Australian Broker Call

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April 22, 2021

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COMPANIES DISCUSSED IN THIS ISSUE

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The number next to the symbol represents the number of brokers covering it for this report -(if more than 1).

Last Updated: 05:00 PM

Your daily news report on the latest recommendation, valuation, forecast and opinion changes.

This report includes concise but limited reviews of research recently published by Stockbrokers, which should be considered as information concerning likely market behaviour rather than advice on the securities mentioned. Do not act on the contents of this Report without first reading the important information included at the end.

For more info about the different terms used by stockbrokers, as well as the different methodologies behind similar sounding ratings, download our guide HERE

Today's Upgrades and Downgrades
ALG - Ardent Leisure Downgrade to Sell from Hold Ord Minnett
AMC - Amcor Downgrade to Neutral from Outperform Macquarie
CGF - Challenger Downgrade to Neutral from Outperform Credit Suisse
PLS - Pilbara Minerals Downgrade to Sell from Neutral Citi
A2M  THE A2 MILK COMPANY LIMITED

Dairy

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Overnight Price: $7.71

Citi rates A2M as Sell (5) -

After conducting a survey, Citi’s US retail team revealed consumers in China are more likely to buy domestic athletic brands (Li Ning and Anta) as compared to foreign athletic brands (Nike and Adidas).

This trend is consistent with what the broker is seeing in other consumer-related categories, including infant formula and vitamins. The Sell rating and $7.15 target for The a2 Milk Company is retained, given concerns this may be increasingly impacting demand.

Additionally, pricing may come under further pressure as resellers could start to discount as inventory moves closer to expiry, putting further pressure on reseller margins. Also, geopolitical tensions may ultimately restrict inventory flow.

Target price is $7.15 Current Price is $7.71 Difference: minus $0.56 (current price is over target).
If A2M meets the Citi target it will return approximately minus 7% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $8.43, suggesting upside of 10.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Citi forecasts a full year FY21 dividend of 0.00 cents and EPS of 33.54 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.99.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 29.9, implying annual growth of N/A.

Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.

Current consensus EPS estimate suggests the PER is 25.5.

Forecast for FY22:

Citi forecasts a full year FY22 dividend of 0.00 cents and EPS of 39.13 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.70.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 35.3, implying annual growth of 18.1%.

Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.

Current consensus EPS estimate suggests the PER is 21.6.

This company reports in NZD. 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


UBS rates A2M as Buy (1) -

UBS pins its Buy rating on a meaningful recovery in indirect infant formula sales over the next two years, plus substantial gains in market share in China through the off-line roll-out and free trade zone expansion.

The broker acknowledges short-term earnings risks amid reduced visibility on daigou sales and the conflicting messages from peers in the March quarter. Target is steady at NZ$16.00.

Current Price is $7.71. Target price not assessed.

Current consensus price target is $8.43, suggesting upside of 10.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

UBS forecasts a full year FY21 dividend of 0.00 cents and EPS of 30.28 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 25.46.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 29.9, implying annual growth of N/A.

Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.

Current consensus EPS estimate suggests the PER is 25.5.

Forecast for FY22:

UBS forecasts a full year FY22 dividend of 0.00 cents and EPS of 37.92 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.33.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 35.3, implying annual growth of 18.1%.

Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.

Current consensus EPS estimate suggests the PER is 21.6.

This company reports in NZD. 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

ALG  ARDENT LEISURE GROUP

Travel, Leisure & Tourism

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Overnight Price: $1.00

Ord Minnett rates ALG as Downgrade to Sell from Hold (5) -

Main Event is now reporting strong comparable numbers and Ord Minnett suspects its fears when the company announced a deal with RedBird Capital for a 51% stake in this business are likely materialising.

At the time of the deal, in the depths of the pandemic, the broker asserted, while this was positive for short-term cash flow, it could cap shareholder exposure to the upside in a potential recovery.

Despite valuing Main Event at $912m on a 100% basis, the broker estimates RedBird will be able to acquire its controlling stake for just $234m. Rating is downgraded to Sell from Hold and the target rises to $0.75 from $0.60.

Target price is $0.75 Current Price is $1.00 Difference: minus $0.25 (current price is over target).
If ALG meets the Ord Minnett target it will return approximately minus 25% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company's fiscal year ends in June.

Forecast for FY21:

Ord Minnett forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 16.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 6.25.

Forecast for FY22:

Ord Minnett forecasts a full year FY22 dividend of 0.00 cents and EPS of minus 9.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 11.11.

Market Sentiment: 0.0

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

ALL  ARISTOCRAT LEISURE LIMITED

Gaming

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Overnight Price: $36.22

Citi rates ALL as Buy (1) -

Citi notes that Aristocrat Leisure continued to perform very well, according to March surveys. Class III performance was considered solid across both outright and premium leased, while the company’s dominant Class II business has seen performance moderate.

Additionally, an increased level of penetration has not impacted the performance of Lightning Link or Dragon Link over the past 12 months, explains the analyst. New game performance also rebounded in March and Citi maintains its Buy rating with a target of $40.60.

Target price is $40.60 Current Price is $36.22 Difference: $4.38
If ALL meets the Citi target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $37.20, suggesting upside of 0.9% (ex-dividends)

The company's fiscal year ends in September.

Forecast for FY21:

Citi forecasts a full year FY21 dividend of 35.00 cents and EPS of 119.50 cents.
At the last closing share price the estimated dividend yield is 0.97%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 30.31.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 104.6, implying annual growth of -51.6%.

Current consensus DPS estimate is 41.1, implying a prospective dividend yield of 1.1%.

Current consensus EPS estimate suggests the PER is 35.2.

Forecast for FY22:

Citi forecasts a full year FY22 dividend of 55.00 cents and EPS of 168.90 cents.
At the last closing share price the estimated dividend yield is 1.52%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.44.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 152.4, implying annual growth of 45.7%.

Current consensus DPS estimate is 60.9, implying a prospective dividend yield of 1.7%.

Current consensus EPS estimate suggests the PER is 24.2.

Market Sentiment: 0.8

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

ALX  ATLAS ARTERIA

Infrastructure & Utilities

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Overnight Price: $5.99

Macquarie rates ALX as Neutral (3) -

Atlas Arteria reported its first-quarter traffic with APRR traffic better than expected while Greenway traffic was down -47% versus last year. Macquarie notes the underperformance at Greenway will not impact Atlas Arteria's cash flow.

Warnow was also down -18% versus last year driven by an extended lockdown and was well below the broker's expectation.

Macquarie expects France’s current lockdown to see a very weak April but the broker forecasts May and June should be better as the government reduces restrictions and traffic recovers. 

Neutral retained with a target price of $6.01.

Target price is $6.01 Current Price is $5.99 Difference: $0.02
If ALX meets the Macquarie target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $6.32, suggesting upside of 4.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

Macquarie forecasts a full year FY21 dividend of 27.00 cents and EPS of 59.50 cents.
At the last closing share price the estimated dividend yield is 4.51%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.07.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 28.1, implying annual growth of N/A.

Current consensus DPS estimate is 28.3, implying a prospective dividend yield of 4.7%.

Current consensus EPS estimate suggests the PER is 21.5.

Forecast for FY22:

Macquarie forecasts a full year FY22 dividend of 36.00 cents and EPS of 84.50 cents.
At the last closing share price the estimated dividend yield is 6.01%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.09.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 39.3, implying annual growth of 39.9%.

Current consensus DPS estimate is 37.7, implying a prospective dividend yield of 6.2%.

Current consensus EPS estimate suggests the PER is 15.4.

Market Sentiment: 0.6

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


Morgans rates ALX as Add (1) -

The March quarter performance for Atlas Arteria’s 31% stake in the APRR toll road network in France exceeded Morgans expectations by circa 10%. This toll road contributes around 84% of the broker’s overall equity valuation. 

The Dulles Greenway in the US, which contributes circa 10% of equity valuation was -12% below expectations, due to covid and heavy snowfall during the period.

