Computershare reports earnings on the 16th August.
At 20x forward earnings and 2.6% dividend yield, we feel CPU will likely disappoint and deliver earnings below market expectations.
You're not a member! Trial today
Any bounce in CPU from these levels will provide an opportunity to consider building new short exposure.
James Hardie trades at 26x forward earnings with a 2.7% forward yield.
Again, we consider this name expensive and likely to disappoint investors when JHX report earnings on the 8th August.
A rally back towards $21.00 will provide an opportunity to reset short exposure.
