Daily Market Reports | 10:00 AM
An additional news report on the recommendation, valuation, forecast and opinion changes and updates for ASX-listed equities.
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.
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.
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.
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.
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.
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.
COMPANIES DISCUSSED IN THIS ISSUE
Click on a symbol for fast access.
The number next to the symbol represents the number of brokers covering it for this report -(if more than 1)
360 A11 ALG BSL (2) CAI CIP COE CWY EVT EXP GDG (2) ILU IMM KLS LTR (2) LYC (2) NST NXS ORA PME PNI QBE QOR S32 SYA TCL TWE WSP
360 LIFE360 INC
Software & Services – Overnight Price: $7.47
Goldman Sachs rates ((360)) as Buy (1) –
Goldman Sachs reiterates its Buy rating on Life360 heading into the company’s September-quarter report, believing pre-reported metrics this month have derisked the result.
Under the broker’s calculation, the company should hits roughly 100,000 net adds even if conversion rates remain stable, given the company’s broadening funnel.
Target price steady at $10.50.
This report was published on October 22, 2023.
Target price is $10.50 Current Price is $7.47 Difference: $3.03
If 360 meets the Goldman Sachs target it will return approximately 41% (excluding dividends, fees and charges).
The company’s fiscal year ends in December.
Forecast for FY23:
Goldman Sachs forecasts a full year FY23 dividend of 0.00 cents and EPS of 3.01 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 248.09.
Forecast for FY24:
Goldman Sachs forecasts a full year FY24 dividend of 0.00 cents and EPS of 16.56 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is 45.11.
This company reports in USD. All estimates have been converted into AUD by FNArena at present FX values.
Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena’s consensus calculations require a minimum of three sources
A11 ATLANTIC LITHIUM LIMITED.
New Battery Elements – Overnight Price: $0.41
Wilsons rates ((A11)) as Overweight (1) –
Despite a very modest funding gap, Wilsons considers Atlantic Lithium’s Ewoyaa project in Ghana is largely “construction-ready”.
This view follows the announcement by management of the Mining License being awarded and finalisation of the fiscal terms for the project.
The Ghanian government’s free-carry interest in the project will increase marginally, in the broker’s view, to 13% from 10%, and Ewoyaa will be subject to a 10% royalty.
The target falls to 95c from $1.10 and the broker’s Overweight rating is unchanged.
This report was published on October 23, 2023.
Target price is $0.95 Current Price is $0.41 Difference: $0.54
If A11 meets the Wilsons target it will return approximately 132% (excluding dividends, fees and charges).
The company’s fiscal year ends in June.
Forecast for FY24:
Wilsons forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 0.40 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is minus 102.50.
Forecast for FY25:
Wilsons forecasts a full year FY25 dividend of 0.00 cents and EPS of 0.00 cents.
Market Sentiment: 1.0
All consensus data are updated until yesterday. FNArena’s consensus calculations require a minimum of three sources
ALG ARDENT LEISURE GROUP LIMITED
Travel, Leisure & Tourism – Overnight Price: $0.47
Canaccord Genuity rates ((ALG)) as Buy (1) –
Canaccord Genuity is banking on a return of international travelers to offset any weakness in domestic leisure spend, which has been already impacted over 2023 by Australians’ desire to travel offshore.
Inbound flight capacity continues to improve, notes the analyst, especially from the Chinese mainland, while industry body forecasts suggest solid global travel volume conditions leading into 2024.
One beneficiary could be Ardent Leisure, in the broker’s opinion, not only from international visitors but also via new Theme Park attractions.
The company’s shares are currently trading below net tangible asset (NTA) backing, according to Canaccord, and management is conducting a buyback.
The Buy rating and 65c target are maintained.
This report was published on October 24, 2023.
Target price is $0.65 Current Price is $0.47 Difference: $0.175
If ALG meets the Canaccord Genuity target it will return approximately 37% (excluding dividends, fees and charges).
The company’s fiscal year ends in June.
Forecast for FY24:
Canaccord Genuity forecasts a full year FY24 dividend of 0.00 cents and EPS of minus 1.00 cents.
At the last closing share price the stock’s estimated Price to Earnings Ratio (PER) is minus 47.50.
Forecast for FY25:
Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 0.00 cents.
Market Sentiment: 0.0
All consensus data are updated until yesterday. FNArena’s consensus calculations require a minimum of three sources
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