DMP – UBS rates the stock as Neutral
UBS assesses customer engagement improved in Australia and Germany in the first half but softened in France.
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API – Credit Suisse rates the stock as Underperform
The company has guided to a decline in underlying net profit in the first half because of challenging industry conditions that particularly affect the retail business. An improvement is expected in the second half.
Read MoreRRL – Morgan Stanley rates the stock as Equal-weight
Gold production was ahead of estimates in the December quarter, although Morgan Stanley notes costs are elevated. The company is now expecting the upper end of cost guidance.
Read MoreREH – Morgans rates the stock as Downgrade to Hold from Add
Following recent share price strength, amid expectations of a cyclical upswing, Morgans downgrades to Hold from Add.
Read MoreFLT – Credit Suisse rates the stock as Downgrade to Neutral from Outperform
Credit Suisse observes recent travel data has been weak, consumer sentiment is poor and there is a strong second half skew to guidance.
Read MoreFMG – Credit Suisse rates the stock as Upgrade to Neutral from Underperform
The commodity price outlook is far more accommodative and Credit Suisse lifts the target to $11.00 from $7.50. Rating is upgraded to Neutral from Underperform.
Read MoreMND – Bell Potter rates the stock as Buy
Bell Potter has a positive take on Monadelphous due to the announcement of contract awards worth circa $350m, putting it on track to achieve its $1.5bn target in awards for FY20.
Read MoreMOZ – Wilsons rates the stock as Buy
Wilsons notes the retailer’s revenues have been impacted by the bushfires, as well as broader difficult trading conditions.
Read MoreSUL – Credit Suisse rates the stock as Neutral
Credit Suisse considers it likely investors will look through the fire-related impact on stores in the first half. Nevertheless, more frequent and extreme events have the potential to affect retailer performance.
Read MoreAMC – Credit Suisse rates the stock as Outperform
Credit Suisse raises the target to $16.25 from $15.50, suspecting there could be more consensus upgrades. Falling raw materials prices could stimulate some new volume and underpin profit.
Read MoreRIO – UBS rates the stock as Neutral
The company delivered on its 2019 guidance and has set forecasts for iron ore shipments in 2020 at 330-340mt.
Read MoreCBA – Morgan Stanley rates the stock as Underweight
Morgan Stanley believes Commonwealth Bank is priced for a strong result so the potential for disappointment is great. The outlook for margins and costs, alongside expectations of a buyback, will be the main focus.
Read MoreS32 – Credit Suisse rates the stock as Outperform
The December quarter was soft, Credit Suisse observes, amid weak manganese prices. The main change to estimates is driven by an expected effective tax rate of 75-85% in the first half. There are no available tax benefits to use from South Africa Energy Coal.
Read MoreMHJ – Citi rates the stock as Buy
Buy rating maintained while the price target loses -1c to $0.80. Citi found the Q2 trading update serves as a signal that sales momentum is strong, supported by Black Friday and Christmas 2019.
Read MoreAWC – UBS rates the stock as Sell
Alcoa reported an adjusted earnings loss for the December quarter of -US$0.31 per security. Net distributions to Alumina Ltd were US$74.4m.
Read MoreRSG – Macquarie rates the stock as Outperform
Resolute Mining will sell Ravenswood gold mine for $50m cash, a $50m promissory note and up to $200m in contingent payments. Macquarie values the deal at $150m.
Read MoreDHG – UBS rates the stock as Downgrade to Sell from Neutral
UBS believes new listings are now on track to return to positive growth in the second half. FY20 earnings forecasts are unchanged but FY21-22 are increased by 11-12% on higher assumed listings growth.
Read MorePPT – Credit Suisse rates the stock as Neutral
Funds under management totalled $26.3bn at the end of December, up 1% during the quarter. This was ahead of Credit Suisse estimates and the company has reported its first positive quarter of flows in nearly three years.
Read MoreRSG – Macquarie rates the stock as Outperform
The company’s 2020 production guidance of 500,000 ounces is in line with Macquarie’s expectations while guidance for AISC of US$980/oz is -19% below forecasts.
Read MoreLVT – Citi rates the stock as Buy
Citi expects a step up in growth in the second quarter as the company angles for a partner-based channel strategy. The broker is looking for a record second quarter after a weaker-than-expected first quarter.
Read MoreTYR – Morgan Stanley rates the stock as Initiation of coverage with Overweight
Tyro Payments is an Australian merchant acquirer business competing against the major banks. Morgan Stanley believes this presents a rare opportunity to gain exposure to the payments system.
