Australian Broker Call

Macquarie rates AGL as Neutral (3) -

Macquarie observes numerous reports are affecting electricity markets. Electricity prices are likely to converge under a proposed interconnector widening between NSW and Victoria/South Australia/Queensland.

Where electricity prices will finally go is unknown but the growth in renewables and storage pushes the risks to the downside, in the broker's opinion. AGL continues to benefit from ageing asset cash flows on a low-leveraged balance sheet and Macquarie maintains a Neutral rating. Target is $22.50.

Target price is $22.50 Current Price is $21.75 Difference: $0.75
If AGL meets the Macquarie target it will return approximately 3% (excluding dividends, fees and charges).

Current consensus price target is $23.92, suggesting upside of 10.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.4

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

Citi rates AMP as Neutral (3) -

AMP's trading update essentially translates into a profit warning with dividend payout ratio expected to be below the usual guidance range in H1. Citi analysts already were positioned below market consensus.

In an initial assessment, the analysts seem to suggest things are not as bad as they seem from the onset, with updated guidance including one-off costs (Royal Commission, etc) and management is still aiming for 70%-90% payout for the full year.

Overall, comment the analysts, today's update should take away some of the uncertainty around margins and costs, but market concern will remain about funds flows and potential brand damage. Remains high risk.

Target price is $3.90 Current Price is $3.34 Difference: $0.56
If AMP meets the Citi target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $4.20, suggesting upside of 25.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

Credit Suisse rates AQG as Outperform (1) -

The broker reports Ardich drilling continues to reveal very encouraging broad intersections of shallow, high-grade oxide gold.

Outperform rating and $5.30 target maintained.

Target price is $5.30 Current Price is $2.86 Difference: $2.44
If AQG meets the Credit Suisse target it will return approximately 85% (excluding dividends, fees and charges).

Current consensus price target is $4.00, suggesting upside of 39.9% (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: 1.0

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

Ord Minnett rates ASX as Hold (3) -

Ahead of ASX's results on August 16, Ord Minnett has increased EPS and DPS forecasts slightly and raised the price target to $62.28 from $59.26. The Hold rating is maintained.

Target price is $62.28 Current Price is $66.39 Difference: minus $4.11 (current price is over target).
If ASX meets the Ord Minnett target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $55.95, suggesting downside of -15.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: -0.8

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

Macquarie rates BPT as Neutral (3) -

Macquarie believes management has done a good job incorporating the Lattice assets and maintaining cost discipline while oil prices rallied.

The broker maintains a Neutral rating as, with the rally in oil prices now behind the company, significant expenditure is required at Waitsia, Kupe and Otway which will weigh on cash flow. Target is $1.90.

Target price is $1.90 Current Price is $1.86 Difference: $0.04
If BPT meets the Macquarie target it will return approximately 2% (excluding dividends, fees and charges).

Current consensus price target is $1.65, suggesting downside of -11.1% (ex-dividends)

The company's fiscal year ends in June.

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

Morgan Stanley rates BPT as Overweight (1) -

June quarter production was in line with Morgan Stanley's assumptions. The broker expects capital expenditure to rise in FY19 and FY20. Still, Beach Energy will be generating around $1.1-1.2bn in operating earnings at current oil prices and this means free cash will remain strong.

Morgan Stanley expects valuations to lift should the company continue with its trajectory. Overweight and $2.00 target retained. Industry view: Attractive.

Target price is $2.00 Current Price is $1.86 Difference: $0.14
If BPT meets the Morgan Stanley target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $1.65, suggesting downside of -11.1% (ex-dividends)

The company's fiscal year ends in June.

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

Ord Minnett rates BPT as Hold (3) -

Beach Energy has reported another strong quarter with production increasing 10% on the same period last year to an annualised rate of 29mmboe. Free cash flow was strong resulting in gearing falling to 26% by June 2018.

Overall, realised prices increased by 7% in the period. However, Ord Minnett has made adjustments to its realised price assumptions resulting in downgrades to FY19/20 estimates.

Hold rating and $1.80 target maintained.

Target price is $1.80 Current Price is $1.86 Difference: minus $0.06 (current price is over target).
If BPT meets the Ord Minnett target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.65, suggesting downside of -11.1% (ex-dividends)

The company's fiscal year ends in June.

