Australian Broker Call

Morgans rates ADH as Add (1) -

The company has reiterated FY19 guidance for 5-14% growth in operating earnings (EBIT). The like-for-like sales growth of 5.2% for the first 15 weeks suggests to Morgans Adairs is winning share and executing strongly on its product and ranges.

While the entire retail sector is out of favour amid rising consumer headwinds, the broker notes the stock is now trading at a -30% discount to the average PE of the sector.

Morgans maintains an Add rating. Target is reduced to $2.52 from $2.68.

Target price is $2.52 Current Price is $1.92 Difference: $0.6
If ADH meets the Morgans target it will return approximately 31% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 1.0

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

Morgan Stanley rates AHG as Downgrade to Underweight from Equal-weight (5) -

Morgan Stanley has lowered forecast earnings for AP Eagers ((APE)) by -5-10% and for Automotive Holdings by -14-17% due to lower commissions, lower organic growth expectations based on falling vehicle sales, and sentiment around wealth effects. The broker sees house prices declining -10-15% from their peak, and thus vehicle sales -6%.

Morgan Stanley prefers AP Eagers to Auto Holdings and notes previous periods of falling house prices and vehicle sales have led to a de-rating for Auto Holdings, which the market is underestimating. The balance sheet is more constrained this time around. Downgrade to Underweight from Equal-weight, target falls to $1.55 from $2.50. Industry view: In line.

Target price is $1.55 Current Price is $1.82 Difference: minus $0.27 (current price is over target).
If AHG meets the Morgan Stanley target it will return approximately minus 15% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.32, suggesting upside of 27.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.2

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

Deutsche Bank rates AMC as Buy (1) -

The third quarter result from Bemis is positive for Amcor in Deutsche Bank's view as it is in line with market expectations. The acquisition is on track for completion in the current quarter.

Cost reductions are tracking to plan and a strong operating performance is expected to continue despite higher raw material costs, FX and freight.

Deutsche Bank retains a Buy rating and $16.65 target.

Target price is $16.65 Current Price is $12.92 Difference: $3.73
If AMC meets the Deutsche Bank target it will return approximately 29% (excluding dividends, fees and charges).

Current consensus price target is $15.23, suggesting upside of 16.2% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.8

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

Ord Minnett rates AMC as Accumulate (2) -

Bemis has announced September quarter results consistent with recent trends in the US packaging division. The benefits from the company's Agility program remain on schedule.

Amcor has identified US$180m in cost synergies post completion of the acquisition, and this is over and above the savings achieved through the broader Agility plan. Management has reiterated guidance, despite currency headwinds increasing.

Accumulate rating and $15.50 target maintained.

Target price is $15.50 Current Price is $12.92 Difference: $2.58
If AMC meets the Ord Minnett target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $15.23, suggesting upside of 16.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.8

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

Morgan Stanley rates APE as Equal-weight (3) -

Morgan Stanley has lowered forecast earnings for AP Eagers by -5-10% and for Automotive Holdings ((AHG)) by -14-17% due to lower commissions, lower organic growth expectations based on falling vehicle sales and sentiment around wealth effects. The broker sees house prices declining -10-15% from their peak, and thus vehicle sales -6%.

Morgan Stanley prefers AP Eagers to Auto Holdings given better geographical exposure, a better earnings mix and stronger cash flow and balance sheet capacity. Equal-weight retained for AP Eagers, target falls to $7.35 from $8.50. Industry view: In line.

Target price is $7.35 Current Price is $7.55 Difference: minus $0.2 (current price is over target).
If APE meets the Morgan Stanley target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $8.06, suggesting upside of 8.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.0

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

Credit Suisse rates BKL as Upgrade to Neutral from Underperform (3) -

Share price weakness has brought the stock closer to fair value and Credit Suisse upgrades to Neutral from Underperform. The broker reduces the target to $115 from $130, given China's consumer sector has de-rated.

Critical to the broker's valuation is the assumption that direct Chinese sales growth in FY19 decelerates to 15% through to FY23, from 20%.

