western Australian police force (WAPOL) from the upper levels to the lower levels.

The group reaffirmed its dividend guidance of 7.75c, expected to exceed FFO with the balance supported by capital.

While well flagged, Moelis finds the result underwhelming. What makes the broker optimistic is the opportunity presented by the strength of the Perth recovery. 

Moelis retains its Buy rating with the target price falling to $1.44 from $1.48.

This report was published on February 23, 2021.

Target price is $1.44 Current Price is $1.04 Difference: $0.4
If GDI meets the Moelis target it will return approximately 38% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Moelis forecasts a full year FY21 dividend of 7.80 cents and EPS of 5.50 cents.
At the last closing share price the estimated dividend yield is 7.50%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 18.91.

Forecast for FY22:

Moelis forecasts a full year FY22 dividend of 7.80 cents and EPS of 7.40 cents.
At the last closing share price the estimated dividend yield is 7.50%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.05.

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

Moelis rates ((GEM)) as Buy (1) –

G8 Education's 2020 result shows slow occupancy recovery with spot occupancy in February 2021 sitting -4ppts below 2019. The operating income at $105m was above Moelis's forecast of $103m. The balance sheet was in a net cash position in December.

In 2021, Moelis assumes an average occupancy of 71.5% that is expected to produces an operating income of $80m. Moelis puts the spotlight on ten new greenfield projects expected to open in 2021 at a capital cost of -$4m.

Moelis downgrades to Hold from Buy rating with the target price moving to $1.14 from $1.38.

This report was published on February 24, 2021.

Target price is $1.14 Current Price is $1.03 Difference: $0.11
If GEM meets the Moelis target it will return approximately 11% (excluding dividends, fees and charges).
Current consensus price target is $1.13, suggesting upside of 9.0%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY21:

Moelis forecasts a full year FY21 dividend of 3.90 cents and EPS of 5.50 cents.
At the last closing share price the estimated dividend yield is 3.79%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 18.73.

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 4.1%.
Current consensus EPS estimate suggests the PER is 20.0.

Forecast for FY22:

Moelis forecasts a full year FY22 dividend of 4.80 cents and EPS of 6.90 cents.
At the last closing share price the estimated dividend yield is 4.66%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.93.

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 7.1%.
Current consensus EPS estimate suggests the PER is 13.9.

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

HMC    HOME CONSORTIUM LIMITED

Real Estate – Overnight Price: $3.75

Jarden rates ((HMC)) as Neutral (3) –

The first half result was slightly above Jarden's estimate though FY21 FFO guidance of no less than $35m was in-line.The broker sees upside from any further acquisitions in the next half and was pleased by the dividend guidance of 12 cents.

The analyst highlights defensive characteristics such as occupancy of 99% and cash collections over the last three months of 99.6%. Management is confident of upside via setting up a separate health and wellness REIT and year end revaluations, notes the broker.

Neutral rating and target is decreased to $3.53 from $3.61.

This report was published on February 25, 2021. 

Target price is $3.53 Current Price is $3.75 Difference: minus $0.22 (current price is over target).
If HMC meets the Jarden target it will return approximately minus 6% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $3.92, suggesting upside of 4.6%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 12.00 cents and EPS of 15.80 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 23.73.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 12.4, implying annual growth of N/A.
Current consensus DPS estimate is 12.0, implying a prospective dividend yield of 3.2%.
Current consensus EPS estimate suggests the PER is 30.2.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 13.00 cents and EPS of 13.50 cents.
At the last closing share price the estimated dividend yield is 3.47%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 27.78.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 15.6, implying annual growth of 25.8%.
Current consensus DPS estimate is 13.4, implying a prospective dividend yield of 3.6%.
Current consensus EPS estimate suggests the PER is 24.0.

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

HMY    HARMONEY CORP LIMITED

Diversified Financials – Overnight Price: $2.02

Jarden rates ((HMY)) as Buy (1) –

Jarden considers the key metric is originations, which exceeded prospectus forecasts by 2% while second quarter volumes were
up 47% on the first, showing a strong improvement across Australia and NZ. Credit quality was also considered very strong.

Net interest margins impressed the broker, highlighting the benefit of the ongoing transition to wholesale funding from peer-to-peer lending.

The Buy rating and $3.30 target are unchanged. Jarden sees upside risk to estimates if the company can maintain the recent momentum in the Australian business.

This report was published on February 25, 2021. 

Target price is $3.30 Current Price is $2.02 Difference: $1.28
If HMY meets the Jarden target it will return approximately 63% (excluding dividends, fees and charges).
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 0.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 1010.00.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 0.00 cents and EPS of 1.10 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 183.64.

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

HUB    HUB24 LIMITED

Wealth Management & Investments – Overnight Price: $20.10

Shaw and Partners rates ((HUB)) as Buy (1) –

Hub24 delivered a first-half result that was ahead of Shaw and Partners' expectations across several key metrics. In the broker's view, Hub24 continues to prove its business model can deliver substantial operating leverage as it accelerates towards gaining market share. 

The investment platform's second-quarter net flows were a record $1.7bn, up 36.7% year on year, pushing funds under administration (FuA) to $22bn. Hub24 provided a higher FuA target for FY22 of circa $32-$38bn.

Shaw and Partners anticipates that Hub24 will continue to take an outsized share of net flows over the next year, continuing into the longer term.

The Buy rating is unchanged with the target price rising to $26.13 from $24.50.

This report was published on February 24, 2021.

