0404 GMT - REA Group's bull at Goldman Sachs sees the Australian property advertiser's higher buy yield more than offsetting growth in operating expenses. Analyst Kane Hannan raises his Ebitda forecasts slightly for the next three FYs on the buy-yield assumption. He also increases the stock's valuation multiple to 26X Ebitda from 24X Ebitda to reflect peers. Hannan says REA has one of the best risk/reward profiles in GS's Australian media coverage, noting its pricing power and market leadership. GS lifts its target price 11% to A$245.00 and keeps a buy rating on the stock, which is down 0.15% at A$226.85. REA is controlled by News Corp., which owns Dow Jones & Co., publisher of this newswire and The Wall Street Journal. (stuart.condie@wsj.com)

0152 GMT - Worley's role in helping the polluting industries it serves build low-carbon businesses and reduce their own environmental footprint is underappreciated by the market, according to Goldman Sachs analysts. Worley's customers include oil, metals and chemicals companies. The engineering services firm is targeting 75% of aggregated revenue from sustainability related projects by FY 2026 from 52% in FY 2024. While Worley has gradually been held by more global sustainability funds, those kind of funds are 36% underweight on the stock versus its benchmark weighting, they say. Worley is poised to be "an enabler of green capex deployment, with the high-impact sectors and customers they serve pivotal to driving global decarbonization," GS adds. It has a buy rating on Worley with an A$18.00 target. Worley was last at A$14.44. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)

0124 GMT - Iluka's zircon sales and prices are unlikely to pick up until 2Q 2025, says Goldman Sachs analyst Paul Young. By that time, China's recent stimulus is expected to benefit property completions and zircon imports, he says. Young says Iluka's 3Q 2024 production result is weaker than expected. The miner's revenue is 30% below GS's estimate because of lower-than-anticipated zircon sales and prices, he says. GS has a buy rating and A$7.70 target on Iluka. The stock is up 1.0% at A$6.04, following a 3.6% fall Tuesday on the 3Q result. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)

0036 GMT - Technology One is unlikely to offer any surprises with its outlook at next month's annual result announcement, Bell Potter analyst Chris Savage reckons. He tells clients in a note that he expects the Australian software company to provide its usual general outlook comments around the strength of its outlook, and to reiterate its annual recurring revenue targets for 1H fiscal 2025 and for fiscal 2030. The outlook is likely to imply annual topline growth of about 15%, he adds. Savage sees some potential for better-than-expected outcomes for fiscal 2024 pre-tax profit and cashflow, but maintains a hold rating on the stock. Bell Potter keeps a A$24.00 target price. Shares are down 0.6% at A$24.27. (stuart.condie@wsj.com)

2253 GMT - Citi tells clients in a research note that an R&D update from Australia-based pharmaceutical company CSL was overall neutral. It says the most immediate change is a six-month delay in U.S. approval for garadacimab, which is aimed at treating hereditary angioedema. Several other positive and negative developments for other treatments in CSL's pipeline were noted, Citi says. In CSL's key plasma business, the company said it is maintaining open dialogue with regulatory authorities on Horizon 2, a program which should result in significantly higher yield improvements over a smaller footprint. These new processes will require new regulatory filings and the implementation will be phased over multiple years, Citi says. (mike.cherney@wsj.com; @Mike_Cherney)

2242 GMT - With Qantas widely expected to return to paying dividends for the first half of fiscal 2025, Jefferies analysts Anthony Moulder and Amit Kanwatia say the airline's shares are ready for takeoff. They point out the domestic market remains profitable, and that loads on key international routes are strong, meaning there is ongoing international demand as pricing normalizes. They also say there is the possibility of an earnings boost from oil prices remaining at current levels. A recent rally in Qantas stock, they believe, is more a function of the rebound in share prices of U.S. airlines, and strength in the wider market. They increase their target price on Qantas to A$10.53/share from A$7.98/share, versus yesterday's close at A$7.56/share. (mike.cherney@wsj.com; @Mike_Cherney)

