We bought the banks a few weeks ago and believe that they can head higher. But that view doesn’t extend to Suncorp (SUN). It is currently trading near $15, and the rally in June has almost been explosive. However that could be as good as it gets. Based on the way it is trading here, there is potential downside of over 30 per cent. This means that we could be seeing a great shorting opportunity open up here. Looking at …
Back in August last year we published an article in the Australian Financial Review with our views on the chart for Woodside (ASX:WPL) and how it was shaping up as a trade. We noted at the time that Woodside was looking positive again and that it should head up towards $33. With oil prices drifting back this year, let’s have another look at the chart and determine if recent weakness is providing us with another opportunity, or whether it is …
We looked at JB Hi-Fi (JBH) last year and didn’t like the way the chart looked. We expected the shares to fall towards support near $22. Since our note, Amazon has been in the papers nearly every day and investors headed for the exit. The stock is now down over 15% since our warning. In comparison, the ASX200 has climbed higher and higher during that time. With the stock hitting our downside target, is it time to go against the …
We have been bearish on Healthscope (HSO) for a while. Having fallen quite a bit in the last year, especially compared to other healthcare stocks, is it now time to jump in? Whilst new projects are considered low-risk and high return, the extent to which the market is prepared to factor in the future positive earnings contribution from these are tempered by the more immediate challenges faced by the core Hospitals division. This points to the potential for HSO to …
Read MoreIs Healthscope the last buying opportunity left in healthcare stocks?
In a recent research report to clients, we took a fundamental and technical look at Westfield Corporation (WFD). With the stock having fallen from $11 to the low $8’s in less than a year, could this be an opportunity to buy a top 20 stock in a market where valuations elsewhere are starting to look stretched? Here is an extract from our research. In terms of recent guidance for FY17, WFD expects Funds from Operations (FFO) to be in the …