Sales in the first quarter were ahead of expectations while operating earnings (EBITDA) growth of 11% was close to the projected growth rate.

Target price is $115.00 Current Price is $121.40 Difference: minus $6.4 (current price is over target).
If BKL meets the Credit Suisse target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $117.33, suggesting downside of -2.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.3

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

Credit Suisse rates CAR as Outperform (1) -

The company's trading update revealed a subdued performance for Display and Stratton. Guidance has been lowered to moderate growth for both core domestic operations, with a weighting to the second half.

Credit Suisse now expects the Display segment to deliver a -4.0% revenue decline in FY19 and tighter credit conditions are expected to affect Stratton.

Despite the downgrade, the broker believes continued growth in premium listings and promote products as well as the international portfolio will underpin the stock.

Outperform rating maintained. Target is reduced to $15.50 from $16.00.

Target price is $15.50 Current Price is $12.36 Difference: $3.14
If CAR meets the Credit Suisse target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $15.52, suggesting upside of 25.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.9

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

Macquarie rates CAR as Upgrade to Outperform from Neutral (1) -

The company has reported a slowing for Display and Stratton which has caused a softer financial performance in the first quarter.

The bias to the second half for earnings from the Display business signals to Macquarie that an improvement should be expected, although the basis for the assumption is not apparent. The second half bias for Stratton is based on operating improvements.

Macquarie, while aware of the near-term macro concerns, upgrades to Outperform from Neutral, envisaging broad-based earnings drivers including increased take up of premium/promote products. Target is $13.90.

Target price is $13.90 Current Price is $12.36 Difference: $1.54
If CAR meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $15.52, suggesting upside of 25.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.9

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

Morgans rates CAR as Add (1) -

Morgans considers the business on track to deliver steady earnings growth in FY19. Display advertising remains weak but, in terms of earnings momentum generally, the positives continue to outweigh the negatives.

Morgans expects market conditions to remain favourable for the next 3-5 years. As the stock trades below valuation an Add rating is maintained. Target is reduced to $16.81 from $17.05.

Target price is $16.81 Current Price is $12.36 Difference: $4.45
If CAR meets the Morgans target it will return approximately 36% (excluding dividends, fees and charges).

Current consensus price target is $15.52, suggesting upside of 25.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.9

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

UBS rates CAR as Upgrade to Buy from Neutral (1) -

UBS makes modest earnings downgrades after the AGM update, which suggests FY19 core revenue growth is expected to be more moderate.

UBS reduces domestic core earnings growth forecasts to 6% but, with the benefit of the SK Encar acquisition, still expects the company to deliver headline earnings growth of 14%.

Nevertheless, the broker considers the valuation now undemanding and upgrades to Buy from Neutral. Target is reduced to $13.50 from $14.00.

Target price is $13.50 Current Price is $12.36 Difference: $1.14
If CAR meets the UBS target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $15.52, suggesting upside of 25.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.9

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

Macquarie rates GOR as Outperform (1) -

Gruyere is on track for first gold in the second quarter of 2019 and construction is 71% complete. Drilling activity has focused on extensions and infill at Yamarna.

The main catalysts are the progress of construction over the wet season and potential reserve definition at the Golden Highway prospects.

Macquarie maintains an Outperform rating and 80c target.

Target price is $0.80 Current Price is $0.71 Difference: $0.09
If GOR meets the Macquarie target it will return approximately 13% (excluding dividends, fees and charges).

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 1.0

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

Deutsche Bank rates IAG as Buy (1) -

Deutsche Bank observes the portfolio has now been re-shaped, freeing up capital and improving the mix.

The company will pay a 19.5c capital return and 5.5c special dividend in the current half year.

The broker has a Buy rating and $7.50 target.

Target price is $7.50 Current Price is $6.83 Difference: $0.67
If IAG meets the Deutsche Bank target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $7.66, suggesting upside of 9.9% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.3

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

Macquarie rates IGO as Upgrade to Neutral from Underperform (3) -

Macquarie incorporates an underground development of Boston Shaker into its forecasts for Tropicana. Adjustments to grade profile means cuts of -1% and -10% to FY19 and FY20 production estimates.

