0501 GMT - ARB Corp.'s plan to increase its stake of its U.S. associate and take an indirect share of the 4 Wheel Parts retail chain helps address a previously missed opportunity in the eyes of Jefferies analysts. They tell clients in a note that they were disappointed that Australian auto-parts supplier ARB did not acquire 4 Wheel Parts when it was available in 2022, seeing it as an opportunity to expand its U.S. retail footprint. So, they look positively at ARB's plan to raise its stake in associate ORW to 50% by helping fund its acquisition of 4 Wheel Parts. Jefferies has a last-published underperform rating and a A$33.00 target price on the stock, which is up 5.7% at A$42.105. (stuart.condie@wsj.com)

0356 GMT - Lovisa has plenty of time to find a replacement for its CEO-designate if his exit from retail conglomerate Premier Investments proves troublesome, Citi analyst Sam Teeger says. He tells clients in a note that John Cheston's firing by Premier for alleged misconduct creates some uncertainty for jewelry retailer, but points out that Cheston was not due to start until June 2025. While Teeger stresses that there is no public information on the nature of the alleged misconduct, he observes that Lovisa may have avoided an issue if the matter is eventually proven serious. Citi has a neutral rating and A$32.16 target price on the stock, which is down 6.5% at A$30.325. (stuart.condie@wsj.com)

0354 GMT - ARB Corp.'s plan to increase its stake of its U.S. associate looks like it will give the Australian auto-parts supplier greater distribution control in its key growth market, Citi analyst Sam Teeger says. He reckons the plan outlined Monday by ARB to raise its stake in ORW to 50% by helping fund its acquisition of the 4 Wheel Parts retail chain looks like an excellent deal. He tells clients in a note that it will materially improve the range of ARB products offered by 4 Wheel Parts, effectively making it a house brand. Citi has a last-published buy rating and a A$48.00 target price on the stock, which is up 5.4% at A$42.01. (stuart.condie@wsj.com)

0118 GMT - A recent trading update from Premier Investments is in line with E&P analyst Phillip Kimber's expectations. The company earlier Monday said global retail sales for FY 2024 would be A$1.6 billion, that post-AASB 16 Ebit in its retail business would be A$341 million, and that it plans to release its full annual earnings report on Sept. 25. Kimber says the update highlights that trading conditions were tough in the fiscal 2H, consistent with other discretionary retailers. Although he views Premier as one of the better positioned Australian discretionary retailers, Kimber recently downgraded the stock to a neutral rating, given strong share price performance and some uncertainty over future M&A. (mike.cherney@wsj.com; @Mike_Cherney)

0117 GMT - Australian property advertiser REA's interest in U.K. counterpart Rightmove only makes sense to Bell Potter analyst Michael Ardrey in terms of diversifying exposure. Ardrey tells clients in a note that it's hard to see material value creation relative to the likely price of an acquisition. He sees few synergies from the cost base in a U.K. marketing environment that differs to that in Australia. That said, buying cheap Rightmove equity with expensive REA equity looks logical to Ardrey, who sees 12% EPS accretion in fiscal 2026 from a takeover priced at a 30% premium. Bell Potter keeps a buy rating on the stock and lifts its target price 1.3% to A$226.00. Shares are down 1.3% at A$201.94. REA is 61% owned by News Corp, which owns Dow Jones & Co., the publisher of this newswire and The Wall Street Journal. (stuart.condie@wsj.com)

0115 GMT - The development of the Havana underground at the Tropicana gold mine--owned 70% by AngloGold and 30% by Regis Resources--is "another incremental example of the considerable underground mineralization potential" at that site, says RBC Capital Markets analyst Alex Barkley. RBC has an outperform rating at A$2.60 target on Regis, which is down 2.3% in Sydney at A$1.735/share. Tropicana accounts for A$0.92 of the broker's valuation on Regis, Barkley says. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)

0104 GMT - REA could be left with little room for error on execution if it is forced to pay the sort of takeover premium for Rightmove that some of the U.K. real-estate platform's shareholders want, Citi analysts write in a note. They tell clients that investor feedback suggests that Australia's REA might have to pay a 40%-50% premium to secure a deal. This would still make a takeover 9% EPS accretive in FY 2026 but could leave REA with little room to maneuver, especially if it has to step up marketing spend. Citi has a buy rating and A$230.00 target price on REA shares, which are down 1.3% at A$202.00. REA is 61% owned by News Corp, which owns Dow Jones & Co., the publisher of this newswire and The Wall Street Journal. (stuart.condie@wsj.com)

0046 GMT - Challenger gets a new bull at Macquarie on the sharp sell-off that followed Apollo Global Management's decision to cut its stake in the Australian wealth manager. Macquarie's analysts tell clients in a note that nothing about the underlying business has changed, with the Challenger-Apollo working partnership intact and Challenger dismissing speculation that Apollo's remaining 9.9% stake is subject to a 90-day escrow. Macquarie keeps its target price at A$7.00 but raises its recommendation to outperform from neutral following the 11% slump that followed Apollo's selldown. The stock is down 0.6% at A$6.20. (stuart.condie@wsj.com)

0014 GMT - Qantas is poised for an earnings boost from falling fuel prices, which will add to the momentum at Australia's biggest airline, say Jarden analysts Jakob Cakarnis and James Wilson. Since Qantas reported its FY 2024 earnings last month, the analysts figure that the Brent oil forward curve has fallen 6.5%. Given that Qantas is 83% hedged on fuel, the benefits of lower fuel prices will be more apparent in the fiscal 2H, the analysts say. Cakarnis and Wilson keep their bullish call on Qantas for now. (mike.cherney@wsj.com; @Mike_Cherney)

(END) Dow Jones Newswires