The team at Morgans has been busy running the rule over a number of ASX shares this week.
Three popular options that it has been looking at are named below. Does the broker rate them as buys, holds, or sells? Let's find out:
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Netwealth Group Ltd (ASX: NWL)
This investment platform provider's second quarter update was in line with expectations for funds under administration. And while its margin guidance disappointed, it notes that this was due to an increase in operating expenditure to accelerate its investment in capabilities.
In response, the broker has upgraded Netwealth's shares to an accumulate rating (between buy and hold) with a $28.90 price target. It said:
NWL delivered 2Q26 net flows of $4.16bn, and total FUA of $125.6bn, which was broadly in-line with consensus expectations and sees the group on track to deliver NWL's FY26 net-flow targets. Revised FY26 EBITDA margin guidance will however see a larger step-up in opex than previously flagged as NWL looks to further accelerate investment in capabilities to support the broader push into the Broker and UHNW markets, with the view to accelerating revenue growth.
We decrease our NPAT forecasts by -2/-8%/-6%, reflecting NWL's FY26 EBITDA margin guidance and the inclusion of debt to fund NWL's First Guardian client remediation. Following a ~52% decline in share price over the last 6 months, we now see NWL trading on an FY27F P/E of ~40x (vs. HUB on 57x), with TSR of +18% based on our revised price target of $28.90/sh. This sees us move to an ACCUMULATE rating (previously HOLD).
Santos Ltd (ASX: STO)
Morgans was relatively pleased with Santos' performance during the fourth quarter. Though, it concedes that there were a couple of negative updates on growth projects, which took some of the shine off the result.
As a result, the broker has held firm with its hold rating and $6.60 price target on Santos' shares. Commenting on its recommendation, the broker said:
STO posted a largely in line 4Q25 production and revenue result, although updates on its two key growth projects did flag some incremental negatives. Barossa ramp-up is dealing with an expected ~2-month delay vs planned. Pikka Phase 1 saw a ~US$200m upgrade in capex budget on a combination of cost pressures. Hiccups aside STO has done a good job executing, with Barossa and Pikka startups set to help the cash flow equation. Trading closed at a modest discount to our A$6.60 Target Price and we maintain our Hold rating.
South32 Ltd (ASX: S32)
Finally, this diversified miner delivered a second quarter update that was ahead of expectations.
In light of this and its exposure to rising copper, aluminium, and silver prices, the broker has retained its buy rating on South32's shares with an improved price target of $5.00. It said:
2Q26 was a modest beat at a group level operationally. Supported by strong alumina and silver output. FY26 guidance on operated assets unchanged, Brazil Aluminium under review. We have applied updated house precious metal forecasts to our estimates. Post-Illawarra divestment, S32 is ~90% base metal producer with limited execution risk (ex-Hermosa) and enjoying a healthy (and material) upgrade cycle from copper, aluminium and silver prices. Positioned to benefit from the upcycle, we maintain our BUY rating with a A$5.00 Target Price (was A$4.30).
