How do experts view Fortescue, Ebos Group and Woodside Energy shares after earnings?

Here's an updated view on these blue-chip stocks.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

This week, three of Australia's largest companies relative to their sectors posted important earnings results. 

The reaction to these results was mostly positive, with Fortescue and Woodside Energy shares rising more than 4% following their respective announcements.

Meanwhile, Ebos Group shares stayed flat. 

Here's a quick recap of what each company posted, and how experts reacted. 

Senior man wearing glasses and a leather jacket works on his laptop in a cafe.

Image source: Getty Images

Ebos Group Ltd (ASX: EBO)

Ebos Group saw its revenue increase by 13.0% to $6.77 billion (HY25: $5.99 billion). 

Additionally, underlying EBITDA increased 3.2% to $300 million, Net Profit After Tax (statutory) rose 13.0% to $125 million and the company announced an interim dividend of NZ 57.0 cents per share. 

Following the result, the team at Morgans released updated guidance on the healthcare stock. 

The broker said 1H26 result was broadly in line with expectations. 

EBO is coming to the end of the heavy investment phase upgrading its DC network and operational efficiencies will start to be seen across the business. Other 1H26 highlights include: strong LFL sales across the TWC network up 8.8% driven in part by greater GLP-1 uptake and shift to higher value medicines; stable market share (29%) in pharmacy wholesaling; and solid performance in animal care.

As a result the broker has lowered its price target to $28.07 (previously $34.82). 

However, it maintained a buy recommendation. 

From yesterday's closing price of $20.01, this indicates a healthy upside of approximately 40.28%. 

Fortescue Ltd (ASX: FMG)

Fortescue shares climbed yesterday after the company reported record H1 iron ore shipments alongside a 23% lift in underlying EBITDA.

It also reported revenue of US$8.4 billion, up 10%, and a fully franked interim dividend of $0.62 per share, 24% higher than prior interim. 

However while investors gobbled up Fortescue shares, Morgans appear to be less optimistic. 

The hematite business delivered a 5% EBITDA beat; the problem is what happens to the cash after that. A strong hematite result, but 43% of group capex is directed to activities generating zero current earnings, compressing FCF conversion to 48% and ROCE to 19%. NPAT miss reflects rising capital intensity, with a sharp rise in D&A. Dividend solid at A$0.62/share. Post recent pullback we upgrade to HOLD.

Woodside Energy Group Ltd (ASX: WDS)

Woodside Energy shares have also been storming higher this week. 

On Tuesday, the company reported record annual production of 198.8 million barrels of oil equivalent for 2025, with a final dividend of US59 cents per share.

Its share price is now up more than 19% year to date. 

Responding to the result, Morgans said it came in ahead of consensus on both NPAT and dividend. 

Yet another half where WDS outperforms on opex and net debt balance. We see a clear case for value upside remaining in WDS, from a recovering oil price, solid project delivery and FCF harvest as projects come on (CY27-29). We retain our BUY rating, with an upgraded A$30.50 (was A$29.80).

From yesterday's closing price of $28.24, this revised price target indicates an upside of 8%. 

Motley Fool contributor Aaron Bell has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Broker Notes

Time to sell written on a clock.
Broker Notes

Sell alert! Why this expert is calling time on Harvey Norman shares

A leading investment analyst forecasts mounting headwinds for Harvey Norman shares.

Read more »

A male investor wearing a white shirt and blue suit jacket sits at his desk looking at his laptop with his hands to his chin, waiting in anticipation.
Broker Notes

With half year profits up 9% to $1.6 billion, are Wesfarmers shares a buy?

A top investment expert provides his outlook for Wesfarmers shares.

Read more »

Broker looking at the share price.
Broker Notes

Top brokers name 3 ASX shares to buy today

Here's what brokers are recommending as buys this week.

Read more »

Two smiling work colleagues discuss an investment at their office.
Broker Notes

Buy this ASX 200 share benefiting from 'cyclical tailwinds': Top broker

A return of almost 40% could be on offer with this stock according to the broker.

Read more »

A smiling woman holds a Facebook like sign above her head.
Broker Notes

Guess which ASX 200 stock was just upgraded by a leading broker

Bell Potter has upgraded this stock this week. Let's find out why.

Read more »

A woman gives two fist pumps with a big smile as she learns of her windfall, sitting at her desk.
Broker Notes

How much could $10,000 in these ASX 200 shares be worth by the end of the year?

These ASX 200 stocks could be set for a recovery.

Read more »

Man with rocket wings which have flames coming out of them.
Broker Notes

Bell Potter says this cheap ASX stock can rocket 100%

The broker thinks this could be a smashing buy for investors.

Read more »

Business people discussing project on digital tablet.
Broker Notes

Expert gives its verdict on 3 popular ASX 200 shares

Are they buys, holds, or sells?

Read more »