Qube Holdings – Algo Signal

Posted on | by Leon Hinde

Qube Holdings is under Algo Engine buy conditions and has now been added to our ASX model portfolio.

FY21 revenue is forecast to increase 3% to $1.95bn and EBITDA flat at $300m. Qube may start to deliver 8 – 10% EPS growth into FY22 and FY23, which will support the forward yield of 2%.

We see price support developing within the $2.25 to $2.50 range.

Bega Cheese

Posted on | by Leon Hinde

Bega Cheese is under Algo Engine buy conditions since forming a support base at $4.30 back in Jul/Aug. The stock price has since rallied on better FY21 earnings forecasts and the $5.00 level provides another opportunity for investors to accumulate the stock.

Watch for the short-term momentum indicators to turn positive.

A2 Milk – Earnings Review

Posted on | by Leon Hinde

A2 milk December-half revenue will fall to between $725mn – $775mn, down from $807 million in the first half of 2020, and full-year revenues will likely be in the range of $1.8bn – $1.9bn, compared with revenues of $1.73 billion in 2020.

The guidance implies full-year EBITDA between $560mn and $590mn, which is up from the $550mn in 2020, but below prior consensus forecasts of $660mn.

$11.50 to $14.50 provides an accumulation range for A2 Milk.