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Australian Broker Call *Extra* Edition – May 21, 2021

Daily Market Reports | May 21 2021

This story features LIFE360, INC, and other companies. For more info SHARE ANALYSIS: 360

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)

360   ALC   ARX   CKF   COL (2)   CRW   DOW   DXS   HPG   IGO (2)   JBH (2)   LNK   MAD   MGR   MZZ   NST   OPY   RDY   RMS   SFR (3)   SKF   WBC  

360    LIFE360 INC

Software & Services – Overnight Price: $5.19

Bell Potter rates ((360)) as Buy (1) –

Life360 reported a strong first quarter and reaffirmed 2021 annualised monthly revenue guidance of US$110-120m, excluding the impact of the potential Jobit acquisition. 

Revenue was up 20% year-on-year to US$23.0m and annualised monthly revenue was up 26% year-on-year to US$95.8m.

Bell Potter noted that a mid-year acquisition of Jobit would increase revenue forecasts for 2021, 2022 and 2023 by 5%, 10% and 11% respectively. 

The broker retains its Buy rating and the target price increases to $7.00 from $6.00.  

This report was published on April 28, 2021.

Target price is $7.00 Current Price is $5.19 Difference: $1.81
If 360 meets the Bell Potter target it will return approximately 35% (excluding dividends, fees and charges).
The company's fiscal year ends in December.

Forecast for FY21:

Bell Potter forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 18.17 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 28.57.

Forecast for FY22:

Bell Potter forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 9.76 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 53.18.

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

ALC    ALCIDION GROUP LIMITED

Healthcare services – Overnight Price: $0.36

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

Alcidion Group has announced the acquisition of UK-based ExtraMed for $9.6m following a $17.5m capital raise.

ExtraMed provides patient flow management software and comes with nine existing UK NHS trust contracts, which Bell Potter notes provides opportunity for cross and upselling for Alcidion's commercial UK rollout. This includes six NHS sites new to Alcidion, which could each contribute an average of $1m of recurring revenue. 

Additionally, Alcidion was announced as a provider for a major healthcare information technology project with the Australian Defence Force that represents potential revenue of $21m over the next 5.5 years. 

Alcidion's contracted revenues to date for the financial year stand at $24.7m, representing a 33% growth on the previous year. 

The Buy rating is retained and the target price increases to $0.45 from $0.30. 

This report was published on April 28, 2021.

Target price is $0.45 Current Price is $0.36 Difference: $0.09
If ALC meets the Bell Potter target it will return approximately 25% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Bell Potter forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 0.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 120.00.

Forecast for FY22:

Bell Potter forecasts a full year FY22 dividend of 0.00 cents and EPS of 0.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 72.00.

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

ARX    AROA BIOSURGERY LIMITED

Pharmaceuticals & Biotech/Lifesciences – Overnight Price: $1.13

Bell Potter rates ((ARX)) as Speculative Buy (1) –

Aroa Biosurgery announced their 4C and product sales of NZ$21.5m and revenue of NZ$22.3m are largely in line with Bell Potter's expectations. 

The broker noted that 16% constant currency growth in the second half was impressive and believes the company to well set up for a strong 2022 financial year. 

Bell Potter expects the new Myriad salesforce to have a bigger impact on FY22 with the product expected to have strong commercial uptake in the next six months. Aroa plans to grow the Myriad sales team to 25 individuals, each of whom could generate US$1m in revenues on an annual basis. 

The Speculative Buy rating are target price of $2.00 are retained. 

This report was published on April 29, 2021.

Target price is $2.00 Current Price is $1.13 Difference: $0.87
If ARX meets the Bell Potter target it will return approximately 77% (excluding dividends, fees and charges).
The company's fiscal year ends in March.

Forecast for FY21:

Bell Potter forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 2.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 49.13.

Forecast for FY22:

Bell Potter forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 1.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 70.62.

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

CKF    COLLINS FOODS LIMITED

Food, Beverages & Tobacco – Overnight Price: $11.31

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

While the misalignment of reporting periods does make comparisons a little difficult, at first glance Wilsons believes the significant sequential improvement of Collins Foods' fourth quarter FY21 result is encouraging.

The broker states the result was driven by strong sales performance in North America, the UK, Australia and Japan. At KFC International, same-store sales grew 7% during the quarter.

Yum Brands, which reports at a December year-end, reported first quarter 2021 system sales growth of 12% for its KFC network in Australia.

Wilsons believes stronger sales growth reported by Yum for its Australian KFC network suggests upside risk to the broker's second half FY21 sale store sale growth forecast of 8.8% for Collins Foods’ Australian KFC network.

Wilsons retains its Overweight rating and target price of $11.62.

This report was published on April 29, 2021.

Target price is $11.62 Current Price is $11.31 Difference: $0.31
If CKF meets the Wilsons target it will return approximately 3% (excluding dividends, fees and charges).
The company's fiscal year ends in May.

Forecast for FY21:

Wilsons forecasts a full year FY21 dividend of 23.00 cents and EPS of 47.40 cents.
At the last closing share price the estimated dividend yield is 2.03%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.86.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 24.00 cents and EPS of 47.70 cents.
At the last closing share price the estimated dividend yield is 2.12%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.71.

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

COL    COLES GROUP LIMITED

Food, Beverages & Tobacco – Overnight Price: $16.34

Goldman Sachs rates ((COL)) as Buy (1) –

Goldman Sachs described Coles Group's reported 3Q21 sales of $8.8bn, down -2.0% year-on-year as disappointing.

