Australian Broker Call *Extra* Edition – Oct 14, 2022

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   3PL   APE   APX   AQZ   ARB   ASG   AUT   BUB   CAR   DUB   DYL   EM2   FDV   GUD   IPH   LKE   MVF   NAN   PFP   PNV   PTM   SEK   TNE (2)   TYR  

360    LIFE360 INC

Software & Services – Overnight Price: $5.44

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

While Life360's new monthly pricing was initially described as a trial, it now appears to be a permanent change, and Bell Potter has update forecasts accordingly.

Currently, new pricing is only applied to new customers but the broker sees potential for the company to issue price increases for existing customers.

The broker also reduces its hardware forecast, anticipating Tile products to be used as promotional giveaways when the integrated app is launched later in October. 

The Buy rating and target price of $8.25 are retained.

This report was published on October 13, 2022.

Target price is $8.25 Current Price is $5.44 Difference: $2.81
If 360 meets the Bell Potter target it will return approximately 52% (excluding dividends, fees and charges).
The company's fiscal year ends in December.

Forecast for FY22:

Bell Potter forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 36.35 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 14.96.

Forecast for FY23:

Bell Potter forecasts a full year FY23 dividend of 0.00 cents and EPS of minus 16.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 33.57.

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

3PL    3P LEARNING LIMITED

Education & Tuition – Overnight Price: $1.36

CCZ Equities rates ((3PL)) as No Rating (-1) –

As part of its strategy to extend overall wallet share, 3P Learning has acquired founder-led education assessment platform provider Brightpath Assessment for -$10m cash. 

Brightpath operates in over 800 schools and conducted over 500k assessments in 2021.

CCZ Equities feels the monitoring and measurement aspect of the platform will make teachers lives easier and ultimately drive product adoption and retention. It's felt the new product should lift the company's B2B average revenue per user (ARPU) in the medium term.

The broker provides no rating nor 12-month target price.

This report was published on October 7, 2022.

Current Price is $1.36. Target price not assessed.
The company's fiscal year ends in June.

Forecast for FY23:

CCZ Equities forecasts a full year FY23 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 123.64.

Forecast for FY24:

CCZ Equities forecasts a full year FY24 dividend of 0.00 cents and EPS of 2.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 56.67.

Market Sentiment: 0.0
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: $11.35

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

While two consecutive months of strong growth in Australian new vehicle sales is encouraging, Wilsons points out 12-month figures are still trailing recent peaks. Also, recent feedback from OEMs suggested new vehicle supply remains constrained.

In addition, channel checks indicate isolated evidence of softening in average selling prices for used vehicles, according to the broker.

The analyst notes the ongoing underperformance from the top 10 OEMs is a negative for Eagers Automotive, given it overtrades with
many of these brands.

Other negatives include strong growth in Tesla sales and the company's network skew to QLD, WA, SA and the NT, explains the broker.

The $13.30 target and the Market-weight rating are unchanged as Wilsons feels demand destruction would have to be very significant to upset the current new orders/constrained supply equilibrium.

This report was published on October 7, 2022.

Target price is $13.30 Current Price is $11.35 Difference: $1.95
If APE meets the Wilsons target it will return approximately 17% (excluding dividends, fees and charges).
Current consensus price target is $14.30, suggesting upside of 0.0%(ex-dividends)

Forecast for FY22:

Current consensus EPS estimate is 106.0, implying annual growth of -15.4%.
Current consensus DPS estimate is 64.6, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY23:

Current consensus EPS estimate is 102.4, implying annual growth of -3.4%.
Current consensus DPS estimate is 61.6, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

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: $2.78

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

Wilsons downgrades its rating for Appen to Underweight from Market Weight and lowers its target to $2.41 from $4.03 following updated guidance and commentary by management (let's call it a 'profit warning').

As the company's key technology clients in the US are facing a difficult operating environment, the broker lowers its underlying earnings (EBITDA) forecasts for FY22-FY24 by -34% to -51%.

The analyst sees less predictability for project work, while the company has seen “no improvement in August and September”, following a weak July.

This report was published on October 7, 2022.

