There are plenty of options for investors on the Australian share market.
To narrow things down, let's see what analysts are saying about three very popular ASX 200 shares.
Here's what you need to know:
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Cochlear Ltd (ASX: COH)
The team at Morgans has responded negatively to this hearing solutions company's disappointing trading update.
So much so, it has retained its hold rating but cut its price target in half to $107.17 (from $214.93). It said:
COH has delivered a material downgrade to FY26 earnings, cutting guidance by c30% at the midpoint. While FX, geopolitics and cost actions contributed, the key takeaway is more fundamental, with CI demand, especially in developed markets, proving to be more cyclical and macro-sensitive than previously assumed.
This challenges the market's long-held view as a structural, volume-driven growth story largely insulated from economic cycles. While we view long-term fundamentals as intact, near-term earnings visibility has deteriorated materially, so we wait for demand stabilisation before re-engaging. We adjust our FY26-28 estimates and lower our target price to A$107.17 HOLD.
CSL Ltd (ASX: CSL)
Bell Potter notes that CSL shares have de-rated to lower than normal earnings multiples.
However, it feels this is justified at present given its soft outlook. As a result, it has a hold rating and $155.00 price target on its shares. It explains:
The current share price reflects a materially de-rated PE multiple of ~15x our FY27 NPAT forecast, bringing CSL in line with the global biopharma peer set which also trades at an avg PE of 15x. While CSL doesn't face the same extent of generic/biosimilar competition as these biopharma peers, it does have a lower growth outlook of ~2.5% revenue CAGR (3yr) per our forecast compared to >4% avg for global peers.
Considering the low-growth outlook in the near-term, risk to FY26 guidance, and our below-consensus FY27 forecasts, we maintain our HOLD recommendation notwithstanding the historically low trading multiple. We don't think CSL is out of the woods just yet. PT is lowered to $155.
DroneShield Ltd (ASX: DRO)
Bell Potter is much more positive on this counter-drone technology company's shares.
In response to a strong quarterly update, the broker retained its buy rating and $4.80 price target.
The broker believes DroneShield is well-placed for growth thanks to favourable industry tailwinds. It said:
We believe DRO has a market leading RF detect/defeat C-UAS offering and a strengthening competitive advantage owing to its years of battlefield experience and large and focused R&D team. We expect 2026 will be an inflection point for the global C-UAS industry with countries poised to unleash a wave of spending on RF detect and defeat solutions.
Consequently, we believe DRO should see material contracts flowing from its $2.3b potential sales pipeline over the next 3-6 months as defence budgets roll over to FY26e. At 43x CY26e EV / EBITDA, DRO trades at a discount to the global drone peer group. Further, we see upside risk to our revenue forecasts in CY26/27e, given the opportunities observed in the C-UAS industry.