But the broker was encouraged by management's positive outlook on both near-term trends and longer-term supply chain efficiency. 

Management noted a 4% comparable growth for the supermarkets division in early 4Q21, plus a return towards normality in terms of consumer behaviour, with CBD and shopping centre locations witnessing improved foot traffic.

Operationally, management noted that the Smarter Selling program was expected to deliver savings in excess of $250m.

With both Ocado CFC’s and now Witron DC’s under construction, the broker can see the longer-term thesis coming into focus for Coles.

The broker has revise profit forecasts by -0.9% and -1.2% respectively over FY21 and FY22.

Buy rating is maintained and target price of $20.50.

This report was issued 29 April, 2021.

Target price is $20.50 Current Price is $16.34 Difference: $4.16
If COL meets the Goldman Sachs target it will return approximately 25% (excluding dividends, fees and charges).
Current consensus price target is $18.03, suggesting upside of 10.4%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Goldman Sachs forecasts a full year FY21 dividend of 62.00 cents and EPS of 76.00 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 21.50.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 74.5, implying annual growth of 1.6%.
Current consensus DPS estimate is 60.2, implying a prospective dividend yield of 3.7%.
Current consensus EPS estimate suggests the PER is 21.9.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 66.00 cents and EPS of 81.00 cents.
At the last closing share price the estimated dividend yield is 4.04%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.17.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 77.2, implying annual growth of 3.6%.
Current consensus DPS estimate is 63.6, implying a prospective dividend yield of 3.9%.
Current consensus EPS estimate suggests the PER is 21.2.

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


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

Despite Coles Group reporting a -5% year-on-year decline in Q3 sales, around -3% below market expectations, Jarden's rating upgrade to Neutral from Underweight reflects share price underperformance – down -20% versus the ASX200 this year – and more positive commentary on recent trading.

With Coles underperformance online, plus other headwinds already priced-in, Jarden believes the relative valuation gap to Woolworths ((WOW)) is now unwarranted.

The broker has cut Coles forecasts -2-4% over FY21-23 to reflect softer Q3 sales and expectation of negative Q4 sales, second half grocery gross margin decline, easing of covid-related costs, and $250m-plus of working smarter cost-out in FY21.

Target price reduces to $15.85 from $17.50.

This report was issue April 28, 2021

Target price is $15.85 Current Price is $16.34 Difference: minus $0.49 (current price is over target).
If COL meets the Jarden target it will return approximately minus 3% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $18.03, suggesting upside of 10.4%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 63.00 cents and EPS of 78.70 cents.
At the last closing share price the estimated dividend yield is 3.86%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.76.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 74.5, implying annual growth of 1.6%.
Current consensus DPS estimate is 60.2, implying a prospective dividend yield of 3.7%.
Current consensus EPS estimate suggests the PER is 21.9.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 67.00 cents and EPS of 81.30 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 20.10.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 77.2, implying annual growth of 3.6%.
Current consensus DPS estimate is 63.6, implying a prospective dividend yield of 3.9%.
Current consensus EPS estimate suggests the PER is 21.2.

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

CRW    CASHREWARDS LIMITED

Hardware & Equipment – Overnight Price: $1.00

Moelis rates ((CRW)) as Buy (1) –

Moelis reports Cashrewards' third quarter results indicate the company is on track to reach 1m members by the end of FY21. 

New member customer growth was up 99% on the previous corresponding period taking total member base to 989,587. The broker estimate cost per member acquisition has decreased to $34 from $42.

The company also reported receipts from customers of $5.9m, a 12% increase on the previous corresponding period. Additionally it reported progress on discussions of a strategic partnership with ANZ Bank ((ANZ)). 

The Buy rating is retained with a target price of $2.21. 

This report was published on April 29, 2021. 

Target price is $2.21 Current Price is $1.00 Difference: $1.21
If CRW meets the Moelis target it will return approximately 121% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Moelis forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 32.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 3.10.

Forecast for FY22:

Moelis forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 25.70 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 3.89.

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

DOW    DOWNER EDI LIMITED

Industrial Sector Contractors & Engineers – Overnight Price: $5.40

Goldman Sachs rates ((DOW)) as Buy (1) –

In addition to Downer EDI's recently announced on-market buy back, management provided detailed sub-segment colour on customer drivers, growth outlooks, and competitive positioning.

Commenting on the extra guidance, Goldman Sachs believes there's room for the company to re-rate as the market better appreciates the defensive nature of the urban services core. The broker also observes the company’s capital return flexibility moving forward, and still sees balance sheet headroom post the 10% buyback. 

Goldman Sachs left Downer's recent 2021 Investor Day event incrementally confident in this thesis and remains Buy rated with the price target of $6.00 also unchanged.

This report was published on April 28, 2021.

Target price is $6.00 Current Price is $5.40 Difference: $0.6
If DOW meets the Goldman Sachs target it will return approximately 11% (excluding dividends, fees and charges).
Current consensus price target is $6.19, suggesting upside of 14.7%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Goldman Sachs forecasts a full year FY21 dividend of 24.00 cents and EPS of 36.00 cents.
At the last closing share price the estimated dividend yield is 4.44%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 30.1, implying annual growth of N/A.
Current consensus DPS estimate is 18.7, implying a prospective dividend yield of 3.5%.
Current consensus EPS estimate suggests the PER is 17.9.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 28.00 cents and EPS of 43.00 cents.
At the last closing share price the estimated dividend yield is 5.19%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.56.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 34.9, implying annual growth of 15.9%.
Current consensus DPS estimate is 23.8, implying a prospective dividend yield of 4.4%.
Current consensus EPS estimate suggests the PER is 15.5.

