0423 GMT - QBE is likely to reiterate its FY 2024 gross written premium growth guidance at its upcoming 1Q trading update this week, say Jarden analysts in a note. It should also maintain its combined operating ratio--a key profitability indicator--guidance of around 9.35%. "We see scope for moderate FY 2024/ FY 2025 consensus earnings per share upgrades from higher running yields and potential upside risk from below-budget catastrophes," says Jarden. Still, QBE's runway for outperformance is shortening as premium rate rises and interest rates start to moderate, says Jarden, which keeps its buy rating on the stock. (alice.uribe@wsj.com)

0407 GMT - Australian private health insurance company Medibank's health insurance net margin should lift to a historical high of 9.3% in 2H FY 2024, says Jarden, which drives its 0.7% earnings per share upgrade in FY 2024. In a note, Jarden says Medibank's near-term earnings backdrop appears well underpinned and valuation metrics remain undemanding. But, with consumer affordability pressures likely to rise from here, Medibank may see lower penetration rates. At the same time, Jarden sees that the profitability equilibrium with private hospitals has swung too far in the private health insurer's favor, prompting it to keep its neutral rating. (alice.uribe@wsj.com)

0332 GMT - ANZ's institutional bank is performing well, and its Australian retail unit has seen better momentum, but it also has several strategic priorities to juggle, say Morgan Stanley analysts in a note looking at the Australian major lender's 1H FY 2024 results. MS reckons there is "little scope" for earnings per share upgrades in FY 2025, and with the stock evenly valued, the investment bank downgrades ANZ to equal-weight from overweight. Still, MS sees that ANZ has a good track record of cost discipline, and forecasts expense growth ex-notable items to moderate from 4.5% in FY 2024 to 3% in FY 2025. (alice.uribe@wsj.com)

0107 GMT - Australia-listed general insurer QBE's premium rates offered to mid-sized firms may be holding up relatively better than other lines going by the results indicated by its U.S peers, say Morgan Stanley analysts ahead of QBE's 1Q FY 2024 update this week. The investment bank notes that commercial and corporate pricing is weaker in the U.K. and Pacific (including Australia), although inflation is also slowing. From this MS expects QBE's combined operating ratio--a measure of underwriting profitability--to be around 93% in 1H FY 2024 and 93.3% for the full year, which it notes is a "clear improvement" on previous corresponding periods. This improvement is driven in large part by a turnaround in North America, MS adds. (alice.uribe@wsj.com)

0028 GMT - Travel agency Flight Centre continues to target a 2% pretax profit margin in FY 2025, but Jefferies is doubtful that it will achieve it. In a note, analyst Michael Simotas says a 1.7% margin outcome is more likely, and he sticks with a hold call on the stock. "Travel demand appears to be holding up well across both Corporate & Leisure segments despite macro headwinds and geopolitical challenges," Jefferies says. "But we believe stock is fully valued." Flight Centre is up 1.7% at A$20.94, above Jefferies's A$19.00 target price. (david.winning@wsj.com; @dwinningWSJ)

0023 GMT - Goodman's expanded power bank of data center developments sends a positive signal about its growth prospects, Citi says. Goodman had a power bank of 4.3 gigawatts across 12 cities at the end of March, up from 4 GW three months earlier. Of this, 2.1 GW is secured and only 0.4 GW is under development. Goodman said there are several more sites that it owns or controls that are currently being considered for data centers. In a note, analyst Howard Penny says the expanded power bank, combined with Goodman's upgraded guidance for operating EPS growth of 13% in FY 2024, is "positive for growth outlook both in the short and medium term." Citi retains a buy call on the stock. (david.winning@wsj.com; @dwinningWSJ)

0018 GMT - Nine Entertainment's revenue trends continue to remain challenged, says E&P analyst Entcho Raykovski in a note analyzing the Australian media company's 3Q FY 2024 trading update. E&P finds that the free-to-air metro TV ad market trajectory is unchanged into 4Q, with Nine not explicitly reiterating its prior publishing guidance for FY 2024. "However, this is largely offset by lower costs relative to our estimates," says E&P. "Given the ad market weakness was largely known, we'd expect the stock to react more positively to the incremental news on costs."(alice.uribe@wsj.com)