Target price is $26.13 Current Price is $20.10 Difference: $6.03
If HUB meets the Shaw and Partners target it will return approximately 30% (excluding dividends, fees and charges).
Current consensus price target is $25.41, suggesting upside of 25.4%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Shaw and Partners forecasts a full year FY21 dividend of 8.60 cents and EPS of 25.00 cents.
At the last closing share price the estimated dividend yield is 0.43%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 80.40.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 27.7, implying annual growth of 108.3%.
Current consensus DPS estimate is 10.9, implying a prospective dividend yield of 0.5%.
Current consensus EPS estimate suggests the PER is 73.1.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 12.30 cents and EPS of 41.00 cents.
At the last closing share price the estimated dividend yield is 0.61%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 49.02.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 44.8, implying annual growth of 61.7%.
Current consensus DPS estimate is 17.8, implying a prospective dividend yield of 0.9%.
Current consensus EPS estimate suggests the PER is 45.2.

Market Sentiment: 0.6
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

IEL    IDP EDUCATION LIMITED

Education & Tuition – Overnight Price: $24.30

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

First half divisional contributions generally beat Jarden's estimates. IELTS were 12% above forecast, with exit rates considered to provide a good foundation for the second half. Digital marketing and events delivered a strong beat versus the broker, with 82% gross margins.

The analyst expects digital marketing revenue to remain robust as universities increase marketing spend with increased global mobility.
Management flagged increased marketing spend prior to fall intake for Northern Hemisphere semesters and for Australia in the 2H.

Jarden believes this is a positive move to take advantage of borders opening up and vaccine roll outs. Overweight rating and target increases to $28.54 from $28.30.

This report was published on February 25, 2021. 

Target price is $28.54 Current Price is $24.30 Difference: $4.24
If IEL meets the Jarden target it will return approximately 17% (excluding dividends, fees and charges).
Current consensus price target is $30.59, suggesting upside of 27.1%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 16.20 cents and EPS of 23.00 cents.
At the last closing share price the estimated dividend yield is 0.67%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 105.65.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 22.6, implying annual growth of -13.5%.
Current consensus DPS estimate is 17.3, implying a prospective dividend yield of 0.7%.
Current consensus EPS estimate suggests the PER is 106.5.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 30.80 cents and EPS of 44.70 cents.
At the last closing share price the estimated dividend yield is 1.27%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 54.36.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 43.4, implying annual growth of 92.0%.
Current consensus DPS estimate is 32.1, implying a prospective dividend yield of 1.3%.
Current consensus EPS estimate suggests the PER is 55.5.

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

IRE    IRESS LIMITED

Wealth Management & Investments – Overnight Price: $9.07

Shaw and Partners rates ((IRE)) as Hold (3) –

Shaw and Partners notes Iress's 2020 result was slightly ahead of company management's reinstated guidance.

The revenue at $542.6m was -2% below the broker's forecast while segment profit excluding OneVue was 2% better than the reinstated guidance of circa $152m.

While a challenging 2020, the broker highlights the December quarter improved and appears to have flowed into the new period. The company has guided to a segment profit growth of 7-10%, implying organic growth of circa 5%.

Hold rating maintained with the target price rising to $10.97 from $10.81.

This report was published on February 22, 2021.

Target price is $10.97 Current Price is $9.07 Difference: $1.9
If IRE meets the Shaw and Partners target it will return approximately 21% (excluding dividends, fees and charges).
Current consensus price target is $10.93, suggesting upside of 21.0%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY21:

Shaw and Partners forecasts a full year FY21 dividend of 47.00 cents and EPS of 32.80 cents.
At the last closing share price the estimated dividend yield is 5.18%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 27.65.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 41.9, implying annual growth of N/A.
Current consensus DPS estimate is 45.8, implying a prospective dividend yield of 5.1%.
Current consensus EPS estimate suggests the PER is 21.6.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 48.00 cents and EPS of 37.10 cents.
At the last closing share price the estimated dividend yield is 5.29%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 24.45.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is N/A, 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: 0.1
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

JHC    JAPARA HEALTHCARE LIMITED

Aged Care & Seniors – Overnight Price: $0.74

Jarden rates ((JHC)) as Buy (1) –

After an expected soft first half result, Jarden looks for a sustainable visible funding environment for the sector from the Royal Commission final report, which may provide scope for earnings upgrades.

The broker highlights the two main drivers of 1H weakness were an earnings (EBITDA) hit due to occupancy declining during the
period, and non-recurring costs of around -$7m, mainly arising from covid-19.

Jarden sees material upside risk from debt reduction should anticipated refundable accommodation deposits (RAD) flows occur. Buy rating and target increased to $1.33 from $1.31.

This report was published on February 25, 2021. 

Target price is $1.33 Current Price is $0.74 Difference: $0.59
If JHC meets the Jarden target it will return approximately 80% (excluding dividends, fees and charges).
Current consensus price target is $0.75, suggesting downside of -0.2%(ex-dividends)
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 4.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 16.44.

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 0.5, implying a prospective dividend yield of 0.7%.
Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 0.70 cents and EPS of 1.10 cents.
At the last closing share price the estimated dividend yield is 0.95%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 67.27.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 2.2, implying annual growth of N/A.
Current consensus DPS estimate is 1.3, implying a prospective dividend yield of 1.7%.
Current consensus EPS estimate suggests the PER is 34.1.

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

JLG    JOHNS LYNG GROUP LIMITED

Building Products & Services – Overnight Price: $3.46

Moelis rates ((JLG)) as Buy (1) –

Johns Lyng Group's first-half result showed group revenue of $277.8m, 7.5% ahead of Moelis's estimated $258.3m. The operating income of $27.7m was strong versus Moelis's $22.5m. An interim dividend of 2.2c was in line with the forecast and equated to a circa 50% payout ratio.

The broker expects insurance building and restoration services (IB&RS) to drive earnings via scaling-up new contract/client wins. In addition to this, the broker expects cross-sell opportunities to materialise along with strategic acquisitions, as flagged by management.

The Buy rating is unchanged with the target price moving to $3.90 from $3.20.

This report was published on February 24, 2021.

