{"id":82537,"date":"2019-09-12T12:53:12","date_gmt":"2019-09-12T02:53:12","guid":{"rendered":"https:\/\/www.fnarena.com\/index.php\/2019\/09\/12\/australian-broker-call-extra-edition-sep-12-2019\/"},"modified":"2019-09-12T12:56:58","modified_gmt":"2019-09-12T02:56:58","slug":"australian-broker-call-extra-edition-sep-12-2019","status":"publish","type":"post","link":"https:\/\/staging.fnarena.com\/index.php\/2019\/09\/12\/australian-broker-call-extra-edition-sep-12-2019\/","title":{"rendered":"Australian Broker Call *Extra* Edition – Sep 12, 2019"},"content":{"rendered":"

An additional news report on the recommendation, valuation, forecast and opinion changes for ASX-listed equities.<\/strong><\/p>\n

In addition to The Australian Broker Call Report, which is published and updated daily (Mon-Fri), FNArena has now added The Australian Broker Call *Extra* Edition, featuring additional sources of research and insights on ASX-listed stocks, also enlarging the number of stocks that make up the FNArena universe.<\/p>\n

One key difference is the *Extra* Edition will not be updated daily, but merely "regularly" depending on availability of suitable quality content. As such, the *Extra* Edition tries to build a bridge between daily updates via the Australian Broker Call Report and ad hoc news stories, that are not always timely for investors hungry for the next information update.<\/p>\n

Investors using the *Extra* Edition as a source of input for their own share market research should thus take into account that information after publication may not be up to date, or yet awaiting another update by FNArena's team of journalists.<\/p>\n

Similar to The Australian Broker Call Report, this *Extra* Edition includes concise but limited reviews of research recently published by Stockbrokers and other experts, which should be considered as information concerning likely market behaviour rather than advice on the securities mentioned. Do not act on the contents of this Report without first reading the important information included at the end of this Report.<\/p>\n

The Australian Broker Call *Extra* Edition is a summary that has been prepared independently of the sources identified. Readers will check the full text of the recommendations and consult a Licenced Advisor before making any investment decision.<\/p>\n

The copyright of this Report is owned by the publisher. Readers will not copy, forward or disseminate this Report to any other person. For more vital information about the sources included, see the bottom of this Report.<\/p>\n

COMPANIES DISCUSSED IN THIS ISSUE<\/strong><\/p>\n

Click on a symbol for fast access.
\nThe number next to the symbol represents the number of brokers covering it for this report -(if more than 1)<\/p>\n

360<\/a>   ANG<\/a>   BVS<\/a>   CAT<\/a>   CDA<\/a>   FNP<\/a>   IRI<\/a>   MAQ<\/a>   MNF (2)<\/a>   MVP<\/a>   NAN<\/a>   NBL<\/a>   NVL<\/a>   PKS<\/a>   PPC<\/a>   RDY<\/a>   SSG<\/a>  <\/p>\n

360<\/a>    LIFE360 INC<\/h2>\n

Software & Services – Overnight Price: $3.45 <\/strong><\/p>\n

Moelis rates ((360)) as Buy (1) –<\/p>\n

Life360's FY19 result beat the broker by a nose, thanks to a strong performance across all major metrics. Revenue growth, retention, user growth, higher-value conversion and monetisation of users through the lead generation partnership with Allstate all contributed.<\/p>\n

Management reaffirmed guidance. Moelis notes Life360 is experiencing strong momentum and is making solid progress on growing and monetising its user base. Target price is steady at $6.50. Buy rating retained.<\/p>\n

This report was released on August 23, 2019.<\/p>\n

Target price is $6.50<\/strong> Current Price is $3.45 <\/strong> Difference: $3.05<\/strong>
\nIf 360<\/strong> meets the Moelis target it will return approximately 88%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in December.<\/p>\n

Forecast for FY19:<\/strong><\/p>\n

Moelis forecasts a full year FY19<\/strong> dividend of 0.00<\/strong> cents and EPS of minus 23.94<\/strong> cents.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 14.41<\/strong>.<\/p><\/blockquote>\n