Target price is $2.41 Current Price is $2.78 Difference: minus $0.37 (current price is over target).
If APX meets the Wilsons target it will return approximately minus 13% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $3.28, suggesting upside of 0.0%(ex-dividends)
The company's fiscal year ends in December.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 14.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 19.44.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -0.8, implying annual growth of N/A.
Current consensus DPS estimate is 0.5, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY23:

Wilsons forecasts a full year FY23 dividend of 0.00 cents and EPS of minus 14.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 19.17.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 2.3, implying annual growth of N/A.
Current consensus DPS estimate is 0.5, 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

AQZ    ALLIANCE AVIATION SERVICES LIMITED

Transportation & Logistics – Overnight Price: $3.26

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

Wilsons has been disappointed by further delays to Alliance Aviation Services's E190 deployment schedule, with the company now anticipating aircrafts will not be fully crewed and in service until the fourth quarter.

While delays present downside risk to full year earnings, the broker highlights impacts are temporary. Wilsons remains attracted to the earnings upside from full fleet deployment and further growth opportunity. 

The Market Weight rating and target price of $3.43 are retained.

This report was published on October 12, 2022.

Target price is $3.43 Current Price is $3.26 Difference: $0.17
If AQZ meets the Wilsons target it will return approximately 5% (excluding dividends, fees and charges).
Current consensus price target is $4.58, suggesting upside of 0.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Wilsons forecasts a full year FY23 dividend of 17.60 cents and EPS of 27.00 cents.
At the last closing share price the estimated dividend yield is 5.40%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.07.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 27.8, implying annual growth of N/A.
Current consensus DPS estimate is 5.9, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY24:

Wilsons forecasts a full year FY24 dividend of 22.20 cents and EPS of 34.20 cents.
At the last closing share price the estimated dividend yield is 6.81%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.53.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 33.1, implying annual growth of 19.1%.
Current consensus DPS estimate is 14.6, 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

ARB    ARB CORPORATION LIMITED

Automobiles & Components – Overnight Price: $26.78

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

While two consecutive months of strong growth in Australian new vehicle sales is encouraging, Wilsons points out 12-month figures are still trailing recent peaks. Also, recent feedback from OEMs suggested new vehicle supply remains constrained.

In addition, channel checks indicate isolated evidence of softening in average selling prices for used vehicles, according to the broker.

In the US, Wilsons points out new vehicle sales for September in the combined large and mid-size truck segments increased 2.6% on the previous corresponding period. Ongoing growth in the mid-size truck market is considered encouraging for ARB Corp.

The Overweight rating and $38.96 target are unchanged.

This report was published on October 7, 2022.

Target price is $38.96 Current Price is $26.78 Difference: $12.18
If ARB meets the Wilsons target it will return approximately 45% (excluding dividends, fees and charges).
Current consensus price target is $37.31, suggesting upside of 0.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Wilsons forecasts a full year FY23 dividend of 73.00 cents and EPS of 139.10 cents.
At the last closing share price the estimated dividend yield is 2.73%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.25.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 141.7, implying annual growth of -5.2%.
Current consensus DPS estimate is 73.5, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY24:

Wilsons forecasts a full year FY24 dividend of 77.00 cents and EPS of 153.10 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 17.49.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 157.2, implying annual growth of 10.9%.
Current consensus DPS estimate is 83.2, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Market Sentiment: 0.8
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: $1.99

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

While two consecutive months of strong growth in Australian new vehicle sales is encouraging, Wilsons points out 12-month figures are still trailing recent peaks. Also, recent feedback from OEMs suggested new vehicle supply remains constrained.

In addition, channel checks indicate isolated evidence of softening in average selling prices for used vehicles, notes the analyst. Strong growth in Tesla sales is also considered a minor negative for Autosports Group.

The $3.17 target and the Overweight rating are unchanged as Wilsons feels demand destruction would have to be very significant to upset the current new orders/constrained supply equilibrium.

This report was published on October 7, 2022.

Target price is $3.17 Current Price is $1.99 Difference: $1.18
If ASG meets the Wilsons target it will return approximately 59% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY23:

Wilsons forecasts a full year FY23 dividend of 21.00 cents and EPS of 35.40 cents.
At the last closing share price the estimated dividend yield is 10.55%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 5.62.

Forecast for FY24:

Wilsons forecasts a full year FY24 dividend of 16.00 cents and EPS of 27.70 cents.
At the last closing share price the estimated dividend yield is 8.04%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.18.

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

AUT    AUTECO MINERALS LIMITED

Gold & Silver – Overnight Price: $0.04

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

Shaw and Partners has described some of the grades reported from Auteco Minerals's Tarp Lake Shear zone as exceptional following the release of the company's summer field activity results at Pickle Crow. 