Target price is $3.90 Current Price is $3.46 Difference: $0.44
If JLG meets the Moelis target it will return approximately 13% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Moelis forecasts a full year FY21 dividend of 4.50 cents and EPS of 9.20 cents.
At the last closing share price the estimated dividend yield is 1.30%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 37.61.

Forecast for FY22:

Moelis forecasts a full year FY22 dividend of 5.70 cents and EPS of 10.40 cents.
At the last closing share price the estimated dividend yield is 1.65%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 33.27.

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

MAH    MACMAHON HOLDINGS LIMITED

Mining Sector Contracting – Overnight Price: $0.22

Moelis rates ((MAH)) as Buy (1) –

Macmahon Holdings' first half operating income at $46.5m was broadly in line with Moelis's forecast of $47.7m.

The broker considers the outcome good, especially in the light of covid impacts and fx movements during the period. Both operating income and profit before tax were respectively 3% and 4% higher than expected.

The company has maintained its operating income guidance of $90-$100m despite a strengthening Australian dollar. Moelis's revised FY21 operating income of $94.3m reflects the first half result and more conservative fx assumptions for the second half. 

Moelis maintains its Buy rating with the target price falling to $0.32 from $0.37.

This report was released on February 23, 2021.

Target price is $0.32 Current Price is $0.22 Difference: $0.1
If MAH meets the Moelis target it will return approximately 45% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Moelis forecasts a full year FY21 dividend of 0.70 cents and EPS of 2.60 cents.
At the last closing share price the estimated dividend yield is 3.18%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.46.

Forecast for FY22:

Moelis forecasts a full year FY22 dividend of 0.40 cents and EPS of 2.50 cents.
At the last closing share price the estimated dividend yield is 1.82%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.80.

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

MAQ    MACQUARIE TELECOM GROUP LIMITED

Telecommunication – Overnight Price: $47.28

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

Slightly ahead of Canaccord Genuity’s forecast, Macquarie Telecom Group delivered 1H21 earnings (EBITDA) of $36.4m which represented 15% year-on-year growth, and well ahead of the 9% yoy uplift in revenue growth in the period.

In its response to the result, the broker noted the 25% yoy revenue growth and 33% earnings (EBITDA) growth for Cloud Services & Government (now reported separately), which demonstrates solid operating leverage, with a 35% drop-through of revenue to earnings (EBITDA) leading to a 170bp yoy increase in the margin.

Canaccord Genuity also notes that FY21 earnings (EBITDA) guidance of $72-75m is consistent with prior commentary that the two halves of FY21 would be similar (which would imply $72.8m for the full year).

The broker expects the stock to generate risk-adjusted returns of over 10% during the next 12 months.

Canaccord Genuity retains its Buy rating with the target price increased to $68.00 from $51.60.

This report was published on February 25, 2021.

Target price is $68.00 Current Price is $47.28 Difference: $20.72
If MAQ meets the Canaccord Genuity target it will return approximately 44% (excluding dividends, fees and charges).

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

MCP    MCPHERSON'S LIMITED

Health & Nutrition – Overnight Price: $1.20

Shaw and Partners rates ((MCP)) as Buy (1) –

McPherson's first-half result is best forgotten, remarks a disappointed Shaw and Partners, led by an extremely volatile performance in exports.

The profit before tax of $7.1m was down -16% versus last year and affected by one off items like differences of statutory to underlying numbers. The first-half net profit was -$1.3m down materially versus last year although the balance sheet remains intact.

The company did not provide any quantitative guidance for the second half and FY21 due to multiple factors which include cycling strong fourth quarter grocery trends in more mature brands and domestic daigou headwinds.

With export channels holding excess stock, the broker thinks the group will need to clear these channels with partners while keeping the brand intact against a difficult Australia-China trade backdrop.

The Buy rating is unchanged and the target reduces to $1.54 from $1.71.

This report was published on February 22, 2021.

Target price is $1.54 Current Price is $1.20 Difference: $0.34
If MCP meets the Shaw and Partners target it will return approximately 28% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Shaw and Partners forecasts a full year FY21 dividend of 6.80 cents and EPS of 9.90 cents.
At the last closing share price the estimated dividend yield is 5.67%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.12.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 6.00 cents and EPS of 10.00 cents.
At the last closing share price the estimated dividend yield is 5.00%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.00.

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

MHJ    MICHAEL HILL INTERNATIONAL LIMITED

Luxury – Overnight Price: $0.68

Jarden rates ((MHJ)) as Buy (1) –

The first half result was broadly in-line with Jarden's expectations.The company announced a 1.5 cent dividend, in-line with the broker's expectation. Management has indicated that same store sales grew 11% in the first eight weeks of the 2H.

The analyst highlights significant retail gross margin improvement on the pcp, driven by a combination of increased online sales, better loyalty member pricing, product mix, cost of goods sold management and the company's new incentive scheme.

The Buy rating and NZ$1 target are retained.

This report was published on February 25, 2021. 

Current Price is $0.68. Target price not assessed.
Current consensus price target is $0.88, suggesting upside of 32.6%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 4.00 cents and EPS of 12.30 cents.
At the last closing share price the estimated dividend yield is 5.88%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 5.53.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 11.3, implying annual growth of 1330.4%.
Current consensus DPS estimate is 4.3, implying a prospective dividend yield of 6.5%.
Current consensus EPS estimate suggests the PER is 5.8.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 5.00 cents and EPS of 9.00 cents.
At the last closing share price the estimated dividend yield is 7.35%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.56.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 9.4, implying annual growth of -16.8%.
Current consensus DPS estimate is 5.2, implying a prospective dividend yield of 7.9%.
Current consensus EPS estimate suggests the PER is 7.0.

