Dear %%first_name%%,
Charlie Aitken believes it’s time to be cautious on private tech valuations, unlisted tech/VC funds, and the WAAAX names in Australia. Charlie says they’re all priced with no margin of safety and could all be subject to de-rating on delivery of even the slightest disappointment. His advice in his article today is to lose any FOMO you may have and consider the real capital risk you’re taking in paying unprecedented valuations for broadly unprofitable stocks, at what is potentially the peak of the “valuation” cycle
In his article today, Tony Featherstone says that valuation multiples for many small-cap industrials suggest the market is pricing in too much bad news, which can be an opportunity for experienced investors who understand the benefits and risks of investing in small- and mid-cap stocks. Tony is seeing more opportunities in neglected small-cap stocks than he has for years and today he goes through five of these.
And in Buy, Hold, Sell – What the Brokers Say, there have been 10 downgrades and 4 upgrades from stockbrokers so far this week, according to FNArena.
In Questions of the Week, Paul Rickard answers readers’ queries about a broker target price; whether the ATO might think a certain SMSF is diversified; and whether you should participate in two entitlement offers.
Tickets for the Switzer Income Conference in Sydney, Melbourne and Brisbane are now available. Click on the event you would like to attend below:
Join myself and James Dunn for our webinar next Friday, where we will be discussing value stocks and answering your questions live.
If you haven’t already, be sure to visit our YouTube channel and watch our investing show every Monday night and our property show every Thursday night.
And pick up a copy of my book Join the Rich Club from the Switzer Store today.
Talk to you Saturday!
Sincerely,
Peter Switzer