Azzet reports on three stocks with price moving updates today.
CSL tumbles after bombshell announcements ~
Shares in CSL (ASX: CSL) were trading 6.4% lower by 1:50 pm AEDT (2:50 am GMT), with the market reacting negatively to the double-whammy bombshell the Biotech giant unfurled on the investors.
Given the brutal year CSL experienced in 2025, revelations that CEO Paul McKenzie is retiring – disclosed in the dying minutes of trading yesterday – may in isolation have been seen as a blessing for shareholders.
After all, the share price is down 41% in one year, and today’s falls have pushed it to a new multi-year low of $151.58.
Revelations today that the company experienced a 81% slump in half-year earnings to US$400 million only heighten uncertainty over where the seemingly rudderless stock will go from here.
Management attributed the disappointing first-half results to a number of factors, including government policy changes, one-off restructuring costs and impairments.
In FY26, total after-tax non-restructuring related impairments of approximately $1.1 billion will be booked, almost all of which was recognised in the first half.
While FY26 guidance was reaffirmed - including NPATA growth of 4-7% and revenue growth of 2-3% - analysts were quick to warn of the bleeding obvious; namely that biotech’s full-year guidance risk of not being met, with first-half sales missing consensus by 2% and underlying profit by 4%.
On the back of the company’s strong cash flow and balance sheet, it also managed to expand its share buy-back program from US$500 million to US$750 million.
Despite the disappointing result, CSL declared an interim (100% unfranked) dividend of US$1.30 per share, to be paid 10 March.
Key numbers within today’s update include:
- Revenue down 4% to $8.33 billion versus the $8.51 billion estimate (2% miss).
- Underlying NPATA down 7% to $1.95 billion versus the $2.05 billion estimate (5% miss).
- Interim dividend flat at 130 cents per share (cps) versus the 133 cps estimate (2.2% miss).
- Total after-tax non-restructuring impairments of $1.1 billion.
- Statutory net profit after tax down 81% to $401 million.
- CSL Behring: Total revenue was $5.5 billion, down 7%.
- CSL Seqirus: Total revenue of $1.6 billion, down 2%.
- CSL Vifor: Total revenue was $1.2 billion, up 12%.
Commenting on today’s update, Ken Lim, CSL’s CFO, told the market that in light of what was an unsatisfactory performance, the company has implemented a number of initiatives to drive stronger growth going forward, driven by immunoglobulin (Ig), albumin and newly launched products.
“We continued to advance our broader transformation strategy, making strong progress on our cost efficiency initiatives and strengthening the foundations of the business,” Lim said.
“We invested in growth opportunities including our strategic collaboration with VarmX. This will deliver enhanced growth, profitability and shareholder returns.”
Lim was also quick to remind the market that the company has already achieved around 60% of its targeted cost savings for FY26.
Cost savings are being driven by a reduction in R&D fixed costs and infrastructure spend, and by integrating the Behring and Vifor commercial and medical teams, removing workforce and project duplication.
Looking forward, CSL Behring, second-half growth is expected to be driven by Ig, albumin and newly launched products.
CSL Seqirus expects a lower second-half result due to the normal seasonality of the global influenza business and the non-recurring avian influenza outbreak revenue in Financial Year 2025.
Meanwhile, the performance of CSL Vifor is expected to be adversely impacted by generic competition in iron products.
Following the announced retirement of CEO Paul McKenzie last night, CSL senior executive and non-executive director Gordon Naylor has been appointed interim CEO & MD, effective today.
CSL has a market cap of $73.5 billion; the share price is down 14% in the last week.
The stock’s shares appear to be weak with little demand from investors.
Consensus is Moderate Buy.
CBA jumps after posting solid 1H result
Shares in Commonwealth Bank (ASX: CBA) were trading over 7.9% after the country’s biggest bank posted a 1H FY26 cash profit of $5.4 billion, up 6% on the first six months of FY25, came in $200 million ahead of market expectations – while its dividend of $2.35 a share was up 10¢ on last year.
At $171.26, the stock is now trading close to its most recent high of $178.57 in early November.
Together with the final dividend of $2.60 per share from September, it takes CBA's 12-month dividend total to an all-time high of $4.95 per share.
Due to competition in home lending and lower income from markets, the underlying net interest margin of 2.04% was slightly lower in the first half, while the loan impairment expense decreased due to improved credit quality.
Commenting on today’s update, the bank told the market that it is continuing to watch the competitive intensity and its implications across the financial system.