Market Sentiment: 0.7
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

MNF    MNF GROUP LIMITED

Telecommunication – Overnight Price: $5.10

Moelis rates ((MNF)) as Buy (1) –

From Moelis's perspective, the key feature of MNF Group's first half result was the strong gross profit growth and gross margin expansion in the group's global wholesale division.

The domestic wholesale division recorded gross profit growth of 6%, despite a challenging environment for its reseller customers, adds the broker. Moelis expects growth to increase in this division as the outlook for the resellers improves post covid.

MNF Group re-affirmed its guidance at $40m-$43m. Buy rating with a target price of $5.93.

This report was published on February 23, 2021.

Target price is $5.93 Current Price is $5.10 Difference: $0.83
If MNF meets the Moelis target it will return approximately 16% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Moelis forecasts a full year FY21 dividend of 7.80 cents and EPS of 18.20 cents.
At the last closing share price the estimated dividend yield is 1.53%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 28.02.

Forecast for FY22:

Moelis forecasts a full year FY22 dividend of 9.90 cents and EPS of 21.90 cents.
At the last closing share price the estimated dividend yield is 1.94%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.29.

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

MOZ    MOSAIC BRANDS LIMITED

Apparel & Footwear – Overnight Price: $0.81

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

Mosaic Brands reported first half earnings (EBITDA) at the top end of the guidance range provided in January 2021. Wilsons notes management has a renewed focus on physical store economics, online sales growth, limited discounting and lower inventory levels.

Overweight rating retained while the target is increased to $2 from $1.50 after Wilsons lifts FY21 and FY22 earnings forecasts by 11.8% and 33.0%. This reflects stores based like-for-like sales growth of 3.5% year-on-year (yoy) and online sales growth of 25.0% yoy. 

This report was published on February 25, 2021.

Target price is $2.00 Current Price is $0.81 Difference: $1.19
If MOZ meets the Wilsons target it will return approximately 147% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 0.00 cents and EPS of 13.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 6.09.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 0.00 cents and EPS of 17.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 4.63.

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

MPL    MEDIBANK PRIVATE LIMITED

Insurance – Overnight Price: $2.79

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

The rating for Medibank Private is upgraded to Neutral from Underweight and the target increased to $3.10 from $3.05. Jarden explains the first half result revealed solid policy growth and more resilient margin trends across the key Health Insurance (HI) division.

The broker notes certain metrics point towards consumers refocusing on health in a post-covid world. This combined with potential support from further covid claims provision releases over time, is expected to underpin low single-digit earnings growth from here.

Finally, at the time of this report, the share price was considered undervalued by the analyst, having underperformed the ASX200 by -10% year-to-date.

This report was published on February 25, 2021. 

Target price is $3.10 Current Price is $2.79 Difference: $0.31
If MPL meets the Jarden target it will return approximately 11% (excluding dividends, fees and charges).
Current consensus price target is $3.09, suggesting upside of 10.7%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 11.50 cents and EPS of 14.50 cents.
At the last closing share price the estimated dividend yield is 4.12%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.24.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 15.3, implying annual growth of 34.2%.
Current consensus DPS estimate is 11.9, implying a prospective dividend yield of 4.3%.
Current consensus EPS estimate suggests the PER is 18.2.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 11.70 cents and EPS of 14.60 cents.
At the last closing share price the estimated dividend yield is 4.19%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.11.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 15.2, implying annual growth of -0.7%.
Current consensus DPS estimate is 12.3, implying a prospective dividend yield of 4.4%.
Current consensus EPS estimate suggests the PER is 18.4.

Market Sentiment: 0.4
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

MYX    MAYNE PHARMA GROUP LIMITED

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $0.28

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

While Covid clearly inhibited growth in Mayne Pharma Group’s non-US retail generic businesses, which constitute over 75% of gross profit, (growing at around 7% year-on-year), Cannacord Genuity believes these segments simply need to grow much faster for the market to perceive the company more positively.

The broker notes that NEXSTELLIS, and the pending FDA decision on this novel contraceptive, due in April is the key short-term opportunity for the company.

Despite all the challenges Mayne Pharma has encountered, Cannacord Genuity believes its core profitability is quite solid. But while corporate costs have been reducing, the broker believes the quantum (annualised at around 60m) illustrates the need for significant improvement at the revenue line.

It also validates the broker’s assumption that Metrics Contract Services (MCS) – one of the company’s four segments – generates about a third of group earnings (EBITDA), and would be worth more than all of Mayne on a standalone basis.

Canaccord Genuity reaffirms its Buy rating and target price of $0.59, pending the FDA decision on NEXTSTELLIS.

This report was published on February, 25 2021.

Target price is $0.59 Current Price is $0.28 Difference: $0.31
If MYX meets the Canaccord Genuity target it will return approximately 111% (excluding dividends, fees and charges).
Current consensus price target is $0.32, suggesting upside of 0.0%(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 0.10 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 280.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -0.6, 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 0.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 31.11.

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 45.7.

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


Wilsons rates ((MYX)) as Downgrade to Underweight from Market Weight (5) –

Wilsons downgrades to Underweight from Market Weight as competitive intensity and negligible pipeline launch activity saw another earnings miss in the first half. The target price is reduced to $0.24 from $0.33.

The broker makes material cuts to the outlook for the Generics division after the US FDA's denial of two generic contraceptive approval applications and subsequent new competitor launches in those markets.

First half earnings (EBITDA) were -9% below the analyst's forecast as misses in Generics and Specialty outweighed another solid period for Metrics Contract Services (MCS).

This report was published on February 25, 2021.

Target price is $0.24 Current Price is $0.28 Difference: minus $0.04 (current price is over target).
If MYX meets the Wilsons target it will return approximately minus 14% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $0.32, suggesting upside of 0.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 1.10 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 25.45.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -0.6, 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:

Wilsons forecasts a full year FY22 dividend of 0.00 cents and EPS of 0.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 70.00.