Forecast for FY20:<\/strong><\/p>\n

Moelis forecasts a full year FY20<\/strong> dividend of 0.00<\/strong> cents and EPS of minus 18.13<\/strong> cents.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 19.03<\/strong>.<\/p><\/blockquote>\n

This company reports in USD<\/strong>. All estimates have been converted into AUD by FNArena at present FX values.
\nMarket Sentiment: 1.0<\/strong>
\nAll consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

ANG<\/a>    AUSTIN ENGINEERING LIMITED<\/h2>\n

Mining Sector Contracting – Overnight Price: $0.18 <\/strong><\/p>\n

Wilsons rates ((ANG)) as Buy (1) –<\/p>\n

Austin Engineering's FY19 result fell short of Wilsons estimates and downgraded guidance. The broker trims FY20 earnings -15% to match the lower end of guidance, and to reflect a cautious outlook for North America.Target price falls to 25c from 28c.<\/p>\n

The broker retains a Buy rating, believing the company is in its best position in more than five years.<\/p>\n

Wilsons expects a shortage of domestic yellow-kit will trigger a resurgence in demand, says the share valuation is cheap, and the company holds a strong balance sheet.<\/p>\n

This report was published on August 28, 2019.<\/p>\n

Target price is $0.25<\/strong> Current Price is $0.18 <\/strong> Difference: $0.07<\/strong>
\nIf ANG<\/strong> meets the Wilsons target it will return approximately 39%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Wilsons forecasts a full year FY20<\/strong> dividend of 0.40<\/strong> cents and EPS of 1.60<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 2.22%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 11.25<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Wilsons forecasts a full year FY21<\/strong> dividend of 0.80<\/strong> cents and EPS of 2.10<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 4.44%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 8.57<\/strong>.<\/p><\/blockquote>\n

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

BVS<\/a>    BRAVURA SOLUTIONS LIMITED<\/h2>\n

Wealth Management & Investments – Overnight Price: $4.39 <\/strong><\/p>\n

Wilsons rates ((BVS)) as Buy (1) –<\/p>\n

Bravura Solutions' FY19 results outpaced Wilsons' earnings estimates by 5% and the company issued double-digit growth guidance (in-line).<\/p>\n

The higher value wealth management business experienced further revenue declines and guidance included an immaterial contribution from mergers and acquisitions, but management reiterated to the market that the investment case remains intact.<\/p>\n

Wilsons believes the structural outlook for the wealth management software is good, and notes the company has plenty of cash to splash on accretive mergers and acquisitions.<\/p>\n

Buy rating retained, reflecting the undemanding valuation. Target price goes to $5.66. Buy rating retained.<\/p>\n

Target price is $5.66<\/strong> Current Price is $4.39 <\/strong> Difference: $1.27<\/strong>
\nIf BVS<\/strong> meets the Wilsons target it will return approximately 29%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Wilsons forecasts a full year FY20<\/strong> dividend of 4.20<\/strong> cents and EPS of 17.50<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 0.96%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 25.09<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Wilsons forecasts a full year FY21<\/strong> dividend of 5.00<\/strong> cents and EPS of 21.00<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 1.14%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 20.90<\/strong>.<\/p><\/blockquote>\n

Market Sentiment: 1.0<\/strong>
\nAll consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

CAT<\/a>    CATAPULT GROUP INTERNATIONAL LTD<\/h2>\n

Medical Equipment & Devices – Overnight Price: $1.31 <\/strong><\/p>\n

Bell Potter rates ((CAT)) as Buy (1) –<\/p>\n

Catapult Group's FY19 result comfortably outpaced Bell Potter's estimates, thanks to a strong performance in the core Elite business.  On the downside, operating cash flow was negative, leaving year-end cash at $11.7m (this recovered to $21.5m by mid August).<\/p>\n

No FY20 guidance was issued but management expects revenue growth to continue and operating expenditure growth to ease, suggesting stronger margins. The broker upgrades FY20 and FY21 earnings forecasts 37% and 13%, and forecasts a higher-than-expected maiden net profit for FY21.<\/p>\n

Bell Potter raises the target price to $2 from $1.50. Buy rating retained.<\/p>\n

