Australian Broker Call *Extra* Edition – Feb 24, 2023

This story features ABACUS PROPERTY GROUP, and other companies. For more info SHARE ANALYSIS: ABP

An additional news report on the recommendation, valuation, forecast and opinion changes and updates 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)

ABP   CBA (2)   CDA   COH (3)   CQR   CTD (2)   FBU   FMG (2)   GNC   GOZ   IRI   NWH   PME   THL   WHC  

ABP    ABACUS PROPERTY GROUP

REITs – Overnight Price: $2.82

Moelis rates ((ABP)) as Buy (1) –

Moelis points to a slight miss on the 1H23 results for Abacus Property and highlights the strategic plan to de-consolidate the King Storage business into an "externally managed REIT", which will be known as Storage King REIT.

Operationally there is evidence of a softening in demand for storage as the rising interest rate environment weighs on discretionary spend, while the commercial division was viewed as "solid" and asset valuations were lowered by -$77m.

Earnings forecasts are reduced by -4.1% and -4% for FY23 and FY24. A Buy rating is retained the target adjusted to $3.31 from $3.21.

This report was published on February 23, 2023.

Target price is $3.31 Current Price is $2.82 Difference: $0.49
If ABP meets the Moelis target it will return approximately 17% (excluding dividends, fees and charges).
Current consensus price target is $3.19, suggesting upside of 12.9%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Moelis forecasts a full year FY23 dividend of 18.40 cents and EPS of 18.50 cents.
At the last closing share price the estimated dividend yield is 6.52%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.24.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 18.7, implying annual growth of -69.4%.
Current consensus DPS estimate is 18.6, implying a prospective dividend yield of 6.6%.
Current consensus EPS estimate suggests the PER is 15.1.

Forecast for FY24:

Moelis forecasts a full year FY24 dividend of 18.50 cents and EPS of 18.80 cents.
At the last closing share price the estimated dividend yield is 6.56%.
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 18.1, implying annual growth of -3.2%.
Current consensus DPS estimate is 17.7, implying a prospective dividend yield of 6.3%.
Current consensus EPS estimate suggests the PER is 15.6.

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

CBA    COMMONWEALTH BANK OF AUSTRALIA

Banks – Overnight Price: $99.90

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

Goldman Sachs remains lukewarm on CommBank highlighting a slight 1H23 earnings beat and a lower than expected dividend per share.

The analyst notes the company has pulled forward from FY24 estimates, an expected peaking of net interest margins and a vulnerability of the group to mortgage competition with the higher exposure to the Australian consumer.

Goldman Sachs adjusts earnings forecasts by 0.3% for FY23 and -2.8% for FY24.

The target is accordingly lowered to $90.39 from $92.56 and a Sell rating is retained, based on the high valuation.

This report was published on February 16, 2023.

Target price is $90.39 Current Price is $99.90 Difference: minus $9.51 (current price is over target).
If CBA meets the Goldman Sachs target it will return approximately minus 10% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $91.66, suggesting downside of -8.2%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 468.00 cents and EPS of 607.00 cents.
At the last closing share price the estimated dividend yield is 4.68%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.46.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 611.9, implying annual growth of -2.2%.
Current consensus DPS estimate is 429.5, implying a prospective dividend yield of 4.3%.
Current consensus EPS estimate suggests the PER is 16.3.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 484.00 cents and EPS of 621.00 cents.
At the last closing share price the estimated dividend yield is 4.84%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.09.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 607.6, implying annual growth of -0.7%.
Current consensus DPS estimate is 453.8, implying a prospective dividend yield of 4.5%.
Current consensus EPS estimate suggests the PER is 16.4.

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

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Jarden rates ((CBA)) as Underweight (4) –

CommBank issued a bellweather signal on the banking environment going forward in its 1H23 earnings report, in Jarden's opinion, flagging peaking net interest margins, rising costs and bad and doubtful debts.

Post the earnings update, Jarden lowers EPS forecasts by -2.4% and -4.4% for FY23 and FY24.

An Underweight rating is retained and the target lowered to $100 from $103.

This report was published on February 17, 2023.

