25/05/2023 08:51

Eagers Automotive Ltd (APE) $12.85

New and used vehicle distributor APE tumbled -4.9% yesterday surrendering some of its previous impressive gains through 2023. This is one of our preferred exposures to the Australian consumer but with sentiment clearly bearish we are likely to adopt a patient stance before considering buying.

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23/02/2023 16:45

Eagers Automotive (APE) $13.00

APE +8.97%: Topped the leader board today with FY22 results that met expectations while their guidance for FY23 was stronger than expected. Revenue of $8.54bn was largely inline with consensus while underlying profit before tax of $405m was around a 2% beat driven by better margins while the dividend of 71cps compared well to the 60cps expected.

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18/08/2022 09:30

AP Eagers (APE) $13.46

Car dealership business APE advanced +1.4% on Wednesday as retail stocks rallied strongly, in 2022 the business has struggled to meet strong demand due to dire supply issues from a number of car makers, the market imbalance due to a computer chip shortage has gone berserk with 2-year old cars selling for more than when they were new! We like this quality business although the demand side of the curve will need to be monitored carefully as interest rate hikes start to influence the consumer, or not as the case may be.

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12/07/2022 17:06

Eagers Automotive (APE) $10.91

APE +3.31%: the Australian & NZ auto dealership company saw shares trade higher today after a strong first-half update. Underlying pre-tax profit is expected to come in around $195m, around 5% above guidance provided in May of $183-189m. The car market has been struggling to get its hands on supply, so Eagers now has a record new car order book while cost-out programs are further supporting earnings. They completed...

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18/11/2021 09:40

AP Eagers (APE) $14.20

Car dealership business APE has struggled to meet strong demand due to dire supply issues from a number of car makers – computer chips are an integral issue here. We like this business and its quality is reflected by how well its performed during the recent tough conditions. We can see fresh highs for APE into 2022 but the demand side of the curve...

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21/05/2021 09:29

Eagers Automotive (APE) $15.40

Automotive business APE has benefitted through COVID as the car market has tightened up in Australia  e.g. many 2nd hand cars have actually increased in value ~20% as a dearth of new vehicles is arriving on our shores due to COVID created supply chain issues, a very obvious theme if you’re in search of a Toyota Landcruiser!

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19/01/2021 15:37

AP Eagers (APE) $13.21

Motor vehicle business APE has been the star performer in the sector more than doubling over the last 6-months helped by its recent guidance beat where its now anticipating a ~$200m profit before tax. The company has enjoyed the rebound in vehicle sales which looks well positioned to continue as lease costs remain extremely low.

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