Question: Is Blackmores (BKL) considered a good value buying opportunity at present?
Answer (by Paul Rickard): Tony Featherstone suggested that Blackmores was worth considering a couple of weeks back [1], and I agree.
That said, they are not a “must have” stock, and their recent full year result and sales outlook left some disappointment in the marker. They have lost a little bit of market credibility.
According to FN Arena, the brokers remain essentially positive on the stock (sentiment +0.5 on scale of -1.0 is most negative, to +1.0 is most positive). The consensus target price is $147.22. The stock is trading on somewhat healthier multiples – 19.1 times FY17 forecast earnings, 16.0 times FY18 earnings.
Question: Have you any idea how the new Super rules will apply regarding the $1.6 million cap if you have an SMSF, which is in pension phase and also receive a small life time pension annuity from a previous employer?
Answer (by Paul Rickard): Yes – all balances will be included in the cap, which is to apply from 1 July 2017.
The Government says that “broadly commensurate arrangements” will apply to determining the value of defined benefit payments such as you are receiving from your employer, and will consult with Industry to determine how this is calculated.
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.