** Analysts at Morningstar approve Whitehaven Coal WHC.AX increasing target payout to between 40% and 60% of adjusted net profit after tax; in line with market view
** Coal miner posted smaller-than-expected decline in annual profit and plans to boost shareholder returns on Thursday
** "We now expect volumes of 25.5 mln metric tons in fiscal 2026, 3% lower than fiscal 2025 and down from our 26.5 mln forecast previously," Morningstar says
** Investment research firm thinks management's focus on organic growth rather than further merger and acquisition activity is "sensible"
** Stock up around 7% YTD, as of last close
(Reporting by Shivangi Lahiri in Bengaluru)
((shivangi.lahiri@thomsonreuters.com))