“We are well-placed to compete effectively and will continue to adjust our settings as appropriate,” the bank said.
Today’s return on equity (ROE) metric of 13.8% - up 10 basis points – suggests that the [lack of] growth overhang that confronted the share price since CBA’s 1Q trading update in November may now be behind it.
CBA CEO Matt Comyn reminded the market that high levels of growth require corresponding levels of profitability.
“…I think these are some of the difficult choices that institutions are staring into. Do I want to grow at a higher level of growth? How do I fund that growth? And you look across the levels of investment that’s required to compete as well, in terms of technology, digital and service offering.” Comyn noted.
“The contrast and the dispersion is quite wide across the industry. We can only see it from our perspective, but I do see how difficult it would be for some of those well-run, smaller institutions.”
Key numbers announced today include:
- Statutory net profit after tax (NPAT) of $5.41 billion, up 5%.
- Cash net profits rose by an even better 6% to $5.45 billion.
- Pre-provision profit: $8,131 million, up 5%.
- Net interest margin: 2.04%, steady on an underlying basis.
- Operating costs rose 5%.
- Investment spending rose 10%.
During the half, CBA grew its lending and deposit volumes in core businesses, which offset a squeeze on margins from competition and higher operating expenses, particularly as investments in technology continued.
The bank's credit quality strengthened, with loan impairment expense down to $319 million and home loan arrears falling during the half.
Meanwhile, the bank’s balance sheet remains robust, with a Common Equity Tier 1 capital ratio at 12.3%, well above regulatory minimums.
While deposit funding accounted for 79% of total funding, liquidity and funding ratios exceeded required levels.
The bank also provided over $25 billion in business loans and returned $4.4 billion to shareholders.
CBA was the first bank to say it would pass the interest rate hike to its customers, effective from February 13.
Commonwealth Bank has a market cap of $286 billion; the share price is up 5.6% in one year and up 11% in the last week.
The stock appears to have completed a medium-term rally that took the 5-day moving average above the 50-day moving average and will likely continue its bearish trend.
Consensus is Strong Sell.
Aussie Broadband soars after acquiring AGL’s telco business
Shares in Aussie Broadband (ASX: ABB) were trading around 12.4% higher this afternoon following revelations that the telco was acquiring AGL Energy’s telecommunications business and customer assets.
The deal - expected to be completed in June 2026 - will see AGL receive $115 million worth of Aussie Broadband shares on completion, based on the volume-weighted average price (VWAP) prior to the announcement.
A further $10 million in shares may be issued over time, subject to meeting agreed connection growth targets. These additional shares would be issued in tranches and are linked to performance outcomes.
Including AGL's broadband, mobile, and voice customer base, along with supporting systems and assets, the deal is expected to add around 350,000 broadband and mobile connections to Aussie Broadband, along with approximately 46,000 voice services.
However, over time the number of AGL Telco connections, excluding voice services, is expected to grow to more than 500,000 over 5 years.
An exclusive long-term partnership between Aussie Broadband and AGL means the latter will continue to market telecommunications services under the AGL brand, while Aussie Broadband will provide the network, services, and customer experience.
It’s understood that the acquisition will be earnings per share (EPS) accretive in the first year after migration of customers, and after customer migration is expected to deliver around $235 million in revenue and around $21 million in underlying earnings.
Commenting on the announcement, management told the market that the transaction will strengthen its position as one of Australia's largest NBN service providers.
Once migration is complete, Aussie Broadband expects to service close to 400,000 mobile connections across its segments.
“This transaction provides a significant boost to our connections and EBITDA from 2H FY27, and we look forward to working with AGL to drive further growth for both parties and deliver a great experience to our new AGL Telco customers,” said Aussie Broadband Group CEO Brian Maher.
“FY27 is set to be a year of significant growth for Aussie Broadband as we migrate approximately 350,000 broadband and mobile connections from AGL in addition to the 290,000 More/Tangerine NBN connections to be migrated in the current financial year, becoming the third largest NBN service provider.”
Aussie Broadband is expected to update on performance when its releases its half year results later this month.
Aussie Broadband has a market cap of $1.5 billion; the share price is up 27% in one year and up 17% in the last week.
The stock’s shares are in a downtrend confirmed by multiple indicators.
In the medium-term, the 5-day moving average is beneath the 50-day moving average.
Consensus is Moderate Buy.
This article does not constitute financial or product advice. You should consider independent advice before making financial decisions.
