Viewpoint: Bullish
BHP traded ex-dividend yesterday with the share price closing over 20% below its July high – the combination of tumbling iron prices, a $5.7bn investment in Potash, unification of its’s listing structure and BHP’s planned petroleum demerger with Woodside (WPL) has weighed on the share price in a major fashion. Interestingly both BHP and WPL…
After an extremely tough week Altium (ALU) bounced over +4% yesterday to claim the spot as the ASX’s top performer. Autodesk previously walked away from its June takeover bid which was rumored to be pushed up towards $40 but management had no interest. We expected the company to deliver a strong result this week to justify the rebuff but alas we were wrong and the…
The ASX200 slipped -0.55% yesterday but once we take out the huge dividends delivered to happy investors the market actually hardly moved e.g. BHP Group (BHP) $2.74, CSL Ltd (CSL) $1.64, Woolworths (WOW) 55c and Perpetual (PPT) 96c. Importantly these funds will drop into shareholders bank accounts around the end of September / start of October providing…
Real estate developers have become some of the super-rich in Australia over the last decade with most people assuming all players are millionaires – they forget the large degrees of risk that comes with leverage, rising materials costs and labour issues and that’s before we consider a pandemic! We don’t believe the games over for these entrepreneur’s but it is maturing hence MM prefers the more diverse quality names with exposure to property and its development. Our pick of the group is heavyweight Goodman Group (GMG)…
A strong property market provides a strong construction backdrop as companies attempt to balance the supply side of the equation. Our preferred pick in the space is CSR which we see making fresh 2021 highs into / through 2022 i.e. at least +20% upside.
The Banking Sector thrives on a strong property market as they enjoy steady margins with low bad debts, we believe todays ideal environment can be maintained for the coming year, or two minimum. However the current strong tailwind is clearly built into todays prices at least to a certain degree with the likes of CBA doubling in under 2-years, posting fresh all-time highs in the process.
AWC enjoyed a stellar start to the month rallying +4.5% to be the 2nd best performer on the day on noticeably strong volume, there was no specific news post their 1H result the prior week which is often the signal of a “real” move in the offing – MM has been watching AWC in line with our bullish resources outlook and yesterday felt like the cork had…
The ASX200 continued to follow the 2021 playbook yesterday by falling fairly hard into a 10.30 am low prior to grinding higher throughout the day, it finally closed 0.9% above the intra-day low, down just -0.1% i.e. “buy the dip” still reins supreme. Winners actually marginally trumped the losers with the banks in particular catching my eye on the upside with National Bank (NAB)…
A slightly different tact today with the introduction of a new company that is at the cutting edge of developing environmentally friendly, industrial solutions that in essence allow for more environmentally friendly production of important things like cement. The technology is fairly complex however in short, the Calix Flash Calciner is a kiln that uses indirect…
The US tech stocks continue to drag the broader equity market ever higher e.g. Google Alphabet (GOOGL US) and Microsoft (MSFT US) continue to notch record highs and they represent a whopping 10% of the S&P500! However what’s catching my attention is despite the ongoing rally in the NASDAQ / S&P500 the futures positioning is still net short, implying…