Target price is $100.00 Current Price is $99.90 Difference: $0.1
If CBA meets the Jarden target it will return approximately 0% (excluding dividends, fees and charges).
Current consensus price target is $91.66, suggesting downside of -8.2%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 440.00 cents and EPS of 582.80 cents.
At the last closing share price the estimated dividend yield is 4.40%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.14.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 611.9, implying annual growth of -2.2%.
Current consensus DPS estimate is 429.5, implying a prospective dividend yield of 4.3%.
Current consensus EPS estimate suggests the PER is 16.3.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 445.00 cents and EPS of 577.50 cents.
At the last closing share price the estimated dividend yield is 4.45%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.30.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 607.6, implying annual growth of -0.7%.
Current consensus DPS estimate is 453.8, implying a prospective dividend yield of 4.5%.
Current consensus EPS estimate suggests the PER is 16.4.

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

CDA    CODAN LIMITED

Hardware & Equipment – Overnight Price: $5.48

Moelis rates ((CDA)) as Hold (3) –

Codan's interim results met Moelis' expectations and included the announcement to acquire GeoConnex (Computer Aided Dispatch and Mapping Solutions) for -$8.4m.

The addition is considered synergistic to the existing operations and results in a 2% increase in FY24 EPS forecasts, notes the broker.

A Buy rating is retained and the target raised to $5.89 from $5.43.

This report was published on February 17, 2023.

Target price is $5.89 Current Price is $5.48 Difference: $0.41
If CDA meets the Moelis target it will return approximately 7% (excluding dividends, fees and charges).
The company's fiscal year ends in June.

Forecast for FY23:

Moelis forecasts a full year FY23 dividend of 18.20 cents and EPS of 34.60 cents.
At the last closing share price the estimated dividend yield is 3.32%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.84.

Forecast for FY24:

Moelis forecasts a full year FY24 dividend of 20.70 cents and EPS of 39.40 cents.
At the last closing share price the estimated dividend yield is 3.78%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.91.

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

COH    COCHLEAR LIMITED

Medical Equipment & Devices – Overnight Price: $225.00

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

Goldman Sachs reports that Cochlear provided an 1H23 earnings beat and strength in the implant volumes across both emerging and developed markets.

FY23 earnings guidance was re-affirmed by management and the broker stresses that this represents only 2-3% compound growth over the last 4-years, implying a slower rate of recovery post covid than other stocks in the sector.

Buy rating and $247 target are unchanged.

This report was published on February 16, 2023.

Target price is $247.00 Current Price is $225.00 Difference: $22
If COH meets the Goldman Sachs target it will return approximately 10% (excluding dividends, fees and charges).
Current consensus price target is $219.27, suggesting downside of -2.5%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 EPS of 457.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 49.23.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 460.3, implying annual growth of 4.7%.
Current consensus DPS estimate is 328.7, implying a prospective dividend yield of 1.5%.
Current consensus EPS estimate suggests the PER is 48.9.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 EPS of 496.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 45.36.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 519.8, implying annual growth of 12.9%.
Current consensus DPS estimate is 367.0, implying a prospective dividend yield of 1.6%.
Current consensus EPS estimate suggests the PER is 43.3.

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

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Jarden rates ((COH)) as Downgrade to Neutral from Overweight (3) –

Jarden was impressed by the better than expected 1H23 results from Cochlear, with implants seeing a return to 14% growth, supported by a robust 20% improvement in emerging markets and 10% in developed markets.

The broker adjusts EPS forecasts with management maintaining FY23 guidance by 2.2% and 4% for FY23 and FY24, respectively.

Due to the strength in the share price the rating is downgraded to Neutral from Overweight and the target is adjusted for valuation changes to $224.71 from $232.01.

This report was published on February 17, 2023.

Target price is $224.71 Current Price is $225.00 Difference: minus $0.29 (current price is over target).
If COH meets the Jarden target it will return approximately minus 0% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $219.27, suggesting downside of -2.5%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Jarden forecasts a full year FY23 dividend of 308.00 cents and EPS of 482.30 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 46.65.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 460.3, implying annual growth of 4.7%.
Current consensus DPS estimate is 328.7, implying a prospective dividend yield of 1.5%.
Current consensus EPS estimate suggests the PER is 48.9.