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

DXS    DEXUS

REITs – Overnight Price: $10.22

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

Dexus announced that unitholders of both the Dexus Wholesale Property Fund (DWPF) and the AMP Capital Diversified Property Fund (ADPF) have voted in favour of a merger of the two vehicles.

Dexus has assumed the role of Responsible Entity of ADPF from 28 April 2021 and will work to combine the two vehicles via a stapling over the next 18 months.

ADPF currently has $5.4bn of funds under management (FUM), but assuming all pending redemption requests are met via asset disposals, Goldman Sachs expects the merger of the two funds to see Dexus' External FUM rise by $3.4bn, or 20%-plus.

While Goldman Sachs believes Dexus continues to manage this stage of the real estate cycle well, the broker expects Office capital values to ultimately de-rate to reflect weakening occupier markets.

Based on Goldman Sachs' estimates Dexus is offering a 12 month total return of 3.5%, versus an average 3.0% for the broker's A-REIT coverage universe.

The Neutral rating remains and target price increases to $9.79 from $9.65.

This report was published on April 28, 2021.

Target price is $9.79 Current Price is $10.22 Difference: minus $0.43 (current price is over target).
If DXS meets the Goldman Sachs target it will return approximately minus 4% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $10.36, suggesting upside of 1.4%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Goldman Sachs forecasts a full year FY21 dividend of 5.40 cents and EPS of 67.00 cents.
At the last closing share price the estimated dividend yield is 0.53%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.25.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 62.9, implying annual growth of -29.9%.
Current consensus DPS estimate is 50.3, implying a prospective dividend yield of 4.9%.
Current consensus EPS estimate suggests the PER is 16.2.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 5.20 cents and EPS of 67.00 cents.
At the last closing share price the estimated dividend yield is 0.51%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.25.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 63.5, implying annual growth of 1.0%.
Current consensus DPS estimate is 49.5, implying a prospective dividend yield of 4.8%.
Current consensus EPS estimate suggests the PER is 16.1.

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

HPG    HIPAGES GROUP HOLDINGS LTD

Online media & mobile platforms – Overnight Price: $2.39

Goldman Sachs rates ((HPG)) as Buy (1) –

Hipages Group's strong 3Q result which saw total revenue growth of 18% year-to-date, plus upgraded guidance, has reinforced Goldman Sachs' view that this is an attractive medium term growth stock.

New tradie additions are accelerating, jobs growth is strong, and there's solid evidence of operating leverage emerging, observes the broker.

The value Hipages is providing to tradies through high and increasing return on equity (ROI) should in Goldman Sachs view continue as the business grows its ecosystem.

Hipages currently captures around 5% of total industry advertising spend, by contrast REA Group ((REA)) and Carsales ((CAR)) capture around 40-60% of spending in their respective categories. But as Hipages builds out its ecosystem, the broker sees scope for share to increase towards these levels over the long term, driving marketplace leadership

Goldman Sachs makes modest upgrades to  FY21-23 earnings forecast of 3% to 5%, reflecting a step up in the run rate of new customer additions as the business pivots its focus towards the tradie side of the marketplace.

The Buy rating remains and target price increases to $3.35 from $3.10.

This report was published on April 28, 2021.

Target price is $3.35 Current Price is $2.39 Difference: $0.96
If HPG meets the Goldman Sachs target it will return approximately 40% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Goldman Sachs forecasts a full year FY21 dividend of 0.00 cents and EPS of 1.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 239.00.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 0.00 cents and EPS of 2.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 119.50.

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

IGO    IGO LIMITED

Nickel – Overnight Price: $7.29

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

While IGO's March quarter was broadly in line with Goldman Sachs' estimates, production is expected to be at the top end of FY21 guidance (27-29kt).

Of note was the closure of the Tianqi Lithium transaction which remains on track for the June 2021 quarter, with key outstanding approvals and consents primarily related to Tianqi’s internal corporate restructure of the assets.

The sale of Tropicana to Regis Resources ((RRL)) for $903m is expected to close on or before 31 May 2021, with a locked-box arrangement meaning IGO’s financial interest in the asset ceased on 12 April 2021 assuming the transaction closes successfully.

Goldman Sachs refrains from including either transaction in forecasts or valuation, pending deal closure. 

The broker has revised earnings forecasts for the March quarter result to account for additional Nova concentrate sales expected in the June quarter and slightly lower operating costs going forward, but earnings and valuation are largely unchanged

Neutral rating and target price of $6.70 remain unchanged.

This report was issued April 28, 2021.

Target price is $6.70 Current Price is $7.29 Difference: minus $0.59 (current price is over target).
If IGO meets the Goldman Sachs target it will return approximately minus 8% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $6.70, suggesting downside of -8.1%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Goldman Sachs forecasts a full year FY21 dividend of 7.00 cents and EPS of 18.00 cents.
At the last closing share price the estimated dividend yield is 0.96%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 40.50.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 22.7, implying annual growth of -12.7%.
Current consensus DPS estimate is 8.0, implying a prospective dividend yield of 1.1%.
Current consensus EPS estimate suggests the PER is 32.1.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 16.00 cents and EPS of 34.00 cents.
At the last closing share price the estimated dividend yield is 2.19%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.44.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 21.5, implying annual growth of -5.3%.
Current consensus DPS estimate is 11.6, implying a prospective dividend yield of 1.6%.
Current consensus EPS estimate suggests the PER is 33.9.