2338 GMT - Macquarie trims its earnings outlook for Imdex to reflect limited visibility about when drilling activity will pick up but remains bullish on the stock. Macquarie's FY 2024 EPS forecast falls 8.6%, while its FY 2025 and FY 2026 views are lowered by 9.1% and 8.1%, respectively. Still, it highlighted emerging tailwinds for Imdex, including a potentially large shortfall in copper supply from 2027 and a forecast drop in gold resources for the 20 largest producers over time. "Key commodity prices have increased recently with gold and copper comprising 75% of exploration activity," Macquarie says. "Despite this, global exploration budgets are yet to follow, and while capital raisings have improved, the improvement is from a small base." (david.winning@wsj.com; @dwinningWSJ)

2330 GMT - It appears that ANZ's cost of running the bank has increased, say Macquarie analysts in a note looking at the Australian lender's 1H FY 2024 results. It reckons that given the bank's need to continue to invest, it's likely to rebuild its investment spend back towards A$2 billion per annum, suggesting a new cost base of A$10.6 billion. Overall, Macquarie sees that ANZ's A$2 billion buyback should support the near-term share price, with continued underlying headwinds and trading at around 14 times P/E, it continues to see ANZ and the Australian banking sector as expensive. Macquarie keeps its underperform call on ANZ. (alice.uribe@wsj.com)

2329 GMT - Macquarie thinks AGL Energy's more bullish assessment of consumer demand compared to rival Origin Energy reflects its less aggressive push into generating solar power. AGL said higher consumer demand over summer in Australia's eastern states of New South Wales and Queensland was a key driver of its profit upgrade yesterday. Macquarie notes the contrast with Origin which reported flat retail electricity volumes in 3Q. AGL now expects underlying Ebitda of A$2.12 billion-A$2.20 billion in FY 2024, and an underlying net profit of A$760 million-A$810 million. Macquarie raises its own forecast for underlying net profit by 5%, to A$790 million. (david.winning@wsj.com; @dwinningWSJ)

2321 GMT - QBE has performed well, with premium rates improving ahead of inflation, showing that insurers retain pricing power, says Bell Potter analyst Marcus Barnard in a note. But, rising premium rates mean insurance is expensive and anecdotally, policyholders are looking for ways to reduce their insurance costs, BP adds, seeing that as far as rates go "we may not be at the top of the cycle yet, but we are probably not far away." BP initiates QBE with a hold recommendation, based on valuation and the point in the cycle. "Calling the top of the insurance cycle is difficult, but if QBE has excess capital to grow, then chances are its competitors will also," says BP. (alice.uribe@wsj.com)

2312 GMT - Investment and the re-shaping of credit leaves ANZ best placed to navigate the cycle, says Jefferies analyst Matthew Wilson in a note. "Going forward, diversity matters and that's where ANZ is best placed," he says. Investment in its platform and franchise, as well as the Suncorp bank acquisition, still awaiting final approvals, enhances the enterprise and likely augments returns, says Jefferies. (alice.uribe@wsj.com)

2242 GMT - The impact of Chinese steel exports on Sims' ANZ Metal business is a concern, says Jefferies analyst Simon Thackray in a note after a profit warning from the scrap metal company. "We would expect that this continues into FY25, with stronger Chinese exports reducing demand for scrap," Thackray says of the impact of Chinese exports on ANZ Metal volumes. Jefferies cuts its FY24 Ebit forecast by 74%. Its FY25 and FY26 forecasts are cut by 24% and 17%, respectively. Jefferies reduces its target on Sims to A$9.57/share, from A$11.00, and keeps an underperform rating. Sims last traded at A$11.06/share. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)

2225 GMT - The weakness of ANZ's Australia-geography revenue is starting to grow into a serious investor concern, Citi analysts Brendan Sproules and Thomas Strong say in a note. They have particular reservations about ANZ's retail bank unit's strategy to grow the balance sheet faster than the wider system, whichappears to have only accelerated the contraction in the division revenue and cash earnings. "ANZ core earnings are still declining, with investors unsure of the strategic merit of the current strategy as well as missing key disclosures," Citi says in an analysis of the Australian lender's 1H FY 2024 results. Citi keeps its sell call, but drops ANZ to third in its major bank order of preference. (alice.uribe@wsj.com)

(END) Dow Jones Newswires