0354 GMT - Citi analysts warn that negative price momentum in Australian bank stocks could become self reinforcing. They tell clients in a note that the sector remains stable and defensive with reasonable earnings visibility, suggesting that some of the recent valuation falls could stem from end-of-year profit-taking. While valuation multiples are now unwinding, they point out that Commonwealth Bank is still trading at 24 times forward earnings, compared with the stock's seven-year average of 19.1 times earnings. Self-reinforcing downward momentum is something they are watching for. ([email protected])

0350 GMT - Australian lithium miners are outpacing metal-price gains and could swing lower if a restart of CATL's Jianxiawo mine is announced, Macquarie analysts say in a note. The analysts say a restart of that big operation "may shock the futures market [and] weigh on equities, presenting a profit-taking opportunity." That said, the analysts are constructive on the lithium market in the medium term, citing a widening imbalance between supply and demand. As such, they reckon a drop in stock prices could also "present a 'buy-the-dip' opportunity." They reiterate an outperform rating on IGO, Elevra Lithium and PMET Resources. ([email protected]; @RhiannonHoyle)

0313 GMT - Investor concerns about National Australia Bank's capital position keep Macquarie analysts cautious despite their positive view of its fundamentals. They tell clients in a note that their fiscal 2026 profit forecast for NAB is ahead of consensus, the only one of Australia's major lenders for which that is the case. However, they reckon that those capital concerns could limit the stock's near-term performance. ANZ retains its status as their preferred Australian bank stock despite its shrinking discount relative to peers and medium-term execution risk on management's strategy. ([email protected])

0128 GMT - Rio Tinto is likely to get 48% of its Ebitda from iron ore in 2026, down from 81% in 2023, Citi analyst Ephrem Ravi estimates. The miner is diversifying its earnings even as its giant Simandou iron-ore project in Guinea ramps up, helped by growth in its copper division. The shift also reflects forecast moves in prices, including a soft outlook for iron ore, Ravi says. He reckons Rio's copper business is "on track for solid growth," tipping increases of 7% in 2026 and 5% in 2027. Ravi says investors should get a clearer picture of the miner's growth plans when it holds an investor briefing on Dec. 4. Citi has a neutral rating on Rio Tinto. The stock is up 1.5% in Sydney at A$133.78. ([email protected]; @RhiannonHoyle)

0037 GMT - Xero's bull at Macquarie sees nothing in the accounting-software provider's 1H result to contradict their positive thesis on the stock. They tell clients in a note that the Australia-listed company has arguably built its platform for U.S. growth earlier than expected, and that management is now executing. Cost guidance is strong and the only thing lacking for a great growth story is a catalyst, they say. They reckon that this catalyst could be newsflow from Xero's recently acquired bill-pay platform Melio. The stock is on sale, they add. Macquarie raises its target price 0.6% to A$230.30 and keeps an outperform rating on the stock, which is down 1.9% at A$120.00. ([email protected])

0012 GMT - While London's High Court has found BHP liable for the 2015 Samarco dam collapse, any "cash impact remains long dated and capped," RBC Capital Markets analyst Kaan Peker says in a note. "The ruling does not introduce a new liability, it simply affirms it," Peker says. He views the court's decision as neutral for BHP. Any impact on cash flow is unlikely until roughly 2030 and is "already significantly provisioned," or contained, he says. He points to a US$32 billion settlement signed last year between BHP, joint-venture partner Vale and Brazilian authorities. "The October 2024 Brazil Agreement remains valid and binding, and duplicate claims cannot be paid twice," says Peker. RBC has a sector perform rating and A$44.00 target on BHP. The stock is down 1.3% at A$42.20. ([email protected]; @RhiannonHoyle)

0002 GMT - The share-price drop that followed Xero's 1H result looks overdone to its bull at Citi. Analyst Siraj Ahmed tells clients in a note that the stock had already been weak heading into last week's result announcement by the accounting-software provider. As such, a 9% one-day drop seems a lot to Ahmed. He points out that the inclusion of loss-making acquisition Melio, which he sees driving consensus downgrades, was expected. Growth at recently acquired Melio is slowing but that's due to a reduction in unmonetized volumes, Ahmed observes. Going forward, growth will be underpinned by integration with Xero, he adds. Citi has a last-published buy rating and A$210.00 target price on the stock, which is down 1.6% at A$120.36. ([email protected])