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


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

IGO has delivered March quarter production in line with guidance and with lower costs quarter-on-quarter. 

Production at the Tropicana project was down on the previous quarter. All-in costs and all-in sustaining costs were higher over the quarter due to lower milled grade on stockpile processing. A deal on the divestment of the company's 30% stake in Tropicana is expected to be closed in coming days. 

The Nova operation had another strong quarter totaling 6,800 tonnes of nickel. Production was down quarter-on-quarter and costs were lower on higher by-product pricing. The inventory build is expected to reverse in the June quarter and Nova is expected to deliver at or above the top end of guidance. 

The Buy rating is retained and the target price increased to $7.70 from $7.00. 

This report was published on April 29, 2021. 

Target price is $7.70 Current Price is $7.29 Difference: $0.41
If IGO meets the Shaw and Partners target it will return approximately 6% (excluding dividends, fees and charges).
Current consensus price target is $6.70, suggesting downside of -8.1%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Shaw and Partners forecasts a full year FY21 dividend of 10.50 cents and EPS of 21.00 cents.
At the last closing share price the estimated dividend yield is 1.44%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 34.71.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 22.7, implying annual growth of -12.7%.
Current consensus DPS estimate is 8.0, implying a prospective dividend yield of 1.1%.
Current consensus EPS estimate suggests the PER is 32.1.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 14.50 cents and EPS of 36.70 cents.
At the last closing share price the estimated dividend yield is 1.99%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.86.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 21.5, implying annual growth of -5.3%.
Current consensus DPS estimate is 11.6, implying a prospective dividend yield of 1.6%.
Current consensus EPS estimate suggests the PER is 33.9.

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

JBH    JB HI-FI LIMITED

Consumer Electronics – Overnight Price: $48.54

Bell Potter rates ((JBH)) as Hold (3) –

JB Hi-Fi reported decreased like-for-like sales growth during the third quarter, with Bell Potter noting sales slowdown was expected but the rate was higher than anticipated. 

JB Hi-Fi Australia reported like-for-like sales increase of 11.5% down from 18.6% in January, The Good Guys reported like-for-like sales increase of 5.8% down from 14.1%, and JB Hi-Fi New Zealand reported like-for-like sales increase of 16.0% down from 21.7%. 

The company has also announced a CEO transition, with Terry Smart to return to the role. 

The Hold rating is retained and the target price decreases to $45.50 from $49.80. 

This report was published on April 28, 2021.

Target price is $45.50 Current Price is $48.54 Difference: minus $3.04 (current price is over target).
If JBH meets the Bell Potter target it will return approximately minus 6% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $51.90, suggesting upside of 6.9%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Bell Potter forecasts a full year FY21 dividend of 248.60 cents and EPS of 377.40 cents.
At the last closing share price the estimated dividend yield is 5.12%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.86.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 403.8, implying annual growth of 53.5%.
Current consensus DPS estimate is 264.4, implying a prospective dividend yield of 5.4%.
Current consensus EPS estimate suggests the PER is 12.0.

Forecast for FY22:

Bell Potter forecasts a full year FY22 dividend of 187.90 cents and EPS of 286.80 cents.
At the last closing share price the estimated dividend yield is 3.87%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.92.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 306.9, implying annual growth of -24.0%.
Current consensus DPS estimate is 204.4, implying a prospective dividend yield of 4.2%.
Current consensus EPS estimate suggests the PER is 15.8.

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


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

Having made two material announcements, which in Jarden's view are both overall incrementally negative, the broker has have left its forecasts for JB Hi-Fi Ltd unchanged.

The first of the two announcements Jarden is referring to include Q3 trading, with sales growth having moderated into February/March for all brands as panic buying is cycled.

The company reported Australian like-for-like growth of 11.5%, implying a sharp slowdown from the 18.6% January update to around 8.0% in February/March.

Like-for-like NZ growth of 16.0% implies sales slowed from 21.7% in January to 13.2% in February/March; While The Good Guys like-for-like growth of 5.8% implies sales slowed from 14.1% in January to 1.7% in February/March.

The second of the two incrementally negative announcements highlighted by Jarden was the resignation of CEO Richard Murray.

While replacement Terry Smart is very well regarded, the broker believes the change is likely to give rise to uncertainty which typically accompanies transitions in CEO.

The broker forecasts a 3-year EPS compound annual growth rate of 9.8% for FY19-22, and sits -1-8% below consensus for FY21-23.

Underweight recommendation and price target of $50 remain intact.

This report was first issued April 28, 2021.

Target price is $50.00 Current Price is $48.54 Difference: $1.46
If JBH meets the Jarden target it will return approximately 3% (excluding dividends, fees and charges).
Current consensus price target is $51.90, suggesting upside of 6.9%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Jarden forecasts a full year FY21 dividend of 263.50 cents and EPS of 404.50 cents.
At the last closing share price the estimated dividend yield is 5.43%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 403.8, implying annual growth of 53.5%.
Current consensus DPS estimate is 264.4, implying a prospective dividend yield of 5.4%.
Current consensus EPS estimate suggests the PER is 12.0.

Forecast for FY22:

Jarden forecasts a full year FY22 dividend of 194.60 cents and EPS of 286.70 cents.
At the last closing share price the estimated dividend yield is 4.01%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.93.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 306.9, implying annual growth of -24.0%.
Current consensus DPS estimate is 204.4, implying a prospective dividend yield of 4.2%.
Current consensus EPS estimate suggests the PER is 15.8.

