ASX upgrades and downgrades: Fortescue, Eagers and Cochlear

Market Index provides daily updates for the latest broker upgrades and downgrades for S&P/ASX 200 companies.

Upgrades

None

Downgrades

Eagers Automotive (ASX: APE)

• UBS downgrades to Neutral from Buy - $12.90 target price (from $17.50)

• Analysts forecast new car sales to fall -15% from peak-to-trough

Cochlear (ASX: COH)

• Credit Suisse downgrades to Neutral from Outperform - $232 target price (from $240)

• Industry-wide staff shortages to impact surgical volume recovery in FY22-23

Fortescue (ASX: FMG)

• Macquarie downgrades to Underperform from Neutral - $16.00 target price

• Quarterly result was in-line with Macquarie expectations. Capex guidance surprised to the upside, alongside higher unit costs, FY23 cashflow expected to decline -15%

GUD Holdings (ASX: GUD)

• UBS downgrades to Neutral from Buy - $9.10 target price (from $13.30)

• Same reason as Eagers Automotive. Broker is issuing sector wide downgrades

Janus Henderson (ASX: JHG)

• Citi downgrades to Sell from Neutral - $31.60 target price

• Second quarter asset under management outflows were steeper-than-expected. Analysts note the stock is strongly leveraged to equity markets and patience is required in the absence of any rebound

Ramelius Resources (ASX: RMS)

• Ord Minnett downgrades to Hold from Accumulate - $1.10 target price (from $1.35)

• Downgrade reflects higher costs, which are expected to improve from FY24