This report was published on August 22, 2019.<\/p>\n

Target price is $2.00<\/strong> Current Price is $1.31 <\/strong> Difference: $0.69<\/strong>
\nIf CAT<\/strong> meets the Bell Potter target it will return approximately 53%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Bell Potter forecasts a full year FY20<\/strong> dividend of 0.00<\/strong> cents and EPS of minus 2.90<\/strong> cents.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is minus 45.17<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Bell Potter forecasts a full year FY21<\/strong> dividend of 0.00<\/strong> cents and EPS of 2.00<\/strong> cents.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 65.50<\/strong>.<\/p><\/blockquote>\n

Market Sentiment: 0.0<\/strong>
\nAll consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

CDA<\/a>    CODAN LIMITED<\/h2>\n

Hardware & Equipment – Overnight Price: $4.80 <\/strong><\/p>\n

Moelis rates ((CDA)) as Buy (1) –<\/p>\n

Codan's FY19 result outpaced Moelis's estimates thanks to a strong performance from the Metal Detection business in the second half, the company making great strides in diversifying the product mix.<\/p>\n

The Radio Communications section kicks off FY20 with a strong pipeline and big sales opportunities.<\/p>\n

Moelis finds the company's three core divisions are well-positioned for growth and expects the company will be re-rated citing strong sales, diversified revenue sources, a 26% return on investment capital, $38m net cash balance sheet, and larger size and liquidity.<\/p>\n

Target price rises to $5 from $3.90. Buy rating retained.<\/p>\n

This report was published on August 26, 2019.<\/p>\n

Target price is $5.00<\/strong> Current Price is $4.80 <\/strong> Difference: $0.2<\/strong>
\nIf CDA<\/strong> meets the Moelis target it will return approximately 4%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Moelis forecasts a full year FY20<\/strong> dividend of 17.30<\/strong> cents and EPS of 28.20<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 3.60%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.02<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Moelis forecasts a full year FY21<\/strong> dividend of 19.10<\/strong> cents and EPS of 31.10<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 3.98%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.43<\/strong>.<\/p><\/blockquote>\n

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

FNP<\/a>    FREEDOM FOODS GROUP LIMITED<\/h2>\n

Food, Beverages & Tobacco – Overnight Price: $5.81 <\/strong><\/p>\n

Goldman Sachs rates ((FNP)) as Initiation of coverage with Buy (1) –<\/p>\n

Goldman Sachs has initiated coverage on Freedom Foods Group, the largest player in the Australian supermarket health food category, with a Buy rating.<\/p>\n

The broker expects the company's completion of a capital expenditure program will considerably boost earnings by 2022, and notes the company plans to focus on high-value dairy-based nutritional products, diversifying the customer base to high-growth categories.<\/p>\n

Goldman Sachs forecasts a 44% increase in three-year earnings-per-share (compound annual growth rate) across FY18-21.<\/p>\n

Positive macros trends – health foods are booming – combined with rising incomes in emerging markets are expected to underpin strong global demand. China and Asia's appetite for dairy products is expected to add to the story. Target price is $6.15.<\/p>\n

This report was published on June 17, 2019.<\/p>\n

Target price is $6.15<\/strong> Current Price is $5.81 <\/strong> Difference: $0.34<\/strong>
\nIf FNP<\/strong> meets the Goldman Sachs target it will return approximately 6%<\/strong> (excluding dividends, fees and charges).
\nCurrent consensus price target is $6.05<\/strong>, suggesting upside of 4.2%<\/strong>(ex-dividends)
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Goldman Sachs forecasts a full year FY20<\/strong> dividend of 9.00<\/strong> cents and EPS of 16.00<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 1.55%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 36.31<\/strong>.<\/p>\n

How do these forecasts compare to market consensus projections?<\/p>\n

Current consensus EPS estimate is 14.9<\/strong>, implying annual growth of 217.7%<\/strong>.
\nCurrent consensus DPS estimate is 6.8<\/strong>, implying a prospective dividend yield of 1.2%<\/strong>.
\nCurrent consensus EPS estimate suggests the PER is 39.0<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Goldman Sachs forecasts a full year FY21<\/strong> dividend of 15.00<\/strong> cents and EPS of 27.00<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 2.58%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.52<\/strong>.<\/p>\n

