SmartGroup Corp Limited (ASX:SIQ) and Liontown Resources Limited (ASX:LTR)

Hi Debbie,

SmartGroup Corp Limited (SIQ): The stock has gained ~4% since we exited in January, and we believe the rationale behind our decision at the time still holds:

• “Smart Group (SIQ) remains a reasonably well priced stock, with solid yield, however we view the risk/reward as more balanced coming into results. We are taking profit, increasing cash.”

Their results in February were a slight beat with earnings of 61c up from 58c YoY. From purely an income perspective its ~6% fully franked yield is attractive but we’re more neutral the stock at current levels. This is a stock we like buying into weakness, rather than strength, given it’s a low growth business, that is susceptible to regularly change and weaker new vehicle sales, although it is a beneficiary of EV adoption.

Liontown Resources Limited (LTR): We were happy to take an almost 50% profit from our position in January after seeing the stock collapse into 2025. This has been a volatile beast, it fell ~40% after we sold the stock but has subsequently surged higher following the lithium price, almost doubling into Fridays high.

If we were still long the likelihood is we would trim the position at least. Lithium has rallied strongly as higher oil prices reinvigorated demand for EV’s, however, an end to the conflict, we think, could have a negative impact on lithium stocks – in the short term at least.

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Liontown Resources Limited (LTR)

LAST UPDATED 01/05/2026 11:57

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Liontown Resources Limited (LTR)

LAST UPDATED 01/05/2026 11:57