It’s a big week for investors as reporting season kicks off and companies try to impress the market with their results.
Mining giant Rio Tinto is one of the companies in the line-up to report its half-year results on Wednesday, but Raymond Chan of Morgan’s isn’t worried.
“We feel comfortable going into this week’s results,” he says.
However, in Chan’s dislikes list this week is Virgin Australia Holdings.
“It’s bounced back from recent lows, but is still operating in a very challenging environment,” he says.
Indeed, Virgin Australia is currently at levels around $0.24 after falling to $0.20 at the end of June.
The company will report its earnings on Friday, 5 August.
Source: Yahoo!7 Finance
ST Wong of Prime Value likes Nanosonics, as he sees promise in its high-level disinfection product.
“[The product] is gaining good traction in penetrating the important US market as the number of units taken up is exceeding expectations,” he says.
And the stock chart paints a pretty picture, enjoying a nice run up over the past 12 months. Nanosonics shares are currently trading around $2.80.
Source: Yahoo!7 Finance
In the dislikes list for Wong this week is grocery and auto parts distributor Metcash.
Despite a sharp run-up in the share price due to the potential Home Timber and Hardware acquisition, he says Metcash faces competitive challenges in the supermarket segment.
While Switzer Super Report expert Paul Rickard feels that the whole market is in need of a pullback, on a relative basis, he likes Macquarie Group.
“At the AGM last week, they re-confirmed guidance for FY 17, with the overall result to be in line with FY16. While the first quarter for FY17 was down on the corresponding quarter in FY16, it was up on the preceding Q4 for FY16”.
On the sell (take profit list) are property trusts. If the market continues to rally, he believes they will lag.
“They have had a phenomenal run – the sector is up by 22.6% this calendar year,” he says.
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