How do these forecasts compare to market consensus projections?<\/p>\n

Current consensus EPS estimate is 24.3<\/strong>, implying annual growth of 63.1%<\/strong>.
\nCurrent consensus DPS estimate is 9.3<\/strong>, implying a prospective dividend yield of 1.6%<\/strong>.
\nCurrent consensus EPS estimate suggests the PER is 23.9<\/strong>.<\/p><\/blockquote>\n

Market Sentiment: 0.7<\/strong>
\nAll consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

IRI<\/a>    INTEGRATED RESEARCH LIMITED<\/h2>\n

IT & Support – Overnight Price: $3.08 <\/strong><\/p>\n

Bell Potter rates ((IRI)) as Buy (1) –<\/p>\n

Integrated Research slightly outpaced Bell Potter's estimates, landing at the top end of guidance thanks to a currency benefit, but net profit after tax was still strong. Cash flow was flat thanks to the reduction in factoring so the underlying cash flow was an improvement.<\/p>\n

No FY20 guidance was provided but management said it was well-placed to deliver sustainable growth and pointed to a strong renewal pipeline.<\/p>\n

The broker forecasts low doubled-digit earnings-per-share growth for FY20, which it expects will bump up to the high low to mid teens in FY21 once the cloud-based platform launches in the second half of FY20. Target price steady at $3.50. Buy recommendation retained.<\/p>\n

This report was released on August 22, 2019.<\/p>\n

Target price is $3.50<\/strong> Current Price is $3.08 <\/strong> Difference: $0.42<\/strong>
\nIf IRI<\/strong> meets the Bell Potter target it will return approximately 14%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Bell Potter forecasts a full year FY20<\/strong> dividend of 8.30<\/strong> cents and EPS of 14.00<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 2.69%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 22.00<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Bell Potter forecasts a full year FY21<\/strong> dividend of 9.80<\/strong> cents and EPS of 15.90<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 3.18%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.37<\/strong>.<\/p><\/blockquote>\n

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

MAQ<\/a>    MACQUARIE TELECOM GROUP LIMITED<\/h2>\n

Telecommunication – Overnight Price: $22.50 <\/strong><\/p>\n

Canaccord Genuity rates ((MAQ)) as Buy (1) –<\/p>\n

Macquarie Telecom's FY19 result met guidance and Canaccord Genuity's estimates. Revenues softened but the margin held up, despite the migration of thousands of customers to NBN services. Hosting revenues continue to grow and margins edged higher.<\/p>\n

The company finished the years with net cash of $17m after work on the IC3 data centre was delayed. The broker expects this to hit in the second half of FY20 and notes the company is also investing in further expansion in Canberra and in its cloud platform.<\/p>\n

Given the market's strong growth prospects, the broker retains a Buy rating. Target price settles at $26.40. Buy rating maintained. <\/p>\n

This report was published on August 27, 2019.<\/p>\n

Target price is $26.40<\/strong> Current Price is $22.50 <\/strong> Difference: $3.9<\/strong>
\nIf MAQ<\/strong> meets the Canaccord Genuity target it will return approximately 17%<\/strong> (excluding dividends, fees and charges).<\/p>\n

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

MNF<\/a>    MNF GROUP LIMITED<\/h2>\n

Telecommunication – Overnight Price: $5.02 <\/strong><\/p>\n

Canaccord Genuity rates ((MNF)) as Buy (1) –<\/p>\n

MNF Group's FY19 result pleased Cannacord Genuity, the company posting a strong increase in earnings after stripping out non-recurring items. The broker says earnings quality rose sharply and same store customer revenue growth accelerated.<\/p>\n

Management reports no pricing pressure and is basking in the relatively benign environment. Guidance was maintained. Earnings-per-share forecasts rise 2% for FY20 and 5% for FY21.<\/p>\n

Cannacord Genuity notes the market is growing quickly and believes the company can establish a robust earnings trajectory over the next three years. Target price lands at $5.90. Buy rating retained.<\/p>\n

