South32 Asset Sale Holds Key To Outlook
Capital management will be the focus for brokers when South32 reports in August. The other catalyst, a sale of South Africa Energy Coal, is considered unlikely to be resolved at that stage.
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Nickel Takes The Limelight, But Will It Last?
Nickel prices have surged recently but as some brokers assess, fundamentals do not appear to be supporting the rally. Hence, a retracement is considered highly likely.
Read MoreHeadwinds Build For Insurers And Wealth Managers
As FY20 unfolds, falling global bond yields will produce headwinds for the general insurance sector while wealth managers could enjoy a short-term uplift to recurring revenue.
Read MoreBapcor Driving Growth Despite Soft Consumer
Bapcor is cementing its position in car parts and brokers are upbeat about the stock, despite the likelihood growth rates will now be less stellar.
Read MoreAveo Group Now A Binary Proposition
Struggling retirement village developer Aveo Group may have been thrown a lifeline by a potential suitor, but the picture is not pretty if the deal falls through.
Read MoreCYBG Plans To Be In The Money With Virgin
Financial group CYBG plans to exploit its under-utilised customer base through enhanced products and services, re-branding as Virgin Money by the end of the year.
Read MoreAussie Disconnected From Commodity Prices
Long the “commodity currency” ANZ Bank economists note the Aussie dollar is no longer being supported by commodity prices as has typically been the case.
Read MoreConfidence Dims For The Star
A weak trading update from The Star Entertainment has sent brokers scurrying to review earnings estimates and the outlook for the domestic gambling sector.
Read MoreCash Flow The Key For Syrah Resources
Syrah Resources has downgraded production guidance for the June quarter, although brokers note stability in cash flow appears to be emerging.
Read MoreIron Ore Peaking?
Brazil’s Vale is plagued by problems at its iron ore mines and, despite surging prices, other suppliers are finding it difficult to make up the difference. Yet are prices peaking?
Read MoreDomino’s Pizza Comfortable With Progress
Domino’s Pizza appears comfortable with the progress being made, as it continues to roll out stores in Europe, maintaining earnings guidance for FY19.
Read MoreValuation A Chief Concern For TechnologyOne
Large accounting clients continue to migrate to TechnologyOne’s cloud offering but brokers remain concerned about the stock’s valuation.
Read MoreScentre Group Takes The First Step
Scentre Group has made its first asset sale of 2019, a first step towards debt reduction.
Read MoreConfident Outlook For Goodman Group
Industrial property developer Goodman Group is increasingly confident in the opportunities inherent in its global land bank, reaffirming a robust outlook.
Read MoreIs Separation The Way Forward For Suncorp?
Amid flat loan growth in the March quarter, brokers ponder the prospect of Suncorp separating its banking business.
Read MoreGrainCorp Undeterred As LTAP Pulls Bid
The outlook for GrainCorp is hazy, as the company proceeds with plans to divest and restructure businesses in the wake of LTAP pulling its acquisition proposal.
Read MoreBrokers Still Upbeat On Macquarie Group
After posting profit of $2.98bn in FY19 Macquarie Group has somewhat unsettled investors by suggesting FY20 outcomes could be more subdued.
Read MoreTransurban Emphasises Domestic Outlook
The current environment in bond markets is supporting Transurban and brokers do not envisage any change instatus in the near term.
Read MoreNorthern Star Pins Hope On Pogo Recovery
Gold miner Northern Star Resources had a less-than-stellar March quarter, largely because of delays to the arrival of new mining equipment at Pogo.
Read MoreUS Margins The Key Driver For Brambles
Sales growth for the Brambles’ CHEP business reflected strong price realisation and customer expansion in the US, but the critical issue for brokers is easing cost inflation.
Read MoreBlackmores Peps Up Its Strategy For China
Elevated inventory persisted over the March quarter amid falling sales for Blackmores, which has recognised the need to reposition its business to better cater for the Chinese market.
Read MoreCarrapateena Still Key To OZ Minerals
Despite weak production outcomes in the March quarter, Carrapateena is expected to provide OZ Minerals with a positive catalyst when production starts later in the year.
Read MoreSeparating Malt Appeals To GrainCorp
Separating out GrainCorp’s malt business has its appeal, brokers acknowledge, but the devil is likely to be in the detail for the remaining integrated grains & edible oils.
Read MoreMaterial Matters: Lithium, Coal & Alumina
A glance through the latest expert views and predictions about commodities. Global PMIs; lithium; oil; coking coal; iron ore; and alumina.
Read MoreIncitec Pivot Issues Brushed Aside
Incitec Pivot has provided further detail on the financial impact of the myriad problems impacting in FY19. These are mostly considered one-off issues and a better FY20 is expected.
Read MoreCharter Hall Retail Well Placed For Acquisitions
Charter Hall Retail will acquire Rockdale Plaza, providing an opportunity for both non-rental income and improved mix of stores.
Read MoreWholesale, Online Growth Slated For Smiggle
Premier Investments is accelerating its emphasis on the Smiggle brand as it expands an online and wholesale business globally, although sales growth for established Smiggle markets eased back in the first half.
Read MoreGwalia Setback Unlikely To Hamper St Barbara
St Barbara has encountered a setback in its feasibility study for the mass extraction project at Gwalia, resulting in a reduction to production guidance amid higher costs.
Read MoreTPG Telecom Wired For ACCC Decision
TPG Telecom is in the line of fire as it awaits the decision from the ACCC on its merger with Vodafone Australia. Brokers suspect downside risk to the share price is considerable if the merger is disallowed.
Read MoreWill Red Chris Add Value To Newcrest?
Brokers perceive Newcrest could add significant value to the Red Chris copper-gold project, in which it has acquired a 70% stake.
Read MoreMetcash Hungers For Growth
Metcash has outlined an expenditure program designed to lift all areas of its business over FY20-24. Brokers contemplate the outlook in light of the latest trading update.
Read MoreMore Upside To Come For Link
Costs and depreciation marred the first half result for Link Administration, although brokers are confident that synergies for Link Asset Services should continue working in the company’s favour.
Read MoreOil Outlook Remains Under Tension In 2019
Compliance with the OPEC-led agreement is expected to underpin oil prices in the first half of 2019, while the remainder of the year may be subject to more volatility.
Read MoreMagellan Financial, Simply The Best?
Wealth manager Magellan Financial’s fund flows stood out in the December quarter and a better outlook has prompted several brokers to review their ratings.
Read MoreHousing Correction: Two Views
Is Australia’s housing market a source of vulnerability for the economy?
Read MoreAnsell Embarks On Efficiency Drive
While Ansell is targeting savings by closing three manufacturing facilities, raw material costs remain the key risk for the earnings outlook.
Read MoreElders Expects Growth Despite Dry Conditions
Elders expects to still deliver 5-10% growth in operating earnings in FY19 despite a reduced summer crop and continuing dry conditions on Australia’s east coast.
Read MoreSubdued Outlook For Westpac
Another difficult year looms for Westpac and, while mortgage re-pricing should boost first half performance, slower wealth revenues and further customer remediation are likely to weigh.
Read MoreFortescue Metals’ Product Strategy On Target
First iron ore from the West Pilbara fines will be introduced to the market in December, underpinning a robust outlook for Fortescue Metals in FY19.
Read MoreSaracen On Track For Gold Target
Gold throughput was a record in the September quarter and brokers suggest Saracen Mineral Holdings is on track to meet its production targets.
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