The target price increases to $6.31 from $6.14, due largely to forecast changes and a spot FX rate update. The Add rating is maintained.

Target price is $6.31 Current Price is $5.99 Difference: $0.32
If ALX meets the Morgans target it will return approximately 5% (excluding dividends, fees and charges).

Current consensus price target is $6.32, suggesting upside of 4.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

Morgans forecasts a full year FY21 dividend of 29.50 cents and EPS of 0.00 cents.
At the last closing share price the estimated dividend yield is 4.92%.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 28.1, implying annual growth of N/A.

Current consensus DPS estimate is 28.3, implying a prospective dividend yield of 4.7%.

Current consensus EPS estimate suggests the PER is 21.5.

Forecast for FY22:

Morgans forecasts a full year FY22 dividend of 45.00 cents and EPS of 0.00 cents.
At the last closing share price the estimated dividend yield is 7.51%.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 39.3, implying annual growth of 39.9%.

Current consensus DPS estimate is 37.7, implying a prospective dividend yield of 6.2%.

Current consensus EPS estimate suggests the PER is 15.4.

Market Sentiment: 0.6

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


UBS rates ALX as Neutral (3) -

While there continues to be a risk around traffic performance over the short term, UBS expects it will recover quickly once travel restrictions are lifted. This is ultimately a function of the roll-out of vaccines, which has been relatively slow in France.

The broker currently assumes traffic on APRR roads will be around -8% below the 2019 level for 2021 and flat by 2022.

The company has reported a weighted average toll revenue decrease for the quarter of -15% amid -20% declines in traffic across the portfolio compared with 2019. The Neutral rating is under review. Target is $5.75.

Target price is $5.75 Current Price is $5.99 Difference: minus $0.24 (current price is over target).
If ALX 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 $6.32, suggesting upside of 4.6% (ex-dividends)

The company's fiscal year ends in December.

Forecast for FY21:

UBS forecasts a full year FY21 dividend of 31.00 cents.
At the last closing share price the estimated dividend yield is 5.18%.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 28.1, implying annual growth of N/A.

Current consensus DPS estimate is 28.3, implying a prospective dividend yield of 4.7%.

Current consensus EPS estimate suggests the PER is 21.5.

Forecast for FY22:

UBS forecasts a full year FY22 dividend of 38.00 cents.
At the last closing share price the estimated dividend yield is 6.34%.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 39.3, implying annual growth of 39.9%.

Current consensus DPS estimate is 37.7, implying a prospective dividend yield of 6.2%.

Current consensus EPS estimate suggests the PER is 15.4.

Market Sentiment: 0.6

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

AMC  AMCOR LIMITED

Paper & Packaging

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Overnight Price: $15.24

Macquarie rates AMC as Downgrade to Neutral from Outperform (3) -

Amcor's nine-month result is expected on May 5. 

Going by last year's nine-month numbers, Macquarie expects US$785m in net profit for the nine months, up 9%.

While the June quarter is Amcor's largest quarter in terms of contribution to the company's profit, this year Macquarie expects the contribution to be slightly lower due to higher raw material costs. 

Macquarie reduces its rating to Neutral from Outperform with the target dropping to $16.09 from $17.19.

Target price is $16.09 Current Price is $15.24 Difference: $0.85
If AMC meets the Macquarie target it will return approximately 6% (excluding dividends, fees and charges).

Current consensus price target is $16.81, suggesting upside of 10.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Macquarie forecasts a full year FY21 dividend of 64.64 cents and EPS of 98.75 cents.
At the last closing share price the estimated dividend yield is 4.24%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.43.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 94.6, implying annual growth of N/A.

Current consensus DPS estimate is 61.2, implying a prospective dividend yield of 4.0%.

Current consensus EPS estimate suggests the PER is 16.1.

Forecast for FY22:

Macquarie forecasts a full year FY22 dividend of 64.64 cents and EPS of 103.70 cents.
At the last closing share price the estimated dividend yield is 4.24%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.70.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 101.1, implying annual growth of 6.9%.

Current consensus DPS estimate is 63.3, implying a prospective dividend yield of 4.2%.

Current consensus EPS estimate suggests the PER is 15.1.

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 AMC as Buy (1) -

Amcor will report its March quarter results on May 5 and Ord Minnett expects constant currency growth in earnings per share of 8%. The broker lowers FY21 estimates modestly because of rising raw material costs but raises FY22 estimates as these are recovered.

The broker believes the company offers exposure to a highly defensive earnings stream and retains an Accumulate rating. Target is reduced to $16.75 from $17.00.

This stock is not covered in-house by Ord Minnett. Instead, the broker whitelabels research by JP Morgan.

Target price is $16.75 Current Price is $15.24 Difference: $1.51
If AMC meets the Ord Minnett target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $16.81, suggesting upside of 10.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Ord Minnett forecasts a full year FY21 dividend of 66.02 cents and EPS of 100.40 cents.
At the last closing share price the estimated dividend yield is 4.33%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.18.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 94.6, implying annual growth of N/A.

Current consensus DPS estimate is 61.2, implying a prospective dividend yield of 4.0%.

Current consensus EPS estimate suggests the PER is 16.1.

Forecast for FY22:

Ord Minnett forecasts a full year FY22 dividend of 68.77 cents and EPS of 103.15 cents.
At the last closing share price the estimated dividend yield is 4.51%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.77.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 101.1, implying annual growth of 6.9%.

Current consensus DPS estimate is 63.3, implying a prospective dividend yield of 4.2%.

Current consensus EPS estimate suggests the PER is 15.1.

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

AZJ  AURIZON HOLDINGS LIMITED

Transportation & Logistics

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Overnight Price: $3.87

Macquarie rates AZJ as Outperform (1) -

Aurizon Holdings' third-quarter volumes show NSW haulage volumes were impacted by NCIG ship loader and floods loader and were down -12.6% versus port at -7.7%.

At Central Queensland Conveyancing Centre, volumes fell less for Aurizon Holdings as compared to ports, which Macquarie attributes to growing BHP volumes and exposure to better performing mines.

The broker notes Aurizon's balance sheet gives the company capacity to pursue incremental opportunities. Coal is expected to rebound in the short-term, even though the long-term fundamentals are weak.

Outperform rating and $4.41 target maintained.

Target price is $4.41 Current Price is $3.87 Difference: $0.54
If AZJ meets the Macquarie target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $4.74, suggesting upside of 23.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Macquarie forecasts a full year FY21 dividend of 27.80 cents and EPS of 25.50 cents.
At the last closing share price the estimated dividend yield is 7.18%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.18.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 27.4, implying annual growth of -13.1%.

Current consensus DPS estimate is 27.9, implying a prospective dividend yield of 7.3%.

Current consensus EPS estimate suggests the PER is 14.0.

Forecast for FY22:

Macquarie forecasts a full year FY22 dividend of 28.10 cents and EPS of 28.20 cents.
At the last closing share price the estimated dividend yield is 7.26%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.72.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 29.3, implying annual growth of 6.9%.

Current consensus DPS estimate is 29.0, implying a prospective dividend yield of 7.6%.

Current consensus EPS estimate suggests the PER is 13.1.

Market Sentiment: 0.7

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


Morgans rates AZJ as Add (1) -

A third quarter reduction in Coal division haulage volumes was principally driven by the -8% decline in market volumes in Qld, explains Morgans. This was estimated to be largely caused by a decline in volume through the Dalrymple Bay Coal Terminal (DBCT).

The broker points out the weakness in Qld volumes has implications for the company's Network below rail volumes. It's considered volumes across the network will fall below the FY21 regulatory forecast and result in Network under-recovering its revenue allowance.

The Add rating is unchanged and the target price is decreased to $4.40 from $4.56 though the analyst feels the shares look cheap compared to the estimated multiples for Dalrymple Bay Infrastructure ((DBI)).

Target price is $4.40 Current Price is $3.87 Difference: $0.53
If AZJ meets the Morgans target it will return approximately 14% (excluding dividends, fees and charges).

