0459 GMT - Super Retail Group has an opportunity to secure a higher earnings multiple, Jarden analysts say. Maintaining an overweight rating on the stock, they tell clients in a note that each of the Australian retailer's three major business enjoys a market share above 30% in its category. The analysts point out that margins are holding despite an uncertain consumer and economic backdrop. They would like to see Super Retail de-risk the business and execute on capital management. With its leverage to a cyclical recovery, they could see its shares earning a rerate if investors become more confident in the outlook. Jarden cuts its target price by 2% to A$14.90 and stay overweight on the stock, which is down 3.8% at A$11.22. ([email protected])

0446 GMT - JB Hi-Fi's bulls at UBS remain confident in the retailer's relative margin resilience despite the impact of higher memory costs on some of the electronics it sells. Retaining a buy rating on the stock, the investment bank's analysts tell clients in a note that the home appliance and entertainment retailer's rivals are arguably selling older, cheaper stock. This puts pressure on JB Hi-Fi to invest in promotions to maintain its price position among consumers, they add. However, they observe that JB Hi-Fi has been very effective at managing margins irrespective of the pace of sales growth. UBS trims its target price 3.4% to A$85.00. Shares are up 0.3% at A$73.19. ([email protected])

0146 GMT - Magellan Financial's bear at Macquarie warns that a shift in how its global equity funds are managed exposes them to significant risk of outflows in the near term. A note from one of the investment bank's analysts observes that the funds are pivoting from actively managed, concentrated portfolios to a quant-based strategy. Looking at the immediate financial impact, the analyst sees a 11% headwind to fiscal 2027 EPS as management fees are cut and performance fees ended. There is further downside risk, they add in the note. Macquarie cuts its target price on the stock 10% to A$7.65 and maintains an underperform rating. Shares are up 2.6% at A$9.00. ([email protected])

0036 GMT - Light & Wonder's latest update looks positive to its bull at RBC despite disappointment over the gaming-tech provider's 1Q earnings. Analyst Mark Wilson says free cash flow was stronger than expected and approves of management's comments that it is committed to reducing net leverage. He also flags Light & Wonder's guidance for mid-to-high single-digit full-year earnings growth, which compares with consensus of 8%. However, Wilson tells clients in a note that March-quarter adjusted earnings of US$327 million were about 3% short of the average analyst forecast. RBC has a last-published outperform rating and A$190.00 target price on the stock, which is down 9.2% at A$101.74. ([email protected])

0026 GMT - Life360's bull at Bell Potter sees little chance that the tracking app provider will upgrade its annual guidance when it announces its March-quarter result next week. Analyst Chris Savage reckons the dual-listed operator could deliver a small beat to 1Q expectations, but expects it to reiterate annual guidance. He tells clients in a note that the 2Q result is probably also the earliest the company could upgrade its outlook but sees 3Q as more likely given its earnings skew. Bell Potter has a buy rating and A$35.50 target price on Life360's Australia-listed stock, which is up 0.9% at A$20.015. ([email protected])

2308 GMT -- Jefferies wonders whether electronics retailer JB Hi-Fi is experiencing the calm before the storm as cost-of-living pressures intensify. Sales remained resilient through 3Q. Analyst Michael Simotas says JB Hi-Fi's decision not to disclose its April performance suggests momentum has continued. "However, three consecutive rate increases, fuel cost impost and cost-of-living pressure could impact demand going forward," Jefferies says. "Memory inflation, potential availability constraints and discounting could compound the problem." Jefferies rates JB Hi-Fi a hold and cuts its price target by 5.4% to A$79.50/share. JB Hi-Fi ended Wednesday at A$72.98. Still, Jefferies says value in the stock is emerging. "JB Hi-Fi should gain share and manage costs well, but we don't believe it is the time to buy discretionary retailers," Jefferies says. ([email protected]; @dwinningWSJ)

2301 GMT -- Imdex's 33% share price rise since late March costs it a bull. Jefferies downgrades Imdex to hold, from buy, even as its price target moves 13% higher to A$4.80. Imdex ended Wednesday at A$4.43. Analyst John Campbell says Imdex's 3Q metrics were broadly in line with expectations. Revenue for that quarter hit an all-time, pointing to a solid underlying run-rate. Jefferies says 2H consensus forecasts suggest 4Q could be challenging. Still, it highlights the upcoming summer drilling program in North America and says commodity prices are supportive for raisings. "Contributions from acquisitions will assist, offset to a degree by FX," Jefferies adds. ([email protected]; @dwinningWSJ)

2255 GMT -- Super Retail's share price is likely to fall sharply when the Australian market opens in around an hour, says Jefferies. Super Retail's trading update late on Wednesday confirms interest-rate hikes and elevated fuel prices are starting to impact demand. Like-for-like sales in the last 10 weeks appear to be negative across all brands, with the exception of sports chain rebel. Analyst Michael Simotas says Super Retail's gross margin is under pressure. That may intensify as input costs are rising and discounts may be needed to stimulate demand, he says. "Elevated cost-of-doing-business inflation also likely, given CPI impact on wages and rent, making operating deleverage difficult to avoid," Jefferies says. Its price target falls 25% to A$12.00/share. Super Retail ended Wednesday at A$11.66. ([email protected]; @dwinningWSJ)

2251 GMT -- DigiCo Infrastructure REIT's decision to sell its Chicago data center and seek a buyer for sites in Los Angeles means it's "make or break" at its big Sydney facility, says Jefferies. Once the three U.S. assets are sold, DigiCo Infrastructure REIT will be reliant on the SYD1 data center in Sydney to grow its earnings. "Based on our forecasts, SYD1 will represent 73% of DigiCo Infrastructure REIT's Ebitda in FY27, therefore any disruption to live customers during the expansion program could impact Ebitda materially," analyst Roger Samuel says. SYD1's current capacity is fully contracted. Jefferies says the site still needs to undergo a highly complex expansion project to add 44MW of capacity over the next 3 years. "We are cautious of the build's complexity," Jefferies says. ([email protected]; @dwinningWSJ)

2243 GMT -- Real-estate investment trusts typically don't raise equity below net tangible assets and when the cost of equity exceeds the cost of debt, says Jefferies. So, analyst Andrew Dodds is puzzled by BWP Trust's first capital raising in 13 years. BWP is raising A$228 million at A$3.77/share via an underwritten entitlement offer. "The 1% earnings/NTA dilution is hard to justify given an already-conservative balance sheet and no real use of proceeds beyond funding committed capex," says Jefferies. Still, it says the stock looks attractive from here with vacancy set to peak in FY 2026. The stronger balance sheet gives options to pursue projects that can boost earnings. Jefferies stays at hold on BWP, raises its price target by 9.6% to A$3.98/share. BWP was last at A$3.94. ([email protected]; @dwinningWSJ)

0831 GMT - Rio Tinto's new CEO, Simon Trott, is working at pace to achieve the company's ambition "of becoming the most valued metals and mining business" in a fast-changing external environment, Chair Dominic Barton says in prepared remarks for a shareholder meeting. The current global environment "requires us to move at pace and with conviction," Barton says. Demand for minerals and metals is increasing, while bringing new supply to market remains challenging, he says. Barton highlights gains in Rio's share price over the past year. "To me this reflects not only favorable market conditions and rising demand for what we do, but also a growing belief in the way we are delivering," he says. ([email protected]; @RhiannonHoyle)

(END) Dow Jones Newswires