This report was published on August 28, 2019.<\/p>\n

Target price is $5.90<\/strong> Current Price is $5.02 <\/strong> Difference: $0.88<\/strong>
\nIf MNF<\/strong> meets the Canaccord Genuity target it will return approximately 18%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Canaccord Genuity forecasts a full year FY20<\/strong> dividend of 10.00<\/strong> cents and EPS of 23.70<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 1.99%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 21.18<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Canaccord Genuity forecasts a full year FY21<\/strong> dividend of 12.90<\/strong> cents and EPS of 29.50<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 2.57%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.02<\/strong>.<\/p><\/blockquote>\n

Market Sentiment: 1.0<\/strong>
\nAll consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

\n

E.L. & C Baillieu rates ((MNF)) as Buy (1) –<\/p>\n

Baillieu found the recent FY19 release broadly in line with management's own guidance, with guidance for FY20 reiterated. The analysts have positioned themselves towards the top end of the guidance range.<\/p>\n

The analysts are pleased with the performance, the overall quality, strong cash flows, organic growth, recurring revenues, and the contribution from TIAB. Only minor amendments have been made to forecasts.<\/p>\n

Baillieu finds MNF Group is well positioned for strong growth in FY20. The broker views this as a quality growth story with further upside risk. Buy rating retained. Target price $5.86.<\/p>\n

This report was released on September 9, 2019.<\/p>\n

Target price is $5.86<\/strong> Current Price is $5.02 <\/strong> Difference: $0.84<\/strong>
\nIf MNF<\/strong> meets the E.L. & C Baillieu target it will return approximately 17%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

E.L. & C Baillieu forecasts a full year FY20<\/strong> dividend of 8.10<\/strong> cents and EPS of 25.80<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 1.61%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 19.46<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

E.L. & C Baillieu forecasts a full year FY21<\/strong> dividend of 10.30<\/strong> cents and EPS of 30.60<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 2.05%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 16.41<\/strong>.<\/p><\/blockquote>\n

Market Sentiment: 1.0<\/strong>
\nAll consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

MVP<\/a>    MEDICAL DEVELOPMENTS INTERNATIONAL LIMITED<\/h2>\n

Pharmaceuticals & Biotech\/Lifesciences – Overnight Price: $4.65 <\/strong><\/p>\n

Bell Potter rates ((MVP)) as Buy (1) –<\/p>\n

Medical Developments International's FY19 result beat Bell Potter's estimate by 15%, thanks to a higher-than-expected gross margin and 9% sales beat by Penthrox. Revenue growth healthily outpaced operating expenditure growth and the company was sittng on net cash of $25.4m.<\/p>\n

The broker cuts FY20 and FY21 estimates to reflect lower revenue and margin forecasts. Target price falls to $6.08 from $6.73. The broker appreciates the company's strong international growth profile and retains a Buy rating.<\/p>\n

This report was published on August 25, 2019.<\/p>\n

Target price is $6.08<\/strong> Current Price is $4.65 <\/strong> Difference: $1.43<\/strong>
\nIf MVP<\/strong> meets the Bell Potter target it will return approximately 31%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Bell Potter forecasts a full year FY20<\/strong> dividend of 4.00<\/strong> cents and EPS of 2.20<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 0.86%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 211.36<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Bell Potter forecasts a full year FY21<\/strong> dividend of 4.00<\/strong> cents and EPS of 3.40<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 0.86%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 136.76<\/strong>.<\/p><\/blockquote>\n

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

NAN<\/a>    NANOSONICS LIMITED<\/h2>\n

Medical Equipment & Devices – Overnight Price: $6.55 <\/strong><\/p>\n

Wilsons rates ((NAN)) as Sell (5) –<\/p>\n

Nanosonics FY19 result outpaced Wilsons estimates by 54%, triggering a downgrade to Sell, the broker believing we might as well be witnessing "peak Nanosonics" as far as investor sentiment goes. Management guided to slower growth in the company's US consumable resupply business, a division the broker says is supporting grossly exaggerated valuations.<\/p>\n

Profit-taking is the order of the day given no new information was received about the company's second product launch – which will come at an undisclosed cost  (the Trophon launch was about $1 a share). Wilson cuts FY20 earnings estimates -21%.<\/p>\n

