RBA Staff Adapting to Technological Transformation Amidst Exciting Opportunities

Reserve Bank of Australia (RBA) staff are feeling the weight of the bank's technological transformation agenda, Governor Michele Bullock said. The RBA is modernizing its infrastructure, fostering a culture of innovation, and engaging with external partners to bring in diverse perspectives. Bullock sees big data, data science, and AI as having the potential to transform the RBA, including how staff perform their tasks, assess financial stability risks, and inform monetary policy. Firms are cautiously optimistic about lifting productive capacity through further investment in technological developments.

Amid the ongoing trade war and economic uncertainty, some companies have managed to thrive, leading Morningstar analysts to revise their fair value estimates for certain stocks. This article explores three stocks with recent fair value increases and their underlying factors.

RB Global (RBA) - The leading global marketplace for commercial assets and vehicles has seen its fair value estimate increase to USD 95, up from USD 60. Morningstar equity analyst George Maglares attributes this to the successful integration of its land portfolio and operations with US auto retailer IAA, which has led to accelerated growth in gross transaction value and take rates [1].

Shopify (SHOP) - The Canadian e-commerce giant has seen its fair value estimate rise to C$207 per share, up from C$167. Morningstar equity analyst Dan Romanoff points to better-than-expected second-quarter revenue and guidance as the primary drivers, along with Shopify's expansion into the enterprise market and strong financial footing [1].

Metro (MRU) - Canada's third-largest grocery retailer has seen its fair value estimate increase to C$80 per share, up from C$77. Morningstar equity analyst Dan Su notes that Metro's prudent merchandising strategies and strong store operations have helped it fend off competition in its core markets, along with solid cash generation and a healthy balance sheet [1].

C3.ai (AI) - The enterprise artificial intelligence software company is expected to report its first-quarter fiscal 2026 results on September 3. Preliminary figures suggest a steep sequential revenue drop and elevated losses, but there are several underlying positives, including a diversified growth mix and a strengthened partner ecosystem. The company's cash position remains robust, with $711.9 million at the end of the fiscal first quarter [2].

These fair value revisions reflect the companies' ability to navigate uncertainty and capitalize on growth opportunities. However, investors should remain cautious and monitor these companies' ongoing performance and future prospects.

References:
[1] https://global.morningstar.com/en-ca/stocks/3-stocks-with-fair-value-increases
[2] https://finance.yahoo.com/news/c3-ai-q1-earnings-release-141400077.html