Our Super Stock Selectors were pretty busy last week as earnings season hit its most frantic. Rudi Filapek-Vandyck, who writes our broker report, says there have been 54 broker actions in total, with the majority, or 42, on the positive side. So we have a few of our regulars missing from today – but those who did get back to us do have some great ‘likes’ .
Raymond Chan likes Telstra. He points out that its yield is now trading at a discount. For a recap on why Paul Rickard thinks you should hang on to your Telstra, read his article from last week here.
Last week he said: “It is that classic boring, low volatility stock that is starting to look more like an annuity.”
Another interesting like is the S&P/ASX 200 VIX (A-VIX) or the volatility index from Evan Lucas.
“In the current environment with risk spiking, I am long XVI, volatility is going to be the only winner this week,” and he’s probably right, look at what the XVI has done over the past five days.
Source: Yahoo!7 Finance, 24 August 2015
Michael McCarthy likes Wesfarmers (as does Paul Rickard – read his update on the supermarket wars here).
McCarthy was really impressed with the Wesfarmers result, which he says highlights a management team on top of their game.
“Above system growth in every retail segment, little dependence on the out of cycle elements of the business, and another increase in dividend. The diversified structure makes it high quality portfolio “ballast” anywhere close to $40.”
And finally our chartist, Gary Stone, has picked Ardent Leisure. He says it stands out in a market where there is not much to like at the moment.
“Over the last five months, Ardent found support at and consolidated above a strong support zone at $1.95 to $2.07,” he says.
“Last week in a weak market, Ardent rose above a resistance zone of $2.45 to $2.52 to close at $2.61 on strong volume. If support holds at this zone, look for Ardent to challenge its next resistance zone around the $3.15 area.
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.