Meanwhile, the company has $22m in cash and is considering capital management initiatives and merger-and-acquisition activity. Target price falls to $3.87.<\/p>\n

This report was published on August 28, 2019.<\/p>\n

Target price is $3.87<\/strong> Current Price is $6.55 <\/strong> Difference: minus $2.68<\/strong> (current price is over target).
\nIf NAN<\/strong> meets the Wilsons target it will return approximately minus 41%<\/strong> (excluding dividends, fees and charges – negative figures indicate an expected loss).
\nCurrent consensus price target is $5.93<\/strong>, suggesting downside of -9.5%<\/strong>(ex-dividends)
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Wilsons forecasts a full year FY20<\/strong> dividend of 0.00<\/strong> cents and EPS of 4.70<\/strong> cents.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 139.36<\/strong>.<\/p>\n

How do these forecasts compare to market consensus projections?<\/p>\n

Current consensus EPS estimate is 5.0<\/strong>, implying annual growth of 10.1%<\/strong>.
\nCurrent consensus DPS estimate is N\/A<\/strong>, implying a prospective dividend yield of N\/A<\/strong>.
\nCurrent consensus EPS estimate suggests the PER is 131.0<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Wilsons forecasts a full year FY21<\/strong> dividend of 0.00<\/strong> cents and EPS of 7.60<\/strong> cents.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 86.18<\/strong>.<\/p>\n

How do these forecasts compare to market consensus projections?<\/p>\n

Current consensus EPS estimate is 7.9<\/strong>, implying annual growth of 58.0%<\/strong>.
\nCurrent consensus DPS estimate is N\/A<\/strong>, implying a prospective dividend yield of N\/A<\/strong>.
\nCurrent consensus EPS estimate suggests the PER is 82.9<\/strong>.<\/p><\/blockquote>\n

Market Sentiment: 0.0<\/strong>
\nAll consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

NBL<\/a>    NONI B LIMITED<\/h2>\n

Apparel & Footwear – Overnight Price: $2.93 <\/strong><\/p>\n

Wilsons rates ((NBL)) as Buy (1) –<\/p>\n

Noni B Group's FY19 result met July guidance, despite logging a fall in like-for-like sales. FY20 guidance was reaffirmed.<\/p>\n

Wilsons believe the stock should deliver more than just cost efficiencies from the SFH acquisition (these should cycle through this half) and stands to benefit from online growth as it leverages its large email and telephone data base..<\/p>\n

The broker notes the stock is trading well below peers and retains a Buy recommendation. Targe price eases -2.1% to $3.84 to reflect higher cost assumptions in outer years.<\/p>\n

This report was published on August 27, 2019. <\/p>\n

Target price is $3.84<\/strong> Current Price is $2.93 <\/strong> Difference: $0.91<\/strong>
\nIf NBL<\/strong> meets the Wilsons target it will return approximately 31%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Wilsons forecasts a full year FY20<\/strong> dividend of 19.00<\/strong> cents and EPS of 38.30<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 6.48%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.65<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Wilsons forecasts a full year FY21<\/strong> dividend of 25.00<\/strong> cents and EPS of 38.90<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 8.53%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.53<\/strong>.<\/p><\/blockquote>\n

Market Sentiment: 1.0<\/strong>
\nAll consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

NVL<\/a>    NATIONAL VETERINARY CARE LTD<\/h2>\n

Healthcare services – Overnight Price: $2.39 <\/strong><\/p>\n

Wilsons rates ((NVL)) as Buy (1) –<\/p>\n

National Veterinary Care's FY19 results outpaced Wilsons' earnings estimates by 6%, the core business reporting clean organic growth and steady operating margins.<\/p>\n

The broker notes the company is well-funded with strong free cash flow and expects it to benefit from sector merger-and-acquisition activity.<\/p>\n

The company is Wilson's top small-cap health-services pick and the broker upgrades FY20 earnings estimates 2.5% to meet guidance. Target price rises to $2.84 form $2.80. Buy rating retained. <\/p>\n