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 45.7.

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

NAN    NANOSONICS LIMITED

Medical Equipment & Devices – Overnight Price: $5.85

Canaccord Genuity rates ((NAN)) as Upgrade to Buy from Hold (1) –

While Nanosonics reported a worse-than-expected 1H21 result, Cannacord Genuity suspects the company is through the worst of the impact of the covid-19 pandemic, and believes now is an opportune time to position oneself, ahead of the next expected growth wave.

The broker notes the continued momentum in the installed base (IB) in 2Q21 should further support revenue in 2H21, with foreign exchange (FX) headwinds being an offset. While FX movements were less of an issue than may have been the case in 1H21, the broker suspects strengthening currency is likely to constrain reported revenue growth in 2H21.

Given slightly lower 2H operational expenditure guidance, Cannacord Genuity expect 2H21 earnings (EBITDA) of circa $3.6m versus 1H21 at around $2.0m.

Rating is upgraded to Buy from Hold, and the target price has increased to $6.36 from $5.46.

This report was published on February 25, 2021.

Target price is $6.36 Current Price is $5.85 Difference: $0.51
If NAN meets the Canaccord Genuity target it will return approximately 9% (excluding dividends, fees and charges).
Current consensus price target is $5.82, suggesting downside of -0.5%(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 0.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 975.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 2.5, implying annual growth of -25.8%.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 234.0.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 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 104.46.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 6.2, implying annual growth of 148.0%.
Current consensus DPS estimate is 0.7, implying a prospective dividend yield of 0.1%.
Current consensus EPS estimate suggests the PER is 94.4.

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


Wilsons rates ((NAN)) as Underweight (5) –

Nanosonics' first-half operating income of $2.1m proved -68% below Wilsons' forecast (which was already well below consensus). The total revenue of $43.1m was -18% below expectation while US capital sales were 30 units better than forecast.

Capital revenue was the big loser, notes an unhappy Wilsons, down -35% versus last year and -28% below forecast. The broker intends to remain Underweight on the stock. The target is reduced to $3.58 from $3.90.

This report was published on February 25, 2021.

Target price is $3.58 Current Price is $5.85 Difference: minus $2.27 (current price is over target).
If NAN meets the Wilsons target it will return approximately minus 39% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $5.82, suggesting downside of -0.5%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 0.00 cents and EPS of 2.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 225.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 2.5, implying annual growth of -25.8%.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 234.0.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 0.00 cents and EPS of 4.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 121.87.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 6.2, implying annual growth of 148.0%.
Current consensus DPS estimate is 0.7, implying a prospective dividend yield of 0.1%.
Current consensus EPS estimate suggests the PER is 94.4.

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

NHF    NIB HOLDINGS LIMITED

Insurance – Overnight Price: $5.52

Jarden rates ((NHF)) as Neutral (3) –

Profit (NPAT) exceeded Jarden's expectations for the 1H. Covid claims tailwinds were stronger than anticipated across Australian Resident Health Insurance (ARHI), more than offsetting a sharp downturn in International Inbound Health Insurance (IIHI) and NIB Travel, observes the broker.

Neutral rating and $6.05 target price are maintained as Jarden's overall FY21-22 EPS forecasts are largely unchanged. The shares are considered trading in-line with historical multiples and valuation upside appears moderate, suggests the broker.

This report was published on February 23, 2021. 

Target price is $6.05 Current Price is $5.52 Difference: $0.53
If NHF meets the Jarden target it will return approximately 10% (excluding dividends, fees and charges).
Current consensus price target is $5.93, suggesting upside of 6.5%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 18.00 cents and EPS of 25.20 cents.
At the last closing share price the estimated dividend yield is 3.26%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.90.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 30.2, implying annual growth of 52.5%.
Current consensus DPS estimate is 19.4, implying a prospective dividend yield of 3.5%.
Current consensus EPS estimate suggests the PER is 18.4.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 19.20 cents and EPS of 26.20 cents.
At the last closing share price the estimated dividend yield is 3.48%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.07.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 28.6, implying annual growth of -5.3%.
Current consensus DPS estimate is 18.7, implying a prospective dividend yield of 3.4%.
Current consensus EPS estimate suggests the PER is 19.5.

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

NTO    NITRO SOFTWARE LIMITED

IT & Support – Overnight Price: $2.32

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

Given headline figures were pre-announced, Wilsons focuses on the rapid evolution of Subscription and an FY21 outlook that was ahead of consensus forecasts. The broker expects guidance will prove to be conservative, given the target requires minimal new business.

The analyst lifts forecasts 3-10% to reflect FY21 guidance and the price target increases to $3.93 from $3.70, with the outer years upgraded on a more bullish outlook for Subscription growth.

This report was published on February 25, 2021.

Target price is $3.93 Current Price is $2.32 Difference: $1.61
If NTO meets the Wilsons target it will return approximately 69% (excluding dividends, fees and charges).
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 minus 9.46 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 24.54.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 9.03 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 25.69.

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

NXT    NEXTDC LIMITED

Cloud services – Overnight Price: $10.29

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

Canaccord Genuity saw a strong first half result, with Data Centre services revenue ($121.6m) 3% ahead of its own forecast. The broker believes the revenue profile indicates a plateauing in half-on-half (hoh) revenue after a $16m uplift between 2H20 and 1H21.

Canaccord Genuity’s estimates the 80% of the 71MW (megawatts) under contract billing at the end of 2020 represents around 13MW of runway.

Assuming around 4MW of new billing capacity came online in 1H2, the broker expects (at that rate of uptake) it would be 21 months before that 71MW was fully billing.

With estimated liquidity of around $1.8bn, after capital markets activity in 2020 involving an equity raise and debt refinancing, Canaccord Genuity notes substantial flexibility over future investment decisions.

