Viewpoint: Bullish
The standout equity index for MM as we start September is Japan’s Nikkei which we believe has finished its 12% correction from February and is now headed towards new multi-decade highs – a good read through for the ASX which is reasonably correlated to Japanese stocks.
APX was the ASX200’s top performer yesterday rallying +4.6% but considering the hefty decline from its 2020 high I doubt many shareholders would be too impressed just yet. However for investors not yet committed the risk / return is looking attractive with a bounce by this AI stock towards ~$15 feeling likely, especially if the market commences a traditional…
The ASX200 again rallied strongly after briefly dipping below the 7450 level – I’m almost getting bored of saying “buy the dip” but yet again the local market found a low just as Gladys delivered the NSW’s COVID statistics before enjoying solid buying throughout the day to reverse early loses and close marginally higher, a +1.2% intraday turnaround. Very similar…
HSN -9.24%: the software company struggled today after BGH walked from takeover talks. The private equity group had offered $6.50/sh for the utility billing software business in early June, which was a 25% premium to the prior close. The deal has fallen through following 3 months of due diligence, though the bidder did not cite a reason as to why…
ABB +7.67: Rallied hard today after it was flagged in this morning’s BUY HOLD SELL on Livewire click here to view although a positive announcement on fibre might have helped a touch! The momentum in both the business and share price here is strong, the market now factoring in acquisitions that would further underpin growth into FY22 and beyond. We like…
A catchy title for a sector report released over the weekend from Michael Clark at Shaw, he’s called the sector very well and has again re-cut his numbers upgrading his universe as a result. Below looks at his calls in order of preference. We hold Paladin (PDN) in our Emerging Companies Portfolio & for those that want more insight here, I did a ‘Deep Dive’…
Hansen Technologies Limited is an Australia-based company, which is engaged in the development, integration and support of billing systems software for the energy and communications sectors. the Company’s other activities include information technology outsourcing services and the development of other specific software applications. The Company’s software products offering include energy and utilities, and communications. It create-deliver-engage for energy and Utilities suite while enabling energy and utilities to grow from new business models. It create-deliver-engage suite for communication services providers is comprised of catalog-driven cloud applications. Its energy and utilities solutions include community solar, streamline energy services selling, distribution system operators digitalization and district heating. Its communications solutions include ready for fifth generation, enabling Internet of things businesses, business-to-business complexity and omni-channel commerce.
As most of us know the Aussie Dollar along with copper is largely regarded as the perfect proxy for growth and over the last fortnight it’s rallied strongly embracing Gladys vaccine led reopening strategy although weakness in the $US has certainly assisted the move. We remain bullish the $A into 2022 targeting the 85-90c area and our “Gut Feel” is the local currency…
Commodity prices and metals are consolidating their last 18-months of gains with pullbacks hardly registering on the charts considering the impressive post-COVID rally. At this stage we remain bullish looking for higher prices into Christmas and probably beyond although we are cognisant of the $US which if / when it does find a floor in the 87-89 region…
We can extrapolate the picture even further out in time when we look at US 30-year bond yields which are trading under 2% yet the average return of the ASX over the last 40 odd years is above 11% including dividends, while for its more direct relative the Dow it’s just shy of 11% over both 30 & 50-years i.e. with bond yields at current levels the equity…
