Algo Buy Signal – ANZ, NAB & WBC

Posted on | by Leon Hinde | Leave a Comment on Algo Buy Signal – ANZ, NAB & WBC

Following the recent sell-off in the major banks, we’re now seeing the Algo Engine flag the short-term “higher low” formation.

We’re cautious about entering these positions on the long-side due to the regulatory risks the banks face & the limited top-line revenue growth outlook for the sector.  However,  the search for yield may support another push higher in prices.

ANZ, NAB & WBC are buy signals, (place stop loss below signal low), CBA & SUN are showing sell signals.

 

 

 

 

 

 

 

December Webinars

Posted on | by Leon Hinde | Leave a Comment on December Webinars

In December, we are conducting the following webinars. Please register your interest by using the register link below. We will email you, one hour before each Webinar begins, with the link to join in.

Register Now

Global Equities Overview and ASX 2018 Market Outlook

Join us in this webinar as we recap on the major trends of 2017 and explore which ones will continue in 2018 and which ones have come to an end. Find out what stocks to add and what stocks to remove from your portfolio, before it’s too late.

  • Host: Leon Hinde, Head of Equity Strategy at Investor Signals
  • Date: 5th December 2017
  • Time: 7pm Qld Time, 8pm NSW/Vic Time, 5pm WA Time
  • Duration: 45 min

Don’t miss the opportunity to build your understanding of the big trends impacting equities and, more importantly, which stocks should and shouldn’t be in your portfolio heading into 2018.

Investor Signals – Charts & Algo Engine Explained

Join us in this webinar as we explain the new features and best ways to navigate through the research, charts, algo engine & new model portfolio features. You’ll also be invited to a 30-day free trial of the technology.

  • Host: Leon Hinde, Head of Equity Strategy at Investor Signals
  • Date: 7th December 2017
  • Time: 7pm Qld Time, 8pm NSW/Vic Time, 5pm WA Time
  • Duration: 45min

Don’t miss the opportunity to build your understanding on how to benefit from our new technology, as your window to the market.

Trading ASX 50 CFD’s with Saxo Go

Join us in this webinar as we look at shorter-term trading strategies for both long & short positions & we review how we utilise the Saxo Trader Go platform to take advantage of trading opportunities within the ASX top 50 stocks. We explore the features, how to place and manage orders and look at how short term traders can use the Investor Signals’ research to trade both long and short signals using CFD’s.

    • Host: Leon Hinde, Head of Equity Strategy at Investor Signals
    • Date: 13th December 2017
    • Time: 12:30pm Qld Time, 1:30pm NSW/Vic Time, 10:30am WA Time (Daytime Session)
    • Duration: 45min

Don’t miss the opportunity to learn how we apply proven techniques to shorter term trading on ASX 50 CFD’s.

Register Now

Aristocrat – FY17 Earnings

Posted on | by Leon Hinde | Leave a Comment on Aristocrat – FY17 Earnings

ALL delivered $543m, (37% increase), in underlying profit for FY17.

A good result was offset by a negative response to their announced acquisition of Big Fish Games. The acquisition of Big Fish is the second deal this year where Aristocrat is expanding into social gaming.

FY18 is forecast to deliver a further 20% growth with net profit of $650m, EPS $1.05, DPS $0.42 placing the stock on a forward yield of 1.9%.

We hold ALL in our ASX 50 model portfolio, following the Algo Engine buy signal triggered in July at $20.25.

 

 

 

SEEK – Valuation Review

Posted on | by Leon Hinde | Leave a Comment on SEEK – Valuation Review

SEEK provided a trading update at its AGM yesterday, upping its guidance for
EBITDA growth to 13% and reaffirming NPAT guidance of $220-230m.

FY18 Revenue $1.3b, EBIT $340m, EPS $0.63, DPS $0.44, placing the stock on a forward yield of 2.4%.

Our Algo Engine last triggered a buy signal back in June, when SEEK was trading at $16.40.  A pullback to $17 will provide a lower risk entry level.

SEEK

 

BHP – Valuation Review

Posted on | by Leon Hinde | Leave a Comment on BHP – Valuation Review

BHP’s  medium-term cost guidance for iron-ore and coal is better than expected and will help to underpin EPS targets into FY18 and FY19.

FY18 revenue will be up slightly to $40b, EBIT $13b with reported profit in FY18 forecast to increase 10% to $6.4b.

Assuming dividends per share of $0.80,  BHP is placed on a forward yield of 4%.

We see upside in BHP’s share price to $30 and suggest selling a March $29.50 call option to enhance the yield.

 

 

Origin – Reaffirmed FY18 Guidance

Posted on | by Leon Hinde | Leave a Comment on Origin – Reaffirmed FY18 Guidance

 ORG indicated it’s targeting a Crude Oil price of US$40 per barrel distribution break-even for FY20.

ORG hosted its 2017 investor day,  this week, at which time they reaffirmed their FY18 guidance with respect to capital expenditure, debt management and APLNG.

The market is encouraged by the potential for up-to $500m in cost savings,  ($110m OPEX and $400m CAPEX), over the next 2 – 3 years.

ORG will likely reinstate dividend distributions, building to $0.40 per share in FY19 and $0.50 in FY20.

These targets have ORG trading on a FY19 forward yield of 5%.

We continue to see ORG as a buy on the dip opportunity and look to keep exposure to the name in portfolios over the next 3 to 5 years.

Origin Energy

 

 

 

 

 

Healthcare – Preferred Holdings

Posted on | by Leon Hinde | Leave a Comment on Healthcare – Preferred Holdings

CSL, SHL, RMD & RHC remain our preferred healthcare names.

Resmed is looking a little expensive and we’d like to repurchase on the next retracement.

Sonic Healthcare:  we expect 5 – 8% EPS growth and consider this a good buy/write addition to portfolios.

Ramsey Healthcare – Accumulate with $74 price target

CSL:  15 – 20% EPS growth remains attractive and adding a covered call option enhances the yield.

CSL