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

LNK    LINK ADMINISTRATION HOLDINGS LIMITED

Wealth Management & Investments – Overnight Price: $5.08

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

Within a brief announcement touching on recent 2H21 business performance, Link Administration noted that the PEP/Carlyle private equity (PE) consortium has formally withdrawn its interest in the business.

Link also noted that with the PEXA sale process tracking well, the consortium’s interest had initially been in the broader Link Group. The company has received non-binding indicative interest for PEXA which is significantly greater than the $1.60 within the PE consortium offer.

Link did not highlight any preference between an IPO/trade sale at this stage, and will weigh up both shareholder value maximisation and PEXA long term interests when the dual-track process should reach conclusion in June-2021.

While FY21 should remain a trough year, management sees the current FY21 consensus as a fair guide for the business.

Neutral rating and target price of $4.90 retained.

This report was published on April 28, 2021.

Target price is $4.90 Current Price is $5.08 Difference: minus $0.18 (current price is over target).
If LNK meets the Goldman Sachs target it will return approximately minus 4% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $5.38, suggesting upside of 6.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Goldman Sachs forecasts a full year FY21 dividend of 10.00 cents and EPS of 22.00 cents.
At the last closing share price the estimated dividend yield is 1.97%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.09.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 22.0, implying annual growth of N/A.
Current consensus DPS estimate is 10.3, implying a prospective dividend yield of 2.0%.
Current consensus EPS estimate suggests the PER is 23.1.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 14.70 cents and EPS of 29.00 cents.
At the last closing share price the estimated dividend yield is 2.89%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.52.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 26.3, implying annual growth of 19.5%.
Current consensus DPS estimate is 13.3, implying a prospective dividend yield of 2.6%.
Current consensus EPS estimate suggests the PER is 19.3.

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

MAD    MADER GROUP LIMITED

Mining Sector Contracting – Overnight Price: $0.89

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

Mader Group has reported a solid third quarter, largely driven by Australian growth acceleration. Australian revenue was up 7.4% quarter-on-quarter to $68.5m thanks to strong demand and improved workforce mobility.

Total group revenue was up 6.1% quarter-quarter to $75.9m. US revenue was down on the previous quarter, but Bell Potter remains optimistic that growth will pick up with plans to double the US fleet and continue new region expansion.

The broker has reduced underlying EPS estimates for the 2021, 2022 and 2023 financial years by -3.0%, -4.9% and -4.9% respectively due to lowered expectations in near-term growth in the US.

The Buy rating is retained and the target price increases to $1.30 from $1.28.

This report was published on April 29, 2021.

Target price is $1.30 Current Price is $0.89 Difference: $0.41
If MAD meets the Bell Potter target it will return approximately 46% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Bell Potter forecasts a full year FY21 dividend of 4.34 cents and EPS of 12.88 cents.
At the last closing share price the estimated dividend yield is 4.87%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 6.91.

Forecast for FY22:

Bell Potter forecasts a full year FY22 dividend of 5.29 cents and EPS of 16.00 cents.
At the last closing share price the estimated dividend yield is 5.94%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 5.56.

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

MGR    MIRVAC GROUP

Infra & Property Developers – Overnight Price: $2.79

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

Taking into account deferral of Locomotive Workshop profits and repayment of Jobkeeper subsidies, Goldman Sachs estimates a “like-for-like” earnings upgrade of 7% for Mirvac Group.

Mirvac achieved 2,282 lot sales during the nine months to March 21, up 67% versus the prior period.

Primarily reflecting deferral of profit associated with sale of 50% of Locomotive Workshop into FY22 and the recently flagged repayment of Jobkeeper subsidies, Goldman Sachs is now forecasting FY21 EPS of 14.1c down -4.0%.

The broker estimates Mirvac is offering a 12 month total return of 1.2% versus an average 3.0% for the broker's A-REIT coverage universe.

The broker's FY23 and FY24 EPS estimates are up by 1.6% and 0.7% respectively, reflecting stronger assumed Residential Development volumes post the pick-up in inquiries and sales generated by Mirvac over the March quarter.

Neutral rating retained, target price increases 1% to $2.48.

This report was released April 28, 2021.

Target price is $2.48 Current Price is $2.79 Difference: minus $0.31 (current price is over target).
If MGR meets the Goldman Sachs target it will return approximately minus 11% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $2.67, suggesting downside of -4.5%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Goldman Sachs forecasts a full year FY21 EPS of 14.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.93.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 13.2, implying annual growth of -7.0%.
Current consensus DPS estimate is 9.7, implying a prospective dividend yield of 3.5%.
Current consensus EPS estimate suggests the PER is 21.1.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 EPS of 17.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.41.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 14.8, implying annual growth of 12.1%.
Current consensus DPS estimate is 10.6, implying a prospective dividend yield of 3.8%.
Current consensus EPS estimate suggests the PER is 18.9.

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

MZZ    MATADOR MINING LIMITED

Gold & Silver – Overnight Price: $0.39

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

Matador Mining's March quarter report has highlighted the potential of its Cape Ray Shear Gold Project to host multiple, high grade, shallow deposits.

An active drilling program at Cape Ray is planned for 2021, with Matador having identified 33 drill targets of which 12 are high priority. The next phase of drilling activity is expected to continue through to the end-of-year shutdown.

Current resource for the project stands at 840,000 ounces and the company is funded through 2021 thanks to a cash position of $8m.