Current consensus price target is $4.74, suggesting upside of 23.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Morgans forecasts a full year FY21 dividend of 28.00 cents and EPS of 28.00 cents.
At the last closing share price the estimated dividend yield is 7.24%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.82.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 27.4, implying annual growth of -13.1%.

Current consensus DPS estimate is 27.9, implying a prospective dividend yield of 7.3%.

Current consensus EPS estimate suggests the PER is 14.0.

Forecast for FY22:

Morgans forecasts a full year FY22 dividend of 29.00 cents and EPS of 30.00 cents.
At the last closing share price the estimated dividend yield is 7.49%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.90.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 29.3, implying annual growth of 6.9%.

Current consensus DPS estimate is 29.0, implying a prospective dividend yield of 7.6%.

Current consensus EPS estimate suggests the PER is 13.1.

Market Sentiment: 0.7

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

BHP  BHP GROUP

Bulks

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Overnight Price: $47.21

Citi rates BHP as Neutral (3) -

BHP Group reported March quarterly iron ore, petroleum and copper production largely in-line with Citi's estimates. The Coal division was considered a disappointment, with met coal and thermal volumes -11% and -18% shy of the broker's forecasts, due to weather. 

Management adjusted volume guidance to reflect a strong Escondida performance and the weather-impacted coal business. While iron ore and petroleum volume/cost guidance was unchanged, copper volume guidance was increased to 1,535-1660kt from 1,510-1,645kt.

Neutral rating and $46 target are retained.

Target price is $46.00 Current Price is $47.21 Difference: minus $1.21 (current price is over target).
If BHP meets the Citi target it will return approximately minus 3% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $47.71, suggesting upside of 0.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Citi forecasts a full year FY21 dividend of 429.10 cents and EPS of 454.00 cents.
At the last closing share price the estimated dividend yield is 9.09%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.40.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 417.6, implying annual growth of N/A.

Current consensus DPS estimate is 324.4, implying a prospective dividend yield of 6.8%.

Current consensus EPS estimate suggests the PER is 11.4.

Forecast for FY22:

Citi forecasts a full year FY22 dividend of 500.62 cents and EPS of 527.99 cents.
At the last closing share price the estimated dividend yield is 10.60%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.94.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 420.4, implying annual growth of 0.7%.

Current consensus DPS estimate is 321.6, implying a prospective dividend yield of 6.7%.

Current consensus EPS estimate suggests the PER is 11.3.

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 BHP as Neutral (3) -

March quarter production generated some minor changes with an upgrade to copper and a downgrade to coal guidance. FY21 copper guidance has been raised to 1.54-1.66mt.

While metallurgical coal prices have been lagging, spot iron ore, copper, Brent oil and thermal coal are all ahead of Credit Suisse commodity price forecasts.

Apart from the laggard, metallurgical coal, the broker observes BHP Group is experiencing robust pricing across its range of commodities, supporting its capital return outlook.

Neutral rating with a target of $42.

Target price is $42.00 Current Price is $47.21 Difference: minus $5.21 (current price is over target).
If BHP 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 $47.71, suggesting upside of 0.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Credit Suisse forecasts a full year FY21 dividend of 382.34 cents and EPS of 448.36 cents.
At the last closing share price the estimated dividend yield is 8.10%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.53.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 417.6, implying annual growth of N/A.

Current consensus DPS estimate is 324.4, implying a prospective dividend yield of 6.8%.

Current consensus EPS estimate suggests the PER is 11.4.

Forecast for FY22:

Credit Suisse forecasts a full year FY22 dividend of 211.80 cents and EPS of 423.60 cents.
At the last closing share price the estimated dividend yield is 4.49%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.14.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 420.4, implying annual growth of 0.7%.

Current consensus DPS estimate is 321.6, implying a prospective dividend yield of 6.7%.

Current consensus EPS estimate suggests the PER is 11.3.

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 BHP as Outperform (1) -

BHP Group’s third-quarter result was solid, observes Macquarie, with in-line iron-ore and petroleum volumes while coal volumes turned out weaker than forecast. The broker notes year to date, BHP has produced 211mt of iron ore which positions it well to achieve its guidance.

The broker highlights copper guidance has been increased on strong Escondida results, while coal guidance has been downgraded due to adverse weather conditions. Buoyant iron-ore prices are driving strong earnings upgrade momentum, adds Macquarie.

Outperform rating reiterated with a target of $57.

Target price is $57.00 Current Price is $47.21 Difference: $9.79
If BHP meets the Macquarie target it will return approximately 21% (excluding dividends, fees and charges).

Current consensus price target is $47.71, suggesting upside of 0.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Macquarie forecasts a full year FY21 dividend of 350.71 cents and EPS of 427.73 cents.
At the last closing share price the estimated dividend yield is 7.43%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.04.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 417.6, implying annual growth of N/A.

Current consensus DPS estimate is 324.4, implying a prospective dividend yield of 6.8%.

Current consensus EPS estimate suggests the PER is 11.4.

Forecast for FY22:

Macquarie forecasts a full year FY22 dividend of 297.07 cents and EPS of 369.69 cents.
At the last closing share price the estimated dividend yield is 6.29%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 12.77.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 420.4, implying annual growth of 0.7%.

Current consensus DPS estimate is 321.6, implying a prospective dividend yield of 6.7%.

Current consensus EPS estimate suggests the PER is 11.3.

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 BHP as Overweight (1) -

After third quarter production results, Morgan Stanley assesses project execution and operational performance are both going well. Quarterly iron ore and petroleum were in-line with the broker's expectations, copper was ahead and coal was lower.

Management expects iron ore production to be at the upper end of the guidance range and the copper production range has been increased to 1,535-1,660kt from 1,510-1,645kt. Price realisation for iron ore should be better on higher lump sales, notes the analyst.

Morgan Stanley highlights major growth projects, notably South Flank and Ruby, are all tracking in-line or better than planned. The Overweight rating is retained with a target price of $47.35. Industry view: Attractive.

Target price is $47.35 Current Price is $47.21 Difference: $0.14
If BHP meets the Morgan Stanley target it will return approximately 0% (excluding dividends, fees and charges).

Current consensus price target is $47.71, suggesting upside of 0.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Morgan Stanley forecasts a full year FY21 dividend of 214.55 cents and EPS of 418.10 cents.
At the last closing share price the estimated dividend yield is 4.54%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.29.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 417.6, implying annual growth of N/A.

Current consensus DPS estimate is 324.4, implying a prospective dividend yield of 6.8%.

Current consensus EPS estimate suggests the PER is 11.4.

Forecast for FY22:

Morgan Stanley forecasts a full year FY22 dividend of 369.96 cents and EPS of 409.85 cents.
At the last closing share price the estimated dividend yield is 7.84%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.52.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 420.4, implying annual growth of 0.7%.

Current consensus DPS estimate is 321.6, implying a prospective dividend yield of 6.7%.

Current consensus EPS estimate suggests the PER is 11.3.

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 BHP as Hold (3) -

According to Morgans, BHP Group posted a solid third quarter underlying operational performance across iron ore, copper, petroleum and nickel, while both metallurgical and thermal coal disappointed.

Management now expects the upper half of FY21 guidance for iron ore shipments. A strong performance from Olympic Dam and Antamina more than offset Escondida. Management noted covid-depressed volumes are likely to continue at Escondida. 

While maintaining a Hold rating the analyst lifts the target price to $43.60 from $42.20, reflecting guidance changes, upgraded iron ore/copper/thermal coal forecasts and lower met coal.

Target price is $43.60 Current Price is $47.21 Difference: minus $3.61 (current price is over target).
If BHP 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 $47.71, suggesting upside of 0.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Morgans forecasts a full year FY21 dividend of 298.45 cents and EPS of 441.48 cents.
At the last closing share price the estimated dividend yield is 6.32%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.69.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 417.6, implying annual growth of N/A.

Current consensus DPS estimate is 324.4, implying a prospective dividend yield of 6.8%.

Current consensus EPS estimate suggests the PER is 11.4.