Forecast for FY24:

Jarden forecasts a full year FY24 dividend of 381.70 cents and EPS of 552.20 cents.
At the last closing share price the estimated dividend yield is 1.70%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 40.75.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 519.8, implying annual growth of 12.9%.
Current consensus DPS estimate is 367.0, implying a prospective dividend yield of 1.6%.
Current consensus EPS estimate suggests the PER is 43.3.

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

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

Cochlear reported a 1H23 earnings beat with the bottom line 14% ahead of Wilsons' forecast.

The analyst was impressed by the strength in implants, rising 14% over the period and notably the double digit improvement in developed market unit sales, in advance of the "major processor launch".

Management retained FY23 guidance and started a near term $75m share buy-back.

After adjusting for a higher discount factor the target is lower to $215.25 from $245 and the rating is Market Weight.

This report was published on February 17, 2023.

Target price is $215.25 Current Price is $225.00 Difference: minus $9.75 (current price is over target).
If COH 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 $219.27, suggesting downside of -2.5%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Wilsons forecasts a full year FY23 dividend of 325.00 cents and EPS of 460.30 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 48.88.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 460.3, implying annual growth of 4.7%.
Current consensus DPS estimate is 328.7, implying a prospective dividend yield of 1.5%.
Current consensus EPS estimate suggests the PER is 48.9.

Forecast for FY24:

Wilsons forecasts a full year FY24 dividend of 385.30 cents and EPS of 550.40 cents.
At the last closing share price the estimated dividend yield is 1.71%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 40.88.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 519.8, implying annual growth of 12.9%.
Current consensus DPS estimate is 367.0, implying a prospective dividend yield of 1.6%.
Current consensus EPS estimate suggests the PER is 43.3.

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

CQR    CHARTER HALL RETAIL REIT

REITs – Overnight Price: $3.98

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

Charter Hall Retail REIT's 1H23 earnings report was as expected with guidance maintained for FY23, according to Moelis.

The defensive earnings stream remains attractive and the NTA valuation rose 2.8% over the period, however, the broker considers earnings growth will be limited as debt hedges roll off.

Post a 6% run up in the share price, the rating is downgraded to Hold from Buy and the target lowered to $4.27 from $4.33.

This report was published on February 16, 2023.

Target price is $4.27 Current Price is $3.98 Difference: $0.29
If CQR meets the Moelis target it will return approximately 7% (excluding dividends, fees and charges).
Current consensus price target is $4.26, suggesting upside of 6.9%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Moelis forecasts a full year FY23 dividend of 26.00 cents and EPS of 28.70 cents.
At the last closing share price the estimated dividend yield is 6.53%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.87.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 28.5, implying annual growth of -75.1%.
Current consensus DPS estimate is 25.7, implying a prospective dividend yield of 6.5%.
Current consensus EPS estimate suggests the PER is 14.0.

Forecast for FY24:

Moelis forecasts a full year FY24 dividend of 25.70 cents and EPS of 28.30 cents.
At the last closing share price the estimated dividend yield is 6.46%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.06.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 28.4, implying annual growth of -0.4%.
Current consensus DPS estimate is 25.5, implying a prospective dividend yield of 6.4%.
Current consensus EPS estimate suggests the PER is 14.0.

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

CTD    CORPORATE TRAVEL MANAGEMENT LIMITED

Travel, Leisure & Tourism – Overnight Price: $17.93

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

North American operations were softer than expected in Corporate Travel Management's 1H23 financial release, resulting in a -20.9% miss on Goldman Sachs' expected earnings over the period.

Management retained guidance, inferring a recovery in North America is anticipated.

Goldman Sachs lowers EPS forecasts by -13.9% and -8.1% for FY23 and FY24, but continues to see the company offering longer term growth opportunities and the share price reaction to the results as "overdone".

A Buy rating is maintained and the target adjusted to $19.80 from $20.30.

This report was published on February 16, 2023.