The move underground will extend the life of the Tropicana project and improve the potential for exploration success at depth.

Rating is upgraded to Neutral from Underperform. Target is raised to $4.30 from $4.20.

Target price is $4.30 Current Price is $3.96 Difference: $0.34
If IGO meets the Macquarie target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $4.67, suggesting upside of 17.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.1

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

Deutsche Bank rates MGR as Buy (1) -

The investor briefing concentrated on the office portfolio, amid a moderation in residential and retail property. Office and industrial are expected to drive growth going forward.

Deutsche Bank also notes the company will benefit from its integrated development model. Buy rating and $2.45 target.

Target price is $2.45 Current Price is $2.20 Difference: $0.25
If MGR meets the Deutsche Bank target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $2.48, suggesting upside of 12.9% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.1

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

Macquarie rates MGR as Outperform (1) -

The investor briefing highlighted the company's office portfolio, with leasing conditions remaining solid.

Net rental growth is expected to be positive in Sydney's CBD, although decelerating, while Melbourne is preferred by the company from a fundamental perspective.

Macquarie notes the attractive valuation, on-market buyback and greater visibility on earnings and retains an Outperform rating and a $2.57 target.

Target price is $2.57 Current Price is $2.20 Difference: $0.37
If MGR meets the Macquarie target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $2.48, suggesting upside of 12.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.1

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

Macquarie rates MIN as No Rating (-1) -

The construction of the first train is well underway, Macquarie observes and construction of the second and third train has already commenced.

However, delays have meant that first spodumene production is due in the fourth quarter of FY19, three months behind prior assumptions.

The company expects a higher spodumene price over the second half of 2018 versus the first, given the July price reached US$16,300/t.

Macquarie is currently on research restrictions and cannot advise a rating or target.

Current Price is $13.87. Target price not assessed.

Current consensus price target is $18.17, suggesting upside of 30.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.3

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

Ord Minnett rates MIN as Hold (3) -

The company has indicated an eight-week delay to the Wodgina concentrate plant which puts FY19 guidance of 244,000t at risk.

Mineral Resources has also highlighted the Chinese spot price movements are not indicative of global pricing trends and the current concentrate price of US $961/t is expected to increase.

The sale process at Wodgina is considered a major catalyst for the stock. Ord Minnett suggests the company's commentary may imply that a gap is emerging between buyer and seller expectations.

If the sale does not proceed, the next issue will be whether the company is willing to commit to the capital investment required for downstream lithium on a 100% basis. Hold rating and $18 target maintained.

Target price is $18.00 Current Price is $13.87 Difference: $4.13
If MIN meets the Ord Minnett target it will return approximately 30% (excluding dividends, fees and charges).

Current consensus price target is $18.17, suggesting upside of 30.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.3

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

Credit Suisse rates MYX as Outperform (1) -

The company has acquired Halobetasol foam, a specialty dermatology drug, for up to US$32m. The foam is used in the treatment of plaque psoriasis.

Credit Suisse believes this will broaden the company's reach in the niche dermatology market.

The broker maintains an Outperform rating and raises the target to $1.30 from $1.20.

Target price is $1.30 Current Price is $1.05 Difference: $0.25
If MYX meets the Credit Suisse target it will return approximately 24% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 1.0

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

Morgans rates NAN as Upgrade to Add from Hold (1) -

Because of market volatility and the resultant fall in the share price, which is down - 20% from its peak, Morgans upgrades to Add from Hold.

The broker expects new products to be launched over the next 18 months which will drive substantial growth in profit. Target is unchanged at $3.32.

Target price is $3.32 Current Price is $2.90 Difference: $0.42
If NAN meets the Morgans target it will return approximately 14% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 1.0

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

Ord Minnett rates NCM as Accumulate (2) -

Ord Minnett observes Newcrest went to some length in flagging its growth options at the investor briefing. The broker expects average production of more than 2.5m ounces of gold equivalent over the next 15 years.