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

Morgans rates CAT as Add (1) -

Annual cash flow was slightly ahead of Morgans' forecasts. Financial risk appears to be diminished now that the company is at the peak of capital expenditure and capable of funding its own operations.

Add rating maintained. Target rises to $1.83 from $1.76.

Target price is $1.83 Current Price is $1.16 Difference: $0.67
If CAT meets the Morgans target it will return approximately 58% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

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

Morgans rates CTD as Add (1) -

The company has announced the acquisition of Lotus Travel in Asia. When combined with existing Asian business there will be the necessary scale in this growth market, Morgans observes. FY18 operating earnings guidance has been upgraded slightly.

The broker believes the company can grow the earnings of Lotus materially over coming years by overlaying its successful business model. Catalysts include a strong FY18 result, upbeat outlook and further accretive acquisitions. Add maintained. Target is raised to $32.25 from $24.50.

Target price is $32.25 Current Price is $29.47 Difference: $2.78
If CTD meets the Morgans target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $28.22, suggesting downside of -4.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.8

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

Citi rates DHG as Sell (5) -

At around 62% of the current Fairfax ((FXJ)) valuation Citi considers most of what Nine Entertainment ((NEC)) is acquiring is the stake in Domain. The broker considers Domain is the main game and not the newspapers.

Domain was spun out of Fairfax in order to realise the value in the asset and it is unclear to the broker if the same incentive that Fairfax provided to de-merge Domain exists for Nine.

The broker envisages little risk of regulatory intervention, as media ownership laws are no longer an impediment, and while the ACCC will review the transaction this is not expected to be an issue given the companies have very little overlap.

Sell rating and $2.85 target maintained.

Target price is $2.85 Current Price is $3.35 Difference: minus $0.5 (current price is over target).
If DHG meets the Citi target it will return approximately minus 15% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $3.32, suggesting downside of -0.9% (ex-dividends)

The company's fiscal year ends in June.

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

Citi rates EVT as Neutral (3) -

Citi analysts have had a deeper dive into the global cinema industry's fight against emerging content platforms, such as Netflix. It appears the fight back has two pillars to date: launching new entertainment formats and create a loyalty program to secure foot traffic.

Event Hospitality and Entertainment has lifted its prices for around one third of its cinemas in H2 FY18, but Citi analysts remain sceptical about the stickiness of that move longer term.

The analysts view risks as evenly balanced with regards the upcoming FY18 results release. While recent property valuations should be positive, the analysts note in order for this to be fully reflected in the share price, strategies are needed to unlock this value for shareholders. Price target $13.55 (up from $13.20). Neutral.

Target price is $13.20 Current Price is $13.74 Difference: minus $0.54 (current price is over target).
If EVT meets the Citi target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.5

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

Citi rates FMG as Downgrade to Neutral from Buy (3) -

June quarter shipments were in line with expectations. Realised prices of US$38/t were 58% against the index and brought FY18 realisation to 64%. Cit expects free cash generation of US$500m in FY19, falling to roughly break even in FY20 because of increased expenditure on Eliwana.

Rating is downgraded to Neutral from Buy. Target is reduced to $4.70 from $4.90.

Target price is $4.70 Current Price is $4.39 Difference: $0.31
If FMG meets the Citi target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $5.41, suggesting upside of 23.2% (ex-dividends)

The company's fiscal year ends in June.

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: 0.8

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

Credit Suisse rates FMG as Outperform (1) -

Fortescue's June Q report revealed a great finish to FY18, the broker suggests, with FY shipments totalling 168.7mt at a cost of US$12.36/t. Net debt nevertheless remained flat on the March Q with the pricing environment still tough for lower grade ore.

The broker believes the strength of the balance sheet and the value proposition is unchanged, hence Outperform retained, but the catalyst to get to the broker's unchanged $5.50 target is unclear at this stage.

Target price is $5.50 Current Price is $4.39 Difference: $1.11
If FMG meets the Credit Suisse target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $5.41, suggesting upside of 23.2% (ex-dividends)

The company's fiscal year ends in June.

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: 0.8

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

Macquarie rates FMG as Outperform (1) -

Shipments and cash costs in the fourth quarter were in line with Macquarie's expectations. Realised pricing was marginally below estimates, resulting in the broker reducing FY18 and FY19 estimates by -9%.