The Buy rating is unchanged and the target price of $13 is equally unchanged.

This report was published on February, 25 2020.

Target price is $13.00 Current Price is $10.29 Difference: $2.71
If NXT meets the Canaccord Genuity target it will return approximately 26% (excluding dividends, fees and charges).
Current consensus price target is $14.07, suggesting upside of 38.6%(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 3.10 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 331.94.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -2.1, 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 0.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 1715.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 3.2, 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 317.2.

Market Sentiment: 0.9
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

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

Wilsons believes the leadership change at Oncosil Medical brings a new level of commitment to clinical evidence development and market access.

The company’s latest assessment of its near term prospects in Europe showed while the supporting data were encouraging, statistical clout is missing.

Oncosil will sponsor a global clinical trial to generate comparative evidence to secure broad adoption and potential approval in the USA and the broker notes the company's plans for approval and market access remain live and offers catalysts over the next 12 months.

Overweight rating with a revised target of $0.25.

This report was published on February 24, 2021.

Target price is $0.25 Current Price is $0.09 Difference: $0.16
If OSL meets the Wilsons target it will return approximately 178% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 1.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 6.43.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 1.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 6.92.

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

PNV    POLYNOVO LIMITED

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $2.41

Wilsons rates ((PNV)) as Downgrade to Market Weight from Overweight (3) –

Wilsons downgrades to Market Weight from Overweight with the target falling to $2.60 from $4.00. The downgrade was led by Polynovo's less than expected first-half result led by more sales impacted by covid than anticipated.

Even so, the broker does not believe anything earth-shattering occurred and finds the product continues to resonate in and outside of burn/trauma settings. On the flip side, the broker concedes the stock may take a few periods to re-establish momentum.

This report was published on February 23, 2021.

Target price is $2.60 Current Price is $2.41 Difference: $0.19
If PNV meets the Wilsons target it will return approximately 8% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 0.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 267.78.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 0.00 cents and EPS of 1.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 150.63.

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

PRN    PERENTI GLOBAL LIMITED

Mining Sector Contracting – Overnight Price: $1.05

Moelis rates ((PRN)) as Hold (3) –

Perenti Global's first-half net profit of $45m proved -8% below Moelis's estimate. The broker highlights that continued strong performance in terms of operating income was sadly not enough to offset the underperformance in surface and investments.

The key drivers for the tepid result were covid led site shutdowns, fx movements and a challenging east coast rental equipment market. 

The company has guided to a flat second half versus the first half and expects the headwinds to persist through 2021.

Hold rating with a target price of $1.34.

This report was published on February 24, 2021.

Target price is $1.34 Current Price is $1.05 Difference: $0.29
If PRN meets the Moelis target it will return approximately 28% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Moelis forecasts a full year FY21 dividend of 7.50 cents and EPS of 12.60 cents.
At the last closing share price the estimated dividend yield is 7.14%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.33.

Forecast for FY22:

Moelis forecasts a full year FY22 dividend of 7.50 cents and EPS of 15.00 cents.
At the last closing share price the estimated dividend yield is 7.14%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.00.

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

PTM    PLATINUM ASSET MANAGEMENT LIMITED

Wealth Management & Investments – Overnight Price: $4.68

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

Jarden remains cautious after first half results were -3% shy of estimates as lower average base management fees, fewer performance fees and elevated costs all weighed.

Earnings growth appears constrained to Jarden due to EPS drivers trailing expectations and long-term fund underperformance likely to continue to constrain flows. The Underweight rating and $4.10 target are maintained as the analyst's EPS forecast changes are minimal.

This report was published on February 24, 2021. 

Target price is $4.10 Current Price is $4.68 Difference: minus $0.58 (current price is over target).
If PTM meets the Jarden target it will return approximately minus 12% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $4.02, suggesting downside of -16.4%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 22.90 cents and EPS of 27.00 cents.
At the last closing share price the estimated dividend yield is 4.89%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.33.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 26.0, implying annual growth of -2.8%.
Current consensus DPS estimate is 24.6, implying a prospective dividend yield of 5.1%.
Current consensus EPS estimate suggests the PER is 18.5.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 19.20 cents and EPS of 22.60 cents.
At the last closing share price the estimated dividend yield is 4.10%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.71.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 24.9, implying annual growth of -4.2%.
Current consensus DPS estimate is 24.0, implying a prospective dividend yield of 5.0%.
Current consensus EPS estimate suggests the PER is 19.3.

Market Sentiment: -0.4
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

PWG    PRIMEWEST

Real Estate – Overnight Price: $1.31

Moelis rates ((PWG)) as Buy (1) –

Primewest Group delivered first-half operating earnings of $7.5m while announcing 2.1c per share in dividend. Moelis's first half estimates were slightly higher, with dividend estimate at 2.6c, with the difference largely owing to the timing of transaction fees.

FY21 distribution guidance of 5c was reaffirmed and compares to Moelis's prior estimate of 4.5c.

Moelis feels the group is well placed to exceed funds under management growth targets near term with the recent capital raise providing sufficient capital to deliver on all near-term objectives.

Buy rating with the target rising to $1.41 from $1.29.

This report was published on February 24, 2021.

Target price is $1.41 Current Price is $1.31 Difference: $0.1
If PWG meets the Moelis target it will return approximately 8% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Moelis forecasts a full year FY21 dividend of 5.00 cents and EPS of 5.50 cents.
At the last closing share price the estimated dividend yield is 3.82%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.82.

Forecast for FY22:

Moelis forecasts a full year FY22 dividend of 5.80 cents and EPS of 6.70 cents.
At the last closing share price the estimated dividend yield is 4.43%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.55.