The broker highlights Metcalf prospect sampling has returned assays as high as 569 grams of gold per tonne, with the prospect set to be drilled in the upcoming winter drilling program.

Pickle Crow is already a 2.23m ounce resource, but Shaw and Partners expects a resource increase is highly likely. The Buy rating and target price of $0.21 are retained. 

This report was published on October 12, 2022.

Target price is $0.21 Current Price is $0.04 Difference: $0.17
If AUT meets the Shaw and Partners target it will return approximately 425% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY23:

Shaw and Partners forecasts a full year FY23 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 40.00.

Forecast for FY24:

Shaw and Partners forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 0.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 10.00.

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

BUB    BUBS AUSTRALIA LIMITED

Dairy – Overnight Price: $0.48

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

On the back of a strong July, Bubs Australia has reported a -12% year-on-year decline in exports to China in August, and a -46% decline in exports to Hong Kong, in line with an industry wide decline.

Bell Potter expects a rapid sales mix shift toward China direct to benefit Bubs Australia, creating a void in infant milk formula product to daigou buyers that the company is well positioned to fill given domestic channel partners.

The Buy rating is retained and the target price decreases to $0.75 from $0.80.

This report was published on October 11, 2022.

Target price is $0.75 Current Price is $0.48 Difference: $0.27
If BUB meets the Bell Potter target it will return approximately 56% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY23:

Bell Potter forecasts a full year FY23 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 53.33.

Forecast for FY24:

Bell Potter forecasts a full year FY24 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 34.29.

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

CAR    CARSALES.COM LIMITED

Automobiles & Components – Overnight Price: $18.58

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

Carsales has acquired the remaining 51% stake of Trader Interactive. Given Trader Interactive's strength in the recreational vehicle and cycle segments, Goldman Sachs anticipates an investment increase for its weaker verticals, trucks, machinery and personal watercrafts.

The product anticipates revenue and earnings compound annual growth rates of 11% and 12% through to FY25. Of its classifieds coverage, Goldman Sachs finds Carsales the best placed to navigate near-term uncertainty. 

Having been previously unrated on Carsales, the broker reinstates a Neutral rating and a target price of $21.00.

This report was published on October 11, 2022.

Target price is $21.00 Current Price is $18.58 Difference: $2.42
If CAR meets the Goldman Sachs target it will return approximately 13% (excluding dividends, fees and charges).
Current consensus price target is $23.83, suggesting upside of 0.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 60.00 cents and EPS of 80.00 cents.
At the last closing share price the estimated dividend yield is 3.23%.
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 75.8, implying annual growth of 33.1%.
Current consensus DPS estimate is 56.7, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 70.00 cents and EPS of 87.00 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 21.36.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 85.9, implying annual growth of 13.3%.
Current consensus DPS estimate is 65.0, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

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

DUB    DUBBER CORPORATION LIMITED

Cloud services – Overnight Price: $0.38

Shaw and Partners rates ((DUB)) as Downgrade to Hold from Buy (3) –

Dubber Corp has release its audited full year results, revealing changes to revenue recognition and a more than -$8m write off for an aged debtor. Service revenues reduced -$10m on the previous amount, but remained up 25% year-on-year.

Shaw and Partners has reduced its valuation on the stock following the outcome, noting further confidence in cash flows and variability would improve the outlook. 

The rating is downgraded to Hold from Buy and the target price decreases to $0.61 from $1.40.

This report was published on October 10, 2022.

Target price is $0.61 Current Price is $0.38 Difference: $0.23
If DUB meets the Shaw and Partners target it will return approximately 61% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY23:

Shaw and Partners forecasts a full year FY23 dividend of 0.00 cents and EPS of minus 14.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 2.60.

Forecast for FY24:

Shaw and Partners forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 9.70 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 3.92.

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

DYL    DEEP YELLOW LIMITED

Uranium – Overnight Price: $0.79

Bell Potter rates ((DYL)) as Initiation of coverage with Buy (1) –

Initiating coverage on Deep Yellow following the company's successful merger with uranium developer Vimy Resources, Bell Potter notes the group holds two advanced sites in the Tumas Uranium Project with over 390m pounds in mineral resources and a pathway to annual production exceeding 6m pounds. 

