27/11/2024 09:44

ASX Limited (ASX) $66.18

The ASX is a stock we have often thought would fit the Active Income Portfolio well. While its yield may be lower than our target, we offset that by holding some positions with a yield higher than our target, with the ASX making up for it by improving the quality and certainty of earnings.

Read more

13/06/2024 16:44

ASX Ltd (ASX) $58.14

ASX -8.01%: the operator of the Australian exchange fell to 6-month lows today after cost and capex guidance missed expectations. The company expects costs to grow 15% in FY24, right at the top end of guidance, while capex is expected to be $135m for the year, above the midpoint of guidance at $110-140m. They also expect cost growth of 6-9% in FY25, largely in line with expectations though coming from a higher base and capex guidance for FY25 is 30% above consensus at the midpoint.

Read more

16/02/2024 16:53

ASX Ltd (ASX) $65.12

ASX -4.00%: the operator of the domestic share market struggled as costs weighed on the 1H result. Revenue of $511.7m was up marginally on 1H23 but EBIT fell more than 10% to $291m, around 5% below consensus. The ASX has been bleeding money as they work on upgrading the ageing CHESS system, a project they finally brought consultants in to manage last year.

Read more

24/08/2023 09:36

ASX Ltd (ASX) $57.33

Shares in the ASX slipped another -0.4% yesterday as it continues to trade around 5-year lows, not a big move in current times but another great example of the weak getting weaker with the stock now down ~40% over the last 18 months.

Read more

07/06/2023 09:16

ASX Ltd (ASX) $60.64

We had previously written favourably about the ASX Ltd (ASX) back in March here, adding it to the Hitlist with the conclusion being that the defensive earnings & income were attractive for the Income Portfolio. While we had not pulled the trigger and bought the stock, we were gaining more confidence that the worst could be behind the market operator, which was the clear impression we got from the company’s last update (before yesterday).

Read more

06/06/2023 16:58

ASX Ltd (ASX) $60.64

ASX -10.22%: the share market operator hosted an investor day today with the company facing continued delays to the replacement of the aging CHESS system which handles trade settlements. The 29-year-old system will cost an additional is the main driver of a ~12% increase in costs in FY23 and 12-15% growth in FY24

Read more

06/06/2023 09:32

ASX Ltd (ASX) $67.54

The market cap of the ASX market (not stock) is shrinking for the 1st time in almost two decades as IPOs dry up and some businesses become the target of overseas suitors &/or private bids e.g. Crown, Sydney Airports and hopefully Newcrest Mining (NCM).

Read more

08/03/2023 09:38

ASX Limited (ASX) $68.04

The ASX has an incredibly attractive/solid position in our market and this dominance has made it a great investment over a long period of time. Competition has come but hasn’t made any real inroads into the core ASX earnings machine. It’s a high-margin business, that has grown earnings at a modest but consistent rate over time averaging around ~4% per annum.

Read more

06/09/2022 08:44

ASX Ltd (ASX) $77.11

The Australian Stock Exchange, or ASX, is one defensive stock that hasn’t lived up to its reputation over the last 12 months having endured a -26% pullback from its 2021 high. The operating position is not a pretty picture at the ASX with cost issues growing due to wage inflation compounded by a required increased headcount to deliver on tech investments, the Capex...

Read more

04/03/2022 09:31

ASX Ltd (ASX) $80.08

The ASX might be considered a relatively boring company compared to the 2 previous names but it’s catching our attention as it hovers 17% below November’s high while it’s an interesting defensive play in our opinion. The market didn’t react favorably to last month’s 1st half result which showed revenue up 6.6% to just over $500mn and NPAT up 3.5% to $250.3mn, the slight increase in dividend puts the...

Read more