The broker estimates the share price is currently factoring in a realised price of US$44/t and Fortescue's ability to improve this by enhancing product mix offers upside risk to valuation. Outperform maintained. Target is $5.10.

Target price is $5.10 Current Price is $4.39 Difference: $0.71
If FMG meets the Macquarie target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $5.41, suggesting upside of 23.2% (ex-dividends)

The company's fiscal year ends in June.

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: 0.8

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

Ord Minnett rates FMG as Accumulate (2) -

Fortescue's June quarter production report showed shipments running at 187mtpa, a quarterly record and up 20% on the same period last year.

FY19 guidance was for shipments of 165-173mt and costs of US$12-13/t, in line with Ord Minnett forecasts, while US$1.2bn in capex was higher than expected. Overall, the market appeared disappointed by the lack of detail around the capex breakdown but the US$1.275bn Eliwana budget is unchanged.

The broker maintains an Accumulate rating. Target is reduced to $5.30 from $5.80.

Target price is $5.30 Current Price is $4.39 Difference: $0.91
If FMG meets the Ord Minnett target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $5.41, suggesting upside of 23.2% (ex-dividends)

The company's fiscal year ends in June.

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: 0.8

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

UBS rates FMG as Buy (1) -

Record quarterly shipments were also in line with UBS estimates. FY18 guidance for 170mt was achieved at a cost of US$12.36/wmt. The company has maintained a focus on diversifying its customer base with 9% of total shipments going ex China.

UBS maintains a Buy rating and reduces the target to $5.45 from $5.60.

Target price is $5.45 Current Price is $4.39 Difference: $1.06
If FMG meets the UBS target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $5.41, suggesting upside of 23.2% (ex-dividends)

The company's fiscal year ends in June.

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: 0.8

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

Citi rates FXJ as Neutral (3) -

At around 62% of the current Fairfax valuation Citi considers most of what Nine Entertainment ((NEC)) is acquiring is the stake in Domain ((DHG)). The broker considers Domain is the main game and not the newspapers. Fairfax shareholders will receive 0.3627 NEC shares for each share held.

The broker envisages little risk of regulatory intervention, as media ownership laws are no longer an impediment, and while the ACCC will review the transaction this is not expected to be an issue given the companies have very little overlap.

There is potential for a competing bid but Citi believes it would be challenging for the most likely proponent, Seven West ((SWM)), given its higher debt levels and lower market cap.

The broker retains a Neutral rating and $0.78 target.

Target price is $0.78 Current Price is $0.82 Difference: minus $0.04 (current price is over target).
If FXJ meets the Citi target it will return approximately minus 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $0.86, suggesting upside of 4.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.4

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

Macquarie rates FXJ as No Rating (-1) -

The company has entered into a merger agreement with Nine Entertainment ((NEC)). Nine expects the merger to deliver at least $50m in cost synergies realisable over two years. Macquarie makes modelling adjustments to Fairfax estimates, downgrading FY18 EPS by -9.2% and FY19 by -9.0%.

The broker is on research restrictions and cannot provide a target or rating at this stage.

Current Price is $0.82. Target price not assessed.

Current consensus price target is $0.86, suggesting upside of 4.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.4

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

Morgan Stanley rates FXJ as Overweight (1) -

Morgan Stanley believes the takeover bid from Nine Entertainment ((NEC)) is an incremental positive for shareholders as it goes at least part way to recognising the value of certain assets, in particular Domain ((DHG)).

The Fairfax board will recommend the deal in the absence of a higher offer. Overweight rating and Attractive industry view maintained. Target is $1.00.

Target price is $1.00 Current Price is $0.82 Difference: $0.18
If FXJ meets the Morgan Stanley target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $0.86, suggesting upside of 4.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.4

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

UBS rates FXJ as Neutral (3) -

The only surprise for UBS in the merger announcement with Nine Entertainment is how long this has taken. The broker considers the proposed transaction positive for Fairfax perspective and neutral-positive from a Nine perspective.

The broker considers the likelihood of regulatory intervention low, expecting the ACCC will take a broad view of the market and consider the remaining diversity of news operators to be sufficient.