With uranium key to longer-term decarbonisation, the broker sees the industry as continuing to recover from cyclical lows, with supply constraint supporting spot pricing. 

The broker initiates with a Buy rating and a target price of $1.05.

This report was published on October 12, 2022.

Target price is $1.05 Current Price is $0.79 Difference: $0.26
If DYL meets the Bell Potter target it will return approximately 33% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY23:

Bell Potter forecasts a full year FY23 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 98.75.

Forecast for FY24:

Bell Potter forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 1.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 41.58.

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

EM2    EAGLE MOUNTAIN MINING LIMITED

Mining – Overnight Price: $0.20

Shaw and Partners rates ((EM2)) as Buy (1) –

Recent drilling at Eagle Mountain's Oracle Ridge copper project in Arizona has increased the indicated and measured resource by 12%, and provides management with sufficient confidence to proceed with a prefeasibility study.

There is significant infrastructure already in place at Oracle Ridge, points out Shaw and Partners. This includes 18km of underground development, access roads and a tailings facility, which is currently closed.

The broker maintains its Buy rating and $0.47 target price.

This report was published on October 7, 2022.

Target price is $0.47 Current Price is $0.20 Difference: $0.27
If EM2 meets the Shaw and Partners target it will return approximately 135% (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 11.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 1.69.

Forecast for FY23:

Shaw and Partners forecasts a full year FY23 dividend of 0.00 cents and EPS of minus 5.70 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 3.51.

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

FDV    FRONTIER DIGITAL VENTURES LIMITED

Online media & mobile platforms – Overnight Price: $0.67

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

Aiming to generate revenues of US$100m annually from its FDV LATAM segment over the medium term, Frontier Digital Ventures has detailed a strategy update and value creation plan.

Bell Potter outlines FDV LATAM operating as the region's parent company, consolidating key operational and corporate functions of LATAM operating companies, and sharing InfoCasas' intellectual property across companies at earlier stages of development as key takeaways.

Frontier Digital Ventures also looks to swap earn-out cash consideration with equity in FDV LATAM, which could equate to a cash reduction of -$11.0m against its $39.0m liability. 

The rating and target price of $1.23 are retained.

This report was published on October 10, 2022.

Target price is $1.23 Current Price is $0.67 Difference: $0.56
If FDV meets the Bell Potter target it will return approximately 84% (excluding dividends, fees and charges).
The company's fiscal year ends in December.

Forecast for FY22:

Bell Potter 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 17.18.

Forecast for FY23:

Bell Potter forecasts a full year FY23 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 60.91.

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

GUD    G.U.D. HOLDINGS LIMITED

Automobiles & Components – Overnight Price: $7.52

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

While two consecutive months of strong growth in Australian new vehicle sales is encouraging, Wilsons points out 12-month figures are still trailing recent peaks. Also, recent feedback from OEMs suggested new vehicle supply remains constrained.

In addition, channel checks indicate isolated evidence of softening in average selling prices for used vehicles, according to the broker.

A better performance in the Australian core 4WD segments from Ford is positive for G.U.D. Holdings, given the Auto Pacific Group business overtrades with Ford in the functional accessories category.

The Overweight rating and $10.31 target are unchanged.

This report was published on October 7, 2022.

Target price is $10.31 Current Price is $7.52 Difference: $2.79
If GUD meets the Wilsons target it will return approximately 37% (excluding dividends, fees and charges).
Current consensus price target is $11.52, suggesting upside of 52.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Wilsons forecasts a full year FY23 dividend of 51.00 cents and EPS of 85.90 cents.
At the last closing share price the estimated dividend yield is 6.78%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.75.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 83.5, implying annual growth of 264.8%.
Current consensus DPS estimate is 49.2, implying a prospective dividend yield of 6.5%.
Current consensus EPS estimate suggests the PER is 9.1.

Forecast for FY24:

Wilsons forecasts a full year FY24 dividend of 55.00 cents and EPS of 91.80 cents.
At the last closing share price the estimated dividend yield is 7.31%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.19.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 94.3, implying annual growth of 12.9%.
Current consensus DPS estimate is 58.0, implying a prospective dividend yield of 7.7%.
Current consensus EPS estimate suggests the PER is 8.0.

