0446 GMT - Kogan.com's trading update has plenty to offer its bull at RBC Capital Markets despite the online retailer's revenue lagging expectations so far in the June half. Analyst Wei-Weng Chen acknowledges that top-line growth is a miss, but is supportive of the fact that weakness appears to be confined to the Australian company's long-laboring Mighty Ape division. Chen tells clients in a note that core revenue growth is actually tracking ahead of expectations, while gross profit and Ebitda margins are both above where consensus sees them for the whole of the half-year. RBC has a last-published outperform rating and A$6.50 target price on the stock, which is up 18% at A$4.05. (stuart.condie@wsj.com)
0258 GMT - RBC Capital Markets had been expecting Mineral Resources to approve the flotation plant at Mt. Marion, which is already in its base-case assumptions. However, an underground development project also approved for Mt. Marion had not previously been included, it says. "As such, the key incremental takeaway from today's announcement is less the flotation approval itself, and more the formal progression toward combined open-pit and underground operations at Mt. Marion," says the broker. It reckons the project is more about retaining the quality of the asset rather than aggressively growing volumes. The broker notes that underground mining introduces extra execution and long-term cost risks. RBC has an outperform rating and A$70.00 target on Mineral Resources. Shares are down 0.2% at A$71.42. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)
0134 GMT - Alcidion's latest contract provides further credibility for future competitive tenders in the U.K., according to the medical-tech provider's bull at Bell Potter. Analyst Thomas Wakim says the A$8.5 million up-front component of Alcidion's deal with UHSussex provides increased confidence that the Australian company will achieve its FY26 Ebitda guidance. Raising his FY26 revenue forecast, Wakim tells clients in a note that he wouldn't be surprised if UHSussex adds additional modules over the coming years. He sees further contract announcements as the most likely stock catalysts over the coming months. Bell Potter keeps a buy rating and A$0.16 target price on the stock, which is up 2.3% at A$0.1125. (stuart.condie@wsj.com)
0126 GMT - Australian banks could see a sustained cycle of business insolvencies lasting two or three years, UBS analysts say. Citing feedback from insolvency and restructuring advisors, the UBS analysts say the advisors anticipate a period of solid activity rather than catastrophic volumes. There are no signs of insolvency firms hiring staff in anticipation of increased activity, the investment bank's analysts add in a note. They add that advisors warn that inflation is not being fully captured by official data, particularly for construction and logistics companies. The analysts think major banks could have to further raise credit impairments and provisioning. (stuart.condie@wsj.com)
0055 GMT - Adore Beauty's trading update costs the Australian retailer its bull at Bell Potter. Lowering his recommendation to hold from buy, analyst Leo Armati slashes his earnings forecasts for the next three years by as much as 50%. He tells clients in a note that a conservative sales outlook and higher operating expenses from wage rises weigh on his Ebitda expectations, even with the company generating savings including from a recent head-office restructure. Lower peer multiples also prompt Armati to lower his FY27 EBIT multiple to 10 from 12.5. Bell Potter cuts its target price by 61% to 39 Australian cents. Shares are down 4.4% at A$0.325. (stuart.condie@wsj.com)
0054 GMT - Property owner Goodman disappointed investors expecting an FY 2026 earnings guidance upgrade today, but its bull at Citi thinks a beat could happen anyway. Goodman said it's on track to deliver at least 9% growth in operating EPS. "We view management's stance as deliberately conservative," says analyst Howard Penny. Citi points out that fair value gains underpinning performance fees and feasibility assumptions have been held at prudent levels. "Our view is that realized performance fees and continued development completions represent upside risk to EPS beyond the stated 9% target," Citi says. As development projects complete and market valuations crystallize, performance fees are likely to surprise positively, it says. Goodman is down 4.6% at A$28.66. (david.winning@wsj.com; @dwinningWSJ)
0051 GMT - It is a case of what's missing from Flight Centre's 113-page investor presentation that unsettles RBC Capital Markets analyst Wei-Weng Chen. Flight Centre included a trading update in the presentation but it didn't reaffirm prior guidance for FY 2026 underlying pretax profit of A$315 million-A$350 million. RBC notes consensus forecasts are currently for A$317.4 million. This likely includes a A$5 million contribution from Pedal Group, which Flight Centre recently sold. "We expect market expectations will likely move below A$315 million," says RBC, which has rated Flight Centre at outperform. Flight Centre is down 1.5% at A$10.13. (david.winning@wsj.com; @dwinningWSJ)
0016 GMT - GrainCorp's new bull at Macquarie reckons that the Australian grain handler and marketer's valuation is at a cyclical low point. Raising their recommendation on the stock to outperform from neutral, an analyst at the investment bank points out that the 21% share-price decline since GrainCorp's first-half result outpaces the 17% downgrade to the FY27 Ebitda consensus forecast. The analysts writes in a note that recent rains have improved seasonal conditions, while assets including port storage means the company offers infrastructure-like qualities to defensive-minded investors. Macquarie raises its target price by 3.4% to 6.10 Australian dollars. Shares are up 4.0% at A$5.095. (stuart.condie@wsj.com)
2328 GMT - Superloop's bull at Macquarie thinks that the Australian broadband provider could outline some longer-term targets at its investor day next month. A note from one of the investment bank's analysts points out that Superloop's chief financial officer already publicly mentioned the potential for the challenger to double its market share over the next three to five years. Achieving this target could generate 50% upside to Macquarie's current FY 2030 profit forecast, the note says. The analyst adds that Superloop's pricing means it could pass on network access cost increases to its customers and still be cheaper than market leader Telstra. Macquarie keeps an outperform rating and A$3.50 target price on the stock, which is at A$3.47 ahead of the open. (stuart.condie@wsj.com)
2326 GMT - Amplitude Energy's East Coast Supply Project had become less certain after recent drilling failures. But a deal to buy the Artisan natural-gas field has shored up concerns. Amplitude is buying Artisan from Beach Energy for A$58.3 million upfront and a production royalty. Macquarie said the ECSP, and specifically volumes to feed the Athena gas plant, had increasingly become dependent on exploration success. "Artisan transaction mitigates this substantially," Macquarie says. Other benefits to Amplitude include an ability to blend Artisan gas with volumes from the Annie field to bring carbon-dioxide levels within a range required by pipelines. The Artisan field is also only 10 miles or so to Amplitude's existing pipeline infrastructure, Macquarie has an outperform call on Amplitude. Its price target rises 7.1% to A$3.00/share. Amplitude ended Monday at A$1.715. (david.winning@wsj.com; @dwinningWSJ)
2314 GMT - Beach Energy's sale of the Artisan natural-gas discovery to Amplitude Energy is a sensible win-win deal, says Macquarie. That's rare in the oil and gas sector. Beach is prioritizing value over volume, Macquarie says. Benefits of the deal to Beach go beyond the A$130 million post-tax deal value. "This transaction allows Beach to divest a capex-intensive asset to a party that can achieve stronger returns," Macquarie says. Capital that would have been allocated to the Otway basin, including drilling the La Bella 2 well, can now be used on acquisitions. Macquarie raises its price target by 13% to A$0.88/share, although it retains an underperform call. Beach ended Monday at A$1.115. (david.winning@wsj.com; @dwinningWSJ)
(END) Dow Jones Newswires
May 26, 2026 01:00 ET (05:00 GMT)
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