The balance sheet should allow Newcrest to fund these options and maintain shareholder returns.

The company's update has resolved some lingering concerns for the broker and an Accumulate rating is maintained. Target is raised to $23.00 from $22.50.

Target price is $23.00 Current Price is $20.76 Difference: $2.24
If NCM meets the Ord Minnett target it will return approximately 11% (excluding dividends, fees and charges).

Current consensus price target is $21.19, suggesting upside of 0.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.2

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

Credit Suisse rates OGC as Downgrade to Neutral from Outperform (3) -

Credit Suisse expects production is on track to deliver on full year guidance, supported by a surprise contribution in the September quarter from the previously-unknown high-grade breccia ore.

This, in all likelihood, was added to the Didipio production schedule to offset the weaker-than-expected result from Haile.

The broker retains a positive outlook but downgrades to Neutral from Outperform on valuation. Target is raised to $4.00 from $3.80.

Target price is $4.00 Current Price is $4.22 Difference: minus $0.22 (current price is over target).
If OGC meets the Credit Suisse target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.67, suggesting upside of 13.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.6

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

Macquarie rates OGC as Outperform (1) -

September quarter production was in line with estimates and the ramp up of Didipio is going well, Macquarie observes, while challenges continue at Haile.

The broker is encouraged by the low underground mining costs at Didipio as the company progresses through the geotechnically favourable Monzonite zone.

Outperform and $5.50 target retained.

Target price is $5.50 Current Price is $4.22 Difference: $1.28
If OGC meets the Macquarie target it will return approximately 30% (excluding dividends, fees and charges).

Current consensus price target is $4.67, suggesting upside of 13.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.6

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

Ord Minnett rates OGC as Accumulate (2) -

OceanaGold appears in good shape and fundamentally cheap to Ord Minnett. September quarter gold production was slightly below the June quarter but ahead of estimates.

A slight miss at Haile was more than offset by Didipio and Waihi. Ord Minnett maintains an Accumulate rating and $5 target.

Target price is $5.00 Current Price is $4.22 Difference: $0.78
If OGC meets the Ord Minnett target it will return approximately 18% (excluding dividends, fees and charges).

Current consensus price target is $4.67, suggesting upside of 13.3% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.6

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

Deutsche Bank rates ORI as Hold (3) -

Deutsche Bank suggests the imposition of anti-dumping measures on ammonium nitrate exported from Sweden, Thailand and China as well as the extension of the existing measure on Russia will be positive for the company.

This will reduce the pressure on domestic ammonium nitrate prices and reduce the threat of cheap imports. A final recommendation from the government is due early next year.

The broker maintains a Hold rating and $17.35 target.

Target price is $17.35 Current Price is $16.44 Difference: $0.91
If ORI meets the Deutsche Bank target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $17.90, suggesting upside of 6.9% (ex-dividends)

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.0

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

Credit Suisse rates PDL as Downgrade to Underperform from Neutral (5) -

Weak equity markets are expected to affect growth in funds under management and could potentially affect industry flows to equities. Credit Suisse notes Pendal Group is overweight equities.

The broker downgrades to Underperform from Neutral because of these near-term headwinds. Hambro performance fees are likely to be lower for longer, the broker suspects.

Earnings forecast for FY19-20 are lowered by -12-14%. Target is reduced to $7.10 from $9.00.

Target price is $7.10 Current Price is $7.99 Difference: minus $0.89 (current price is over target).
If PDL meets the Credit Suisse target it will return approximately minus 11% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $9.65, suggesting upside of 24.8% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.2

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

Ord Minnett rates PRY as Accumulate (2) -

The company will pay $18m in back pay to employees of its medical centres arising from an issue with its payroll system dating back to 2011. Ord Minnett notes the disclosure provided limited information or the implications for guidance.

The broker estimates the cost to be $1.5m pre-tax. Estimates are reduced modestly to reflect a slow start to the year. Accumulate rating maintained. Target is reduced to $3.20 from $3.30.