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

IPH    IPH LIMITED

Legal – Overnight Price: $9.73

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

IPH has completed its acquisition of Canadian company Smart and Biggar for an upfront payment of CAD282m, with a further potential CAD66m earn out. The acquisition boosts Goldman Sachs' earnings per share forecasts 8.1%, 14.3% and 13.0% through to FY25.

The broker expects IPH could leverage Smart and Biggar to make further acquisitions in the region, replicating the consolidation strategy it has undertaken in Australia. Stable earnings in Australia and growth potential in Asia continue to underpin the outlook.

The Neutral rating is retained and the target price increases to $10.90 from $9.60.

This report was published on October 10, 2022.

Target price is $10.90 Current Price is $9.73 Difference: $1.17
If IPH meets the Goldman Sachs target it will return approximately 12% (excluding dividends, fees and charges).
Current consensus price target is $11.19, suggesting upside of 0.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 33.00 cents and EPS of 45.00 cents.
At the last closing share price the estimated dividend yield is 3.39%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.62.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 43.8, implying annual growth of 81.8%.
Current consensus DPS estimate is 33.3, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 35.00 cents and EPS of 48.00 cents.
At the last closing share price the estimated dividend yield is 3.60%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.27.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 45.4, implying annual growth of 3.7%.
Current consensus DPS estimate is 34.2, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

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

LKE    LAKE RESOURCES N.L.

New Battery Elements – Overnight Price: $0.98

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

Lake Resources has confirmed two ten-year conditional offtake agreements with WMC Energy and SK On for a combined 50,000 tonnes lithium carbonate per annum.

Bell Potter notes both companies are expected to make a 10% equity investment in Lake Resources.

Agreements are conditional on the release of Kachi's definitive feasibility study and demonstration of successful operations at the Lilac plant.

The Buy rating is retained and the target price decreases to $2.52 from 2.54.

This report was published on October 13, 2022.

Target price is $2.52 Current Price is $0.98 Difference: $1.54
If LKE meets the Bell Potter target it will return approximately 157% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY23:

Bell Potter forecasts a full year FY23 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 108.89.

Forecast for FY24:

Bell Potter forecasts a full year FY24 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 980.00.

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

MVF    MONASH IVF GROUP LIMITED

Healthcare services – Overnight Price: $0.92

Bell Potter rates ((MVF)) as Initiation of coverage with Buy (1) –

Bell Potter initiates coverage on assisted reproductive technology services company, Monash IVF. With a current domestic market size of $654m, Monash IVF should benefit from ongoing market growth and expansion into South East Asia. 

The broker anticipates a strong, short-term growth spurt for the sector in coming years, partly underpinned by a new rebate being implemented by Medicare for genetic carrier screening tests. 

The broker initiates with a Buy rating and a target price of $1.43.

This report was published on October 11, 2022.

Target price is $1.43 Current Price is $0.92 Difference: $0.51
If MVF meets the Bell Potter target it will return approximately 55% (excluding dividends, fees and charges).
Current consensus price target is $1.23, suggesting upside of 33.7%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Bell Potter forecasts a full year FY23 dividend of 2.79 cents and EPS of 6.80 cents.
At the last closing share price the estimated dividend yield is 3.03%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.53.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 6.0, implying annual growth of 27.1%.
Current consensus DPS estimate is 4.3, implying a prospective dividend yield of 4.7%.
Current consensus EPS estimate suggests the PER is 15.3.

Forecast for FY24:

Bell Potter forecasts a full year FY24 dividend of 3.13 cents and EPS of 7.70 cents.
At the last closing share price the estimated dividend yield is 3.40%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.95.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 7.0, implying annual growth of 16.7%.
Current consensus DPS estimate is 4.8, implying a prospective dividend yield of 5.2%.
Current consensus EPS estimate suggests the PER is 13.1.

Market Sentiment: 1.0
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: $3.42

Bell Potter rates ((NAN)) as Upgrade to Hold from Sell (3) –

Nanosonics continued to underperform in recent months, with earnings growth not enough to appease investor concerns according to Bell Potter.

The broker finds highly priced healthcare growth stocks to be out of favour with the market given ongoing macro conditions and labour constraints in the US hospital system. 

The company's CORIS project is nearing key milestones, with first products to be introduced in late 2023.

The rating is upgraded to Hold from Sell and the target price decreases to $3.85 from $4.05.

This report was published on October 13, 2022.