This report was published on August 27, 2019.<\/p>\n

Target price is $2.84<\/strong> Current Price is $2.39 <\/strong> Difference: $0.45<\/strong>
\nIf NVL<\/strong> meets the Wilsons target it will return approximately 19%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Wilsons forecasts a full year FY20<\/strong> dividend of 4.00<\/strong> cents and EPS of 16.40<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 1.67%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.57<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Wilsons forecasts a full year FY21<\/strong> dividend of 4.50<\/strong> cents and EPS of 18.00<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 1.88%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.28<\/strong>.<\/p><\/blockquote>\n

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

PKS<\/a>    PKS HOLDINGS LIMITED<\/h2>\n

Healthcare services – Overnight Price: $0.00 <\/strong><\/p>\n

Shaw and Partners rates ((PKS)) as Initiation of coverage with Buy (1) –<\/p>\n

Pacific Knowledge Systems -aka PKS Holdings- is a healthcare technology company that has built and delivers two primary clinical decision support systems globally. Shaw and Partners has initiated coverage with a Buy\/High Risk rating accompanied by a maiden price target of 30c<\/p>\n

The broker points out the company's products aim to increase efficiency within organisations, as well as delivering improved patient outcomes; we're talking "intelligent clinician based software tools" sold directly and indirectly to healthcare organisations.<\/p>\n

No less than 80% of annual revenues are recurring with 70% of it generated outside of Australia. Channel partners make up for 30% of sales. The broker's investment thesis hinges on company management's ability to increase Average Return per User (ARPU).<\/p>\n

This report was released on September 9, 2019.<\/p>\n

Target price is $0.30<\/strong>
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Shaw and Partners forecasts a full year FY20<\/strong> dividend of 0.00<\/strong> cents and EPS of 1.00<\/strong> cents.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 0.00<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Shaw and Partners forecasts a full year FY21<\/strong> dividend of 0.00<\/strong> cents and EPS of 1.60<\/strong> cents.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 0.00<\/strong>.<\/p><\/blockquote>\n

All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

PPC<\/a>    PEET & COMPANY LIMITED<\/h2>\n

Infra & Property Developers – Overnight Price: $1.19 <\/strong><\/p>\n

Moelis rates ((PPC)) as Buy (1) –<\/p>\n

Moelis readily admits earnings are under pressure at Peet. Its Buy view is retained on the belief the worst is now in the past for residential markets. The analysts are in particular attracted to Peet's land bank, which is the second largest in Australia.<\/p>\n

The analysts observe the stock is trading at a discount to Net Tangible Assets (NTA), with no value ascribed to its funds management platform from which the company earns circa 7.5% in gross sales fee for each lot sale while enjoying circa 70% EBIT margins.<\/p>\n

Post FY19 update, estimates have fallen. Moelis assumes FY20 will mark trough earnings for the company, while pointing out Peet has a strong pipeline of projects the company intends to bring to market. Target $1.32.<\/p>\n

This report was released on September 6, 2019.<\/p>\n

Target price is $1.32<\/strong> Current Price is $1.19 <\/strong> Difference: $0.13<\/strong>
\nIf PPC<\/strong> meets the Moelis target it will return approximately 11%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Moelis forecasts a full year FY20<\/strong> dividend of 3.50<\/strong> cents and EPS of 33.50<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 2.94%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 3.55<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Moelis forecasts a full year FY21<\/strong> dividend of 4.20<\/strong> cents and EPS of 40.30<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 3.53%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 2.95<\/strong>.<\/p><\/blockquote>\n

Market Sentiment: 1.0<\/strong>
\nAll consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

RDY<\/a>    READYTECH HOLDINGS LTD<\/h2>\n

Software & Services – Overnight Price: $1.69 <\/strong><\/p>\n

Wilsons rates ((RDY)) as Buy (1) –<\/p>\n

ReadyTech's FY19 result outpaced prospectus forecasts by a nose thanks to double-digit earnings and revenue growth. Wilsons points to the 98% cash conversion rate, 96% revenue retention rate and the reaffirmation of guidance.<\/p>\n

The broker believes a multiple re-rating of the stock is inevitable, citing the 12% uptick in average revenue per client in response to the cross-selling strategy, and best-in-class margins and cash generation.<\/p>\n