Target price is $19.80 Current Price is $17.93 Difference: $1.87
If CTD meets the Goldman Sachs target it will return approximately 10% (excluding dividends, fees and charges).
Current consensus price target is $20.78, suggesting upside of 15.9%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 28.00 cents and EPS of 57.90 cents.
At the last closing share price the estimated dividend yield is 1.56%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 30.97.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 61.4, implying annual growth of 2678.3%.
Current consensus DPS estimate is 23.4, implying a prospective dividend yield of 1.3%.
Current consensus EPS estimate suggests the PER is 29.2.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 52.00 cents and EPS of 103.90 cents.
At the last closing share price the estimated dividend yield is 2.90%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.26.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 103.1, implying annual growth of 67.9%.
Current consensus DPS estimate is 42.6, implying a prospective dividend yield of 2.4%.
Current consensus EPS estimate suggests the PER is 17.4.

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

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Jarden rates ((CTD)) as Buy (1) –

Jarden transfers coverage of Corporate Travel Management and assesses the 1H23 earnings report.

The company missed at the EBITDA level due to rising costs and softer demand in the 2Q23 out of the Northern Hemisphere.

The broker adjusts earnings forecasts to meet the middle of management's guidance, resulting in a -9.6% and -22.6% decline for FY23 and FY24 estimates, respectively.

A Buy rating is retained and the target lowered to $22.30 from $27.03.

This report was published on February 16, 2023.

Target price is $22.30 Current Price is $17.93 Difference: $4.37
If CTD meets the Jarden target it will return approximately 24% (excluding dividends, fees and charges).
Current consensus price target is $20.78, suggesting upside of 15.9%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Jarden forecasts a full year FY23 EPS of 57.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 31.18.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 61.4, implying annual growth of 2678.3%.
Current consensus DPS estimate is 23.4, implying a prospective dividend yield of 1.3%.
Current consensus EPS estimate suggests the PER is 29.2.

Forecast for FY24:

Jarden forecasts a full year FY24 EPS of 83.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.40.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 103.1, implying annual growth of 67.9%.
Current consensus DPS estimate is 42.6, implying a prospective dividend yield of 2.4%.
Current consensus EPS estimate suggests the PER is 17.4.

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

FBU    FLETCHER BUILDING LIMITED

Building Products & Services – Overnight Price: $4.35

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

Goldman Sachs observes Fletcher Building reported mixed 1H23 results.

Materials and distribution were in line, residential development fell -45% and was a miss while wet weather and labour challenges constrained the construction division.

Net debt rose over the period creating balance sheet leverage of 1.2x, although this remains within the group's range.

Goldman Sachs' earnings forecasts remain unchanged.

The broker retains a  Buy rating and $5.75 target price, with the valuation and share price perceived as too cheap.

This report was published on February 16, 2023.

Target price is $5.75 Current Price is $4.35 Difference: $1.4
If FBU meets the Goldman Sachs target it will return approximately 32% (excluding dividends, fees and charges).
Current consensus price target is $4.87, suggesting upside of 11.9%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 30.08 cents and EPS of 45.58 cents.
At the last closing share price the estimated dividend yield is 6.91%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.54.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 52.7, implying annual growth of N/A.
Current consensus DPS estimate is 34.9, implying a prospective dividend yield of 8.0%.
Current consensus EPS estimate suggests the PER is 8.3.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 34.64 cents and EPS of 49.22 cents.
At the last closing share price the estimated dividend yield is 7.96%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.84.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 46.4, implying annual growth of -12.0%.
Current consensus DPS estimate is 32.4, implying a prospective dividend yield of 7.4%.
Current consensus EPS estimate suggests the PER is 9.4.

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

FMG    FORTESCUE METALS GROUP LIMITED

Iron Ore – Overnight Price: $22.83

Bell Potter rates ((FMG)) as Sell (5) –

Higher operating costs and lower realised prices were a feature of 1H results, though key metrics for Fortescue Metals were either in line or slightly ahead of Bell Potter's forecasts. The 75cps dividend missed against the 80cps expected.

FY23 guidance for production and costs was unchanged.

The Belinga project in Gabon is yet another project surrounded by uncertainty, notes the analyst, contained within the "black box" of Fortescue Future Industries.

While the broker acknowledges operations are still performing at the top-end of expectations, a Sell rating is kept on uncertainties over capital allocation and a decline in shareholder returns. The target rises to $14.45 from $14.09.

