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Australasian Equities

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Core

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Impressive update, but not chasing Yesterday’s update from SRG Global was impressive, and the market quickly marked the stock +16% higher. A$1.85b in new contracts, FY26 EBITDA guidance upgraded to A$168m, and FY27 EBITDA guided at A$190m–200m, above the market consensus. The HOLD rating is unchanged. While the stock could see more upward momentum from liquidity flows, we don’t like the risk-to-reward in chasing the stock at these levels. The announcement itself deserves the market reaction. A$1.85b in contract wins across

Northern Star

Speculative

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Shares Jump After Elliott Goes Public With Demands Northern Star surged (ASX: NST) and was in the spotlight after famed activist investor Elliott Investment Management built a stake worth over A$1 billion in the gold miner and publicly called for a strategic review, including a potential sale of the company. The announcement triggered a rally after a steep year-to-date fall. A new CEO is being sought, a major processing facility expansion is due for completion in early 2027, and full-year production guidance was

Orica

Core

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US Manufacturing Plants Now Fully Owned Orica (ASX: ORI) has resolved two significant US issues in quick succession. A long-running legal dispute was settled for US$169.5 million, removing a major source of uncertainty, and the company has taken full ownership of four US manufacturing facilities previously held in a joint venture for US$25 million plus US$48 million in assumed debt. Together, these moves are expected to deliver A$35 million in annual profit improvement once integrated. In our last tech update on the 17th of

Collins Foods

Core

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German Network Up by 50% Collins Foods (ASX: CKF) completed the purchase of eight KFC outlets in the Munich area of Germany on 1 June 2026 for €31.1 million. The acquisition lifts its German network to 25 restaurants across three states. The newly acquired stores are already generating higher profit margins than existing German locations. Germany has just one KFC restaurant per 1.8 million people, pointing to significant room for growth. Full-year profit growth guidance of mid-to-high teens remains intact. In our last tech

St Barbara

Speculative

high

Gold Production to Quadruple Between 2027 and 2030 St Barbara (ASX: SBM), an Australian gold producer with operations in Papua New Guinea and Canada, is now entirely debt-free, amassing A$504 million in cash in a single quarter. A major investment from a Chinese partner closed in early April, fully funding an expansion that is expected to nearly quadruple annual gold production from 48,000 ounces in 2027 to 191,000 ounces by 2030. Operations in both Papua New Guinea and Nova Scotia now have the

Generation Development Group

Core

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FUM Cross $4 Billion, Cementing a Market-Leading Position Generation Development Group (ASX: GDG) completed the transfer of $1.8 billion in new client portfolios in May, pushing total funds under management above $4 billion. Separately, Colonial First State, which oversees $136 billion in retirement savings, selected the company’s retirement income and tax-effective investment products for their largest-ever retirement expansion, launching in August 2026 alongside Challenger and BlackRock. With two structural growth themes now running simultaneously and BlackRock holding a minority stake, the long-term earnings runway for

Judo Capital

Speculative

high

Getting Stronger Judo Capital (ASX: JDO) completed a $750 million loan securitisation in which it packaged up a portion of its business loans and sold the associated risk to outside investors. This strengthened its capital position to 13.2% and is expected to improve returns on shareholders’ funds by 25 to 30 basis points in 2027, without reducing the size of its loan book. Pricing was significantly better than its first deal in 2023. However, returns on equity remain below the cost

Treasury Wine Estates

Core

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Hard Work of Rebuilding Has Just Begun Treasury Wine Estates (ASX: TWE) is well placed to benefit, given a strong presence in the premium end of the wine market. New CEO Sam Fischer delivered a better-than-expected update, though shares still slipped. The CFO is retiring in September 2026, and a prominent global wine industry investor is publicly criticising TWE’s excessive stock levels and pricing discipline while quietly building a stake in the company. A bid may not be far away. The strategy day on 4 June must deliver. In our

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