Forecast for FY22:

Morgans forecasts a full year FY22 dividend of 292.95 cents and EPS of 418.10 cents.
At the last closing share price the estimated dividend yield is 6.21%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.29.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 420.4, implying annual growth of 0.7%.

Current consensus DPS estimate is 321.6, implying a prospective dividend yield of 6.7%.

Current consensus EPS estimate suggests the PER is 11.3.

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 BHP as Buy (1) -

March quarter production was broadly in line with expectations. Iron ore shipments were affected by adverse weather. Copper volumes were ahead of Ord Minnett's forecasts, albeit down -8% quarter on quarter as grades and throughput dropped at Escondida.

Coal guidance has been revised lower. The stock is trading at an attractive dividend yield and Ord Minnett remains positive about Chinese iron ore demand. Buy rating and $56 target retained.

This stock is not covered in-house by Ord Minnett. Instead, the broker whitelabels research by JP Morgan.

Target price is $56.00 Current Price is $47.21 Difference: $8.79
If BHP meets the Ord Minnett target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $47.71, suggesting upside of 0.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Ord Minnett forecasts a full year FY21 dividend of 364.46 cents and EPS of 477.24 cents.
At the last closing share price the estimated dividend yield is 7.72%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.89.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 417.6, implying annual growth of N/A.

Current consensus DPS estimate is 324.4, implying a prospective dividend yield of 6.8%.

Current consensus EPS estimate suggests the PER is 11.4.

Forecast for FY22:

Ord Minnett forecasts a full year FY22 dividend of 376.84 cents and EPS of 572.14 cents.
At the last closing share price the estimated dividend yield is 7.98%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.25.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 420.4, implying annual growth of 0.7%.

Current consensus DPS estimate is 321.6, implying a prospective dividend yield of 6.7%.

Current consensus EPS estimate suggests the PER is 11.3.

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 BHP as Neutral (3) -

March quarter production was in line with UBS estimates and China's steel production remains key to the outlook.

The broker expects BHP Group will benefit from high iron ore prices in the near term, forecasting prices will fall to around US$100/t by the end of 2021 and US$75/t by the end of 2023 as Brazilian supply recovers and Chinese demand softens.

UBS expects cash returns to shareholders will be high at the FY21 results on August 17. Neutral rating and $42 target maintained.

Target price is $42.00 Current Price is $47.21 Difference: minus $5.21 (current price is over target).
If BHP meets the UBS target it will return approximately minus 11% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $47.71, suggesting upside of 0.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

UBS forecasts a full year FY21 dividend of 379.59 cents and EPS of 446.98 cents.
At the last closing share price the estimated dividend yield is 8.04%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.56.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 417.6, implying annual growth of N/A.

Current consensus DPS estimate is 324.4, implying a prospective dividend yield of 6.8%.

Current consensus EPS estimate suggests the PER is 11.4.

Forecast for FY22:

UBS forecasts a full year FY22 dividend of 346.58 cents and EPS of 411.22 cents.
At the last closing share price the estimated dividend yield is 7.34%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.48.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 420.4, implying annual growth of 0.7%.

Current consensus DPS estimate is 321.6, implying a prospective dividend yield of 6.7%.

Current consensus EPS estimate suggests the PER is 11.3.

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

BKL  BLACKMORES LIMITED

Health & Nutrition

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Overnight Price: $84.24

Citi rates BKL as Sell (5) -

After conducting a survey, Citi’s US retail team revealed consumers in China are more likely to buy domestic athletic brands (Li Ning and Anta) as compared to foreign athletic brands (Nike and Adidas).

This trend is consistent with what the broker is seeing in other consumer-related categories, including infant formula and vitamins. The Sell rating and $59.20 target for Blackmores is retained, given concerns this may be increasingly impacting demand.

In addition, the broker is concerned about the performance of the market in Australia. This comes at a time when competition is increasing and the company is reducing its investment in its salesforce.

Target price is $59.20 Current Price is $84.24 Difference: minus $25.04 (current price is over target).
If BKL meets the Citi target it will return approximately minus 30% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $73.95, suggesting downside of -8.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Citi forecasts a full year FY21 dividend of 54.00 cents and EPS of 179.00 cents.
At the last closing share price the estimated dividend yield is 0.64%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 47.06.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 170.4, implying annual growth of 64.6%.

Current consensus DPS estimate is 85.1, implying a prospective dividend yield of 1.1%.

Current consensus EPS estimate suggests the PER is 47.2.

Forecast for FY22:

Citi forecasts a full year FY22 dividend of 73.00 cents and EPS of 243.00 cents.
At the last closing share price the estimated dividend yield is 0.87%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 34.67.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 249.7, implying annual growth of 46.5%.

Current consensus DPS estimate is 136.6, implying a prospective dividend yield of 1.7%.

Current consensus EPS estimate suggests the PER is 32.2.

Market Sentiment: -0.2

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

BUB  BUBS AUSTRALIA LIMITED

Dairy

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Overnight Price: $0.47

Citi rates BUB as Sell (5) -

After conducting a survey, Citi’s US retail team revealed consumers in China are more likely to buy domestic athletic brands (Li Ning and Anta) as compared to foreign athletic brands (Nike and Adidas).

This trend is consistent with what the broker is seeing in other consumer-related categories, including infant formula and vitamins. The Sell rating and $0.35 target for Bubs Australia is retained, given concerns this may be increasingly impacting demand.

Also, covid-19 has delayed and increased uncertainty surrounding the pathway to breakeven and the broker requires evidence of a material and sustainable daigou turnaround to turn positive on the stock.

Target price is $0.35 Current Price is $0.47 Difference: minus $0.12 (current price is over target).
If BUB meets the Citi target it will return approximately minus 26% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company's fiscal year ends in June.

Forecast for FY21:

Citi forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 1.50 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 31.33.

Forecast for FY22:

Citi forecasts a full year FY22 dividend of 0.00 cents and EPS of 1.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 33.57.

Market Sentiment: -1.0

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

CGF  CHALLENGER LIMITED

Wealth Management & Investments

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Overnight Price: $5.25

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

Challenger reported its strongest quarter of annuity book growth in the 10-year time series, comments Credit Suisse. This was supported by $1bn in low margin/discounted institutional term annuities without which there would have been no growth.

The benefit of a stronger book was overshadowed by an FY21 downgrade and guidance is now for the lower end of the $390-440m pre-tax profit range.

Credit Suisse downgrades to Neutral from Outperform, assessing the recovery story is delayed. Target is reduced to $6.05 from $6.65.

Target price is $6.05 Current Price is $5.25 Difference: $0.8
If CGF meets the Credit Suisse target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $6.17, suggesting upside of 20.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Credit Suisse forecasts a full year FY21 dividend of 19.00 cents and EPS of 35.00 cents.
At the last closing share price the estimated dividend yield is 3.62%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 38.7, implying annual growth of N/A.

Current consensus DPS estimate is 20.4, implying a prospective dividend yield of 4.0%.

Current consensus EPS estimate suggests the PER is 13.3.

Forecast for FY22:

Credit Suisse forecasts a full year FY22 dividend of 21.00 cents and EPS of 39.00 cents.
At the last closing share price the estimated dividend yield is 4.00%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.46.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 42.5, implying annual growth of 9.8%.

Current consensus DPS estimate is 23.5, implying a prospective dividend yield of 4.6%.

Current consensus EPS estimate suggests the PER is 12.1.

Market Sentiment: 0.3

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

CSL  CSL LIMITED

Pharmaceuticals & Biotech/Lifesciences

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Overnight Price: $267.95

Citi rates CSL as Buy (1) -

In a review of the plasma collection outlook, Citi recalls the negative impact on collections during 2020 of US covid-19 infection rates, and resultant social distancing measures. It's considered restricted travel and government stimulus packages also weighed.

Now, with around 40% of the US population having received at least one vaccination, the broker expects collection volumes to be back at 2019 levels in 2H21. Buy rating and $310 target. The analyst looks for consensus earnings upgrades later in the year.

Target price is $310.00 Current Price is $267.95 Difference: $42.05
If CSL meets the Citi target it will return approximately 16% (excluding dividends, fees and charges).