This report was published on February 17, 2023.

Target price is $14.45 Current Price is $22.83 Difference: minus $8.38 (current price is over target).
If FMG meets the Bell Potter target it will return approximately minus 37% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $16.66, suggesting downside of -27.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Bell Potter forecasts a full year FY23 dividend of 216.83 cents and EPS of 225.50 cents.
At the last closing share price the estimated dividend yield is 9.50%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.12.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 235.5, implying annual growth of N/A.
Current consensus DPS estimate is 158.5, implying a prospective dividend yield of 6.9%.
Current consensus EPS estimate suggests the PER is 9.7.

Forecast for FY24:

Bell Potter forecasts a full year FY24 dividend of 125.76 cents and EPS of 131.54 cents.
At the last closing share price the estimated dividend yield is 5.51%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.36.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 187.9, implying annual growth of -20.2%.
Current consensus DPS estimate is 127.3, implying a prospective dividend yield of 5.6%.
Current consensus EPS estimate suggests the PER is 12.2.

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

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

Fortescue Metals missed on earnings, as a result of higher costs and the announced dividend was lower than expected for the 1H23, according to Goldman Sachs.

The broker makes slight adjustments to EPS forecasts of -2% for FY23 and FY24 is unchanged.

The target is lowered to $13.50 from $13.60 and the Sell rating maintained as the premium valuation to BHP Group ((BHP)) and Rio Tinto ((RIO)) is not viewed as justified.

This report was published on February 16, 2023.

Target price is $13.50 Current Price is $22.83 Difference: minus $9.33 (current price is over target).
If FMG meets the Goldman Sachs target it will return approximately minus 41% (excluding dividends, fees and charges – negative figures indicate an expected loss).
Current consensus price target is $16.66, suggesting downside of -27.0%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Goldman Sachs forecasts a full year FY23 dividend of 151.78 cents and EPS of 213.94 cents.
At the last closing share price the estimated dividend yield is 6.65%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.67.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 235.5, implying annual growth of N/A.
Current consensus DPS estimate is 158.5, implying a prospective dividend yield of 6.9%.
Current consensus EPS estimate suggests the PER is 9.7.

Forecast for FY24:

Goldman Sachs forecasts a full year FY24 dividend of 54.93 cents and EPS of 96.85 cents.
At the last closing share price the estimated dividend yield is 2.41%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 23.57.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 187.9, implying annual growth of -20.2%.
Current consensus DPS estimate is 127.3, implying a prospective dividend yield of 5.6%.
Current consensus EPS estimate suggests the PER is 12.2.

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

GNC    GRAINCORP LIMITED

Agriculture – Overnight Price: $7.96

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

Following the release of earnings and profit guidance at the GrainCorp AGM, Bell Potter notes drivers of FY23 profitability remain positive though headwinds are emerging for FY24 crop volumes and trading margins.

Operating earnings (EBITDA) guidance for FY23 is in the range of $470-530m.

The Hold rating and $8.00 target are unchanged.

This report was published on February 17, 2023.

Target price is $8.00 Current Price is $7.96 Difference: $0.04
If GNC meets the Bell Potter target it will return approximately 1% (excluding dividends, fees and charges).
Current consensus price target is $8.80, suggesting upside of 10.6%(ex-dividends)
The company's fiscal year ends in September.

Forecast for FY23:

Bell Potter forecasts a full year FY23 dividend of 34.00 cents and EPS of 96.10 cents.
At the last closing share price the estimated dividend yield is 4.27%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.28.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 94.2, implying annual growth of -43.8%.
Current consensus DPS estimate is 43.2, implying a prospective dividend yield of 5.4%.
Current consensus EPS estimate suggests the PER is 8.5.

Forecast for FY24:

Bell Potter forecasts a full year FY24 dividend of 22.00 cents and EPS of 54.10 cents.
At the last closing share price the estimated dividend yield is 2.76%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.71.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 53.6, implying annual growth of -43.1%.
Current consensus DPS estimate is 30.3, implying a prospective dividend yield of 3.8%.
Current consensus EPS estimate suggests the PER is 14.9.

