Bluescope 1H22 Earnings

Posted on | by Leon Hinde

BlueScope Steel is under Algo Engine buy conditions.

With $285M of stock bought since August 2021, the Board has approved an increase in the scale of the buy-back program to allow up to a further $700 million to be bought over the next 12 months

BlueScope delivers record underlying EBIT of $2.20Bn, increases on-market buy-back; commences feasibility, analysis on blast furnace reline at Port Kembla

1H FY2022 Headlines
Reported NPAT: $1.64Bn
Underlying NPAT: $1.57Bn
Underlying EBIT: $2.20Bn

2H FY2022 GROUP OUTLOOK: Underlying EBIT in 2H FY2022 is expected to be in the range of $1.20 billion to $1.35 billion.

Reece 1H22 Earnings

Posted on | by Leon Hinde

Reece is under Algo Engine buy conditions. 1H22 result was above expectations, with underlying EBITDA increasing 14% to $397m. US performance was a key highlight and we expect 5 -7% EPS growth into FY23.

The stock trades on a forward yield of 1.5%.

HACK – ETF Buy Signal

Posted on | by Leon Hinde

Betashares Global Cybersecurity is under Algo Engine buy conditions and is a current holding in our All ASX ETF model portfolio.

We see support building at $7.00 and expect 5 to 10% upside in the next 6 weeks.

7/4/22 HACK Update: Since writing the above post, HACK has rallied to a new higher low formation at $9.76. Buy HACK at market and run a stop-loss below $9.76.

25/2/22 update: Buy HACK ETF.

CIMIC Takeover Offer $22

Posted on | by Leon Hinde

HOCHTIEF ANNOUNCES UNCONDITIONAL AND FINAL ALL-CASH $22.00 PER SHARE
TAKEOVER OFFER FOR ALL REMAINING SHARES IN CIMIC.

We’ve been bullish on CIMIC for two reasons, firstly the inflection point in earnings and an improving balance sheet, second, the prospect of their parent company making a full takeover. As it turns out, just as the inflection point in earnings was reached in the 1H22 results and the company guided towards growth in the second half, the takeover bid has been announced. It will be interesting to see if this is enough to get the deal done.

CIMIC was among our top 5 holdings in the high conviction portfolio and in our Class A equities fund. We’ll look to take profit and reallocate the funds elsewhere and take advantage of the value on offer in other names.

Here is the snippet from our blog post on 2 Feb 2022…

CIMIC Takeover Offer $22

Posted on | by Leon Hinde

HOCHTIEF ANNOUNCES UNCONDITIONAL AND FINAL ALL-CASH $22.00 PER SHARE
TAKEOVER OFFER FOR ALL REMAINING SHARES IN CIMIC.

We’ve been bullish on CIMIC for two reasons, firstly the inflection point in earnings and an improving balance sheet, second, the prospect of their parent company making a full takeover. As it turns out, just as the inflection point in earnings was reached in the 1H22 results and the company guided towards growth in the second half, the takeover bid has been announced. It will be interesting to see if this is enough to get the deal done.

CIMIC was among our top 5 holdings in the high conviction portfolio and in our Class A equities fund. We’ll look to take profit and reallocate the funds elsewhere and take advantage of the value on offer in other names.

Here is the snippet from our blog post on 2 Feb 2022…