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

REG    REGIS HEALTHCARE LIMITED

Aged Care & Seniors – Overnight Price: $2.02

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

Regis Healthcare reported first half profit (NPAT) well ahead of Jarden's forecast, due to better-than-expected revenue and strong cost controls. A 2 cent dividend (50% franked) was declared. The Overweight rating is retained and the target increased to $2.83 from $2.50.

The broker highlights net debt reduced to $183.1m from $281.5m, reflecting materially reduced capex, asset sales and robust operating cash flow. 

Due to covid occupancy averaged 88.3% for the portfolio though management noted spot occupancy as at 23 February was 90.4%.

This report was published on February 25, 2021. 

Target price is $2.83 Current Price is $2.02 Difference: $0.81
If REG meets the Jarden target it will return approximately 40% (excluding dividends, fees and charges).
Current consensus price target is $2.03, suggesting upside of 1.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 3.70 cents and EPS of 6.30 cents.
At the last closing share price the estimated dividend yield is 1.83%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 32.06.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 7.8, implying annual growth of 524.0%.
Current consensus DPS estimate is 3.8, implying a prospective dividend yield of 1.9%.
Current consensus EPS estimate suggests the PER is 25.8.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 8.70 cents and EPS of 8.70 cents.
At the last closing share price the estimated dividend yield is 4.31%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.22.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 10.1, implying annual growth of 29.5%.
Current consensus DPS estimate is 6.8, implying a prospective dividend yield of 3.4%.
Current consensus EPS estimate suggests the PER is 19.9.

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

RIC    RIDLEY CORPORATION LIMITED

Agriculture – Overnight Price: $1.02

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

It was a robust first half result, in the opinion of Wilsons, with Ridley Corp's earnings (EBITDA) 5% ahead of the broker's forecast. As well as maintaining cost reductions, the broker highlights volume growth in the less seasonally-affected segments of poultry, pig and aqua.

Free cash flow has also improved materially, following a period of elevated capex, explains the analyst.

The company has now posted four consecutive halves of operating earnings growth, with the last two results beating Wilsons expectations. The broker retains the Overweight rating and increases the target price to $1.24 from $1.11.

This report was published on February 25, 2021.

Target price is $1.24 Current Price is $1.02 Difference: $0.22
If RIC meets the Wilsons target it will return approximately 22% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 0.00 cents and EPS of 6.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.45.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 3.00 cents and EPS of 7.70 cents.
At the last closing share price the estimated dividend yield is 2.94%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.25.

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

SCG    SCENTRE GROUP

REITs – Overnight Price: $2.90

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

Second half results by comparison to the first showed Jarden signs of a recovery in FFO and in sales performance, albeit less than expected and, equally important, less than reported by some of the peers.

The broker predicts FY21 should still see a significant turnaround in earnings and cash flow, despite the higher cost of debt and negative re-leasing spreads driving small downgrades to FY21-24 forecasts.

The Overweight rating and $3.30 target are retained. Jarden explains investors may need to see more detail of how the balance sheet will be used for strategic initiatives and underlying growth before the next leg of the re-rating.

This report was published on February 25, 2021. 

Target price is $3.30 Current Price is $2.90 Difference: $0.4
If SCG meets the Jarden target it will return approximately 14% (excluding dividends, fees and charges).
Current consensus price target is $2.73, suggesting downside of -6.9%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 14.40 cents and EPS of 20.60 cents.
At the last closing share price the estimated dividend yield is 4.97%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.08.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 19.0, implying annual growth of N/A.
Current consensus DPS estimate is 14.4, implying a prospective dividend yield of 4.9%.
Current consensus EPS estimate suggests the PER is 15.4.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 15.50 cents and EPS of 22.20 cents.
At the last closing share price the estimated dividend yield is 5.34%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.06.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 20.6, implying annual growth of 8.4%.
Current consensus DPS estimate is 15.1, implying a prospective dividend yield of 5.2%.
Current consensus EPS estimate suggests the PER is 14.2.

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

SLK    SEALINK TRAVEL GROUP LIMITED

Travel, Leisure & Tourism – Overnight Price: $8.87

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

SeaLink Travel’s 1H21 result positively surprised Canaccord Genuity, with two of the three divisions outperforming, with substantial incremental earnings (EBITDA) margin drop-through.

The broker notes that Australian Bus margins were the highlight, and on the assumption that these higher margins carry through into 2H21 and beyond, $15m-plus annualised incremental earnings (EBITDA) flows through relative to its original forecasts.

While Canaccord Genuity had been looking for earnings (EBITDA) in the region of $120.0m, it notes that upwards of $140.0m now looks possible. However, the broker has set its FY21 earnings (EBITDA) at $129.1m, while it tries to better understand the cost dynamics within each division and the areas of outperformance.

The stock rating remain Buy with target price increasing to $8.55 from $7.63.

This report was published on February 25, 2021.

Target price is $8.55 Current Price is $8.87 Difference: minus $0.32 (current price is over target).
If SLK meets the Canaccord Genuity target it will return approximately minus 4% (excluding dividends, fees and charges – negative figures indicate an expected loss).
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.14 cents and EPS of 0.31 cents.
At the last closing share price the estimated dividend yield is 0.02%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 2861.29.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.16 cents and EPS of 0.37 cents.
At the last closing share price the estimated dividend yield is 0.02%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 2397.30.

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

SOM    SOMNOMED LIMITED

Medical Equipment & Devices – Overnight Price: $1.80

Wilsons rates ((SOM)) as Market Weight (3) –

SomnoMed reported first-half revenues of $30.8m, 7% higher than Wilsons expected owing to a stronger second quarter EU recovery. The operating income was more than double the broker's forecasts due to covid-related cost reductions and government support grants. 

Apart from this, it looks like COAT's (continuous open airway therapy) adoption in Europe is growing, particularly in the mild patient segment, with SomnoDent receiving first-line approval status over CPAP.