Neutral maintained. Target rises to 85c from 80c.

Target price is $0.85 Current Price is $0.82 Difference: $0.03
If FXJ meets the UBS target it will return approximately 4% (excluding dividends, fees and charges).

Current consensus price target is $0.86, suggesting upside of 4.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.4

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

Macquarie rates GUD as Outperform (1) -

Macquarie analyses the company's automotive division and acquisitions. The broker believes there is scope for a multiple re-rating if GUD Holdings delivers more than 13% growth in EPS over FY18-21.

The $40m in automotive acquisitions could drive 18% compound growth over FY18-21 and deliver a 4-12% uplift to estimates and, the broker believes, any further acquisitions in FY19 will drive more upside to forecasts. Macquarie maintains an Outperform rating and raises the target to $15.50 from $13.50.

Target price is $15.50 Current Price is $13.89 Difference: $1.61
If GUD meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $14.03, suggesting upside of 1.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.4

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

Citi rates IFL as Buy (1) -

Record flows have lifted FUM well above Citi's forecasts, although helped by the $2bn transfer of an advisor group. The broker expects FY19 and FY20 EPS should benefit but has previously flagged downside risk from increasing price competition on platforms.

Consequently, the broker offsets the uplift with an allowance for an increased squeeze on margins. Buy rating and $10.90 target maintained.

Target price is $10.90 Current Price is $9.19 Difference: $1.71
If IFL meets the Citi target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $11.12, suggesting upside of 21.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.8

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

Credit Suisse rates IFL as Outperform (1) -

IOOF reported an above expectation 6.0% increase in June Q funds under management, from 3.6% positive market moves and 2.4% inflows. Inflows were well above expectation, the broker notes, albeit supported by the one-off transfer of new partnerships with ASIC data.

A delay to the separation of ANZ's ((ANZ)) wealth business was also announced. With IOOF currently trading around a -25% PE discount to the ASX200 and offering a 7-8% yield, the broker retains Outperform and a $12.00 target.

Target price is $12.00 Current Price is $9.19 Difference: $2.81
If IFL meets the Credit Suisse target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $11.12, suggesting upside of 21.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.8

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

Macquarie rates IFL as Outperform (1) -

June quarter net inflows were more than $2.8bn in the June quarter. Macquarie believes the underlying business is continuing to perform well in spite of the distractions surrounding the sector.

The broker considers the current valuation already incorporates a significant discount for potential regulatory reforms and this is not really justified. Outperform rating. Target reduced to $11.40 from $12.20.

Target price is $11.40 Current Price is $9.19 Difference: $2.21
If IFL meets the Macquarie target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $11.12, suggesting upside of 21.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.8

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

Morgan Stanley rates IFL as Overweight (1) -

Net flows were surprisingly strong at $2.8bn in the June quarter and Morgan Stanley estimates that around $2.0bn related to a block of advisers transferring from another licensee. This highlights the attractiveness of the company's advice-lead model to planners, in the broker's opinion.

Overweight and $12 target retained. Industry view: In Line.

Target price is $12.00 Current Price is $9.19 Difference: $2.81
If IFL meets the Morgan Stanley target it will return approximately 31% (excluding dividends, fees and charges).

Current consensus price target is $11.12, suggesting upside of 21.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.8

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

UBS rates IFL as Neutral (3) -

FUM in the fourth quarter was ahead of UBS estimates, primarily reflecting flows from an additional adviser network. UBS envisages medium-term downside risks to the company's share of external platform economics as contracts are renegotiated over time.

Separately, the company has indicated the full completion of ANZ wealth business will not occur until March, a six-month delay. Neutral rating and $9.30 target maintained.

Target price is $9.30 Current Price is $9.19 Difference: $0.11
If IFL meets the UBS target it will return approximately 1% (excluding dividends, fees and charges).

Current consensus price target is $11.12, suggesting upside of 21.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.8

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

Credit Suisse rates IGO as Underperform (5) -

In a report only a geologist could appreciate, it appears Independence has downgraded the reserve grade at Nova, thus bringing into question the sustainability of the head grade achieved in the June Q.

Underperform and $4.20 target retained.

