0358 GMT - ResMed's new bull at Goldman Sachs sees growing awareness of obstructive sleep apnea boosting the breathing-tech developer over the coming years. Analyst Davin Thillainathan tells clients in a note that awareness of the condition is rising thanks to wearable tech such as smart watches, patients seeking obesity treatment through medication, and potentially the use of AI to assist with diagnosis. This underpins what Thillainathan says should be solid growth at ResMed's devices segment over the next three years. He estimates that 25%-30% of U.S. patients with obstructive sleep apnea have tried continuous positive airway pressure therapy over the past 10 years. GS puts a buy rating and A$48.90 target price on the stock, which is up 1.5% at A$38.10. ([email protected])

0340 GMT - Australia's CSL gets a new bull on what they see as the vaccine-maker's proactive investments in its immunoglobulin business. Goldman Sachs analyst David Thillainathan initiates coverage of the stock with buy rating, telling clients that the investments and product launches in its Behring medicine portfolio are set to increase CSL's returns on invested capital. Thillainathan forecasts a strong recovery in gross margins following what he says have been a challenging five years for the company, with plasma collection costs set to decline meaningfully. Depressed rates of U.S. influenza vaccinations also presents a growth opportunity, he adds. GS puts a A$325.40 target price on the stock, which is down 0.4% at A$274.50. ([email protected])

0133 GMT - A Bloomberg report saying that Rio Tinto and Glencore have discussed combining their businesses comes as a surprise to RBC Capital Markets analysts Kaan Peker and Ben Davis. For one, Rio Tinto has exited the coal industry, while coal giant Glencore has added assets, they say in a note. Peker and Davis wonder whether the talks followed BHP's takeover tilt at Anglo American last year. Cost benefits are hard to gauge, they say. There could be some in aluminum or copper operations, but they would likely be small, they say. "We would not expect a straight merger to happen as we believe Rio shareholders would see it as favoring Glencore," say the analysts. "But its possible there is a deal structure out there that could keep both sets of shareholders and management happy." Rio Tinto is down 0.7% in Sydney at A$118.82. ([email protected]; @RhiannonHoyle)

0113 GMT - The gold and silver industries have been a relative hotspot for dealmaking in recent times--and will likely continue to be, despite some challenges, Panmure Liberum analyst Yuen Low says in a note. "Northern Star's offer for De Grey and Coeur Mining's for SilverCrest Metals [are] just the latest in a global trend that should continue for the foreseeable future," says Low. There are some headwinds to dealmaking, including a resurgence in resource nationalism and a diminishing target pool, Low says. But there's also an abundance of potentially bullish drivers for precious metal prices, he says. "We expect most commodity prices to trend lower in 2025, but not that of gold and silver." ([email protected]; @RhiannonHoyle)

0049 GMT - Australian gold miners aren't as cheap as they once were, but many still appeal due to strong cash generation and the likelihood of an increased focus on investor returns, UBS analysts say. "We remain largely Buy rated across our coverage despite some of the upside being captured," the analysts say in a note. They expect gold to keep rallying because of ongoing geopolitical risks and resilient consumer demand. They reiterate UBS's forecast for US$2,900/oz gold by mid year, "which equates to circa A$4,500/oz or even higher if the weak A$ prevails." ([email protected]; @RhiannonHoyle)

0033 GMT - NextDC keeps its bull at Morgans even as the Australian data-center operator's operating expenses ramp up. An analyst note from the brokerage points out that NextDC's earnings guidance does not include holding costs for a new Sydney center announced in October. The analysts raise their fiscal 2025 operating-expense forecast by A$2 million to account for this, rising to A$7 million in fiscal 2027. As a result, their annual Ebitda forecasts are trimmed by about 2% on an annualized basis. Target price falls 2% to A$20.00 but Morgans keeps an add rating on the stock, which is up 1.2% at A$15.62. ([email protected])

0015 GMT - Tuas's bulls at Morgan Stanley see a chance that the Singaporean mobile-network operator could beat their annual earnings forecast. MS analysts forecast fiscal 2025 Ebitda of S$61.4 million for Tuas, citing its high margins and aggressive pricing. Yet they tell clients in a note that, by annualizing first-quarter Ebitda of S$16.1 million and adjusting for growth, they don't think that S$70 million is out of the question. Tuas has beat their expectations going back to fiscal 2022, they add. They point out that data elsewhere indicates that Tuas is on track for 225,000-255,000 net service additions in fiscal 2025, ahead of their 199,000 forecast. MS has an overweight rating and A$6.70 target price on the stock, which is down 0.1% at A$6.125. ([email protected])

2345 GMT - Citi analyst Jack Dunn stays bullish on novated-lease providers Smartgroup and McMillian Shakespeare despite softer December-half vehicle sales in Australia. Pointing to a 5% fall in passenger vehicle and SUV sales, Dunn cuts his forecasts for both providers. He tells clients in a note that falling car prices due to dealer discounts and price competition between EV makers will weigh on company yields. Nonetheless, he still thinks that Smartgroup and McMillan Shakespeare will both report volume growth and keeps a buy rating on both stocks. Citi cuts its target price on Smartgroup 8.1% to A$9.60. Shares are down 0.3% at A$7.745. Citi cuts its target price on McMillan Shakespeare 8.2% to A$18.40. Shares are down 1.4% at A$15.20. ([email protected])