Target price is $3.85 Current Price is $3.42 Difference: $0.43
If NAN meets the Bell Potter target it will return approximately 13% (excluding dividends, fees and charges).
Current consensus price target is $4.11, suggesting upside of 14.4%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Bell Potter forecasts a full year FY23 dividend of 0.00 cents and EPS of 4.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 76.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 1.3, implying annual growth of 4.8%.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 276.2.

Forecast for FY24:

Bell Potter forecasts a full year FY24 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 71.25.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 3.8, implying annual growth of 192.3%.
Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is 94.5.

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

PFP    PROPEL FUNERAL PARTNERS LIMITED

Consumer Products & Services – Overnight Price: $4.72

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

Propel Funeral Partners has indicated a continuation of positive momentum in the first quarter. Funerals conducted were up 23%, supported by the completion of multiple acquisitions, and Bell Potter expects an acquisition strategy to support ongoing growth.

Average revenue per funeral also increased 9% in the quarter, which Bell Potter expects was driven by a 5% increase in pricing. This beat to estimates drove a 3.8% increase to the broker's FY23 earnings forecast.

The Buy rating is retained and the target price increases to $5.70 from $5.60.

This report was published on October 13, 2022.

Target price is $5.70 Current Price is $4.72 Difference: $0.98
If PFP meets the Bell Potter target it will return approximately 21% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY23:

Bell Potter forecasts a full year FY23 dividend of 13.10 cents and EPS of 16.40 cents.
At the last closing share price the estimated dividend yield is 2.78%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 28.78.

Forecast for FY24:

Bell Potter forecasts a full year FY24 dividend of 14.20 cents and EPS of 17.70 cents.
At the last closing share price the estimated dividend yield is 3.01%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 26.67.

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: $1.72

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

A 1Q trading update for PolyNovo's NovoSorb BTM business revealed a 16% beat compared to Wilsons forecast for sales. Sales in the US were also a 12% beat, driven partly by a recovery in patient volumes presenting with larger burns.

However, given the small population who present with larger total body surface area (TBSA) burns, volatility remains from one period to the next, explains the analyst.

The Underweight rating and $1.11 target are unchanged.

This report was published on October 7, 2022.

Target price is $1.11 Current Price is $1.72 Difference: minus $0.61 (current price is over target).
If PNV meets the Wilsons target it will return approximately minus 35% (excluding dividends, fees and charges – negative figures indicate an expected loss).
The company's fiscal year ends in June.

Forecast for FY23:

Wilsons forecasts a full year FY23 dividend of 0.00 cents and EPS of 1.20 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 143.33.

Forecast for FY24:

Wilsons forecasts a full year FY24 dividend of 0.00 cents and EPS of 2.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 71.67.

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: $1.69

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

Platinum Asset Management reported a -2.3% decline in funds under management in September, equating to -$416m. Outflows totaled -$172m for the month, and Bell Potter highlights while outflows are an improvement year-on-year funds continue to track downwards.

The broker is yet to see signs of this downward trend improving. Lower funds under management saw the broker update earnings per share forecasts -3.6%, -5.1% and -5.9% through to 2025.

The Hold rating is retained and the target price decreases to $1.64 from $1.70.

This report was published on October 13, 2022.

Target price is $1.64 Current Price is $1.69 Difference: minus $0.05 (current price is over target).
If PTM meets the Bell Potter target it will return approximately minus 3% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $1.73, suggesting downside of -0.3%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Bell Potter forecasts a full year FY23 dividend of 14.00 cents and EPS of 13.40 cents.
At the last closing share price the estimated dividend yield is 8.28%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.61.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 14.8, implying annual growth of -15.6%.
Current consensus DPS estimate is 14.3, implying a prospective dividend yield of 8.3%.
Current consensus EPS estimate suggests the PER is 11.7.

Forecast for FY24:

Bell Potter forecasts a full year FY24 dividend of 13.00 cents and EPS of 11.50 cents.
At the last closing share price the estimated dividend yield is 7.69%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.70.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 14.0, implying annual growth of -5.4%.
Current consensus DPS estimate is 12.0, implying a prospective dividend yield of 6.9%.
Current consensus EPS estimate suggests the PER is 12.4.

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

SEK    SEEK LIMITED

Jobs & Skilled Labour Services – Overnight Price: $19.80

Goldman Sachs rates ((SEK)) as Sell (5) –

Seek's September Employment Index has declined -5.2% month-on-month, bringing total decline to -8.0% since June. 

