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 …
The below is an extract from our research dated 2 May 2017. After a great run, we take a fundamental and technical look at Webjet (WEB). While the stock, trading on a 1-year forward P/E multiple of 23x, is not cheap, we consider that the market does not appear to be factoring in the potential earnings uplift in FY19 from the Thomas Cook alliance (starting in 2H19), which is the next major growth leg for the Company. While, understandably, the market …
The Telstra share price is once again hitting the headlines after falling more than 10 per cent in the last 3 days. In early 2015, Telstra was trading over $6.60. It is now languishing at levels closer to $4 which means that investors have lost about 40 per cent of their capital in two years. One positive aspect of Telstra is that its chart seems to be a bit easier to read than some other stocks. Certain patterns and charting …
Flight Centre (FLT) is a stock that divides the analyst community. On the one hand, we have concerns that FLT’s problems are structural and that it will struggle to compete with the more established online agencies. On the other we have a view that pricing issues have been cyclical and that too much pessimism is priced in. This leads to price targets varying from $25 all the way up to $36. With the share price right in the middle of …
Patterns and investor behaviour repeat themselves in share markets. The current chart pattern on the ASX200 looks uncannily similar to one from two years ago. Below is a daily chart of the ASX200. Have a close look. One could be forgiven for thinking that it is a current chart, but it is actually from 2015. Now have a look at the following chart. This is the ASX200 as at today. What some people thought was a bullish triangle …