This week, Michael McCarthy from CMC Markets is a fan of the entire energy sector.
He says the $7.1 billion foreign takeover bid for Santos, an agreed merger between Beach Energy and Drillsearch, and BHP’s purchase of acreage in Western Australia and the Gulf of Mexico are “all signs we’ve seen the bottom in energy stocks.”
His top picks from the sector are:
- OilSearch (OSH), and
- Woodside Petroleum (WPL).
Managing partner at Morgans, Raymond Chan, likes property and infrastructure company Lend Lease (LLC) as it appears oversold.
Also in the likes list this week is Fisher & Paykel Healthcare (FPH).
“After a period of consolidation from March this year to last week, Fisher & Paykel Healthcare’s share price has broken out of an ascending triangle to a new all-time high, which is a bullish advance,” says Gary Stone of Share Wealth Systems.
Switzer Super Report co-founder, Paul Rickard, likes Telstra (TLS) below $5.50. Read his full analysis of the company in today’s report here. He thinks Challenger (CGF) has had a great run and might be due for some profit taking.
Also in the dislikes list is free to air broadcasting network, Ten Network Holdings (TEN), along with gold mining company Newcrest (NCM).
“The ECB announcement is a positive for gold, yet prices fell,” says McCarthy.
“This points to weakness and potentially further falls. This could see a pullback in NCM to support between $11 and $12.”
*SSR on 22 October 2015
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