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“Your Stock Request” – 5 August 2021

“Your Stock Request” is a weekly video where we analyse share price charts for stocks on the Australian market (ASX) as requested by you! Email us at mail@fairmontequities.com with your stock request. Limit of one per person, no guarantee of a mention. This week’s stock request: (ASX:BTH), (ASX:TPG), (ASX:APX), (ASX:VUL), (ASX:EGR) Michael Gable is managing director of Fairmont Equities.   Latest prices available on the ASX website. You can learn more about technical analysis in this article.  An 8-week FREE …

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What does market capitalisation mean?

The term market capitalisation is used frequently in the financial media. In this article we discuss what this means and the importance of market capitalisation when analysing a company. Definition Market capitalisation is calculated by the number of shares outstanding multiplied by the market price of one share. It simply reflects the total dollar amount of all the outstanding shares of a company at the market price. Market Capitalization = number of shares outstanding * market price of one share …

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Further upside in Fletcher Building shares

We recently researched Fletcher Building (ASX:FBU) after the Company provided a trading update and outlined targets to expand margin for each of its segments over the next two years. Investors appear divided over whether the targeted margin expansion can be achieved and are factoring in a slower earnings growth given that the New Zealand residential market appears to have matured. Accordingly, we assess whether there is validity in these investor concerns. However, the key consideration as to whether positive investment …

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“Your Stock Request” – 29 July 2021

“Your Stock Request” is a weekly video where we analyse share price charts for stocks on the Australian market (ASX) as requested by you! Email us at mail@fairmontequities.com with your stock request. Limit of one per person, no guarantee of a mention. This week’s stock request: (ASX:NCM), (ASX:ELD), (ASX:WBC), (ASX:AMA), (ASX:AGY) Michael Gable is managing director of Fairmont Equities.   Latest prices available on the ASX website. You can learn more about technical analysis in this article.  An 8-week FREE …

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The dangers of share buys backs

Share buy backs may be seen as a positive move by the market. This is because it looks as though the company is confident of their stock price going up. But these share buy backs may indicate the company is not using their capital efficiency. Below are some hidden negatives of share buy backs. What is a share buy back? Share buybacks occur when a company repurchases their own shares so they can gain back some ownership from shareholders. They …

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