2337 GMT - Rio Tinto's strong sales of its low-grade SP10 iron ore suggests demand for the steelmaking ingredient remains firm, Morgans' analyst Adrian Prendergast says in a note. The market's confidence in China's steel market in 2025 has been "understandably" rattled by the country's economic slowdown and the risk of a trade war with the U.S. "But pleasingly these tons are being digested by the global markets," Prendergast says. SP10 volumes accounted for 25% of Rio Tinto's shipments in 4Q, higher than in the first three quarters of 2024, when it accounted for closer to 18%.([email protected]; @RhiannonHoyle)

2332 GMT - Australian bank stocks have no fundamental support that Citi analyst Brendan Sproules can see, whatever happens to local interest rates. Citi keeps sell ratings on all major, regional and business banks in its coverage, and Sproules thinks it is probably just a matter of time before investors' 2024 rotation from materials into financials is reversed. He wonders whether 2025 is the year in which this occurs, telling clients in a note that lenders' asset quality is continuing to deteriorate, costs remain stubbornly high, and that rate cuts would be negative for revenue expectations. He prefers Westpac and Commonwealth over other lenders due to their exposure to retail over business banking. ([email protected])

2313 GMT - Costume jewelry retailer Lovisa could add more stores than the market expects through FY 2026, suggests Morgan Stanley, upgrading the stock to overweight, from equal-weight. Data point to an acceleration in store growth in January. "If the run-rate is sustained, we think this will be positively received by the market given store growth is the key share price driver, in our view," says analyst Joseph Michael. Lovisa's shares are down around 1/4 since hitting a high in August. That makes the risk-reward on offer increasingly attractive for investors, says Morgan Stanley, raising its price target by 12% to A$32.00/share. Lovisa ended Thursday at A$27.18. ([email protected]; @dwinningWSJ)

2234 GMT - Strong growth in downloads of the ResMed app suggests that the breathing-tech developer could beat expectations for December-quarter device sales, Citi analysts suggest. They point to 17% on-year growth in U.S. downloads for the final three months of 2024, which compares with an average analyst forecast of 8.2% on-year growth in sales for the period. The Citi analysts, who also flag 22% on-year growth in U.S. monthly users for December, are looking for 10% on-year growth in device sales. Citi has a neutral rating and a A$37.07 target price on the stock, which is at A$37.54 ahead of the open. ([email protected])

2228 GMT - Jefferies assesses what President-elect Trump's tariff threat means for car dealerships and the auto aftermarket, and concludes that it's not good news. Tariffs could lead to significantly higher retail pricing of vehicles and parts coming from China, analyst John Campbell says. That would hurt underlying demand. And given that consumer confidence remains fragile globally, car dealers and aftermarket suppliers may struggle to pass on cost inflation to customers, Jefferies says. That could squeeze their profit margins. "Whilst we feel some of this may be posturing on the part of the President, it remains a risk to both sectors," Jefferies says. It has an underperform call on ARB, and hold calls on Bapcor, Eagers Automotive and Peter Warren Automotive.([email protected]; @dwinningWSJ)

2216 GMT - Genesis Minerals's production has been so strong recently that Ord Minnett now thinks the gold miner will beat its annual targets. Gold production in 2Q totaled 57,055 oz, around 15% higher than analyst Paul Kaner had projected. "We now believe the company will exceed FY 2025 guidance and expect further momentum in the name as growth acceleration plans unfold," Ord Minnett says. Output could reach 214,000 oz in FY 2025, Ord Minnett says, which is above Genesis Minerals's reiterated goal of 190,000-210,000 oz. Still, the bank says Genesis Minerals's "lofty valuation leaves little room for error and keeps us from a more constructive recommendation." It retains an accumulate call on the stock. Genesis Minerals ended Thursday at A$2.86. ([email protected]; @dwinningWSJ)

2209 GMT - While Genesis Minerals's latest quarter was positive, its share price has rallied too hard for UBS which downgrades the stock to neutral, from buy. Gold production in 2Q totaled 57,055 oz, beating UBS's 46,000 oz forecast. That performance was driven by the Gwalia mine and a better-than-expected restart to the Laverton mill. "While the strong quarter at Gwalia is not expected to be repeated in the March quarter, factoring in more than 25,000 oz of extra gold production over the next 18 months from Ore Purchase Agreements, we upgrade our FY 2025 outlook," analyst Levi Spry says. UBS raises its forecast for annual production to 217,000 oz, some 9% above the midpoint of Genesis Minerals's guidance of 190,000-210,000 oz. UBS forecasts all-in sustaining costs of A$2,244/oz.([email protected]; @dwinningWSJ)

2156 GMT - Telecoms company Aussie Broadband adds a new bull in Jefferies, which has turned more positive about gross profit margins and subscriber growth in its residential business. While Aussie Broadband's business focused on small and medium-sized enterprises remains a laggard in terms of subscriber additions, analyst John Campbell is hopeful this will change as the company's brand becomes better known. Jefferies upgrades its forecasts for subscriber numbers by 4%-6% across FY 2025-2027, and assumes Aussie Broadband buys back shares worth A$15 million in FY 2025. It upgrades the stock to buy, from hold. ([email protected]; @dwinningWSJ)

(END) Dow Jones Newswires