Target price is $4.20 Current Price is $4.85 Difference: minus $0.65 (current price is over target).
If IGO meets the Credit Suisse target it will return approximately minus 13% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.85, suggesting upside of 1.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: -0.1

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

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

Independence Group has reported reserves of 216,000t at 1.86% nickel, a drop in grade versus Morgan Stanley's estimates. On a simple shortening of mine life, as a result, the Nova valuation drops to $2.70 a share from $3.00 a share.

Although the announcement is negative, the broker believes it need to be weighed against the company now having de-risked production for the entire mine life. Equal-weight rating and $4.45 target maintained. Industry view is: In-Line.

Target price is $4.45 Current Price is $4.85 Difference: minus $0.4 (current price is over target).
If IGO meets the Morgan Stanley target it will return approximately minus 8% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.85, suggesting upside of 1.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: -0.1

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

Citi rates LVT as Buy (1) -

Citi is more confident in its forecasts and reiterates a Buy/high Risk recommendation. The broker increases FY19 and FY20 revenue forecasts by 10%.

The broker observes the N3 partnership is evolving well and FY19 is expected to be a significant year as the sales force hits full momentum. Target is raised to $0.88 from $0.59.

Target price is $0.88 Current Price is $0.67 Difference: $0.21
If LVT meets the Citi target it will return approximately 31% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

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 MP1 as Buy (1) -

Deutsche Bank observes another solid quarter from Megaport, which has added another 15 data centres to its network over the June quarter. The business is set up well for FY19, in the broker's opinion. Buy rating and $5 target maintained.

Target price is $5.00 Current Price is $4.28 Difference: $0.72
If MP1 meets the Deutsche Bank target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $4.91, suggesting upside of 14.6% (ex-dividends)

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

Citi rates MQG as Neutral (3) -

Managing director and CEO Nicholas Moore will retire effective November 30. Despite a negative reaction in the share price Citi believes any fears from the CEO succession are likely to be unfounded. Favoured candidate is Shemara Wikramanayake.

The broker revises FY19-21 EPS forecasts upwards by 1-15% to reflect improving momentum as well as a revision of the timing of sales and gains on sale of key assets. Target is raised $120.00 from $110.25.

Target price is $120.00 Current Price is $121.63 Difference: minus $1.63 (current price is over target).
If MQG meets the Citi target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $117.83, suggesting downside of -3.1% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.6

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

Credit Suisse rates MQG as Outperform (1) -

Macquarie reported an increase in June Q profit year on year but down on the March quarter. No change to FY19 guidance of "broadly in line" with FY18. The broker has slightly lifted forecasts.

The broker also notes the choice for new CEO, on Nick Moore's pending retirement, is "no surprise". Outperform and $115 target retained.

Target price is $115.00 Current Price is $121.63 Difference: minus $6.63 (current price is over target).
If MQG 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 $117.83, suggesting downside of -3.1% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.6

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

Deutsche Bank rates MQG as Hold (3) -

Macquarie Group has maintained guidance for FY19 profit to be broadly in line with FY18. Deutsche Bank expects FX trends could potentially be a tailwind. The company has also announced that CEO Nicholas Moore will step down.

Deutsche Bank maintains a Hold rating and $110 target.

Target price is $110.00 Current Price is $121.63 Difference: minus $11.63 (current price is over target).
If MQG meets the Deutsche Bank target it will return approximately minus 10% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $117.83, suggesting downside of -3.1% (ex-dividends)

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.6

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

Morgan Stanley rates MQG as Overweight (1) -

Morgan Stanley is not surprised by the retirement of Nicholas Moore as CEO and believes his successor Shemara Wikramanayake is the logical replacement, given her strong track record.

First quarter contributions from operations imply more than 10% growth year on year which provides the broker with confidence first half profit can exceed expectations.

Overweight. Industry view is In-Line and the target is $130.

Target price is $130.00 Current Price is $121.63 Difference: $8.37
If MQG meets the Morgan Stanley target it will return approximately 7% (excluding dividends, fees and charges).

Current consensus price target is $117.83, suggesting downside of -3.1% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.6

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

Ord Minnett rates MQG as Hold (3) -

Macquarie has announced the retirement of CEO Nicholas Moore who will be replaced by Shemara Wikramanayake, the current head of Macquarie Asset Management.