Current consensus price target is $297.11, suggesting upside of 9.1% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Citi forecasts a full year FY21 dividend of 323.20 cents and EPS of 719.30 cents.
At the last closing share price the estimated dividend yield is 1.21%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 37.25.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 651.0, implying annual growth of N/A.

Current consensus DPS estimate is 261.6, implying a prospective dividend yield of 1.0%.

Current consensus EPS estimate suggests the PER is 41.8.

Forecast for FY22:

Citi forecasts a full year FY22 dividend of 369.96 cents and EPS of 718.61 cents.
At the last closing share price the estimated dividend yield is 1.38%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 37.29.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 651.8, implying annual growth of 0.1%.

Current consensus DPS estimate is 284.8, implying a prospective dividend yield of 1.0%.

Current consensus EPS estimate suggests the PER is 41.8.

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

CTD  CORPORATE TRAVEL MANAGEMENT LIMITED

Travel, Leisure & Tourism

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Overnight Price: $19.70

Morgan Stanley rates CTD as Overweight (1) -

Breakeven was achieved in the third quarter and management expects to be positive earnings (EBITDA) in Q4. This was driven by domestic travel (circa 60% of pre-covid revenues) and A&NZ, where bookings are now 85% of FY19, explains Morgan Stanley.

In addition, essential travel in the UK/EU continues to support profitability and there are positive signs of recovering activity in the US, which may be accelerated by vaccine rollouts, notes the broker. Target is $21.50. Overweight rating reiterated. Industry view is In-Line.

Target price is $21.50 Current Price is $19.70 Difference: $1.8
If CTD meets the Morgan Stanley target it will return approximately 9% (excluding dividends, fees and charges).

Current consensus price target is $21.30, suggesting upside of 3.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Morgan Stanley forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 23.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 85.65.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -24.6, implying annual growth of N/A.

Current consensus DPS estimate is 1.7, implying a prospective dividend yield of 0.1%.

Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY22:

Morgan Stanley forecasts a full year FY22 dividend of 20.00 cents and EPS of 60.00 cents.
At the last closing share price the estimated dividend yield is 1.02%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 32.83.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 57.1, implying annual growth of N/A.

Current consensus DPS estimate is 22.4, implying a prospective dividend yield of 1.1%.

Current consensus EPS estimate suggests the PER is 36.0.

Market Sentiment: 0.8

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


Morgans rates CTD as Add (1) -

The third quarter earnings (EBITDA) loss was -$4.9m. In an improving monthly trend, March was breakeven and management expects to be earnings positive in the fourth quarter, led by A&NZ and UK/Europe. The Add rating and target price of $21.75 are unchanged.

The company can be highly profitable on domestic travel alone and remains Morgans' preferred pick in the sector. Other positive attributes are considered a greater exposure to essential services customers, a large pipeline of new client wins and a low cost base.

The company highlighted its strong exposure to US and UK/EU (70% of FY19 earnings), where vaccination rates are most advanced.

Target price is $21.75 Current Price is $19.70 Difference: $2.05
If CTD meets the Morgans target it will return approximately 10% (excluding dividends, fees and charges).

Current consensus price target is $21.30, suggesting upside of 3.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Morgans forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 27.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 72.96.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -24.6, implying annual growth of N/A.

Current consensus DPS estimate is 1.7, implying a prospective dividend yield of 0.1%.

Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY22:

Morgans forecasts a full year FY22 dividend of 21.00 cents and EPS of 46.00 cents.
At the last closing share price the estimated dividend yield is 1.07%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 42.83.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 57.1, implying annual growth of N/A.

Current consensus DPS estimate is 22.4, implying a prospective dividend yield of 1.1%.

Current consensus EPS estimate suggests the PER is 36.0.

Market Sentiment: 0.8

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


UBS rates CTD as Buy (1) -

Corporate Travel broke even at the EBITDA level in the March quarter and expects positive underlying operating earnings in the fourth quarter. The recovery in the US will be critical, UBS notes, as will a strong exit from the lockdowns by corporate UK.

International travel in the UK could potentially resume on May 17 with "green countries". A strong domestic recovery in Australasia is also a positive. Buy rating retained. Target rises to $22.00 from $21.10.

Target price is $22.00 Current Price is $19.70 Difference: $2.3
If CTD meets the UBS target it will return approximately 12% (excluding dividends, fees and charges).

Current consensus price target is $21.30, suggesting upside of 3.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

UBS forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 24.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 79.12.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -24.6, implying annual growth of N/A.

Current consensus DPS estimate is 1.7, implying a prospective dividend yield of 0.1%.

Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY22:

UBS forecasts a full year FY22 dividend of 30.20 cents and EPS of 67.00 cents.
At the last closing share price the estimated dividend yield is 1.53%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 29.40.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 57.1, implying annual growth of N/A.

Current consensus DPS estimate is 22.4, implying a prospective dividend yield of 1.1%.

Current consensus EPS estimate suggests the PER is 36.0.

Market Sentiment: 0.8

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

DRR  DETERRA ROYALTIES LIMITED

Iron Ore

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Overnight Price: $4.18

Credit Suisse rates DRR as Outperform (1) -

March quarter production was slightly ahead of expectations. The corporate focus is now on bolt-on royalty opportunities, Credit Suisse suggests, as South Flank is now 95% complete and on track for first production by mid-2021.

The broker notes the share price has declined -10% since listing while the iron ore price has rallied around 45%. The broker assesses the dislocation is a re-rating opportunity and retains an Outperform rating. Target is $4.80.

Target price is $4.80 Current Price is $4.18 Difference: $0.62
If DRR meets the Credit Suisse target it will return approximately 15% (excluding dividends, fees and charges).

Current consensus price target is $4.81, suggesting upside of 10.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Credit Suisse forecasts a full year FY21 dividend of 11.75 cents and EPS of 15.61 cents.
At the last closing share price the estimated dividend yield is 2.81%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 26.78.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 14.8, implying annual growth of N/A.

Current consensus DPS estimate is 10.7, implying a prospective dividend yield of 2.5%.

Current consensus EPS estimate suggests the PER is 29.5.

Forecast for FY22:

Credit Suisse forecasts a full year FY22 dividend of 29.01 cents and EPS of 29.01 cents.
At the last closing share price the estimated dividend yield is 6.94%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.41.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 21.5, implying annual growth of 45.3%.

Current consensus DPS estimate is 21.5, implying a prospective dividend yield of 4.9%.

Current consensus EPS estimate suggests the PER is 20.3.

Market Sentiment: 0.8

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


Macquarie rates DRR as Outperform (1) -

BHP Group ((BHP)) has confirmed the South Flank project is 95% complete and commissioning activities are expected to commence in the last quarter of FY21. Buoyant iron-ore prices have led the broker to expect higher earnings for FY22-23.

Production from Mining Area C was well above Macquarie's expectations and the development of the South Flank project also appears on track to achieve first production by the middle of this year. 

Outperform rating with the target rising to $4.90 from $4.80.

Target price is $4.90 Current Price is $4.18 Difference: $0.72
If DRR meets the Macquarie target it will return approximately 17% (excluding dividends, fees and charges).

Current consensus price target is $4.81, suggesting upside of 10.4% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Macquarie forecasts a full year FY21 dividend of 11.50 cents and EPS of 16.30 cents.
At the last closing share price the estimated dividend yield is 2.75%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 25.64.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 14.8, implying annual growth of N/A.

Current consensus DPS estimate is 10.7, implying a prospective dividend yield of 2.5%.

Current consensus EPS estimate suggests the PER is 29.5.

Forecast for FY22:

Macquarie forecasts a full year FY22 dividend of 23.00 cents and EPS of 23.00 cents.
At the last closing share price the estimated dividend yield is 5.50%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 18.17.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 21.5, implying annual growth of 45.3%.

Current consensus DPS estimate is 21.5, implying a prospective dividend yield of 4.9%.

Current consensus EPS estimate suggests the PER is 20.3.