Read MoreTWE – UBS rates the stock as Buy
Nielsen data from the US indicates the company’s December sales were weak, with volume sales down -3.5% in the month. Top brands fared better, up 0.2% year-on-year and an improvement vs November.
Read MoreHUB – Credit Suisse rates the stock as Neutral
Credit Suisse downgrades earnings estimates by -3-4%. The broker believes the company has one of the best products in the market and is able to gain market share through capturing an outsized share of flow.
Read MoreWPL – Macquarie rates the stock as Neutral
The Sangomar project phase 1 has received final approval from the Senegalese government and will move to execution and development. This is a major step forward for the company’s growth strategy.
Read MoreARB – Citi rates the stock as Neutral
ARB Corp is considered well-placed to benefit from the shift in consumer preferences towards sports utility vehicles and four-wheel-drive cars. However, Citi finds the peer multiple demanding amid short-term headwinds stemming from a decline in first half Australian 4×4 sales.
Read MoreCOL – Morgan Stanley rates the stock as Downgrade to Underweight from Equal-weight
Morgan Stanley observes supermarket industry margins have re-based and this has paid off for the major operators. The broker believes execution will be a differentiator in supermarkets in 2020 and Woolworths has a margin advantage, partially reflecting its scale advantage. This is considered unlikely to be eroded over the medium term.
Read MoreEVN – Ord Minnett rates the stock as Hold
Both production and costs were below guidance in the December quarter. The company has also flagged a potential downgrade to the resource at Mount Carlton and water security issues at Cowal.
Read MorePPH – UBS rates the stock as Buy
UBS observes the company has outperformed the market by 20% over the last month because of improved operating leverage, double-digit back book growth and the acquisition of Church Community Builder.
Read MoreLLC – Citi rates the stock as Buy
Lendlease has an agreement with Acciona for the purchase of its engineering business for $180m, less selling costs and working capital adjustments.
Read MoreQBE – Morgan Stanley rates the stock as Overweight
Morgan Stanley reviews its assessment of the risk/reward after the company’s operating update. Cash net profit estimates are reduced by -14% and -5% for 2019 and 2020 respectively.
Read MoreQBE – Morgan Stanley rates the stock as Overweight
Adverse weather has driven a weaker result in the company’s crop combined operating ratio in the US.
Read MoreAST – UBS rates the stock as Reinstate Coverage with Buy
UBS reinstates coverage with a Buy rating and $1.85 target. The broker assesses the company’s regulated electricity and gas networks face a reduction in the rates of return at the forthcoming regulatory re-sets.
Read MoreSTX – Credit Suisse rates the stock as Initiation of coverage with Outperform
Credit Suisse initiates coverage on Strike Energy with an Outperform rating and $0.28 target. The main asset is the recent gas discovery, West Erregulla, in the Perth Basin which may enable up to 250TJ/d for domestic gas development.
Read MoreAWC – Morgan Stanley rates the stock as Overweight
Alumina Ltd has announced the closure of Point Comfort refinery in Texas. AWAC expects to record restructuring-related charges after tax of US$260m.
Read MoreNST – Credit Suisse rates the stock as Upgrade to Neutral from Underperform
Credit Suisse believes the company has paid a fair price for 50% of the Super Pit based on the current reserves and the assumption that the current constrained production and elevated costs will improve.
Read MoreSKI – Morgans rates the stock as Reduce
South Australia Power Network (49% owned by Spark Infrastructure) has asked for no material change in total revenue across 2020-25, even though it is targeting higher expenditure than the regulator assumes.
Read MoreAPI – Credit Suisse rates the stock as Underperform
Australian Pharmaceutical has sold its 12.96% stake in Sigma Healthcare ((SIG)) for $0.60 a share. Credit Suisse calculates this represents a -$3.5m loss vs the price of the acquisition in December 2018.
Read MorePRN – UBS rates the stock as Buy
The company has reduced FY20 net profit guidance to around $115-120m from $140m. This represents a -14-17% downgrade to prior UBS estimates.
Read MoreWOW – Macquarie rates the stock as Neutral
Shareholders have voted in favour of the Endeavour Drinks restructure. This will allow for a reduction in ethical concerns, with the drinks business being separated, Macquarie assesses.
Read MoreSIG – Credit Suisse rates the stock as Underperform
Sigma Healthcare has downgraded FY20 operating earnings (EBITDA) guidance to $46-47m. This comes as of result of reclaiming the FMCG portion of the Chemist Warehouse contract and given the necessity to reinvest in the business.
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