Category: Analyst Research

Analyst Research

Vicinity Centres (VCX) – NEUTRAL

Vicinity Centres (VCX) reported FY18 results, reporting FFO per share of $0.182 which exceeded analyst estimates of $0.181, giving a boost to VCX’s share price. Comparable underlying earnings (after adjusting for acquisitions and divestments) were down 1.3%

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Wesfarmers Ltd (WES) – BUY

FY18 was a turning point for Wesfarmers (WES), after significant changes and repositioning of its portfolio, with the group’s proposed demerger of Coles (Nov 2018) and divestments of Curragh mining and Bunnings UK and Ireland (BUKI).

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CSL Limited (CSL) – BUY

CSL continues to deliver pleasing results, coming in slightly ahead of guidance posted in May, with FY18 earnings (NPAT) up +29% on the previous corresponding period (pcp) (or up +28% on a constant currency, CC basis).

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Computershare Ltd (CPU) – BUY

CPU produced a stellar FY18 result which showed +14.1% Management EPS growth in constant currency (CC) terms to 62.1cps over the previous corresponding period (pcp) (a record profit for CPU and the fastest rate of earnings growth since FY09).

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Pact Group Holdings (PGH) – BUY

Pact Group (PGH) delivered FY18 Group earnings (EBITDA) of $237.3m which came in below analyst estimates of $250m, adversely affected by $13m in higher raw material and Australian energy costs in 2H18.

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Huon Aquaculture (HUO) – NEUTRAL

HUO delivered a strong FY18 result, with revenue up +23%, underlying operating EBITDA up 14% (despite margins deteriorating by 100bps to ~23%) and underlying NPAT up +23% on previous corresponding period (pcp);

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Aveo Group Ltd – (AOG) – BUY

Aveo Group (AOG) reported a solid FY18 result, with underlying profit up +17% to $127.2m, mainly driven by the delivery of 506 new units and Newstead achieving higher than expected development margins, and NTA up +16% to $3.92.

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HT&E Ltd (HT1) – BUY

HT&E (HT1) delivered a solid 1H18 result, driven by solid trading conditions in Australian Radio Network (ARN) and Hong Kong reporting positive earnings (EBITDA). With the sale of Adshel announced, this segment is now reported as discontinued, which made the…

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Webcast: ASX Reporting Season Update

Senior Analyst, Zach Riaz provided an update on reporting season so far. Zach is part of the team whose model portfolio was up +21.8% over the past financial year – One of the reasons we have had so much interest in…

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Domino’s Pizza (DMP) – NEUTRAL

DMP announced its FY18 results, which missed company’s own guidance and fell short of consensus forecasts, leading to a -6.5% drop in its share price.

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Praemium Ltd (PPS) – NEUTRAL

PPS reported a strong FY18 result which again highlighted the ongoing momentum in the business which is benefiting from the strong growth in SMAs.

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Cochlear Ltd (COH) – NEUTRAL

At times, even though a Company may produce a strong result, if it does not meet the higher growth rates expected by the market (as it did in this case, with revenue and net income, -1.9% and -0.9% lower than…

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