YAL (Yancoal)
Yal has risen substantially in recent times. According to Morningstar it is still undervalued at 7.42 (8.09). It still seems to have momentum and pays a very high dividend in September. It is listed as a strong buy. Your advice?
The Latest Q&A
Answer
Hi Peter,
Important to remember that the advice we provide is general in nature. We like the coal sector moving into the second half of 2024, we hold New Hope (NHC) and Whitehaven (WHC) in our Active Income and Active Growth Portfolio respectively. In terms of YAL we also like it and its noticeably outperformed over the last 12-months, we’ve steered clear of it because well over 70% of the stock is held by Chinese related parties making it a Chinese company listed on the ASX but considering its recent performance and ~10% forecast yield over the next 12-months we may have been too cautious around ownership.
