Weekly Ratings, Targets, Forecast Changes - 28-05-21
Weekly Ratings, Targets, Forecast Changes - 28-05-21 May 31, 2021 Weekly update on stockbroker recommendation, target price, and earnings forecast changes. By Mark Woodruff Guide: The FNArena database tabulates the views of seven major Australian and international stock brokers: Citi, Credit Suisse, Macquarie, Morgan Stanley, Morgans, Ord Minnett and UBS. For the purpose of broker rating correlation, Outperform and Overweight ratings are grouped as Buy, Neutral is grouped with Hold and Underperform and Underweight are grouped as Sell to provide a Buy/Hold/Sell (B/H/S) ratio. Ratings, consensus target price and forecast earnings tables are published at the bottom of this report. Summary Period: Monday May 24 to Friday May 28, 2021 Total Upgrades: 9 Total Downgrades: 8 Net Ratings Breakdown: Buy 54.81%; Hold 38.67%; Sell 6.52% For the week ending Friday 28 May, there were nine upgrades and eight downgrades to ASX-listed companies by brokers in the FNArena database. After ALS Ltd posted an underlying FY21 profit 4.5% ahead of consensus last week, two brokers in the FNArena database downgraded the company rating due to a strong recent share price. Morgans attributed the result to astute management of costs and capacity, while Morgan Stanley was impressed by momentum in the Commodities segment, but notes the risk with cost inflation. The final dividend of 14.6 cents was well ahead of expectations, underpinned by strong cash conversionFNArena and debt reduction. ALS also achieved the weekly double by appearing atop the tables for the largest positive percentage change to broker’s forecast target prices and earnings.
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