Broker Moves: Netwealth, QBE, Transurban

Credit Suisse rates Netwealth (ASX:NWL) as an outperform and drops the price target to $16.75 from $17.00. The third quarter inflows of $2.6 billion missed the broker’s $3.0 billion estimates attributed by labour shortages during the period. Credit Suisse cites that flows remain strong at around 20 per cent per annum.The company has reiterated full year flow guidance of more than $13.5 billion, implying fourth quarter inflows of at least $3.2 billion. Shares are trading 0.5 per cent higher at $13.26.

UBS rates QBE (ASX:QBE) as a buy and raised its target price to $15 from $14.40. The insurance group remains the broker’s favourite after citing that the company continues to enjoy a number of macro, micro and industry tailwinds. The broker says that it’s driving return on equity back to 14 per cent levels and believes the market appears to be underestimating the financial boost provided by ongoing repricing and rebounding bond yields. Shares are trading 1.9 per cent higher at $12.12.

Ord Minnett rates Transurban (ASX:TCL) as a buy with a reduced price target at $15.00 from $15.40. The broker cites that its March quarter traffic update showed improving trends as the economy reopens with the data points indicating an acceleration into the June quarter. Ord observes a gradual increase in average workday and airport-exposed traffic when compared to its peak since March 2020. The broker feels that the recovery could have been stronger without the disruption from the adverse weather in New South Wales and Queensland. Ords has adjusted its earnings forecast for financial year 2022 to take this into account. Shares are trading almost 1 per cent higher at $13.80