The Buy rating and $0.80 target are unchanged.

This report was published on April 29, 2021.

Target price is $0.80 Current Price is $0.39 Difference: $0.41
If MZZ meets the Shaw and Partners target it will return approximately 105% (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 minus 3.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 10.26.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 3.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 12.19.

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

NST    NORTHERN STAR RESOURCES LTD

Gold & Silver – Overnight Price: $11.21

Goldman Sachs rates ((NST)) as Buy (1) –

While Northern Star Resources' March quarter gold production of 366koz was -12% below than Goldman Sachs' estimates, the broker is forecasting a recovery from most assets in 4Q, with 15koz in the quarter to achieve FY21 guidance.

Goldman Sachs' Buy thesis on Northern Star is underpinned by organic growth across all production hubs, with strong medium-term growth profile from the diverse portfolio of assets driving down unit costs, improving margins and lifting free cash flow (FCF).

The broker is projecting 30% production growth to FY25, and 22% 5 year EPS compound annual growth rate.

Goldman Sachs believes every asset in the portfolio has potential to grow production and extend mine life.

The broker also believes there's potential for further synergies to come, and includes a bit over half of merger in base case synergies, with even the bottom end of the guided synergy value adding a further $0.5/sh to the broker's net asset value and improved FCF.

Target price decreases -3% to $12.70, Buy retained.

This report was published on April 28, 2021.

Target price is $12.70 Current Price is $11.21 Difference: $1.49
If NST meets the Goldman Sachs target it will return approximately 13% (excluding dividends, fees and charges).
Current consensus price target is $12.88, suggesting upside of 14.9%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Goldman Sachs forecasts a full year FY21 dividend of 19.00 cents and EPS of 37.00 cents.
At the last closing share price the estimated dividend yield is 1.69%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 30.30.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 51.8, implying annual growth of 38.9%.
Current consensus DPS estimate is 18.0, implying a prospective dividend yield of 1.6%.
Current consensus EPS estimate suggests the PER is 21.6.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 23.00 cents and EPS of 75.00 cents.
At the last closing share price the estimated dividend yield is 2.05%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.95.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 67.9, implying annual growth of 31.1%.
Current consensus DPS estimate is 21.3, implying a prospective dividend yield of 1.9%.
Current consensus EPS estimate suggests the PER is 16.5.

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

OPY    OPENPAY GROUP LTD

Business & Consumer Credit – Overnight Price: $1.79

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

Openpay Group has reported a strong third quarter. Highlights included active customers up 102% on the previous corresponding period to 505,000. The broker notes UK customers were up 347%, implying Australian customer growth of 31%.

Active merchants increased 70% on the previous corresponding period to 3400, continuing the merchant growth trend of the second quarter. This is a reversal of the weaker quarter-on-quarter active merchant growth for the prior five periods, and the broker notes this is driven by self-onboarding.

The broker expects a similarly strong fourth quarter given Openpay’s flagship promotion month with merchant partners, ‘OpenMay’.

Given performance in both the US and UK are increasing, the broker has reduced the target price to account for higher staffing, advertising and marketing, and operating expenses.

The Buy rating is retained and the target price decreases to $4.00 from and $5.00. 

This report was published on April 29, 2021.

Target price is $4.00 Current Price is $1.79 Difference: $2.21
If OPY meets the Shaw and Partners target it will return approximately 123% (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 minus 40.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 4.38.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 34.70 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 5.16.

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

RDY    READYTECH HOLDINGS LTD

Software & Services – Overnight Price: $2.00

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

Readytech Holdings has released a look into its Government & Justice segment following the recent acquisition of Open Office. 

Shaw and Partners notes a global push to digitise government services provides significant opportunity for Readytech to access the over 500 local councils in Australia and grow existing customers. The Open Office acquisition exposed the company to 137 local government customers. 

Further, the Open Office platform is customer-centric, and a full modular, end-to-end solution, and the company comes with a proven record of customer onboarding and support. Readytech management believe the acquisition delivers positive synergies including increased credibility and accelerated growth. 

The Buy rating and target price of $3.00 are retained. 

This report was published on April 29, 2021.

Target price is $3.00 Current Price is $2.00 Difference: $1
If RDY 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 8.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 24.39.

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 17.54.

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

RMS    RAMELIUS RESOURCES LIMITED

Gold & Silver – Overnight Price: $1.94

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

Despite an outage at the Edna May SAG mill, Ramelius Resources has reported a solid quarter with total production of 66,000 ounces of gold at an all-in sustaining cost of $1,370 per ounce.

The Edna May mill produced just over 24,000 ounces at an all-in sustaining cost of $1,597 per ounce. Shaw and Partners estimates the mill’s outage increased the overall all-in sustaining costs by around $80 per ounce and expect this to reverse in the June quarter.

Sales of 65,420 ounces of gold at $2,242 an ounce generated quarterly revenue of $147m, leaving Ramelius with a cash and gold balance of $230.6m at the close of the quarter.

The company has also announced the resource at Eridanus has increased to 760,000 ounces, and declared a maiden resource of 220,000 ounces of gold at Orion-Franks.

The Buy rating and target price of $2.82 are retained. 

This report was published on April 29, 2021. 

Target price is $2.82 Current Price is $1.94 Difference: $0.88
If RMS meets the Shaw and Partners target it will return approximately 45% (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 6.00 cents and EPS of 18.90 cents.
At the last closing share price the estimated dividend yield is 3.09%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.26.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 12.00 cents and EPS of 29.00 cents.
At the last closing share price the estimated dividend yield is 6.19%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 6.69.