Despite the recovery in Europe, Wilsons fears there will be significant headwinds to the US recovery, including the battle to conquer US reimbursement. 

The Market Weight rating and target price of $1.65 are unchanged.

This report was published on February 24, 2021.

Target price is $1.65 Current Price is $1.80 Difference: minus $0.15 (current price is over target).
If SOM meets the Wilsons target it will return approximately minus 8% (excluding dividends, fees and charges – negative figures indicate an expected loss).
The company's fiscal year ends in June.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 0.00 cents and EPS of 2.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 62.07.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 0.00 cents and EPS of 3.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 47.37.

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

SPK    SPARK NEW ZEALAND LIMITED

Telecommunication – Overnight Price: $4.27

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

Jarden considers the first half underlying business performance was solid, with underlying mobile services revenue continuing to be strong  with 4.6% growth in core IT services revenue and a -$30m reduction in operating costs.

The broker singles out out free cash generation as a highlight due to increased discipline on working capital. However, the performance of broadband weighed with less uplift from fixed wireless and greater competition is considered to be impacting.

The Overweight rating is retained and the target increased to NZ$4.72 from NZ$4.62.

This report was published on February 25, 2021. 

Current Price is $4.27. 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 23.43 cents and EPS of 19.59 cents.
At the last closing share price the estimated dividend yield is 5.49%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.80.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 19.6, implying annual growth of N/A.
Current consensus DPS estimate is 23.3, implying a prospective dividend yield of 5.5%.
Current consensus EPS estimate suggests the PER is 21.8.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 23.43 cents and EPS of 21.46 cents.
At the last closing share price the estimated dividend yield is 5.49%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.90.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 22.0, implying annual growth of 12.2%.
Current consensus DPS estimate is 23.6, implying a prospective dividend yield of 5.5%.
Current consensus EPS estimate suggests the PER is 19.4.

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

SSG    SHAVER SHOP GROUP LIMITED

Household & Personal Products – Overnight Price: $1.14

Shaw and Partners rates ((SSG)) as Buy (1) –

After five consecutive strong results in a row, Shaw and Partners highlights Shaver Shop Group has been a very consistent performer over the last two years.

The company now adds the first half of FY21 to this mix, translating to a perfect 24 consecutive months of positive like for like sales growth. The broker comments the result was driven by the online segment which delivered a rise in sales of 102%.

Online now represents over 30% of sales.

According to the broker, the group is one of the best-positioned retailers in Australia with double-digit like for like sales comps, rising earnings and margins and a robust cashflow. The broker upgrades its net profit forecast for the year by 4%

Target price rises to $1.50 from $1.40 with a Buy recommendation.

This report was published on February 22, 2021.

Target price is $1.50 Current Price is $1.14 Difference: $0.36
If SSG meets the Shaw and Partners target it will return approximately 32% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Shaw and Partners forecasts a full year FY21 dividend of 6.20 cents and EPS of 12.40 cents.
At the last closing share price the estimated dividend yield is 5.44%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.19.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 7.00 cents and EPS of 14.80 cents.
At the last closing share price the estimated dividend yield is 6.14%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.70.

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

ST1    SPIRIT TELECOM LIMITED

Telecommunication – Overnight Price: $0.38

Shaw and Partners rates ((ST1)) as Buy (1) –

Spirit Technology Solutions pre-released most of the key financials in a quarterly update before the first half results. The operating income at $4.4m was up 176% over last year and was marginally ahead of Shaw and Partners' estimate.

Revenues and other income were ahead of the broker's forecast by 13% at $44m. Excluding one-off costs, operating cash flows were up 250% and outpaced profit growth.

The next data point for Spirit Technology will be the quarterly update in April. Looking at the December exit rates, the broker suspects the group is enjoying a healthier than expected pipeline of organic growth.

The Buy rating and $0.57 target are unchanged.

This report was published on February 24, 2021.

Target price is $0.57 Current Price is $0.38 Difference: $0.19
If ST1 meets the Shaw and Partners target it will return approximately 50% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Shaw and Partners forecasts a full year FY21 dividend of 0.00 cents and EPS of 1.10 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 34.55.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 0.00 cents and EPS of 1.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.11.

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

WOW    WOOLWORTHS LIMITED

Food, Beverages & Tobacco – Overnight Price: $39.16

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

The first half result was in-line with Jarden's expectations as investment across supply chain, online and the broader ecosystem all yielded results. Online sales rose around 78% year-on-year and cash conversion was up circa 115%.

The broker notes the first seven weeks have started well with Australian Food sales up circa 8% year-on-year, NZ up 1%, Big W increasing 18%, Endeavour up by 14% and Hotels down -12%. 

The Overweight rating is retained and the target increased to $44 from $40. The company remains a key pick for Jarden and it's considered the market is not fully reflecting medium-term upside from investment in online, data, alternative revenue and new verticals.

This report was published on February 25, 2021. 

Target price is $44.00 Current Price is $39.16 Difference: $4.84
If WOW meets the Jarden target it will return approximately 12% (excluding dividends, fees and charges).
Current consensus price target is $42.79, suggesting upside of 8.9%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 119.00 cents and EPS of 157.70 cents.
At the last closing share price the estimated dividend yield is 3.04%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 24.83.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 154.0, implying annual growth of 66.1%.
Current consensus DPS estimate is 109.3, implying a prospective dividend yield of 2.8%.
Current consensus EPS estimate suggests the PER is 25.5.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 128.00 cents and EPS of 167.70 cents.
At the last closing share price the estimated dividend yield is 3.27%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.35.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 163.1, implying annual growth of 5.9%.
Current consensus DPS estimate is 118.8, implying a prospective dividend yield of 3.0%.
Current consensus EPS estimate suggests the PER is 24.1.

Market Sentiment: 0.6
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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