ASX – Credit Suisse rates the stock as Neutral
Credit Suisse assesses earnings should benefit from volatility in the short term. ASX is considered the most defensive stock amongst diversified financials and it carries no debt.
Read MoreCredit Suisse assesses earnings should benefit from volatility in the short term. ASX is considered the most defensive stock amongst diversified financials and it carries no debt.
Read MoreUBS cuts forecasts for Wesfarmers by -4-16% as well as updates for the sell-down of the Coles stake.
Read MoreLiveHire has won a major contract for its talent community software from the Queensland public service. The deal will allow Queensland to have a more efficient response to the coronavirus pandemic, redeploying more than 15,000 public service employees.
Read MoreThe company has announced its capital position at the end of March amid a de-risking of its investment portfolio. Credit Suisse calculates investment experience losses, not disclosed, represent around 6.5% of the investment assets.
Read MoreUBS suggests the market is discounting the longer-term outlook for Crown Resorts. The broker estimates cash burn of -$40m per month during the period the casinos are shut down.
Read MoreCredit Suisse increases estimates for earnings per share by 7% and 27% in FY20 and FY21 respectively, implementing higher gold and lower FX estimates.
Read MoreWoodside has reduced expenditure by -US$2.4bn. Credit Suisse notes the balance sheet is robust and there is little risk to debt covenants under current conditions.
Read MoreFirst-half results were softer than UBS expected. The miss was attributed to Australasia and Asia sales growth. The broker believes the medium-term growth story is intact and upgrades to Buy from Neutral.
Read MoreSouth32 has announced interruptions to its South African operations after the government called a 21-day lock-down.
Read MoreSouth32 has announced interruptions to its South African operations after the government called a 21-day lock-down.
Read MoreAMP has withdrawn 2020 guidance, but the sale of Life and NZ is progressing. The broker has marked to market for funds under management but also adjusted remediation assumptions (80% already paid) to remove some duplication of earlier numbers.
Read MoreUBS is not surprised by the company’s decision to raise up to $850m, considering the sudden deterioration in the operating environment and the likelihood of paying out $380m in penalties following the lost patent infringement case.
Read MoreTraffic levels are likely to be severely impacted by travel bans, lock-downs and other measures to slow the spread of coronavirus. Credit Suisse expects a reduction in the dividend of -23% in FY21 because of lower free cash flow.
Read MoreGovernment action in South Africa has led to Rio Tinto shutting down operations and developments there for three weeks. Quebec has called mining and smelting essential, but only at minimum rates. The broker has adjusted accordingly and also adjusted for commodity price and forex movements.
Read MoreHealius has withdrawn FY20 guidance. The company is currently completing around 2500 tests for coronavirus per day but this is not enough to offset the volume drop from fewer GP attendances and the deferral of elective pathology & radiology work.
Read MoreWoolworths has declared it cannot accurately forecast the impact of the virus on its full-year result. A trading update revealed strong recent sales growth on consumer hoarding, nonetheless leading to strain on supply chains to keep up with demand. Management noted, however, mayhem seemed to be easing last weekend.
Read MoreFY20 guidance has been withdrawn. Morgans believes it appropriate to revise forecasts and adjust dividend expectations, as cash conservation is paramount.
Read MoreCiti upgrades the banking sector to Buy. Even in a severe bad debt scenario the current crisis is not likely to de-stabilise the sector such as what occurred in the GFC.
Read MoreBased on the latest data, the broker estimates Aristocrat Leisure’s social gaming and casino app revenue has grown by 10-15% year to date. Total social gaming revenue is estimated to be up 90% year on year in February and 50% year to date.
Read MoreFirst-half results were characterised by good cost control and brand management, UBS observes. However, the broker reduces near-term forecasts by -15-20% to reflect the impact of coronavirus.
Read MoreThe company has withdrawn guidance because of the unknown impact on scrap demand and activity. Credit Suisse notes the positives include a strong balance sheet, with limited draw on working capital under the current trading conditions.
Read MoreNetwealth has announced it will absorb the impact of the cut to the official cash rate, equivalent to a cut of around -10%to pre-tax profit on a full-year basis. This is in line with UBS forecasts.
Read MoreThe company has won a new account which will transition around $1bn of funds under administration. Credit Suisse upgrades flow forecasts in the outer years to capture the benefit.
Read MoreThe outbreak of coronavirus has shifted the economic outlook and funding markets in a negative direction, UBS notes. The broker calculates Lendlease requires $150-200m in transaction earnings to reach FY20 consensus forecasts.
Read MoreThe company has reduced earnings expectations for FY20, abandoning the likelihood of a strong rebound in premium ad volumes in the current half. An automatic price rise of around 8% has also been postponed.
Read MoreWith earnings already under pressure from ultra-low rates, the likelihood of further unconventional measures implies another step down. Macquarie notes that while the jury is out on the effectiveness of QE, consensus suggests it hurts bank profitability.
Read MoreUBS upgrades to Buy from Neutral as the valuation appears highly attractive for the long-term growth trajectory. A commercialisation of the relationship with Dassault is a material near-term catalyst.
Read MoreWhile the company has experienced a stable operating environment in the year to date the coronavirus outbreak implies some risk going forward.
Read MoreCoca-Cola Amatil as withdrawn FY20 guidance. On the one hand the company is benefitting from consumer stockpiling but on the other it is losing sales due to cancelled events, crowdless sport and a general stay-at-home trend.
Read MoreThe company has suspended guidance. Costs are being managed, which includes staff leave, shorter working weeks and reductions in discretionary expenditure.
Read MoreVirgin Australia will reduce group capacity by -6% in the June half and -8% in the December half. This could be adjusted further to reflect changes in demand, either through tactical cancellations or further scheduling cuts.
Read MoreThe company has reverted back to its original guidance, expecting a pre-tax profit range of $500-550m as opposed to the top end of the range.
Read MoreVirgin Australia will reduce group capacity by -6% in the June half and -8% in the December half. This could be adjusted further to reflect changes in demand, either through tactical cancellations or further scheduling cuts.
Read MoreThe company has suspended guidance. Costs are being managed, which includes staff leave, shorter working weeks and reductions in discretionary expenditure.
Read MoreFlight Centre has withdrawn FY20 guidance. The broker has revised down forecasts with the caveat of best guess under the circumstances. The broker’s travel sector view is one of depressed conditions throughout the first half FY21 before normalising in FY22.
Read MoreA brave team of healthcare analysts at Citi has upgraded CSL to Buy from Neutral if only because the share price continues to weaken. Citi has kept the $332 price target intact, while forecasting double-digit percentages growth in EPS for each of the following three years.
Read MoreCredit Suisse cuts oil price forecasts substantially, lowering Brent in 2020 to US$37-42/bbl from US$55-63/bbl. 2021 forecasts are also reduced, to US$45-50/bbl from US$55-65/bbl.
Read MoreWith respect to the virus, Macquarie sees limited risk to Consumer Staples particularly supermarkets, Coca-Cola Amatil and Domino’s Pizza.
Read MoreDue to plunging interest rates, Computershare has downgraded FY20 management earnings guidance to “down around -15%” from a previous “down around -5%” but more importantly, the broker notes, downgraded FY21 margin income guidance by -47% on the basis that negative knock-on effects could manifest for US mortgage servicing and corporate actions through FY21.
Read MoreTravel demand has slumped sharply and there are high levels of uncertainty over the next 6-12 months. Hence Webjet has withdrawn FY20 guidance.
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