Market Sentiment: 0.8

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

LRK  LARK DISTILLING CO LTD

Food, Beverages & Tobacco

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Overnight Price: $2.40

Ord Minnett rates LRK as Buy (1) -

Margins performed strongly in the March quarter while revenue growth of 175% impressed Ord Minnett.

The broker considers the company was highly effective in its strategy during the period with the improved margin largely attributable to sales of limited release product and a strong performance online.

Ord Minnett retains a Buy rating and raises the target to $3.39 from $3.18.

Target price is $3.39 Current Price is $2.40 Difference: $0.99
If LRK meets the Ord Minnett target it will return approximately 41% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Ord Minnett forecasts a full year FY21 dividend of 0.00 cents and EPS of 0.70 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 342.86.

Forecast for FY22:

Ord Minnett forecasts a full year FY22 dividend of 0.00 cents and EPS of 4.90 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 48.98.

Market Sentiment: 1.0

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

MIN  MINERAL RESOURCES LIMITED

Iron Ore

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Overnight Price: $44.35

Macquarie rates MIN as Outperform (1) -

Mineral Resources has significantly improved its performance at Mt Marion over the past two years, highlights Macquarie, with spodumene production expected to be 450-475kt in FY21.

The broker expects project operating income to rise to $160-170m in FY22-23 from $31m in FY20. Further, spot iron-ore prices continue to drive strong earnings upgrade momentum with the broker expecting higher earnings than its base case forecasts for FY21-22.

Outperform maintained. Target is $61.

Target price is $61.00 Current Price is $44.35 Difference: $16.65
If MIN meets the Macquarie target it will return approximately 38% (excluding dividends, fees and charges).

Current consensus price target is $45.32, suggesting upside of 0.6% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Macquarie forecasts a full year FY21 dividend of 283.00 cents and EPS of 593.20 cents.
At the last closing share price the estimated dividend yield is 6.38%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.48.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 604.6, implying annual growth of 13.4%.

Current consensus DPS estimate is 261.1, implying a prospective dividend yield of 5.8%.

Current consensus EPS estimate suggests the PER is 7.5.

Forecast for FY22:

Macquarie forecasts a full year FY22 dividend of 195.00 cents and EPS of 434.70 cents.
At the last closing share price the estimated dividend yield is 4.40%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 10.20.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 504.5, implying annual growth of -16.6%.

Current consensus DPS estimate is 205.6, implying a prospective dividend yield of 4.6%.

Current consensus EPS estimate suggests the PER is 8.9.

Market Sentiment: 0.4

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

NST  NORTHERN STAR RESOURCES LTD

Gold & Silver

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Overnight Price: $10.95

Citi rates NST as Buy (1) -

After a softer March quarter across the board, Citi believes the June quarter will show if consistent performance can be delivered. The broker keeps a Buy rating heading into the July Strategy Day and trims the target price to $13.40 from $13.50.

The first quarter since the merger delivered 366koz of gold at an all-in-sustaining cost (AISC) of $1598/oz, worse than Citi's expectations by -7% and 12%, respectively.

The analyst's numbers were impacted by lower grades at Pogo, which is continuing to operate under virus restrictions, and lower volume from Kalgoorlie.

Target price is $13.40 Current Price is $10.95 Difference: $2.45
If NST meets the Citi target it will return approximately 22% (excluding dividends, fees and charges).

Current consensus price target is $12.83, suggesting upside of 11.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Citi forecasts a full year FY21 dividend of 18.00 cents and EPS of 51.40 cents.
At the last closing share price the estimated dividend yield is 1.64%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.30.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 53.9, implying annual growth of 44.5%.

Current consensus DPS estimate is 18.6, implying a prospective dividend yield of 1.6%.

Current consensus EPS estimate suggests the PER is 21.4.

Forecast for FY22:

Citi forecasts a full year FY22 dividend of 20.00 cents and EPS of 53.00 cents.
At the last closing share price the estimated dividend yield is 1.83%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.66.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 65.4, implying annual growth of 21.3%.

Current consensus DPS estimate is 21.4, implying a prospective dividend yield of 1.9%.

Current consensus EPS estimate suggests the PER is 17.6.

Market Sentiment: 0.5

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


Credit Suisse rates NST as Outperform (1) -

Gold production was down -9% in the March quarter and missed Credit Suisse estimates. Issues during the quarter included a 14-day mill shutdown and unplanned downtime at Thunderbox along with persistent disruptions from the pandemic to mining rates at Pogo.

FY21 guidance is unchanged and the broker anticipates the company's track record will mean a strong end to the year. Outperform rating and $13 target maintained.

Target price is $13.00 Current Price is $10.95 Difference: $2.05
If NST meets the Credit Suisse target it will return approximately 19% (excluding dividends, fees and charges).

Current consensus price target is $12.83, suggesting upside of 11.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Credit Suisse forecasts a full year FY21 dividend of 17.83 cents and EPS of 57.18 cents.
At the last closing share price the estimated dividend yield is 1.63%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.15.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 53.9, implying annual growth of 44.5%.

Current consensus DPS estimate is 18.6, implying a prospective dividend yield of 1.6%.

Current consensus EPS estimate suggests the PER is 21.4.

Forecast for FY22:

Credit Suisse forecasts a full year FY22 dividend of 23.76 cents and EPS of 114.72 cents.
At the last closing share price the estimated dividend yield is 2.17%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.54.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 65.4, implying annual growth of 21.3%.

Current consensus DPS estimate is 21.4, implying a prospective dividend yield of 1.9%.

Current consensus EPS estimate suggests the PER is 17.6.

Market Sentiment: 0.5

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


Morgan Stanley rates NST as Underweight (5) -

In the first partial quarter after the recent merger, production was -12% below Morgan Stanley's estimates, with all-in-sustaining-costs (AISC) 13% higher. It was considered a broad-based miss across sites.

Production and AISC remains noticeably worse than guidance at Kalgoorlie and the biggest cost miss was at Pogo, notes the broker. Overall, management has maintained FY21 guidance. The Underweight rating and $10.65 target are unchanged. Industry view: Attractive.

Target price is $10.65 Current Price is $10.95 Difference: minus $0.3 (current price is over target).
If NST 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 $12.83, suggesting upside of 11.3% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Morgan Stanley forecasts a full year FY21 dividend of 18.50 cents and EPS of 53.00 cents.
At the last closing share price the estimated dividend yield is 1.69%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.66.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 53.9, implying annual growth of 44.5%.

Current consensus DPS estimate is 18.6, implying a prospective dividend yield of 1.6%.

Current consensus EPS estimate suggests the PER is 21.4.

Forecast for FY22:

Morgan Stanley forecasts a full year FY22 dividend of 21.50 cents and EPS of 62.00 cents.
At the last closing share price the estimated dividend yield is 1.96%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.66.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 65.4, implying annual growth of 21.3%.

Current consensus DPS estimate is 21.4, implying a prospective dividend yield of 1.9%.

Current consensus EPS estimate suggests the PER is 17.6.

Market Sentiment: 0.5

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

NXL  NUIX LTD

Software & Services

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Overnight Price: $4.29

Morgan Stanley rates NXL as Overweight (1) -

Morgan Stanley is disappointed after management lowered guidance and notes the company will not meet prospectus forecasts for two of the most critical metrics which drive intrinsic value.

FY21 revenue guidance was downgraded by -4% to -7%, and annualised contract value (ACV) by -11% to -16%. This was driven by a faster than expected customer shift to consumption/SaaS and compounded by a slower recovery in the operating environment.

The Overweight rating and $10.75 target are retained. Industry view is Attractive.

Target price is $10.75 Current Price is $4.29 Difference: $6.46
If NXL meets the Morgan Stanley target it will return approximately 151% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Morgan Stanley forecasts a full year FY21 dividend of 0.00 cents and EPS of 6.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 71.50.

Forecast for FY22:

Morgan Stanley forecasts a full year FY22 dividend of 0.00 cents and EPS of 9.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 47.67.

