Australian Broker Call *Extra* Edition – Mar 30, 2022

Daily Market Reports | Mar 30 2022

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)

AIS   APE   CGC   COD   DGO   DMP   FFX   GNP   GOR   HTG   JAN   JBH   JHG   MCR   MSB   NEA   NWE   OSL   PEB   PEN   RMD   SGR  

AIS    AERIS RESOURCES LIMITED

Copper - Overnight Price: $0.14

Bell Potter rates ((AIS)) as Buy (1) -

Drilling and exploration at Aeris Resources' Tritton Copper Avoca Tank mine have found intersections 75m below established resource, suggesting to Bell Potter that Tritton Copper peak annual production could be upwards of 30,000 tonnes.

In the broker's opinion the market is overlooking the mine life longevity Tritton offers, believing market prices suggest a 4-5 year mine life. Bell Potter considers a 7 year mine life conservative, and expects likely exploration success will sustain a more than 11 year mine life.

The Buy rating is retained and the target price decreases to $0.21 from $0.22.

This report was published on March 28, 2022.

Target price is $0.21 Current Price is $0.14 Difference: $0.07
If AIS meets the Bell Potter target it will return approximately 50% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY22:

Bell Potter forecasts a full year FY22 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 4.67.

Forecast for FY23:

Bell Potter forecasts a full year FY23 dividend of 0.00 cents and EPS of 4.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 3.18.

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: $14.09

Bell Potter rates ((APE)) as Buy (1) -

Bell Potter makes no changes to forecasts for Eagers Automotive following its sale of the Bill Buckle Auto Group, preferring to wait for a potential acquisition in the near-term that may provide an offset.

The broker updates each valuation used to determine its target price for market movements and the passage of time. As a result the target falls by -3% to $16.75. The Buy rating is maintained.

This report was published on March 25, 2022.

Target price is $16.75 Current Price is $14.09 Difference: $2.66
If APE meets the Bell Potter target it will return approximately 19% (excluding dividends, fees and charges).
Current consensus price target is $17.86, suggesting upside of 25.2%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY22:

Bell Potter forecasts a full year FY22 dividend of 47.50 cents and EPS of 102.70 cents.
At the last closing share price the estimated dividend yield is 3.37%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.72.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 106.0, implying annual growth of -15.4%.
Current consensus DPS estimate is 65.3, implying a prospective dividend yield of 4.6%.
Current consensus EPS estimate suggests the PER is 13.5.

Forecast for FY23:

Bell Potter forecasts a full year FY23 dividend of 47.50 cents and EPS of 87.90 cents.
At the last closing share price the estimated dividend yield is 3.37%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.03.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 96.5, implying annual growth of -9.0%.
Current consensus DPS estimate is 61.0, implying a prospective dividend yield of 4.3%.
Current consensus EPS estimate suggests the PER is 14.8.

Market Sentiment: 1.0
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: $3.21

Wilsons rates ((CGC)) as Overweight (1) -

Wilsons visited Costa Group's 40ha tomato glasshouse production asset near Guyra, NSW, which has a recently-added 10ha glasshouse and 2.5ha nursery.

The broker feels new varieties of premium snacking tomatoes, combined with different packaging options will allow the group to explore and unlock new opportunities.

The analyst points out expansion of the asset base has resulted in significant sales volume growth through 2022. The Overweight rating and $3.66 target are retained.

This report was published on March 30, 2022.

Target price is $3.66 Current Price is $3.21 Difference: $0.45
If CGC meets the Wilsons target it will return approximately 14% (excluding dividends, fees and charges).
Current consensus price target is $3.64, suggesting upside of 12.3%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 12.10 cents and EPS of 17.20 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 18.66.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 15.4, implying annual growth of 62.6%.
Current consensus DPS estimate is 10.1, implying a prospective dividend yield of 3.1%.
Current consensus EPS estimate suggests the PER is 21.0.

Forecast for FY23:

Wilsons forecasts a full year FY23 dividend of 12.90 cents and EPS of 18.40 cents.
At the last closing share price the estimated dividend yield is 4.02%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.45.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 19.5, implying annual growth of 26.6%.
Current consensus DPS estimate is 12.2, implying a prospective dividend yield of 3.8%.
Current consensus EPS estimate suggests the PER is 16.6.

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

COD    CODA MINERALS LIMITED

Mining - Overnight Price: $0.65

Shaw and Partners rates ((COD)) as Buy (1) -

Coda Minerals has re-evaluated the Emmie IOCG system at the Elizabeth Creek Copper-Cobalt Project and announced an intersection with a new copper-rich bornite dominated zone.

This suggests to Shaw and Partners there may be a significant accumulation of copper and other valuable metals, which may be at least comparable in scale to the adjacent Emmie Bluff copper-cobalt deposit.

The broker retains a Buy rating and $2.50 target price.

This report was published on March 28, 2022.

Target price is $2.50 Current Price is $0.65 Difference: $1.85
If COD meets the Shaw and Partners target it will return approximately 285% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 3.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 16.67.

Forecast for FY23:

Shaw and Partners forecasts a full year FY23 dividend of 0.00 cents and EPS of minus 3.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 16.67.

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


The full story is for FNArena subscribers only. To read the full story plus enjoy a free two-week trial to our service SIGN UP HERE

If you already had your free trial, why not join as a paying subscriber? CLICK HERE

MEMBER LOGIN