0345 GMT - Woolworths's decision to close its MyDeal business is seen by RBC analyst Michael Toner as a positive step by the Australian supermarket giant. Toner writes in a note to clients that the closure, which comes at a cost of about A$145 million, is an incremental step toward portfolio simplification. He thinks that MyDeal probably lost about A$20 million in Ebit across Woolworths's FY 2024. Its earnings loss has likely accelerated since then, he adds. RBC has a sector-perform rating and A$31.45 target price on Woolworths shares, which are down 1.0% at A$31.13. ([email protected])

0340 GMT - The low price being offered for Humm Group suggests to its bull at Shaw & Partners that the Australian credit provider's chairman is merely trying to flag its availability. The family office of Humm's chairman has offered A$0.58 a share, compared with Shaw analyst Larry Gandler's net-tangible asset estimate of A$0.85. Gandler tells clients in a note that the non-bank financial sector is ripe for consolidation and speculates that the proposal might be intended to put Humm in play. He observes that the proposal values Humm at about 4 times the average analyst forecast for its fiscal 2026 net profit. This compares with a 7x multiple across the sector, he adds. Shaw has a buy rating and A$0.90 target price on the stock, which is up 1.8% at A$0.565. ([email protected])

0334 GMT - Droneshield's largest-ever order moves the Australian defense-tech provider closer to an inflection point in sales and profitability, Shaw & Partners analyst Abraham Akra says. He writes in a note that Droneshield's new European deal--which eclipses the revenue the company generated in its last fiscal year--solidifies it as a market leader in jamming counter-unmanned aircraft systems. He adds that Droneshield has plenty of cash and remains debt-free despite its expenditure on inventory build, which leaves scope for R&D or potential acquisition activity. Shaw & Partners has a hold rating and A$2.00 target price on the stock, which is down 3.6% at A$2.305. ([email protected])

0148 GMT - Xero's US$2.5 billion acquisition of payments provider Melio should help the accounting-software developer fast-track its U.S. expansion, Morgans analyst Nick Harris says. He tells clients in a note that the acquisition brings product innovation and increases Xero's appeal to potential customers. The additional scale Melio brings should, alongside further sales and marketing investments, move Xero closer to having what Harris calls critical mass in North America. The downside is the dilutive impact of a loss-making business, he adds. Harris maintains an accumulate rating on Xero. Morgans keeps a A$215.00 target price on the stock, which is up 0.2% at A$184.40. ([email protected])

0041 GMT - Macquarie analysts see risk that some of WiseTech Global's freight-forwarder customers could take their business elsewhere in an effort to cut costs. With the Australian company rolling out a new commercial model, the analysts tell clients in a note that key customers are concerned about WiseTech's dominant market position and price increases. They warn that freight forwarders may not be willing to spend with WiseTech on incremental products, and could look to other vendors for certain functions. This could affect take-up of WiseTech's new products, they add. Macquarie is under research restrictions on the stock. Shares are up 2.0% at A$109.80. ([email protected])

2220 GMT - Australia's S&P/ASX 200 is set to open higher after major U.S. indices finished just short of records. ASX futures are up by 0.6% ahead of Friday's session, suggesting that the benchmark index could set a record of its own. The ASX 200 slipped 0.1% on Thursday but is still less than 0.5% away from the record close it set a little over two weeks ago. Ahead of the open, Suncorp said its chairman will step down at September's annual general meeting. On Wall Street, strength in tech stocks left the S&P 500 and Nasdaq Composite close to records. The S&P gained 0.8%, the Nasdaq rose 1.0%, and the DJIA added 0.9%. ([email protected])

(END) Dow Jones Newswires