ReadyTech is seen trading at a -40% discount to peers. Buy rating retained. Target price is $2.38.<\/p>\n

This report was published on August 22, 2019.<\/p>\n

Target price is $2.38<\/strong> Current Price is $1.69 <\/strong> Difference: $0.69<\/strong>
\nIf RDY<\/strong> meets the Wilsons target it will return approximately 41%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Wilsons forecasts a full year FY20<\/strong> dividend of 4.60<\/strong> cents and EPS of 9.60<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 2.72%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 17.60<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Wilsons forecasts a full year FY21<\/strong> dividend of 5.30<\/strong> cents and EPS of 11.00<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 3.14%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 15.36<\/strong>.<\/p><\/blockquote>\n

Market Sentiment: 1.0<\/strong>
\nAll consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

SSG<\/a>    SHAVER SHOP GROUP LIMITED<\/h2>\n

Household & Personal Products – Overnight Price: $0.55 <\/strong><\/p>\n

Shaw and Partners rates ((SSG)) as Upgrade to Buy\/High Risk from Hold (1) –<\/p>\n

Shaver Shop Group's FY19 result outpaced Shaw and Partners' estimates, the company posting some of the highest like-for-like sales figures in the retail sector.<\/p>\n

The broker was impressed by the result and believes the company is back on track and points to improved metrics on sales, earnings, margins, cash flow and balance sheet.<\/p>\n

Momentum has continued into the first half of FY20, and online sales rocketed 30% to represent 12.6% of all sales, well above the Australian industry average of 10%.<\/p>\n

The broker upgrades to Buy\/High Risk, the company yielding 8%. Target price rises to 75c.<\/p>\n

This report was published on August 26, 2019.<\/p>\n

Target price is $0.75<\/strong> Current Price is $0.55 <\/strong> Difference: $0.2<\/strong>
\nIf SSG<\/strong> meets the Shaw and Partners target it will return approximately 36%<\/strong> (excluding dividends, fees and charges).
\nThe company's fiscal year ends in June.<\/p>\n

Forecast for FY20:<\/strong><\/p>\n

Shaw and Partners forecasts a full year FY20<\/strong> dividend of 4.00<\/strong> cents and EPS of 6.10<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 7.27%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.02<\/strong>.<\/p><\/blockquote>\n

Forecast for FY21:<\/strong><\/p>\n

Shaw and Partners forecasts a full year FY21<\/strong> dividend of 4.00<\/strong> cents and EPS of 7.60<\/strong> cents.
\nAt the last closing share price the estimated dividend yield is 7.27%<\/strong>.
\nAt the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 7.24<\/strong>.<\/p><\/blockquote>\n

Market Sentiment: 1.0<\/strong>
\nAll consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources<\/p>\n<\/p>\n

\n

Disclaimer:<\/strong>
\nThe content of this information does in no way reflect the opinions of FNArena, or of its journalists. In fact we don't have any opinion about the stock market, its value, future direction or individual shares. FNArena solely reports about what the main experts in the market note, believe and comment on. By doing so we believe we provide intelligent investors with a valuable tool that helps them in making up their own minds, reading market trends and getting a feel for what is happening beneath the surface. This document is provided for informational purposes only. It does not constitute an offer to sell or a solicitation to buy any security or other financial instrument. FNArena employs very experienced journalists who base their work on information believed to be reliable and accurate, though no guarantee is given that the daily report is accurate or complete. Investors should contact their personal adviser before making any investment decision.<\/p>\n

As part of emerging new trends overseas, The Australian Broker Call *Extra* Edition also includes providers of sponsored research. Readers should bear in mind, sponsored research, while not necessarily of lower quality, has the embedded complication that the company that is the subject of the research has paid for this research. Providers of sponsored research that can potentially be included in this Report are Breakaway Research, Edison Investment Research, Independent Investment Research, NDF Research, Pitt Street Research, and TMT Analytics.<\/span><\/span><\/span><\/p>\n

Decisions about inclusions in this Report are made independently of the providers of stock market research and at full discretion of the team of journalists responsible for content at FNArena. Inclusion does not equal endorsement, in any way, shape or form. This Report is provided for informational purposes only.<\/span><\/span><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

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