As the overall stock market sweats on a trade deal between the big tariff warriors called China and Trump, with the hope that the EU, South Korea, Japan, Mexico and Canada can avoid market-worrying agreements or stand offs, we shouldn’t forget that individual companies can rise or fall on their own circumstances.
This week we saw Tyro (TYR) at long last get market support after reports that emerging US-tech giant Stripe is in talks with the local company. In five days, Tyro’s share price spiked 19.48% to $0.92. But this is still a long way off the $1.60 Potential Capital offered in December 2022, which the board rejected as opportunistic.
It’s good to see this happening ahead of interest rate cuts that should help this business on two fronts. First, lower rates have to be good for costs. Second, lower rates should be good for consumer spending and that would be a plus for Tyro’s turnover. Against this, Tyro has been a bit of a plaything for speculators who often buy at 70-something cents and sell at 90-something cents.
The analysts still see a 45.9% upside for the company. Here are differing views of these expert company assessors:
TYR:
| BROKER | DATE | RATING | RECOMMENDATION | TARGET PRICE | % TO REACH TARGET |
|---|---|---|---|---|---|
| Shaw and Partners | 18/03/2025 | 1 | Buy | $1.60 | 73.91% |
| Macquarie | 07/03/2025 | 3 | Downgrade to Neutral from Outperform | $0.82 | -10.87% |
| Morgans | 28/02/2025 | 1 | Add | $1.60 | 73.91% |
| UBS | 27/02/2025 | 1 | Buy | $1.35 | 46.74% |
On this theme of good performers, I’ve decided to see what the analysts think of four of the “Star” stocks I listed in last Saturday’s Switzer Report to see if the big rises last week might be the start of something good.
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One of my favourites: NextDC (NXT)
I thought NextDC was oversold since the triple-T or Trump tariff tech sell off triggered an overall market slump from mid-February. NXT rose 7.19% last week to $13.57. Here’s what the analysts expect.
NXT
| BROKER | DATE | RATING | RECOMMENDATION | TARGET PRICE | % TO REACH TARGET |
|---|---|---|---|---|---|
| Morgans | 07/05/2025 | 1 | Add | $18.80 | 38.54% |
| Citi | 07/05/2025 | 1 | Buy | $18.70 | 37.80% |
| UBS | 07/05/2025 | 1 | Buy | $19.80 | 45.91% |
| Ord Minnett | 23/04/2025 | 1 | Buy | $18.00 | 32.65% |
| Morgan Stanley | 25/02/2025 | 1 | Overweight | $20.50 | 51.07% |
| Macquarie | 25/02/2025 | 1 | Outperform | $21.20 | 56.23% |
The average expected rise for NXT is 43.7%, which isn’t bad for one of Australia’s best tech operations.
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Look at the outlook for ZIP!
Sticking on tech/payments, the Buy Now Pay Later business ZIP came to market with a pretty rosy outlook number and its share price went up a nice 10.37% to $1.87. The experts think this is only the start of something better. The consensus rise is an eye-watering 64.4%! Three out of three brokers are giving it a ‘solid thumbs up’ as the table below shows.
ZIP
| BROKER | DATE | RATING | RECOMMENDATION | TARGET PRICE | % TO REACH TARGET |
|---|---|---|---|---|---|
| UBS | 17/04/2025 | 1 | Buy | $3.20 | 71.58% |
| Ord Minnett | 17/04/2025 | 1 | Buy | $3.00 | 60.86% |
| Citi | 25/02/2025 | 1 | Buy | $3.00 | 60.86% |
Coincidentally, Block Inc (or the former Afterpay) also rose last week, up 9.68% to $77.96, so it looks like there could be smoke that’s powered by a fire of enthusiasm for BNPL stocks.
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Nice rise for Ampol
Another nice riser last week was the petrol-pumping retailer Ampol. The analysts see a 15.6% rise ahead on top of the 7.91% gain last week to $25.65.
ALD
| BROKER | DATE | RATING | RECOMMENDATION | TARGET PRICE | % TO REACH TARGET |
|---|---|---|---|---|---|
| Ord Minnett | 07/05/2025 | 1 | Buy | $34.00 | 32.55% |
| Macquarie | 17/04/2025 | 3 | Neutral | $23.50 | -8.38% |
| UBS | 17/04/2025 | 1 | Buy | $31.10 | 21.25% |
| Morgan Stanley | 17/04/2025 | 1 | Overweight | $30.00 | 16.96% |
This is a solid stock that could easily be in the core of a portfolio, with a 2025 dividend yield expected to be 3.8% but expected to jump to 6.2% in 2026.
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What I think of Ramsay Healthcare (RHC)
One star stock that might have less upside is Ramsay Healthcare (RHC), with analysts only seeing a 4% rise ahead. This table below shows how unethusiastic analysts are towards Ramsay.
RHC
| BROKER | DATE | RATING | RECOMMENDATION | TARGET PRICE | % TO REACH TARGET |
|---|---|---|---|---|---|
| UBS | 05/05/2025 | 3 | Neutral | $38.50 | 4.96% |
| Morgan Stanley | 05/05/2025 | 3 | Equal-weight | $37.20 | 1.42% |
| Ord Minnett | 20/03/2025 | 3 | Hold | $37.50 | 2.24% |
| Morgans | 28/02/2025 | 3 | Hold | $37.10 | 1.15% |
| Macquarie | 28/02/2025 | 3 | Neutral | $38.65 | 5.37% |
| citi | 28/02/2025 | 3 | Neutral | $40.00 | 9.05% |
It’s an overall positive view but not a convincing one. Personally, I have grown tired of RHC’s challenges and would prefer to play the market with EX20, which is up 7.06% over the past month, and IHVV which has risen 4.74% over the same timeframe.
Picking well positioned stocks makes sense but it is easier said than done and that’s why I’m generally playing ETFs but most of the stocks above have terrific potential upside.