Target price is $3.20 Current Price is $2.53 Difference: $0.67
If PRY meets the Ord Minnett target it will return approximately 26% (excluding dividends, fees and charges).

Current consensus price target is $3.03, suggesting upside of 23.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.2

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

UBS rates REA as Upgrade to Neutral from Sell (3) -

UBS reduces earnings estimates because of slower Premiere growth, particularly in NSW, as well as a view that house prices will decline around -10% from peak to trough.

FY19 and FY20 estimates for earnings per share are reduced by -2% and -4% respectively. Still, despite the reductions to expectations the broker believes REA Group is more resilient as the number one player, despite the soft housing environment.

Rating is upgraded to Neutral from Sell. Target is reduced to $75 from $80.

Target price is $75.00 Current Price is $71.58 Difference: $3.42
If REA meets the UBS target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $87.19, suggesting upside of 21.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.3

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

Citi rates RMD as Neutral (3) -

Revenue growth was strong and ahead of expectations in the first quarter while the company has gained share in masks in the Americas and devices and the rest of the world. Citi now believes it may be possible for ResMed to grow faster than the market, for longer.

The broker suspects the company may be able to take market share over the rest of FY19. Moreover, the mask re-supply program is driving growth in the US and masks account for around 38% of sales and 50% of operating earnings (EBIT).

Citi maintains a Neutral rating and reduces the target to $15.20 from $15.50.

Target price is $15.20 Current Price is $14.25 Difference: $0.95
If RMD meets the Citi target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $15.08, suggesting upside of 2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.4

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

Credit Suisse rates RMD as Upgrade to Outperform from Neutral (1) -

First quarter results were strong, with operating earnings up 28% and 13% above Credit Suisse estimates.

The broker believes growth in both the US and the rest of the world for flow generators stems from the company's connected care strategy and the data capabilities on its AirView and Brightree platforms.

Credit Suisse upgrades to Outperform from Neutral. Target is raised to $15.10 from $14.30.

Target price is $15.10 Current Price is $14.25 Difference: $0.85
If RMD meets the Credit Suisse target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $15.08, suggesting upside of 2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.4

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

Deutsche Bank rates RMD as Buy (1) -

First quarter results beat expectations and Deutsche Bank was impressed by the management of costs. The broker retains a positive outlook.

Earnings growth is supported by increased awareness of sleep apnea and the company's penetration of current markets as well as increased rates of mask replenishment.

Deutsche Bank rates the stock a Buy with a target of US$126.50.

Current Price is $14.25. Target price not assessed.

Current consensus price target is $15.08, suggesting upside of 2.0% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.4

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

Macquarie rates RMD as Underperform (5) -

First quarter results were ahead of expectations and Macquarie increases near-term growth assumptions.

Yet, the broker awaits more evidence of the sustainability of growth trends before materially adjusting long-term forecasts.

Underperform rating maintained. Target is raised to $13.50 from $13.00.

Target price is $13.50 Current Price is $14.25 Difference: minus $0.75 (current price is over target).
If RMD meets the Macquarie target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $15.08, suggesting upside of 2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.4

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

Morgan Stanley rates RMD as Overweight (1) -

ResMed's quarterly result featured a beat on revenue, which the broker suggests was supported by large installed base growth driven by masks, stable US reimbursement and Brightree driving higher resupply. Operating leverage can improve further with expenses running at half the rate of revenues. Gross margins held despite ASP pressures.

The broker prefers ResMed over large cap sector peers CSL ((CSL)) and Cochlear ((COH)). Overweight and US$119 target retained. Industry view: In line.

Current Price is $14.25. Target price not assessed.

Current consensus price target is $15.08, suggesting upside of 2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.4

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

Morgans rates RMD as Add (1) -

First quarter results were ahead of expectations and, Morgans observes, supported by an expanding product range and stable margins.

Despite cycling a tough comparable product, sales growth was strong in both the Americas and the rest of the world.

Morgans maintains an Add rating and reduces the target to $16.40 from $16.41.