The first quarter operational update had few surprises for Ord Minnett, with positive commentary around the commodities and global market business. Macquarie has retained existing FY19 guidance for a "broadly in-line" result versus FY18.

The broker raises FY19 net profit forecasts by 2% and maintains the Hold rating. Target is raised to $117 from $110.

Target price is $117.00 Current Price is $121.63 Difference: minus $4.63 (current price is over target).
If MQG meets the Ord Minnett target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $117.83, suggesting downside of -3.1% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.6

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

UBS rates MQG as Buy (1) -

UBS welcomes Shemara Wikramanayake's appointment to take over from Nicholas Moore as managing director and CEO. The broker believes the business is well-positioned with its five core enterprises in good shape.

The company has updated on the first quarter of FY19, suggesting growth on the prior corresponding quarter. UBS remains comfortable with its forecasts for 9% growth in net profit for FY19. Buy rating $117 target maintained.

Target price is $117.00 Current Price is $121.63 Difference: minus $4.63 (current price is over target).
If MQG meets the UBS target it will return approximately minus 4% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $117.83, suggesting downside of -3.1% (ex-dividends)

The company's fiscal year ends in March.

Forecast for FY19:

Forecast for FY20:

Market Sentiment: 0.6

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

Citi rates NCM as Buy (1) -

Citi found the June quarter very positive, with a 30 mtpa milling rate restored at Cadia.  Lihir exceeded 300,000 ounces in output for the first time.

The broker upgrades FY18 EPS because of the June quarter beat on estimates, and updates its latest metal price forecasts which reduces EPS in FY19 and FY20.

Buy rating maintained. Target rises to $26.50 from $26.00.

Target price is $26.50 Current Price is $21.28 Difference: $5.22
If NCM meets the Citi target it will return approximately 25% (excluding dividends, fees and charges).

Current consensus price target is $21.52, suggesting upside of 1.1% (ex-dividends)

The company's fiscal year ends in June.

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: 0.1

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

Credit Suisse rates NCM as Neutral (3) -

Newcrest posted a strong June Q of production, the broker notes, with Cadia and Lihir both performing well.

Neutral and $20.30 target retained.

Target price is $20.30 Current Price is $21.28 Difference: minus $0.98 (current price is over target).
If NCM 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 $21.52, suggesting upside of 1.1% (ex-dividends)

The company's fiscal year ends in June.

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: 0.1

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

Deutsche Bank rates NCM as Upgrade to Buy from Hold (1) -

Deutsche Bank notes June quarter production was supported by a strong performance of the core assets. Lihir lifted mill throughput to a record 4mt while Cadia and Telfer lifted production by around 6% quarter on quarter.

Deutsche Bank expects the company can lift production in FY19 by 4% and at the same time reduce AISC by -22%. Rating is upgraded to Buy from Hold on valuation. Target is steady at $23.50.

Target price is $23.50 Current Price is $21.28 Difference: $2.22
If NCM meets the Deutsche Bank target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $21.52, suggesting upside of 1.1% (ex-dividends)

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: 0.1

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

Macquarie rates NCM as Underperform (5) -

Fourth quarter production was strong and gold and copper output beat Macquarie's forecasts by 9% and 17% respectively.The broker remains cautious regarding the stock ahead of the release of the FY19 production and cost guidance and the Cadia expansion study on August 22.

Underperform rating and $20 target maintained.

Target price is $20.00 Current Price is $21.28 Difference: minus $1.28 (current price is over target).
If NCM meets the Macquarie target it will return approximately minus 6% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $21.52, suggesting upside of 1.1% (ex-dividends)

The company's fiscal year ends in June.

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: 0.1

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

Ord Minnett rates NCM as Accumulate (2) -

June quarter production of 635,000oz was 10% higher than the same quarter last year and 16% ahead of Ord Minnett forecasts. This allowed Newcrest to reach the top end of revised FY18 guidance.

The strong performance led to lower-than-expected AISC and higher free cash flow. Cadia processing rates exceeded 32mtpa and Lihir reached 16mtpa for the quarter, increasing the broker's confidence both assets can increase gold output in FY19.

Accumulate rating and $24.50 target maintained.

Target price is $24.50 Current Price is $21.28 Difference: $3.22
If NCM meets the Ord Minnett target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $21.52, suggesting upside of 1.1% (ex-dividends)

The company's fiscal year ends in June.

