0226 GMT - Reports of a widening of Chinese restrictions on BHP iron-ore products suggest a pricing dispute between China Mineral Resources Group and the world's biggest miner is escalating, says Macquarie. Reuters reports that CMRG has ordered mills and traders to stop taking delivery of Newman fines, citing sources. "We note our preference for BHP over RIO doesn't include this tail risk manifesting, and we suspect BHP and the CMRG will ultimately arrive at a mutually beneficial outcome," says Macquarie. "However, the latest development, if proven, does present a challenge to the preference." BHP is down 1.8% at A$50.06/share. ([email protected]; @RhiannonHoyle)

0223 GMT - Equity investors worried about the prospect of stagflation in Australia are urged by UBS analysts to consider supermarket operators and infrastructure owners as potential safe havens. The analysts write in a note that the stocks seen at the investment bank as most resilient to high inflation and weak growth include many exposed to food staples production and retail. Agricultural REIT Rural Funds Group is another flagged by the analysts. Waste manager Cleanaway, telecommunications operator Telstra and pipeline operator APA also figure among their nominated stocks should a stagflation scenario eventuate. ([email protected])

0025 GMT - Morgan Stanley analysts are increasingly convinced that Australian retailers are underestimating the impact of higher memory costs on home computers. They think that, while ASX-listed retailers JB Hi-Fi and Harvey Norman view memory inflation as manageable and even a tailwind, equipment manufacturers are guarding their margins. This implies higher home computer prices than retailers currently assume, they warn in a note. Consumers could switch purchases to less powerful machines, but the MS analysts point out that these are typically lower margin. Higher prices could also crowd out demand for other electronic items, they add. ([email protected])

0015 GMT - Northern Star's further FY guidance downgrade is disappointing, says Macquarie. "NST has hinted at providing more granular detail on their mid-term production outlook later in CY26, which should give more clarity to their outlook," the bank says in a note. It has an outperform rating and A$32.00 target on the stock. Shares are down 15% at A$22.90. ([email protected]; @RhiannonHoyle)

0011 GMT - Premier Investments' bulls at UBS continue to find the Australian retail group's risk/reward as attractive despite a challenged outlook for its stationery unit and losses stemming from its U.K. expansion. The investment bank's analysts expect Premier to report underlying earnings of A$119.8 million when it announces its first-half results next week, which is in line with guidance. They think that the market is underestimating the impact of Premier's stake in small-appliance maker Breville on valuation, and see its Peter Alexander sleepwear brand performing well in its core Australia and New Zealand markets. UBS trims the stock's target price by 5.3% to A$18.00 but keeps a buy rating on the stock, which is up 0.7% at A$12.43. ([email protected])

0008 GMT - Citi now expects Liontown will go ahead with an expansion to 4 million metric tons per annum at its Kathleen Valley operation given the continued strength in lithium prices. It previously had a 70% risk weighting of the project proceeding. Liontown is working on an updated study, with the board expected to make a decision later in the year. Citi estimates the project will cost about A$260 million. The bank upgrades the stock to neutral from sell, but lowers its target price to A$1.65 from A$1.70. Shares are up 2.2% at A$1.655. ([email protected]; @RhiannonHoyle)

2358 GMT - Following a rebound in lithium prices, Liontown can now rapidly generate cash to support production growth and shareholder returns, Bell Potter analysts Stuart Howe and James Williamson say in a note. The miner's balance sheet has been "reset" and is now net cash, they say. "Over FY26-27, LTR will continue to ramp up and de-risk Kathleen Valley," say the analysts. They reiterate a buy rating and A$2.42 target on the stock. Shares are up 1.7% at A$1.65. ([email protected]; @RhiannonHoyle)

2350 GMT - Collins Foods has unlocked a key growth opportunity with the acquisition of eight stores in Germany, but execution remains key, Macquarie analysts warn. They see the Australian fast-food franchiser's latest acquisition as a step in the right direction given that it has identified Germany as one of three strategic growth pillars. A more meaningful benefit would be an acceleration in organic store count growth, they write in a note. This organic growth is key given that Collins its targeting 45-90 net new stores by 2029, they add. Macquarie trims its target price 0.9% to A$11.10 and keeps a neutral rating on the stock, which is down 0.5% at A$9.87. ([email protected])

2345 GMT - Life360 keeps its bull at Citi after reassuring analysts that growth is still strong in its core markets. Analyst Siraj Ahmed tells clients in a note that while the tracking-app provider's outlook in international markets is uncertain, his key takeaway after meeting with management this week is growth in both monthly active users and paid subscriptions remains strong in core markets including the U.S. He reckons that investors should focus more on this core-market performance since it is key to Life360's revenue performance. Citi keeps a buy rating on Life360's Australia-listed stock. It cuts its target price 21% to A$32.20 but Ahmed says valuation is still attractive. Shares are down 4.7% at A$19.435. ([email protected])

0416 GMT - Alcoa and South32 are the best ways in the Australian share market to bet on higher aluminum prices from Middle East disruptions, says UBS analyst Lachlan Shaw. UBS raises its aluminum and thermal-coal price forecasts citing Mideast supply risk. "As revisions to the aluminum price are larger than thermal coal, pure-play AAI [Alcoa] sees the largest up lift in price target," to A$95/share from A$71/share, Shaw says. UBS remains neutral rated on the stock. Its target on South32 lifts to A$5.20/share from A$5.10/share. The increase is modest because of alumina downgrades, Mozal's coming closure and an unchanged price outlook for other commodities, Shaw says. UBS reiterates a buy rating in South32. Alcoa is up 4.2% in Sydney at A$90.41. South32 is down 1.6% at A$4.29. ([email protected]; @RhiannonHoyle)

(END) Dow Jones Newswires