The launch of new generic drugs fentora and efudex has been strong, with 40% and 30% market share respectively. Yet Credit Suisse suspects this has not been enough to offset competition and earnings decline in the first half.
Read MoreUBS suspects changes in focus at competitor Virgin Australia ((VAH)) should mean Qantas will maintain an advantage and Virgin will not be able to rely solely on cost initiatives to improve profitability.
Read MoreMorgan Stanley believes the recent strength in the share price more than accounts for the positive momentum in steel prices. The broker believes investors should capitalise on the strength in the share price and downgrades to Equal-weight from Overweight.
Read MoreThe trading update reflected tougher market conditions and a softer-than-expected outcome for Automotive Holdings in the year to date. Morgans suspects this reflects a more conservative accounting treatment by AP Eagers, softer new vehicle sales, and underperformance by Automotive Holdings.
Read MoreThe company has reported recoveries in the December quarter to date of 60%. Credit Suisse notes, importantly, in early November recoveries averaged 68.5% over a five day period. This is a major step towards the long-held target recovery of 75%.
Read MoreThe company has reported its worst-ever annual result, UBS notes, heavily affected by drought and onerous rail take-or-pay contracts. A large grain trading loss of -$65m was incurred. Meanwhile, there was another record performance in the malt business.
Read MoreThe FY19 result was complicated, as expected. Core business was in line with UBS estimates. The broker expects non-core business to be divested in FY20 and, post-restructuring, to have a neutral impact on FY20 operating earnings (EBITDA).
Read MoreThe company has reaffirmed its FY20 guidance. Credit Suisse was encouraged by the update and notes the share price has underperformed the market by around -30% over the last 12 months following a series of earnings downgrades.
Read MoreComputershare has reaffirmed FY20 guidance which Morgan Stanley believes is satisfactory, given weakness in global M&A and interest income. Macro weakness has been offset by mortgage servicing and share plans running ahead of expectations.
Read MoreThe extent of the TV weakness, highlighted at the AGM, was greater than Credit Suisse expected. The company is now guiding to low single-digit growth in FY20 operating earnings (EBITDA). Growth is expected to be skewed to the second half.
Read MoreUBS reduces the target to $3.25, from $5.20, to reflect the impact of the capital raising and the company’s recent downgrade to expectations.
Read MoreCatapult Group has renewed and expanded its deal with Rugby Australia, in the wake of renewing its deal with the NRL, meaning no more material renewals upcoming in the near future.
Read MoreMacquarie observes cost management has offered more protection than previously expected against the headwinds to volume. Trading was slightly weaker than expected in July to October but offset by strong cost-cutting.
Read MoreCiti lifts estimates for earnings per share by 1% based on solid volumes over the year to date. The broker believes ASX has many qualities, including a strong competitive position, commitment to a stable pay-out and positive leverage to higher market volatility.
Read MoreThe company has completed the acquisition of Imaging Queensland for consideration up front of $104m. Morgan Stanley already includes the associated capital raising in forecasts and now includes the earnings associated with the acquisition.
Read MoreCiti analysts have dug deeper into web site traffic and app downloads for the Buy Now, Pay Later sector in general. Their conclusion is that Afterpay Touch had a solid October in the USA.
Read MoreThe first-quarter result disappointed UBS. Group revenue fell -9%. However, the miss was partly driven by increased revenue deferrals.
Read MoreThe company has presented its new strategy, incorporating a digital future. Credit Suisse notes a lot of changes are proposed so the need to successfully execute is high.
Read MoreTrade wars, Brexit and the Hong Kong protests made for a particularly tough first half for Corporate Travel Management, but there are signs of life returning in the second half. The company has reiterated FY guidance and Morgans assumes modest first-half earnings growth followed by double-digit growth in the second half as macro headwinds gradually ease.
Read MoreThe shares have recently outperformed and UBS downgrades to Neutral from Buy. The share price has increased around 20% in the year to date. The company has reiterated guidance for FY20 net profit of around $365m.
Read MoreNet profit was ahead of Credit Suisse forecasts in the September quarter, with the company outperforming on margin in North America. FY20 net profit guidance has been raised to US$340-370m.
Read MoreTrading in the second quarter appears to have improved while the company has reiterated FY20 guidance for 10-16.5% growth in operating earnings.
Read MoreFY19 net profit was slightly ahead of Credit Suisse forecasts. While the outlook has improved, the broker notes there are still near-term risks. Performance fees are expected to remain low in FY20 and investments in growth initiatives continue.
Read MoreUBS lowers its rating to Neutral from Buy as the stock is approaching the target. House prices are lifting and housing approvals appear to be bottoming but the next 12 months are still likely to experience a contraction ahead of a trough, in the broker’s view.
Read MoreCiti notes Iluka Resources is constructive regarding the mid-term outlook for zircon, expecting a market deficit because of declining supply. The company also expects an upturn in pigment demand for feedstocks by mid-2020.
Read MoreThe company has acquired Trivett Alexandria for $9m, which Macquarie suggests is capitalising on a bottom-of-the-cycle valuation.
Read MoreWhile the free cash flow yield looks attractive, and the company has a balanced and predictable capital allocation strategy, Morgan Stanley believes it is insufficient to warrant an upgrade.
Read MoreThe company has acquired three assets for $270.6m. Macquarie estimates the transaction is largely neutral to earnings in FY20 and, whilst a marginal positive, is insufficient to change its view on the stock.
Read MoreWestpac’s earnings result fell short of Morgan’s forecast, although adjusting for “transient items” produces a better underlying result. The dividend of 80c, down from a 94c interim, is -4c lower than the broker forecast.
Read MoreThe company has made an all-scrip offer for Panoramic Resources ((PAN)). This would provide Independence Group with a third mine. An all-scrip offer, despite the strong cash position, makes sense in the broker’s view, given the recent support from the gold price.
Read MoreFirst half results were ahead of Morgan Stanley’s expectations at the earnings (EBIT) line. Net profit was below forecasts. The company has guided to FY20 net profit of $107-133m.
Read MoreMacquarie’s result was largely in line with consensus and relatively clean and solid, the broker suggests. The Group is tracking well against FY guidance of “slightly lower” but is cycling a very strong second half last year, Morgans notes.
Read MoreFY19 net profit was ahead of expectations. Macquarie liked the positive growth outlook, particularly in the context of a challenging earnings backdrop in the broader market.
Read MoreCommodity revenue was 5% ahead of Credit Suisse forecasts in the first quarter while LNG revenue was 12% ahead. The broker adjusts realised price assumptions for the next year relative to Brent oil pricing.
Read MoreData suggest Aristocrat achieved 23% US ship-share in the Sep Q, up from 20% and in line with UBS forecasts.
Read MoreBlackmores has indicated first half profit is likely to be at similar levels to the prior half, at around $21m. This is below Citi’s original expectations.
Read MoreThe company has reiterated guidance at its investor briefing while Macquarie notes the risk is to the upside and the focus is on strategy not the financials.
Read MoreSeptember quarter production was weak, curtailed to meet soft customer demand and limit the cash burn. The company achieved structural cost reductions and is targeting a reduction in quarterly costs of $5-10m.
Read MoreFirst-quarter food sales growth of 6.6% was in line with expectations. Online sales growth accelerated to 43%. NZ food like-for-like sales growth was also strong, up 4.8%.
Read MoreFirst-quarter sales were broadly in line with Morgan Stanley’s expectations. Like-for-like sales growth in supermarkets was 0.1%.
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