2330 GMT - IDP Education's bulls at Jefferies reckon that any downside for the student-placement provider is already priced in. Jefferies' analysts tell clients in a note that the weaker outlook for Canada placements was already reflected in IDP's FY 2025 guidance. In any case, they think that U.K. placement declines should moderate and that this improvement offsets the revenue impact of lower volumes in Canada. Migration policy outlook in Australia is also positive, they add. Jefferies trims its target price 8.1% to A$7.90 and keeps a buy rating on the stock. Shares are up 0.1% at A$4.915. ([email protected])

2254 GMT - Investors have scythed down GrainCorp's stock price too far following its annual earnings result, suggests Morgans. "While it can be argued that the FY 2025 profit-and-loss result was lower quality due to one-offs, operating cashflow was materially stronger than expected, underpinning GrainCorp's strong core cash position," analyst Belinda Moore says. Consensus estimates for FY 2026 were likely too high ahead of the result. Morgans thinks it may take time for confidence in GrainCorp's earnings leverage to favorable cropping conditions to return, given grain trading has been a headwind. Still, the bank believes "the stock has been oversold trading on an FY 2026 enterprise value-to-Ebitda multiple of only 6.7x." So, it retains an accumulate call on GrainCorp. ([email protected]; @dwinningWSJ)

2247 GMT - Morgans upgrades healthcare software supplier Pro Medicus to accumulate, from hold, after the stock pulled back more. Pro Medicus's share price is down some 25% since its July high. Analyst Iain Wilkie says this decline appears to be due to a broader market shift away from high-growth stocks. It has happened despite Pro Medicus's stable fundamentals and a consistent outlook. "Business quality remains solid with high margins, long-term contracted revenues, and a growing contract book which underpins the demand and safety in the financial profile over the coming years," Morgans says. On Monday, Pro Medicus said its U.S. subsidiary has secured a new five-year, A$44 million contract with Advanced Radiology Management. ([email protected]; @dwinningWSJ)

2229 GMT - Crop-chemicals supplier Nufarm may have made its task of extracting value from its Seed Technologies business harder, suggests Jefferies. Nufarm has changed how it reports on operating businesses within its portfolio. It will now include seed treatment within its Crop Protection division, rather than within Seed Technologies as before. Seed treatment made A$20.5 million of Ebitda in FY 2024. In response, Jefferies cuts its Seed Technologies FY 2025 Ebitda forecast to A$2 million, from A$20 million. "The reclassification of a significant part of the Seeds earnings is unhelpful in obtaining an attractive outcome for the business in our view," analyst Ramoun Lazar says. ([email protected]; @dwinningWSJ)

2218 GMT - Ramsay Health Care's 1Q performance in France is slightly better than UBS expected. Still, the bank isn't getting excited just yet. Ramsay Sante, which encompasses the company's businesses in France and the Nordic region, reported 3% growth in 1Q revenue. In France, revenue was up 2% and Ebitda was a modest beat to expectations. "We remain cautious of its ability to maintain this momentum throughout FY 2026 given the uncertain pricing outlook in France against the volatile political backdrop and ongoing cost inflation," analyst Marcus Curley says. UBS retains a neutral call and A$35.90/share price target on Ramsay Health Care, which ended last week at A$30.92. ([email protected]; @dwinningWSJ)

2210 GMT - Integrated Research's 1H update disappoints Bell Potter, which cuts its price target on the stock by 27% to A$0.40/Share in response. Integrated Research expects 1H revenue of A$25 million-A$30.5 million, below Bell Potter's A$31.1 million forecast. Its forecast Ebitda loss of up to A$8 million was sharply higher than the bank's A$600,000 expectation. Bell Potter's shifts its forecasts lower to be around the middle of Integrated Research's guidance ranges. It also assumes a provision for bad debts of some A$4 million. Still, Bell Potter retains a buy call on Integrated Research, which ended last week at A$0.305. ([email protected]; @dwinningWSJ)

(END) Dow Jones Newswires