Target price is $16.40 Current Price is $14.25 Difference: $2.15
If RMD meets the Morgans target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $15.08, suggesting upside of 2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.4

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

Ord Minnett rates RMD as Hold (3) -

Ord Minnett is increasingly confident the company is building an unassailable lead in the sleep apnea market.

The broker believes ResMed's growing dominance of the US market is a strong endorsement of the investment in Brightree and connected care, and this opens the door for similar opportunities in other markets.

Nevertheless, the broker is cautious in an environment where high PE stocks are under pressure, maintaining a Hold rating. Target is raised to $15.20 from $14.10.

Target price is $15.20 Current Price is $14.25 Difference: $0.95
If RMD meets the Ord Minnett target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $15.08, suggesting upside of 2.0% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.4

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

UBS rates RMD as Neutral (3) -

UBS updates assumptions following the first quarter results, reducing the target to US $106 from US $108 and maintaining a Neutral rating.

The broker believes the key earnings drivers remain intact including gains in flow generator and diagnosis of obstructive sleep apnea, supported by the connected care offerings.

Current Price is $14.25. Target price not assessed.

Current consensus price target is $15.08, suggesting upside of 2.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.4

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

Macquarie rates SFR as Neutral (3) -

Copper and gold grades were higher than Macquarie forecast, resulting in strong production in the September quarter.

Guidance is unchanged although the broker suspects the company is well placed to hit the top end of the range.

The main catalyst is exploration success and mine life extensions around DeGrussa. Neutral rating maintained. Target eases 4% to $7.40.

Target price is $7.40 Current Price is $6.55 Difference: $0.85
If SFR meets the Macquarie target it will return approximately 13% (excluding dividends, fees and charges).

Current consensus price target is $7.54, suggesting upside of 12.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: -0.1

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

Morgans rates SIL as Add (1) -

The share price remains below the issue price, which Morgans believes is unjustified given the growth and opportunities presented by the ownership model.

The broker expects the rolling out of the national campaign and further acquisitions will act as significant de-risking events.

The broker retains an Add rating and $1.43 target and the stock remains a high conviction call ahead of the AGM in November.

Target price is $1.43 Current Price is $0.93 Difference: $0.5
If SIL meets the Morgans target it will return approximately 54% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 1.0

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

Macquarie rates URW as Outperform (1) -

The company has reiterated 2018 guidance, a positive, in Macquarie's view, given the confusion surrounding guidance at the first half result. The broker forecasts 2018 earnings per share of EUR12.94.

The stock offers a 36% total shareholder return and a 7.6% dividend yield and the broker maintains an Outperform rating and $16.29 target.

Target price is $16.29 Current Price is $12.65 Difference: $3.64
If URW meets the Macquarie target it will return approximately 29% (excluding dividends, fees and charges).

Current consensus price target is $17.65, suggesting upside of 39.4% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

This company reports in EUR. All estimates have been converted into AUD by FNArena at present FX values.

Market Sentiment: 0.7

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

UBS rates WHC as Buy (1) -

Whitehaven has completed its maiden JORC resource estimate for Winchester South, for coal within the Rangal and Fort Cooper measures. There is a total of 530mt in the resource.

UBS notes that, while there has been a 48% increase in resources versus the 2015 statement from Rio Tinto ((RIO)), the overall inventory is similar. The reserve is yet to be defined.

Buy rating maintained. Target is $6.00.

Target price is $6.00 Current Price is $4.81 Difference: $1.19
If WHC meets the UBS target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $5.86, suggesting upside of 20.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.8

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

Morgans rates Z1P as Add (1) -

Morgans observes another solid quarter for the company, underpinned by sequential transaction growth of 11% on the seasonally stronger June quarter.

The broker downgrades net profit estimates as operating margin forecasts are lowered slightly and remains comfortable with expectations for the company to make a profit in FY20.

Speculative Add rating maintained and the broker envisages upside emerging over the next few years. Target is reduced to $1.09 from $1.11.

Target price is $1.09 Current Price is $0.91 Difference: $0.18
If Z1P meets the Morgans target it will return approximately 20% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.8

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