Hot stock picks – Woolworths and Ramsay

Online Editor, Switzer Daily
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This week, Michael McCarthy from CMC Markets is watching intellectual property services group, IPH Limited (IPH).

“[IPH] halved from its 2016 peak”, says McCarthy.

“Finding support at $4.50, it’s the subject of a number of broker earnings upgrades. Time to get on board”.

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Source: CommSec

IPH operates intellectual property services across Australia, New Zealand, PNG, the Pacific Islands and Asia.

The stock is trading well below its 52-week high of $7.27, as the chart above illustrates.

Property investment company GPT Group (GPT) is out of favour with McCarthy this week.

“At around 17x earnings, and a negative exposure to rising rates with profit increases driven by revaluation, there is potential downside,” he notes.

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Source: CommSec

Evan Lucas from IG Markets says he’s eyeing off an “inverse trade” this week.

“Value at Wesfarmers (WES) is nearing its top band, Woolworths (WOW) is looking to break out. Interesting switch trade here”, he explains.

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Source: CommSec

At the time of writing, Woolworths was trading at $25.84, compared to its 52-week high of $26.75 on February 22. Watch this space.

Paul Rickard’s long-term favourite Ramsay Health Care (RHC), along with retailer JB Hi-Fi, are both in his good books this week.

However, he notes he’s “out of sync” with the market, which has been selling off both stocks.

Ramsay Health Care is trading well below its 51-week high of $84.08.

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Source: CommSec

JB Hi-Fi previously closed at $24.69 compared to its 52-week high of $31.21.

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Source: CommSec

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Our Super Stock Selectors is a survey of prominent analysts, brokers and fund managers. Each week we ask them to name a stock they like, and one they don’t like. We purposely ask for ‘likes’ and ‘dislikes’ instead of recommendations, so it provides an idea of what the market is looking at, rather than firm buys or sells.

Important: This content has been prepared without taking account of the objectives, financial situation or needs of any particular individual. It does not constitute formal advice. Consider the appropriateness of the information in regards to your circumstances.

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