0340 GMT - Accent Group's deal to run Frasers Group's Sports Direct business in Australia is a net positive despite the danger that the chain could cannibalize some existing sales, Citi analyst Sam Teeger says. He tells clients in a note that he will monitor the extent to which sales at Accent's Athlete's Foot business are affected by Sports Direct. Teeger also wonders whether a shortage of suitable sites will have an impact on the pace of Sports Direct's local rollout. Nonetheless, he estimates that Sports Direct could generate A$52 million in annualized Ebitda if it opens only half the 100 stores it aims for by the end of 2033. Citi lifts its target price by 1.6% to A$2.61 and keeps a buy rating on the stock, which is down 1.4% at A$1.9575. ([email protected])

0201 GMT - Xero's bull at Citi expects the cloud-accounting software provider to step up U.S. investment over its next two fiscal years. With the Australia-listed company scheduled to report its fiscal 2025 result this week, analyst Siraj Ahmed raises his Ebitda forecast by 1% to reflect weakness in its reporting currency. However, he lowers his forecasts for fiscal 2026 and fiscal 2027 by 2% and 3%, respectively, to reflect higher executive remuneration and U.S. brand investment. He also sees evidence that Xero is stepping up hiring. Citi lifts its target price 1.0% to A$200.00 and keeps a buy rating on the stock. Shares are up 0.5% at A$175.19. ([email protected])

0146 GMT - Temple & Webster's bull at Citi sees the Australian furniture retailer's product range providing some protection against a potential threat from Amazon. Analyst Sam Teeger tells clients in a note that Amazon's investment in additional Australian fulfillment centers could lead to an expansion into new categories and competitive pressure on Temple & Webster. However, Teeger reckons that the Australian online retailer's significant range and number of exclusive products is a potential point of difference. Amazon's threat will likely come via price and delivery, he adds. Citi has a buy rating and A$21.10 target price on the stock, which is up 2.7% at A$19.73. ([email protected])

0000 GMT - Australian TV broadcasters' ad revenues appear to have been really solid in April and look pretty full for June, Jefferies analyst Roger Samuel tells clients in a note. Reporting on comments made in a Jefferies-hosted call with an independent media agency, Samuel says that spending related to this month's federal election helped support April ad demand. The agency expects May spending to be down by 1%-2% on a year earlier, but thinks that June is looking good. Samuel says that on-demand broadcast viewing has done extremely well, helped by sports streaming. ([email protected])

2346 GMT - The rise in Paladin shares since hitting a four-year low in April indicates the market had overreacted to short-term Langer Heinrich commissioning issues, according to Shaw and Partners. In a note, the broker says the Langer Heinrich uranium plant was running exceptionally well prior to the rain events, citing recoveries at 88% and noting a site visit by its analysts in February. Shaw reiterates a buy recommendation and A$10.10 target. It says Paladin disclosed a US$20 million impairment on its ore stockpiles in new quarterly fiscal results. The impairment isn't a surprise and won't impact Shaw's valuation or price target, the broker says. Paladin ended Tuesday at A$6.39/share. ([email protected]; @RhiannonHoyle)

2331 GMT - Goldman Sachs analysts will parse Technology One's first-half result for news of what the enterprise-software provider plans to do with its cash pile. They point out in a note to clients that the Australia-listed company had A$279 million in cash and no debt at the end of its last fiscal year. They wonder whether capital management could be in the cards, and would like to hear more on Technology One's M&A strategy. Among other points of interest is whether broader economic uncertainty has had any effect on customers' budgets. GS has a "neutral" rating and A$26.90 target price on the stock, which is at A$32.29 ahead of the open. ([email protected])

2324 GMT - Aristocrat's 1H earnings were 6% below what analysts at Jefferies were expecting, they tell clients in a note. They say that fee-per-day headwinds were larger than their expectations and that there was a hefty legal cost. However, they point out that volume growth in the U.S. was encouraging and that Aristocrat expects strong 2H market share/earnings growth in gaming. Aristocrat will provide a briefing on the result later this morning. ([email protected])

2317 GMT - Life360's bulls at Goldman Sachs think that its long-term earnings growth prospects look even stronger following court-mandated changes to Apple's in-app payment requirements. Analysts Elijah Mayr and Elise Bailey tell clients in a note that Apple's move to allow links to external and alternative payment methods represents a structural opportunity for the location-app developer. They point out that in-app payment fees accounted for about 21% of Life360's fiscal 2024 subscription revenue. They reckon that Life360 could save about US$6 million annually if 30% of new subscribers sign-up via its website. GS raises its target price 15% to A$31.00 and keeps a "buy" rating on the stock, which is at A$27.18 ahead of the open. ([email protected])

2310 GMT - Abacus Storage King's decision to knock back a A$1.47/share all-cash takeover proposal from Public Storage and family-controlled Ki Corp is reasonable, says Barrenjoey. That view reflects Abacus Storage King's latest valuation of its property portfolio and the consortium's demand for certain tax rulings. Analyst Ben Brayshaw thinks Abacus Storage King could push for a higher bid. "But National Storage REIT's presence on the register with 12.8% voting rights raises the question as to whether Ki Corp and Public Storage would have the risk appetite for a unitholder vote knowing that a proposed resolution could be defeated," says Barrenjoey. It has a A$1.52/share price target on Abacus Storage King, which ended Tuesday at A$1.525. ([email protected]; @dwinningWSJ)

2302 GMT - BGH Capital likely needs to raise its offer to acquire a controlling interest in Webjet if it wants to get talks underway, suggests RBC Capital Markets. Webjet said late Tuesday that BGH has offered A$0.80/share in cash. Webjet added that the private-equity company is open to some existing shareholders retaining an equity stake. Analyst Wei-Weng Chen says the offer multiple is well below travel-agency peers and the broader market. It thinks a valuation range of A$1.05-A$1.30/share is warranted before adding on a change-of-control premium. So, RBC believes the board and shareholders might only engage if BGH offers a price between A$1.26/share and A$1.50/share. ([email protected]; @dwinningWSJ)

2252 GMT - The U.S. and China paused their mega tariffs after weekend talks, but appliance maker Breville still faces the dilemma of how to handle the levies that remain. The U.S. will retain a 30% tariff on Chinese imports. Barrenjoey says this implies Breville will need to lift prices by 8% with retailers raising prices by 6%. "We understand Breville has enough inventory in the U.S. to last until the end of FY 2025 across most product lines," says analyst Tom Kierath. "We think this limits the need to lift price in the very short term, but prices will need to rise in FY 2026." Barrenjoey retains a "neutral" call on Breville. ([email protected]; @dwinningWSJ)

2245 GMT - Eagers Automotive's share-price rally over the past year means it's now more expensive than U.S. car dealers and prompts Jefferies to join the bears. Eagers's stock is up some 87% in value since its September low. Analyst John Campbell says Eagers now trades on a price-to-earnings multiple of 19x, compared with the average for U.S. dealers of 11x. Jefferies says Eagers's premium reflects its exclusive agreement to sell BYD's vehicles. "We're positive on this earnings stream and model BYD comprising 20% of Eagers's pretax profit by FY 2027," says Jefferies. "Nonetheless, there's a price for everything and we think we're there." It downgrades Eagers to "underperform," from "hold." ([email protected]; @dwinningWSJ)

(END) Dow Jones Newswires