MFG +13.26%: Rallied today on FY23 results that came in largely as expected from an earnings perspective (NPAT of $174m), while they announced a final dividend of 39.8¢. What drove the positive reaction was a 30cps special dividend + cost guidance for FY24 that was pleasing. As we’ve written in recent notes, performance will drive flows, and capital management (given strong balance sheet) provides optionality for management. In the 6-months to June, their Global equity strategy outperformed, hopefully that is retained, and they leverage that performance into 1. Stemming outflows (seems to be happening) 2. attracting inflows & launching new products.
- We bought Magellan (MFG) recently, targeting a move like this. We think it’s worth ~$12.
MM remains long and bullish MFG across two portfolios
Add To Hit List