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

SFR    SANDFIRE RESOURCES NL

Copper – Overnight Price: $7.26

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

March quarter copper production was 3% higher quarter-on-quarter than expected though gold production was -6% lower. C1 cash costs of US$0.87/lb beat the US$0.93/lb estimate on higher gold credits. 

The broker highlights the quarter finished with cash of $464m versus a forecast for $411m, due to higher shipments after a build in copper concentrate over the first two quarters. It's believed the company is financed to deliver the Tshukudu project without debt.

The Buy rating and $8.50 target are retained.

This report was published on April 28, 2021.

Target price is $8.50 Current Price is $7.26 Difference: $1.24
If SFR meets the Canaccord Genuity target it will return approximately 17% (excluding dividends, fees and charges).
Current consensus price target is $7.31, suggesting upside of 0.7%(ex-dividends)

Forecast for FY21:

Current consensus EPS estimate is 104.0, implying annual growth of 142.5%.
Current consensus DPS estimate is 35.1, implying a prospective dividend yield of 4.8%.
Current consensus EPS estimate suggests the PER is 7.0.

Forecast for FY22:

Current consensus EPS estimate is 94.3, implying annual growth of -9.3%.
Current consensus DPS estimate is 27.4, implying a prospective dividend yield of 3.8%.
Current consensus EPS estimate suggests the PER is 7.7.

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


Goldman Sachs rates ((SFR)) as Buy (1) –

Sandfire Resources reported a 3% lift in copper production for the March quarter to 16.8kt on higher head grades from the Degrussa and Monty underground mines.

March quarter results also included 6% decline in gold production to 9.1kt on lower head grade, and a decline in cash costs to US87c/lb net credits.

FY21 guidance is unchanged but copper and gold production are expected to be at the top of the range and costs at the bottom.

Of note was the Botswana/T3 project which is progressing with initial clearing/groundwork ongoing, with the mining license expected in June quarter. First production remains for third quarter of 2023. Goldman Sachs had assumed mid 2023, but has pushed this back to the fourth quarter to take into account possible delays due to labour availability associated with covid.

The broker revises the FY21 EPS forecast up 41% on higher sales volumes, lower costs, and provisional pricing tailwinds in FY21. But FY22-23 EPS estimates are lower -2%, and -50% respectively after pushing back first production from T3-Motheo project by three months.

Buy rating is retained, target price increases to $7.90 from $7.60.

This report was published on April 28, 2021. 

Target price is $7.90 Current Price is $7.26 Difference: $0.64
If SFR meets the Goldman Sachs target it will return approximately 9% (excluding dividends, fees and charges).
Current consensus price target is $7.31, suggesting upside of 0.7%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Goldman Sachs forecasts a full year FY21 dividend of 27.90 cents and EPS of 134.00 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 5.42.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 104.0, implying annual growth of 142.5%.
Current consensus DPS estimate is 35.1, implying a prospective dividend yield of 4.8%.
Current consensus EPS estimate suggests the PER is 7.0.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 31.10 cents and EPS of 156.00 cents.
At the last closing share price the estimated dividend yield is 4.28%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 4.65.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 94.3, implying annual growth of -9.3%.
Current consensus DPS estimate is 27.4, implying a prospective dividend yield of 3.8%.
Current consensus EPS estimate suggests the PER is 7.7.

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


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

Sandfire Resources reported a softer March quarter, but this was in line with broker forecasts. The company confirmed production was on track to meet the higher end of FY21 guidance of 67-70,000 tonnes copper and 36-40,000 ounces gold. 

Total copper production of 16,803 tonnes was marginally up on the previous quarter, while total gold production of 9,100 ounces was down on the previous quarters 9,660 ounces.Cash on hand at the end of the quarter equaled $463.6m, equating a $130m cash build during the quarter. 

Sandfire is aiming for the Botswana project to begin copper production in the third quarter, with expectations of 30,000 tonnes per annum over 12.5 years. Maiden resource from the DeGrussa project is also expected to be delivered during the June quarter. 

Shaw and Partners give a rating of Buy and a target price of $8.40. 

This report was published April 29, 2021. 

Target price is $8.40 Current Price is $7.26 Difference: $1.14
If SFR meets the Shaw and Partners target it will return approximately 16% (excluding dividends, fees and charges).
Current consensus price target is $7.31, suggesting upside of 0.7%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY21:

Shaw and Partners forecasts a full year FY21 dividend of 17.20 cents and EPS of 85.80 cents.
At the last closing share price the estimated dividend yield is 2.37%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.46.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 104.0, implying annual growth of 142.5%.
Current consensus DPS estimate is 35.1, implying a prospective dividend yield of 4.8%.
Current consensus EPS estimate suggests the PER is 7.0.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 18.30 cents and EPS of 91.30 cents.
At the last closing share price the estimated dividend yield is 2.52%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.95.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 94.3, implying annual growth of -9.3%.
Current consensus DPS estimate is 27.4, implying a prospective dividend yield of 3.8%.
Current consensus EPS estimate suggests the PER is 7.7.

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

SKF    SKYFII LTD

Software & Services – Overnight Price: $0.13

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

Canaccord Genuity assesses a solid third quarter result, as pro-forma annual recurring revenue (ARR) was in-line with expectations. The company raised FY21 total revenue guidance to $15.5-16.5m from $15-16m. The Buy rating and $0.30 target are retained.