Market Sentiment: 1.0

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

OZL  OZ MINERALS LIMITED

Copper

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Overnight Price: $24.62

Ord Minnett rates OZL as Lighten (4) -

As it turned out, today's market update has revealed a weaker-than-expected quarterly performance by OZ Minerals and Ord Minnett, in a quick response, thinks the Aussie dollar and gold price are to blame.

But that's certainly not the full story as production of copper missed forecasts too due to lower than expected grades. The broker believes the rather precarious covid situation in Brazil puts operations at risk of hitting production targets over the coming quarters.

The Lighten rating and target price of $14.50 are now both under review, as per standard practice at Ord Minnett.

This stock is not covered in-house by Ord Minnett. Instead, the broker whitelabels research by JP Morgan.

Target price is $14.50 Current Price is $24.62 Difference: minus $10.12 (current price is over target).
If OZL meets the Ord Minnett target it will return approximately minus 41% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $19.76, suggesting downside of -18.7% (ex-dividends)

Forecast for FY21:

Current consensus EPS estimate is 110.0, implying annual growth of 68.7%.

Current consensus DPS estimate is 24.0, implying a prospective dividend yield of 1.0%.

Current consensus EPS estimate suggests the PER is 22.1.

Forecast for FY22:

Current consensus EPS estimate is 126.8, implying annual growth of 15.3%.

Current consensus DPS estimate is 24.5, implying a prospective dividend yield of 1.0%.

Current consensus EPS estimate suggests the PER is 19.2.

Market Sentiment: 0.0

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

PLS  PILBARA MINERALS LIMITED

New Battery Elements

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Overnight Price: $1.25

Citi rates PLS as Downgrade to Sell from Neutral (5) -

Citi lowers the rating to Sell from Neutral after the share price has rallied 25% since mid-February. The price is now calculated to be trading ahead of underlying valuation. The $1.10 target price is maintained.

March quarter lithium concentrate shipments missed expectations, due largely to a fire on an inbound cargo vessel at berth that pushed 11.5kt of shipment into April. Costs were also higher quarter-on-quarter, thanks to a stronger Australian dollar and higher freight charges.

Target price is $1.10 Current Price is $1.25 Difference: minus $0.15 (current price is over target).
If PLS meets the Citi target it will return approximately minus 12% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.09, suggesting downside of -2.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Citi forecasts a full year FY21 dividend of 0.00 cents and EPS of 0.00 cents.

How do these forecasts compare to market consensus projections?

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

Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.

Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY22:

Citi forecasts a full year FY22 dividend of 0.00 cents and EPS of 4.40 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 28.41.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 3.0, implying annual growth of N/A.

Current consensus DPS estimate is 0.1, implying a prospective dividend yield of 0.1%.

Current consensus EPS estimate suggests the PER is 37.3.

Market Sentiment: -0.3

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


Macquarie rates PLS as Outperform (1) -

Macquarie observes Pilbara Minerals' third quarter was mixed with higher production offset by lower shipments and higher cash costs. Spodumene production was 7% ahead of the broker's forecast while a delayed final shipment led to -9% lower than expected sales.

Macquarie expects higher volumes and prices in the June quarter. Noting Pilbara was able to operate at the targeted 330ktpa for February and March, the broker has lifted its forecast to 88kt from 82kt  to reflect the stronger guidance.

Outperform rating with a target of $1.50.

Target price is $1.50 Current Price is $1.25 Difference: $0.25
If PLS meets the Macquarie target it will return approximately 20% (excluding dividends, fees and charges).

Current consensus price target is $1.09, suggesting downside of -2.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Macquarie forecasts a full year FY21 dividend of 0.00 cents and EPS of 0.00 cents.

How do these forecasts compare to market consensus projections?

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

Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.

Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY22:

Macquarie forecasts a full year FY22 dividend of 0.00 cents and EPS of 3.60 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 34.72.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 3.0, implying annual growth of N/A.

Current consensus DPS estimate is 0.1, implying a prospective dividend yield of 0.1%.

Current consensus EPS estimate suggests the PER is 37.3.

Market Sentiment: -0.3

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


Ord Minnett rates PLS as Sell (5) -

Production in the March quarter was 17% ahead of Ord Minnett's forecasts as the Pilgangoora project ramped up. Sales were just 7% ahead of forecasts as a shipment was delayed.

Costs were higher and the broker lowers FY21 earnings estimates. Sell rating and $0.80 target retained.

This stock is not covered in-house by Ord Minnett. Instead, the broker whitelabels research by JP Morgan.

Target price is $0.80 Current Price is $1.25 Difference: minus $0.45 (current price is over target).
If PLS meets the Ord Minnett target it will return approximately minus 36% (excluding dividends, fees and charges - negative figures indicate an expected loss).

Current consensus price target is $1.09, suggesting downside of -2.9% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Ord Minnett forecasts a full year FY21 dividend of 0.00 cents and EPS of minus 1.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 125.00.

How do these forecasts compare to market consensus projections?

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

Current consensus DPS estimate is N/A, implying a prospective dividend yield of N/A.

Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY22:

Ord Minnett forecasts a full year FY22 dividend of 0.00 cents and EPS of 3.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 41.67.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 3.0, implying annual growth of N/A.

Current consensus DPS estimate is 0.1, implying a prospective dividend yield of 0.1%.

Current consensus EPS estimate suggests the PER is 37.3.

Market Sentiment: -0.3

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

RRL  REGIS RESOURCES LIMITED

Gold & Silver

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Overnight Price: $2.74

Morgan Stanley rates RRL as Overweight (1) -

Morgan Stanley believes the 11% increase in Reserves to 4.0moz, all from Duketon, gives around seven years of visibility and should help ease investor concerns around mine lives.

The broker sees ongoing brownfield and greenfield extension potential at Duketon, with further Resource conversion and life extensions likely. The Overweight rating and $4.19 target are maintained. Industry view: Attractive.

Target price is $4.19 Current Price is $2.74 Difference: $1.45
If RRL meets the Morgan Stanley target it will return approximately 53% (excluding dividends, fees and charges).

Current consensus price target is $3.84, suggesting upside of 34.8% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Morgan Stanley forecasts a full year FY21 dividend of 9.00 cents and EPS of 31.00 cents.
At the last closing share price the estimated dividend yield is 3.28%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.84.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 28.4, implying annual growth of -24.9%.

Current consensus DPS estimate is 9.1, implying a prospective dividend yield of 3.2%.

Current consensus EPS estimate suggests the PER is 10.0.

Forecast for FY22:

Morgan Stanley forecasts a full year FY22 dividend of 10.00 cents and EPS of 28.00 cents.
At the last closing share price the estimated dividend yield is 3.65%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.79.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 35.1, implying annual growth of 23.6%.

Current consensus DPS estimate is 10.3, implying a prospective dividend yield of 3.6%.

Current consensus EPS estimate suggests the PER is 8.1.

Market Sentiment: 0.6

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

SXY  SENEX ENERGY LIMITED

Crude Oil

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Overnight Price: $3.15

Ord Minnett rates SXY as Buy (1) -

March quarter production was broadly in line with Ord Minnett's estimates. The broker found nothing surprising in the result but it did underscore a positive view on Senex Energy.

Management confirmed the business is now net cash, which will support its growth objectives. As the stock offers good value and strong growth with a solid balance sheet, Ord Minnett reiterates a Buy rating and a $3.90 target.

This stock is not covered in-house by Ord Minnett. Instead, the broker whitelabels research by JP Morgan.

Target price is $3.90 Current Price is $3.15 Difference: $0.75
If SXY meets the Ord Minnett target it will return approximately 24% (excluding dividends, fees and charges).

Current consensus price target is $3.77, suggesting upside of 22.0% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Ord Minnett forecasts a full year FY21 EPS of 8.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 39.38.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 10.6, implying annual growth of N/A.

Current consensus DPS estimate is 8.7, implying a prospective dividend yield of 2.8%.

Current consensus EPS estimate suggests the PER is 29.2.

Forecast for FY22:

Ord Minnett forecasts a full year FY22 EPS of 23.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.70.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 24.3, implying annual growth of 129.2%.

