Buy Transurban & Sell Call Options
We recommend buying Transurban Group and selling covered call options to enhance the income.
TCL will pay a $0.27 dividend on June 29th.
TCL
Buy Star Entertainment
We recommend buying Star Entertainment and placing a stop loss below the recent $5.19 low.
SGR will pay $0.085 dividend on August 28th.
Buy Sydney Airports
We recommend buying Sydney Airports and placing a stop loss below the recent $6.30 low.
SYD will pay $0.165 dividend on June 29th.
Buy Amcor
We recommend buying Amcor and placing a stop loss below the recent $13.90 low.
AMC will pay $0.30 dividend on September 4th.
Morning Report – Opportunities in Review
The video runs for 5 minutes and if you’d like to discuss the ideas presented, please call our office on 1300 614 002.
S&P ASX 200 finished the week down 1.2%.
The S&P/ASX 200 Index finished the week down 1.2%.
The best performer was the Property Trust sector, up 0.3% and the worst performer was the Telecoms sector, down 4.8%.
The market found resistance at 6083, the top end of the range we forecast.
Star Entertainment Group – Algo Buy Signal
SGR was recently triggered as an Algo Engine buy signal and we now look to accumulate the stock within the value range marked on the chart below.
Star Group
Caltex – FY17 Earnings
Caltex FY17 earnings came in at the top end of the estimated range, at $620 million.
Caltex will announce the outcome of their asset review at the end of June.
We expect to see commentary around divestment of station freehold land, which should be a net positive for share holders.
FY19 outlook for revenue is 2% growth to $23 billion, EBIT $930 million , EPS $2.40 and DPS $1.20, placing the stock on a forward yield of 3.5%.
We consider CTX fully- valued at the current price range.
After buying at lower prices and selling the May $36 calls for $1.00 credit, we’ll be pleased to collect the upcoming dividend of 61 cents on March 12th, and then deliver the stock in May.
Bendigo Bank – Price Resistance
The price rebound in the regional banks has likely played out and the chart below illustrates the “lower high”pattern, along with the $11.60 (price gap) resistance level.
Bendigo is our preferred short position within the sector. We expect to see the next support level in the $10.90 area
Stockland – Algo Update
Stockland was added to our ASX 50 model in January and we’ve continued to accumulate the stock in recent trading sessions.
The latest earnings result continued to show strong momentum in residential property sales which should help support a move back to $4.40
SGP is forecast to pay $0.13 dividend in June which places the stock on a 5.5% annualised yield.
Stockland Corporation
Level 17 Chifley Tower
2 Chifley Square
Sydney, NSW 2000
1300 614 002
Investor Signals Pty Ltd
ABN 44 143 555 453