The broker lifts FY21 ARR and revenue forecasts to $11.5m and $16.0m respectively, reflecting a 12-week contribution from CrowdVision. There are no changes to underlying forecasts from FY22 and beyond.

The analyst feels FY21 and the acquisition of CrowdVision is setting the stage for a material pick-up in FY22 ARR. This is considered underpinned by 25% growth and an improved contribution from CrowdVision, as capital spend increases in airports globally.

This report was published on April 29, 2021.

Target price is $0.30 Current Price is $0.13 Difference: $0.17
If SKF meets the Canaccord Genuity target it will return approximately 131% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY21:

Canaccord Genuity forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 0.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 65.00.

Forecast for FY22:

Canaccord Genuity forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 0.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 43.33.

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

WBC    WESTPAC BANKING CORPORATION

Banks – Overnight Price: $25.52

Goldman Sachs rates ((WBC)) as Buy (1) –

Due primarily to Westpac Banking's disclosure (on 26 April 2021) of notable items that will impact its first half FY21 result, Goldman Sachs has amended FY21, FY22, and FY23 earnings per share (EPS) forecasts by -4.2%, -3.1%, and -3.7% respectively.

While -$212m of the -$282m in 1H21 notable items were announced at Westpac's 1Q21 trading update, notable additional items include: additional provisions for customer refunds, payments, associated costs, and litigation provisions of -$220m, plus a write-down of capitalised software and other intangibles of -$115m. 

Then there are costs associated with ending the group’s relationship with IOOF Holdings ((IFL)) (-$56m, plus a write-down of goodwill relating to Lenders Mortgage Insurance of -$84m). 

Finally, there's an accounting loss on sale in Westpac Pacific, along with transaction costs and payments associated with divestments, (-$113m).

The broker does not view these changes as material, with the Buy remaining, and the target price increasing to $26.67 from $25.94.

The report was issued April 27, 2021

Target price is $26.67 Current Price is $25.52 Difference: $1.15
If WBC meets the Goldman Sachs target it will return approximately 5% (excluding dividends, fees and charges).
Current consensus price target is $28.49, suggesting upside of 11.6%(ex-dividends)
The company's fiscal year ends in September.

Forecast for FY21:

Goldman Sachs forecasts a full year FY21 dividend of 112.00 cents and EPS of 169.00 cents.
At the last closing share price the estimated dividend yield is 4.39%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.10.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 176.1, implying annual growth of 176.3%.
Current consensus DPS estimate is 116.0, implying a prospective dividend yield of 4.5%.
Current consensus EPS estimate suggests the PER is 14.5.

Forecast for FY22:

Goldman Sachs forecasts a full year FY22 dividend of 131.00 cents and EPS of 178.00 cents.
At the last closing share price the estimated dividend yield is 5.13%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.34.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 180.3, implying annual growth of 2.4%.
Current consensus DPS estimate is 124.3, implying a prospective dividend yield of 4.9%.
Current consensus EPS estimate suggests the PER is 14.2.

Market Sentiment: 0.7
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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360 ALC ANZ ARX CAR CKF COL CRW DOW DXS HPG IFL IGO JBH LNK MAD MGR MZZ NST OPY RDY REA RMS RRL SFR SKF WBC WOW

For more info SHARE ANALYSIS: 360 - LIFE360, INC

For more info SHARE ANALYSIS: ALC - ALCIDION GROUP LIMITED

For more info SHARE ANALYSIS: ARX - AROA BIOSURGERY LIMITED

For more info SHARE ANALYSIS: CAR - CARSALES.COM LIMITED

For more info SHARE ANALYSIS: CKF - COLLINS FOODS LIMITED

For more info SHARE ANALYSIS: COL - COLES GROUP LIMITED

For more info SHARE ANALYSIS: CRW - CASHREWARDS LIMITED

For more info SHARE ANALYSIS: DOW - DOWNER EDI LIMITED

For more info SHARE ANALYSIS: DXS - DEXUS

For more info SHARE ANALYSIS: HPG - HIPAGES GROUP HOLDINGS LIMITED

For more info SHARE ANALYSIS: IFL - INSIGNIA FINANCIAL LIMITED

For more info SHARE ANALYSIS: IGO - IGO LIMITED

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

For more info SHARE ANALYSIS: LNK - LINK ADMINISTRATION HOLDINGS LIMITED

For more info SHARE ANALYSIS: MAD - MADER GROUP LIMITED

For more info SHARE ANALYSIS: MGR - MIRVAC GROUP

For more info SHARE ANALYSIS: MZZ - MATADOR MINING LIMITED

For more info SHARE ANALYSIS: NST - NORTHERN STAR RESOURCES LIMITED

For more info SHARE ANALYSIS: OPY - OPENPAY GROUP LIMITED

For more info SHARE ANALYSIS: RDY - READYTECH HOLDINGS LIMITED

For more info SHARE ANALYSIS: REA - REA GROUP LIMITED

For more info SHARE ANALYSIS: RMS - RAMELIUS RESOURCES LIMITED

For more info SHARE ANALYSIS: RRL - REGIS RESOURCES LIMITED

For more info SHARE ANALYSIS: SFR - SANDFIRE RESOURCES LIMITED

For more info SHARE ANALYSIS: SKF - SKYFII LIMITED

For more info SHARE ANALYSIS: WBC - WESTPAC BANKING CORPORATION

For more info SHARE ANALYSIS: WOW - WOOLWORTHS GROUP LIMITED