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

GOZ    GROWTHPOINT PROPERTIES AUSTRALIA

Infra & Property Developers – Overnight Price: $3.22

Moelis rates ((GOZ)) as Buy (1) –

According to Moelis, Growthpoint Properties Australia announced 1H23 results which came in slightly ahead of the broker's forecast, due to one-off items.

Of note the NTA was boosted 6.8% to $4.25 by asset revaluations since June 30 2022.

Moelis considers Growthpoint Properties Australia to be a stable income generating REIT with a conservative balance sheet which trades at an excessive discount to the NAV.

The target price is tweaked to $3.99 from $4.02 and a Buy rating retained with the REIT offering around a 6.3% dividend yield.

This report was published on February 17, 2023.

Target price is $4.02 Current Price is $3.22 Difference: $0.8
If GOZ meets the Moelis target it will return approximately 25% (excluding dividends, fees and charges).
Current consensus price target is $3.74, suggesting upside of 16.3%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Moelis forecasts a full year FY23 dividend of 21.40 cents and EPS of 26.40 cents.
At the last closing share price the estimated dividend yield is 6.65%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.20.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 23.7, implying annual growth of -60.2%.
Current consensus DPS estimate is 21.4, implying a prospective dividend yield of 6.6%.
Current consensus EPS estimate suggests the PER is 13.6.

Forecast for FY24:

Moelis forecasts a full year FY24 dividend of 22.00 cents and EPS of 26.00 cents.
At the last closing share price the estimated dividend yield is 6.83%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.38.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 24.8, implying annual growth of 4.6%.
Current consensus DPS estimate is 21.8, implying a prospective dividend yield of 6.8%.
Current consensus EPS estimate suggests the PER is 13.0.

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

IRI    INTEGRATED RESEARCH LIMITED

IT & Support – Overnight Price: $0.53

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

First half results for Integrated Research revealed a beat against Bell Potter's forecasts for revenue and earnings (EBITDA) of 2% and 3%, respectively.

While no guidance was issued, management noted the “positive macro trends driving growth across the Collaborate and Transact ecosystems remain intact and they are providing tailwinds for sales of our solutions”.

After raising its earnings forecasts, the broker increases its target to 65c from 58c. Hold.

This report was published on February 17, 2023.

Target price is $0.65 Current Price is $0.53 Difference: $0.125
If IRI meets the Bell Potter target it will return approximately 24% (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 1.80 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 29.17.

Forecast for FY24:

Bell Potter forecasts a full year FY24 dividend of 0.00 cents and EPS of 2.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 18.10.

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

NWH    NRW HOLDINGS LIMITED

Mining Sector Contracting – Overnight Price: $2.66

Moelis rates ((NWH)) as Buy (1) –

NRW Holdings reported an in-line 1H23 result assesses Moelis with wet weather impacting on margins during the period.

Management re-confirmed the FY23 guidance, with projected revenues at the lower end and highlighting contracts in hand of $2.6bn alongside some $4.1bn in tender submissions,

Moelis makes some minor earnings adjustments of -0.4% for FY23 and 0.1% for FY24.

Buy rating unchanged and the target tweaked to $3.29 from $3.32.

This report was published on February 17, 2023.

Target price is $3.29 Current Price is $2.66 Difference: $0.63
If NWH meets the Moelis target it will return approximately 24% (excluding dividends, fees and charges).
Current consensus price target is $2.80, suggesting upside of 5.3%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Moelis forecasts a full year FY23 dividend of 14.00 cents and EPS of 23.50 cents.
At the last closing share price the estimated dividend yield is 5.26%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.32.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 23.4, implying annual growth of 7.9%.
Current consensus DPS estimate is 16.9, implying a prospective dividend yield of 6.4%.
Current consensus EPS estimate suggests the PER is 11.4.

Forecast for FY24:

Moelis forecasts a full year FY24 dividend of 14.00 cents and EPS of 25.40 cents.
At the last closing share price the estimated dividend yield is 5.26%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.47.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 25.3, implying annual growth of 8.1%.
Current consensus DPS estimate is 16.8, implying a prospective dividend yield of 6.3%.
Current consensus EPS estimate suggests the PER is 10.5.