Goldman Sachs continues to see Seek as the most cyclical classified within its coverage, expecting a volume downturn to drive lower depth adoption, partially offset by pricing power improvement. 

The broker retains its below guidance earnings forecast of $549m. The Sell rating is retained and the target price decreases to $20.70 from $26.60.

This report was published on October 10, 2022.

Target price is $20.70 Current Price is $19.80 Difference: $0.9
If SEK meets the Goldman Sachs target it will return approximately 5% (excluding dividends, fees and charges).
Current consensus price target is $29.88, suggesting upside of 0.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 39.00 cents and EPS of 70.00 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 28.29.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 69.1, implying annual growth of 44.9%.
Current consensus DPS estimate is 38.4, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 45.00 cents and EPS of 73.00 cents.
At the last closing share price the estimated dividend yield is 2.27%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 27.12.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 78.7, implying annual growth of 13.9%.
Current consensus DPS estimate is 46.0, implying a prospective dividend yield of N/A.
Current consensus EPS estimate suggests the PER is N/A.

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

TNE    TECHNOLOGY ONE LIMITED

IT & Support – Overnight Price: $11.10

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

Shaw and Partners's key takeaway from TechnologyOne's showcase event was management's confidence in the company's position.

The company also highlighted the functional maturity of its Ci Anywhere product, noting full migration will simplify product stack, and considers SaaS Plus to have potential to accelerate growth beyond the current $500m annual recurring revenue target. 

The Buy rating and target price of $12.10 are retained.

This report was published on October 10, 2022.

Target price is $12.10 Current Price is $11.10 Difference: $1
If TNE meets the Shaw and Partners target it will return approximately 9% (excluding dividends, fees and charges).
The company's fiscal year ends in September.

Forecast for FY22:

Shaw and Partners forecasts a full year FY22 dividend of 14.90 cents and EPS of 26.70 cents.
At the last closing share price the estimated dividend yield is 1.34%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 41.57.

Forecast for FY23:

Shaw and Partners forecasts a full year FY23 dividend of 15.90 cents and EPS of 29.30 cents.
At the last closing share price the estimated dividend yield is 1.43%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 37.88.

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

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

Wilsons highlights key messages distilled from a technology showcase conference hosted by TechnologyOne.

As previously understood by the analyst, on-premise customers are being migrated to becoming SaaS customers.

The broker feels management is comfortable with the transition to-date and also sees potential for three offerings: App-Builder, DXP (Digital Customer Experience) and ‘Solution-as-a-Service’ offerings.

The Market Weight rating and $11.08 target are retained.

This report was published on October 7, 2022.

Target price is $11.08 Current Price is $11.10 Difference: minus $0.02 (current price is over target).
If TNE meets the Wilsons target it will return approximately minus 0% (excluding dividends, fees and charges – negative figures indicate an expected loss).
The company's fiscal year ends in September.

Forecast for FY22:

Wilsons forecasts a full year FY22 dividend of 15.20 cents and EPS of 26.40 cents.
At the last closing share price the estimated dividend yield is 1.37%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 42.05.

Forecast for FY23:

Wilsons forecasts a full year FY23 dividend of 16.50 cents and EPS of 32.70 cents.
At the last closing share price the estimated dividend yield is 1.49%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 33.94.

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

TYR    TYRO PAYMENTS LIMITED

Business & Consumer Credit – Overnight Price: $1.44

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

While the market has speculated about the possibility of a rival bid for Tyro Payments following its rejection of a bid from Potentia at the beginning of September, Wilsons expects new entrant bids are unlikely. 

The broker has lifted its earnings forecasts to reflect cost saving measures targeting a $5m earnings benefit in FY23 and annualised earnings benefits of $11m, underpinned by a reduction in full time employees and onshore contractors. 

The Market Weight rating is retained and the target price increases to $1.38 from $1.08.

This report was published on October 11, 2022.

Target price is $1.38 Current Price is $1.44 Difference: minus $0.06 (current price is over target).
If TYR meets the Wilsons target it will return approximately minus 4% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $1.68, suggesting upside of 0.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Wilsons forecasts a full year FY23 dividend of 0.00 cents and EPS of 0.30 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 480.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -1.1, 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 FY24:

Wilsons forecasts a full year FY24 dividend of 0.00 cents and EPS of 2.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 57.60.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -0.1, 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.

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

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