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: 0.1

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

UBS rates NCM as Sell (5) -

Production in the June quarter was well ahead of UBS estimates. Lihir stood out, producing 30% more gold at a -22% lower cost quarter on quarter. Milling was at a record high at high-grade. UBS does not believe this will be replicated in the September quarter.

To become more positive on the stock the broker would like to assess production guidance and the long-term plan surrounding Cadia, and full year results in August 22 could be the catalyst. Sell rating maintained. Target rises to $15.50 from $14.90.

Target price is $15.50 Current Price is $21.28 Difference: minus $5.78 (current price is over target).
If NCM meets the UBS target it will return approximately minus 27% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $21.52, suggesting upside of 1.1% (ex-dividends)

The company's fiscal year ends in June.

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: 0.1

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

Citi rates NEC as Sell (5) -

At around 62% of the current Fairfax ((FXJ)) valuation Citi considers most of what Nine is acquiring is the stake in Domain ((DHG)). The broker considers Domain is the main game and not the newspapers. It is unclear to the broker if the same incentive that Fairfax provided to de-merge Domain exists for Nine.

The broker envisages little risk of regulatory intervention, as media ownership laws are no longer an impediment, and while the ACCC will review the transaction this is not expected to be an issue given the companies have very little overlap. The broker continues to believe the strong growth in TV advertising is cyclical rather than structural.

Target price is $1.90. Rating remains Sell.

Target price is $1.90 Current Price is $2.21 Difference: minus $0.31 (current price is over target).
If NEC meets the Citi target it will return approximately minus 14% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.22, suggesting upside of 0.3% (ex-dividends)

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

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

While the merger with Fairfax ((FXJ)) will make Nine a larger media company it can potentially also make it a better media company, in Morgan Stanley's view. The main debate, for the broker, centres on whether it creates substantial value for Nine shareholders.

The offer represents around a 22% premium for Fairfax shares and, to justify the premium and create value, the broker expects Nine will have to deliver higher cost reductions, higher revenue growth and also exit some of the non-core Fairfax assets.

Target is $2.00. Equal-weight retained. Industry view: Attractive.

Target price is $2.00 Current Price is $2.21 Difference: minus $0.21 (current price is over target).
If NEC meets the Morgan Stanley target it will return approximately minus 10% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $2.22, suggesting upside of 0.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

UBS rates NEC as Neutral (3) -

The only surprise for UBS in the merger announcement with Fairfax ((FXJ)) is how long this has taken. The broker considers the proposed transaction positive for Fairfax perspective and neutral-positive from a Nine perspective.

The broker considers the likelihood of regulatory intervention low, expecting the ACCC will take a broad view of the market and consider the remaining diversity of news operators likely to be sufficient. Nine has confirmed FY18 operating earnings guidance of $250-260m. Neutral rating and $2.40 target.

Target price is $2.40 Current Price is $2.21 Difference: $0.19
If NEC meets the UBS target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $2.22, suggesting upside of 0.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.3

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

Credit Suisse rates OGC as Outperform (1) -

Oceana's June Q report confirms a strong quarter, the broker suggests, with production in line with FY guidance and cost improvement evident. Didipio is exceeding expectations and the Haile ramp-up is progressing well.

The broker retains Outperform and a $3.80 target, noting the miner offers an attractive value proposition relative to mid-tier peers that are trading at a significant premium to net asset value.

Target price is $3.80 Current Price is $4.02 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 $4.63, suggesting upside of 15.3% (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: 0.9

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

Citi rates SBM as Sell (5) -

June quarter production was robust and the FY19 outlook is strong, albeit offset by downgrade to the Gwalia mass extraction. Costs have increased, as expected.

Citi believes the Gwalia expansion is fully priced into the stock although the risks are not. The broker increases real FY22 AISC expectations to US$780/oz, meaning downside risk to guidance. Sell rating maintained. Target rises to $3.80 from $3.70.

Target price is $3.80 Current Price is $4.63 Difference: minus $0.83 (current price is over target).
If SBM meets the Citi target it will return approximately minus 18% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.31, suggesting downside of -6.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: -0.4

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

Credit Suisse rates SBM as Neutral (3) -

St Barbara posted record June Q production at a low cost as Gwalia high grade availability peaked, the broker notes. The Gwalia extension is on track and on budget.