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

PME    PRO MEDICUS LIMITED

Medical Equipment & Devices – Overnight Price: $61.59

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

Pro Medicus reported a 1H23 revenue beat compared to consensus and a slight miss when measured against Wilsons' forecasts, although the company generated a 5% better than expected profit after tax.

Management guided to a stronger 2H23 earnings report and the analyst is suggesting the market will be looking to upgrade forecasts, although Wilsons considers much of this is already discounted in the share price.

Potential new product launches remain as yet remain unknown.

The rating is downgraded to Market Weight from Overweight and the target retained at $71.

This report was published on February 17, 2023.

Target price is $71.00 Current Price is $61.59 Difference: $9.41
If PME meets the Wilsons target it will return approximately 15% (excluding dividends, fees and charges).
Current consensus price target is $48.28, suggesting downside of -21.6%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Wilsons forecasts a full year FY23 dividend of 28.50 cents and EPS of 57.10 cents.
At the last closing share price the estimated dividend yield is 0.46%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 107.86.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 53.3, implying annual growth of 25.1%.
Current consensus DPS estimate is 25.7, implying a prospective dividend yield of 0.4%.
Current consensus EPS estimate suggests the PER is 115.6.

Forecast for FY24:

Wilsons forecasts a full year FY24 dividend of 34.30 cents and EPS of 68.70 cents.
At the last closing share price the estimated dividend yield is 0.56%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 89.65.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 67.5, implying annual growth of 26.6%.
Current consensus DPS estimate is 32.6, implying a prospective dividend yield of 0.5%.
Current consensus EPS estimate suggests the PER is 91.2.

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

THL    TOURISM HOLDINGS LIMITED

Overnight Price: $3.54

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

Tourism Holdings Rentals offered FY23 earnings guidance in excess of NZ$75m and when adjusted for the pre-Apollo merger the guidance is higher than NZ$48m, notes Wilsons.

The earnings forecasts are expected to be reviewed post the 1H23 earnings report on February 23.

Overweight rating and $4.82 target are unchanged.

This report was published on February 16, 2023.

Target price is $4.82 Current Price is $3.54 Difference: $1.28
If THL meets the Wilsons target it will return approximately 36% (excluding dividends, fees and charges).

This company reports in NZD. 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

WHC    WHITEHAVEN COAL LIMITED

Coal – Overnight Price: $7.36

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

Whitehaven Coal's 1H  underlying profit of $1,782m beat Bell Potter's forecast for $1,772m, though the interim dividend of 32cps fell well short of the 48cps expected.

The broker attributes the weaker dividend to moderating coal prices, the current buy-back and cash needs.

Bell Potter downgrades its 2023 thermal coal price outlook and now forecasts US$218/t compared to the prior US$275/t. The analyst also assumes a decline in revenue from the domestic coal reservation scheme and adjusts lower the size of the current buyback.

The Buy rating is kept, while the target falls to $8.15 from $10.50.

This report was published on February 17, 2023.

Target price is $8.15 Current Price is $7.36 Difference: $0.79
If WHC meets the Bell Potter target it will return approximately 11% (excluding dividends, fees and charges).
Current consensus price target is $10.35, suggesting upside of 40.6%(ex-dividends)
The company's fiscal year ends in June.

Forecast for FY23:

Bell Potter forecasts a full year FY23 dividend of 67.00 cents and EPS of 312.30 cents.
At the last closing share price the estimated dividend yield is 9.10%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 2.36.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 382.5, implying annual growth of 93.6%.
Current consensus DPS estimate is 81.6, implying a prospective dividend yield of 11.1%.
Current consensus EPS estimate suggests the PER is 1.9.

Forecast for FY24:

Bell Potter forecasts a full year FY24 dividend of 120.00 cents and EPS of 236.00 cents.
At the last closing share price the estimated dividend yield is 16.30%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 3.12.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 291.0, implying annual growth of -23.9%.
Current consensus DPS estimate is 92.3, implying a prospective dividend yield of 12.5%.
Current consensus EPS estimate suggests the PER is 2.5.

Market Sentiment: 0.9
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources

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