The bank has announced second half cash earnings will be affected by $1.22bn in “notable items”. Credit Suisse believes this will clean up a range of items around specialist buisness which should mean “cleaner” results going forward.
Read MoreMorgans has resumed coverage of Corporate Travel Management. To avoid confusion for our readers, prior to a blackout period of coverage the broker rated the company as a Hold with a $14.20 price target. Given the hiatus in coverage, FNArena will consider this update as a pseudo initiation of coverage, with an Add rating and target price of $20.50.
Read MoreCredit Suisse observes the projected volume decline has disappeared and multi-residential units are now the only segment showing material weakness.
Read MoreUBS notes larger private hospitals and not standalone day hospitals dominate when it comes to day stay services. The broker highlights according to data from 2019, of the circa $10bn paid by private health insurers to private hospitals, about 21% went to fund day stays out of which the share of day admissions within private hospitals was about 16%.
Read MoreIress has been successful in acquiring Onevue Holdings ((OVH)) for $115m – subject to court approval on October 28.
Read MoreCrown Resorts’ AGM update noted Perth gaming was up 16% year on year in the September quarter and non-gaming down -21%. Melbourne is closed, and a Sydney launch is up in the air. The broker is assuming January 1 for now.
Read MoreMacquarie notes pressure building around the dividend over the last 24 months reflecting the low-interest rate environment. The broker believes Spark Infrastructure Group is at the bottom of its dividend cutting cycle.
Read MoreThird quarter traffic and revenue declined -2.7% and -1.9%, respectively, which was was 2% ahead of Morgans forecast. Traffic is considered to have benefited from the relaxation of covid-19 restrictions from May-July. Also the start of the summer holiday season assisted.
Read MoreSeptember quarter production was solid and in line with budget, Credit Suisse observes. FY21 forecasts for 370-410,000 ounces are unchanged.
Read MoreKalium Lakes is on schedule and budget at Beyondie, having completed the harvest ponds lining. This allows for a full summer of crystallisation to build a surface from which to harvest.
Read MoreCiti upgrades to Buy from Neutral, raising estimates for earnings per share by 5% for FY21 and 3.5% for FY22. This reflects a rational grocery market and earnings momentum as well as appealing relative valuations.
Read MoreThe August 2020 update of the definitive feasibility study (DFS) for Vimy Resources’ wholly-owned Mulga Rock uranium project in Western Australia enhanced value further, according to Morgans. This is despite the broker using a lower long term contract uranium price of US$55/lb U308, previously US$60/lb.
Read MoreThe development of Karlawinda is on schedule for first gold in the fourth quarter of FY21. Budget is on track for $165-170m.
Read MoreUBS observes 139m flu vaccine doses have been distributed for the US flu season till October 9, up 9% versus last year. CSL also reported having increased its supply of flu vaccine into the US to circa 60m doses for the 20-21 season, a 20% increase from last year.
Read MoreBetter grades pushed production up 43% in the September quarter for Aurelia Metals while costs were lower than Macquarie estimated. FY21 guidance has been maintained at 80-90,000 ounces.
Read MoreBoral’s future strategic direction under the new MD (Zlatko Todorcevski) is the key catalyst and Morgan Stanley awaits results of a strategic review, to be unveiled in late October.
Read MoreMacquarie suspects Qantas could experience a faster recovery domestically as borders continue to re-open and pent-up demand for movement around the country occurs.
Read MoreCredit Suisse observes Woodside Petroleum has been sold off because of a perceived lack of short-term catalysts. The broker also considers a potential equity raising to fund growth and the imminent decline in the North West Shelf are weighing on sentiment.
Read MoreUBS believes the market is not fully appreciating near-term earnings upside and long-term earnings optionality at Woolworths. This is based on the broker’s calculation that the current shares price is trading at an unwarranted discount.
Read MoreGUD Holdings’ (unscheduled) trading update for the first quarter shows automotive sales up 16% despite the headwinds from Victoria and New Zealand. Credit Suisse observes this reflects strong end markets and restocking by key customers.
Read MoreAt its 2020 Capital Markets Day, Ansell did not update on guidance but did revise medium to longer-term targets. Management believes a bulk of the virus-related surge in PPE demand will prove permanent, requiring increased capex in FY21-22 to support production capacity.
Read MoreAccording to UBS, Eagers Automotive delivered a strong trading update. Key drivers were considered to include supply constraints resulting in lower domestic inventory levels and continued execution of cost-out initiatives.
Read MoreWhile CSL is still some way with respect to plasma collection volumes seen last year, UBS believes there are a range of mitigation measures and positive drivers to underpin growth in FY21.
Read MoreThe September quarter update was largely in line with Credit Suisse forecasts. The sustainability of the refinery is a large issue that the broker believes is not sufficiently embedded in investor thinking.
Read MoreAustralian Finance Group reported September quarter lodgements of $18.2bn, to mark a record going back to 2013, with lodgements up 8% from the June quarter and 16% from last September. Home Loan lodgements were up 9% year on year and 43% quarter on quarter.
Read MoreCredit Suisse updates forecasts to account for its global oil outlook. The broker also increases FY21 forecasts for APLNG production by 1.7%.
Read MoreGeneration Development Group has completed a $35m capital raising to fund two strategic growth initiatives, explains Morgans.
Read MoreNew Zealand’s Commerce Commission (ComCom) released its final fibre input methodology (IM) report but UBS notes there were no material changes and the report will be valuation neutral for Chorus.
Read MoreWhile production and shipments were solid in the first quarter Pilbara Minerals has pointed out prices remain weak
Read MoreAware Super (formerly named First State Super) has made a formal off-market takeover offer for OptiComm at $6.50 per share (including a10cps fully franked dividend). The offer is 100% cash and is at an 8.2% premium to the implied value of Uniti Group’s ((UWL)) offer.
Read MoreEvolution Mining’s September quarter preliminary group production sits in-line with Morgan Stanley’s estimate with costs slightly better than the guidance and broker forecast.
Read MoreOver The Wire Holdings will acquire Digital Sense which provides customisable and scalable cloud offerings to enterprise and government customers.
Read MoreCimic Group’s third-quarter sales, operating income and net profit figures were in-line with UBS’s estimate but the operating cash flow conversion, impacted by the slowdown of revenues and new work due to covid-19 and reduced debtor factoring, was weaker than expected.
Read MoreNewcrest Mining will move to the second stage at the Cadia expansion project. This US$175m expansion should be completed in late FY22.
Read MorePopulation growth forecasts were revised down over 2021-23 in the federal budget as a result of declining net overseas migration (border closures) and a declining fertility rate with families delaying having children amid the uncertainty associated with covid-19.
Read MoreTransurban Group released its first quarter traffic data. For the overall portfolio, average daily traffic (ADT) decreased -29% on the previous corresponding quarter, calculates Morgans. The broker notes the decline is -25% after factoring in the commencement of tolling on the WestConnex M8/M5E in Sydney.
Read MoreARB Corp’s first-quarter sales growth was strong, observes UBS.
Read MoreFirst quarter manufacturing (PMI) data has indicated the recovery continues. Separately, UBS notes an apparent trough in butadiene pricing and an increase in natural rubber latex pricing early in the second half buying period.
Read MoreMorgans note a strong start to the new year for Virtus Health that has resulted in lower debt and confirmation from the company that the deferred interim dividend from March 2020 will be paid in November 2020.
Read MoreThe budget 20/21 has earmarked $7.5bn to fund new road and rail links and upgrade key highways. Morgan Stanley believes this bodes well for Downer EDI given its Australia’s largest road player with government stimulus forming about 35% of the company’s revenue.
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