Current consensus DPS estimate is 6.4, implying a prospective dividend yield of 2.1%.

Current consensus EPS estimate suggests the PER is 12.7.

Market Sentiment: 0.8

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

TPW  TEMPLE & WEBSTER GROUP

Furniture & Renovation

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Overnight Price: $9.75

Macquarie rates TPW as Neutral (3) -

Temple & Webster Group has reset its medium-term operating income expectations as the group continues to pursue a high-growth strategy aimed at maximising the market share.

Macquarie notes recent feedback suggests the group's revenue performance is well ahead of smaller peers and raises the prospect of consolidation when covid spending tailwinds for the category normalise.

The broker continues to view Temple & Webster Group as the best-in-breed pureplay online retailer but also thinks the near-term valuation reflects much of this growth runway. 

Neutral rating maintained with a target of $10.90.

Target price is $10.90 Current Price is $9.75 Difference: $1.15
If TPW meets the Macquarie target it will return approximately 12% (excluding dividends, fees and charges).

The company's fiscal year ends in June.

Forecast for FY21:

Macquarie forecasts a full year FY21 dividend of 0.00 cents and EPS of 13.70 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 71.17.

Forecast for FY22:

Macquarie forecasts a full year FY22 dividend of 0.00 cents and EPS of 11.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 88.64.

Market Sentiment: 0.5

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

WSA  WESTERN AREAS NL

Nickel

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Overnight Price: $2.25

Ord Minnett rates WSA as Buy (1) -

March quarter shipments were below forecasts but Ord Minnett assumes this can be made up from stockpiles in the final quarter of FY21.

Costs at Forrestania were higher after poor ground conditions were experienced in early FY21 but conditions are expected to improve. Odysseus development remains on schedule. Buy rating and $3.20 target retained.

This stock is not covered in-house by Ord Minnett. Instead, the broker whitelabels research by JP Morgan.

Target price is $3.20 Current Price is $2.25 Difference: $0.95
If WSA meets the Ord Minnett target it will return approximately 42% (excluding dividends, fees and charges).

Current consensus price target is $2.58, suggesting upside of 16.2% (ex-dividends)

The company's fiscal year ends in June.

Forecast for FY21:

Ord Minnett forecasts a full year FY21 EPS of 1.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 225.00.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is -1.4, implying annual growth of N/A.

Current consensus DPS estimate is 0.8, implying a prospective dividend yield of 0.4%.

Current consensus EPS estimate suggests the PER is N/A.

Forecast for FY22:

Ord Minnett forecasts a full year FY22 EPS of 8.00 cents.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 28.13.

How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 4.7, implying annual growth of N/A.

Current consensus DPS estimate is 0.5, implying a prospective dividend yield of 0.2%.

Current consensus EPS estimate suggests the PER is 47.2.

Market Sentiment: 0.7

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

Today's Price Target Changes
Company Last Price Broker New Target Prev Target Change
ALG Ardent Leisure $1.07 Ord Minnett 0.75 0.60 25.00%
ALX Atlas Arteria $6.04 Macquarie 6.01 5.87 2.39%
Morgans 6.31 6.14 2.77%
AMC Amcor $15.23 Macquarie 16.09 17.19 -6.40%
Ord Minnett 16.75 17.00 -1.47%
AZJ Aurizon Holdings $3.84 Macquarie 4.41 4.40 0.23%
Morgans 4.40 4.56 -3.51%
BHP BHP $47.65 Morgans 43.60 42.20 3.32%
Ord Minnett 56.00 52.00 7.69%
CGF Challenger $5.13 Credit Suisse 6.05 6.65 -9.02%
CTD Corporate Travel $20.53 UBS 22.00 21.10 4.27%
DRR DETERRA ROYALTIES $4.36 Macquarie 4.90 4.80 2.08%
LRK LARK DISTILLING CO LTD $2.58 Ord Minnett 3.39 3.18 6.60%
NST Northern Star $11.52 Citi 13.40 13.50 -0.74%
Morgan Stanley 10.65 12.95 -17.76%
PLS Pilbara Minerals $1.12 Ord Minnett 0.80 0.80 0.00%
RMD Resmed $27.03 Ord Minnett 25.20 25.80 -2.33%
RRL Regis Resources $2.85 Morgan Stanley 4.19 4.35 -3.68%
WSA Western Areas $2.22 Ord Minnett 3.20 3.20 0.00%
Summaries
A2M a2 Milk Co Sell - Citi Overnight Price $7.71
Buy - UBS Overnight Price $7.71
ALG Ardent Leisure Downgrade to Sell from Hold - Ord Minnett Overnight Price $1.00
ALL Aristocrat Leisure Buy - Citi Overnight Price $36.22
ALX Atlas Arteria Neutral - Macquarie Overnight Price $5.99
Add - Morgans Overnight Price $5.99
Neutral - UBS Overnight Price $5.99
AMC Amcor Downgrade to Neutral from Outperform - Macquarie Overnight Price $15.24
Buy - Ord Minnett Overnight Price $15.24
AZJ Aurizon Holdings Outperform - Macquarie Overnight Price $3.87
Add - Morgans Overnight Price $3.87
BHP BHP Neutral - Citi Overnight Price $47.21
Neutral - Credit Suisse Overnight Price $47.21
Outperform - Macquarie Overnight Price $47.21
Overweight - Morgan Stanley Overnight Price $47.21
Hold - Morgans Overnight Price $47.21
Buy - Ord Minnett Overnight Price $47.21
Neutral - UBS Overnight Price $47.21
BKL Blackmores Sell - Citi Overnight Price $84.24
BUB Bubs Australia Sell - Citi Overnight Price $0.47
CGF Challenger Downgrade to Neutral from Outperform - Credit Suisse Overnight Price $5.25
CSL CSL Buy - Citi Overnight Price $267.95
CTD Corporate Travel Overweight - Morgan Stanley Overnight Price $19.70
Add - Morgans Overnight Price $19.70
Buy - UBS Overnight Price $19.70
DRR DETERRA ROYALTIES Outperform - Credit Suisse Overnight Price $4.18
Outperform - Macquarie Overnight Price $4.18
LRK LARK DISTILLING CO LTD Buy - Ord Minnett Overnight Price $2.40
MIN Mineral Resources Outperform - Macquarie Overnight Price $44.35
NST Northern Star Buy - Citi Overnight Price $10.95
Outperform - Credit Suisse Overnight Price $10.95
Underweight - Morgan Stanley Overnight Price $10.95
NXL NUIX LTD Overweight - Morgan Stanley Overnight Price $4.29
OZL Oz Minerals Lighten - Ord Minnett Overnight Price $24.62
PLS Pilbara Minerals Downgrade to Sell from Neutral - Citi Overnight Price $1.25
Outperform - Macquarie Overnight Price $1.25
Sell - Ord Minnett Overnight Price $1.25
RRL Regis Resources Overweight - Morgan Stanley Overnight Price $2.74
SXY Senex Energy Buy - Ord Minnett Overnight Price $3.15
TPW Temple & Webster Neutral - Macquarie Overnight Price $9.75
WSA Western Areas Buy - Ord Minnett Overnight Price $2.25
RATING SUMMARY
Rating No. Of Recommendations
1. Buy

24

3. Hold

9

4. Reduce

1

5. Sell

7

Thursday 22 April 2021

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Disclaimer:
The content of this information does in no way reflect the opinions of FNArena, or of its journalists. In fact we don't have any opinion about the stock market, its value, future direction or individual shares. FNArena solely reports about what the main experts in the market note, believe and comment on. By doing so we believe we provide intelligent investors with a valuable tool that helps them in making up their own minds, reading market trends and getting a feel for what is happening beneath the surface. This document is provided for informational purposes only. It does not constitute an offer to sell or a solicitation to buy any security or other financial instrument. FNArena employs very experienced journalists who base their work on information believed to be reliable and accurate, though no guarantee is given that the daily report is accurate or complete. Investors should contact their personal adviser before making any investment decision.