2209 GMT - As the world comes to grips with the end of Taylor Swift's Eras Tour, Jefferies ponders how impactful this phenomenon has been on bling sales. Its conclusion: quite a lot. "We believe this tour and the Taylor Swift phenomenon has driven heightened jewelry sales in the 15-25 year-old female cohort," analyst John Campbell says. That is Australian retailer Lovisa's key customer group. So, Jefferies cuts its assumptions about Lovisa's same-store sales growth by 1%, and trims expectations for gross profit margins, also by 1%. That leads to cuts of 3-8% to Jefferies's EPS forecasts for Lovisa in FY 2025-2027. (david.winning@wsj.com; @dwinningWSJ)

2201 GMT - Viva Energy's disappointing 3Q update doesn't change Jefferies's bullish view of its stock. Viva Energy signaled annual Ebitda from its Convenience and Mobility business would be A$230 million-A$260 million. That compares to A$232 million in 2023. The guidance is underwhelming because Viva Energy has benefited from a nine-month contribution from the recently acquired OTR business. Analyst Michael Simotas remains confident in the boost to profits from OTR, but he says that the "starting earnings base appears to have moved lower and conversion is taking longer than hoped." Still, the bank has decided to remain patient, partly because Viva Energy's refining business is getting support from the government's fuel subsidy. (david.winning@wsj.com; @dwinningWSJ)

2157 GMT - Audio-visual tech provider Audinate's second earnings downgrade in less than three months costs it a bull. Jefferies downgrades the stock to hold, from buy, and slashes its price target by 25% to A$9.00/share. Analyst Wei Sim says the first profit warning was expected, but the latest came as a surprise. "Though management have called out a stronger 2H, given the limited near-term visibility, we have erred on the side of caution," Jefferies says. It doesn't see gross profit growth happening before FY 2026 and lowers its revenue forecasts for FY 2025-2027 by 23%-30%. Audinate ended Tuesday at A$8.96. (david.winning@wsj.com; @dwinningWSJ)

2152 GMT - Mirvac's share price could rally over the next month, reckons Citi. That's because officials in Australia's Victoria state are offering temporary relief from stamp duty for some new homes. Mirvac has three apartment projects in development in Victoria. Also, Citi expects positive news on sales at Mirvac's Harbourside apartment project in New South Wales state. Still, Citi retains a neutral call on Mirvac's stock on a 12-month view. It thinks Mirvac's earnings will reach a trough in FY 2025. But analyst Suraj Nebhani also believes "the recovery in earnings into FY 2026 may not be as big as consensus expectations, and we therefore see scope for downside to consensus." Mirvac ended Tuesday at A$2.19. (david.winning@wsj.com; @dwinningWSJ)

2144 GMT - Investors should position themselves for interest-rate cuts in Australia, says Bell Potter. It anticipates a rotation away from Wesfarmers, which looks expensive compared to mid-cap and small-cap stocks. Improving consumer confidence can drive more discretionary spending on products such as clothing and electronics, strategist Rob Crookston says. "While Wesfarmers has benefited from consumers trading down in the current high-interest rate environment, this trend will likely reverse as household balance sheets strengthen," Bell Potter says. It thinks consensus earnings forecasts for retailers such as JB Hi-Fi, Premier Investments and Eagers Automotive look too conservative. (david.winning@wsj.com; @dwinningWSJ)

0728 GMT - Anglo American could cut its future guidance for its steelmaking coal operations due to the fire at its Grosvenor site, Berenberg says. The Australian mine has suspended operations due to the incident in June. Anglo said in July that safe re-entry was expected to take several months, but didn't provide a timeline for the restart of operations. Berenberg expects an update on this when the diversified miner reports third-quarter production figures on Thursday. The German bank is also expecting Anglo to book slight falls in copper and iron-ore production on year for the third quarter. Overall, however, Berenberg forecasts a fairly stable quarter for the company. Shares are unchanged at 23.63 pounds. (christian.moess@wsj.com)

(END) Dow Jones Newswires