The Shell-branded service station operator recently acquired Coles Express for ~$300m, the deal created the largest fuel/convenience footprint owned by one company in Australia. VEA is an interesting option for more defensive/lower risk portfolios, the stocks trading on an Est PE of 6.4x for 2022 earnings while it’s estimated to yield around 3.7% over the next 12 months.
VEA +4.56%: The operator of Shell-branded service stations in Australia today announced the acquisition of Coles Express for ~$300m. The deal will be 11-18% earnings accretive (hence the pop higher in share price) while it will create the largest fuel/convenience footprint owned by one company in Australia. This is actually an interesting stock for more defensive / lower risk portfolios, trading on an Est PE of 8x and yielding above 5%.
Companies reporting today on MM’s radar include:
Ampol (ALD) 1H21 Results: Expectations for 1H21 NPAT of 171m & Dividend of $0.433
Charter Hall Group (CHC) FY21 Results: Funds From Operations (FFO) per share of $0.58, NPAT $269m & DPS of $0.38. FY22 expectations are for strong profit growth (+24%) to $333m
Chorus (CNU) FY21 Results: Expectations for revenue of $947m, EBITDA of $645m, NPAT of $50.84m (down ~2% on FY20), EPS of $0.111, FY Dividend $0.25. Market currently pricing NPAT for FY22 of $49.25m, flat on FY21.
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