Neutral and $3.85 target retained.

Target price is $3.85 Current Price is $4.63 Difference: minus $0.78 (current price is over target).
If SBM meets the Credit Suisse target it will return approximately minus 17% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $4.31, suggesting downside of -6.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: -0.4

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

Macquarie rates SBM as Neutral (3) -

Macquarie observes a strong finish to FY18 with a record quarter of production. The Gwalia mass extraction feasibility work has identified increases to FY21 and FY22 costs.

Exploration at Gwalia continues to be the highlight with Macquarie noting extension drilling and exploration showing potential. The broker has a Neutral rating and $5 target.

Target price is $5.00 Current Price is $4.63 Difference: $0.37
If SBM meets the Macquarie target it will return approximately 8% (excluding dividends, fees and charges).

Current consensus price target is $4.31, suggesting downside of -6.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: -0.4

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

Morgans rates VLW as Add (1) -

FY18 net profit guidance of $42-44m has been provided while initial FY19 guidance is for profit around $40m. Morgans observes this guidance assumes a meaningful revenue contribution from pre-sales on two projects is deferred into FY20 because of planning authority delays.

Nevertheless, the FY19-20 outlook is supported by strong pre-sales and the commencement of earnings from the Donnybrook sale from FY20.

Morgans considers the dividend yield attractive but a valuation re-rating unlikely because of the cyclical exposure of the business and the strength of the residential cycle over recent years. Target is reduced to $2.48 from $2.94. Add maintained.

Target price is $2.48 Current Price is $2.15 Difference: $0.33
If VLW meets the Morgans target it will return approximately 15% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

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

Citi rates VRL as Neutral (3) -

Citi analysts have had a deeper dive into the global cinema industry's fight against emerging content platforms, such as Netflix. It appears the fight back has two pillars to date: launching new entertainment formats and creating a loyalty program to secure foot traffic.

Citi analysts acknowledge Village Roadshow’s recent equity raising and asset sales resolves the balance sheet issue short term, but the analysts want to see a reduction in the capital intensity of the businesses, which constantly require fresh attractions, before considering recommending to buy the stock.

The company has started to roll out a new format, Top Golf, but site availability is expected to limit the pace and potential, the analysts suggest. Neutral rating retained, as well as the $2.40 price target.

Target price is $2.40 Current Price is $1.87 Difference: $0.53
If VRL meets the Citi target it will return approximately 28% (excluding dividends, fees and charges).

Current consensus price target is $2.54, suggesting upside of 36.0% (ex-dividends)

The company's fiscal year ends in June.

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

Morgans rates WHC as Hold (3) -

Fourth quarter production was in line with forecasts. Morgans believes the company's proven ability to manage the production issues at Narrabri is most significant and capital management upside appears compelling in coming years.

Thermal coal prices continue to surprise to the upside in response to Chinese domestic policy/demand and the concentration of Australian supply. Morgans lifts long-term thermal coal price assumptions to US$75/t. Hold rating maintained. Target is raised to $5.20 from $4.56.

Target price is $5.20 Current Price is $5.64 Difference: minus $0.44 (current price is over target).
If WHC meets the Morgans target it will return approximately minus 8% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $5.49, suggesting downside of -2.7% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY18:

Forecast for FY19:

Market Sentiment: 0.4

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

Ord Minnett rates WOW as Downgrade to Hold from Accumulate (3) -

Ord Minnett expects a moderation in Woolworths' like-for-like sales growth and margins due to the removal of single-use plastic bags. This leads to a downgrade to Hold from Accumulate and a reduction in the target price to $30.00 from $32.50.

The broker notes the recent share price performance and elevated P/E multiples have made the stock more vulnerable to any earnings downgrades. Hence, Ord Minnett has reduced FY19 earnings estimates by -3.7% and FY20 by -2.7%.

Target price is $30.00 Current Price is $30.22 Difference: minus $0.22 (current price is over target).
If WOW meets the Ord Minnett target it will return approximately minus 1% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $28.33, suggesting downside of -6.2% (ex-dividends)

The company's fiscal year ends in June.

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