Shares of Healthscope tested the $2.10 support level last week.
With the company on track to increase earnings in FY19 & FY20, we see the sell-off as an opportunity to buy the stock before it pushes back through the recent $2.28 high.
Healthscope
Our Algo Engine generated a buy signal in MPL on Friday.
With the share price retracing from a $3.39 high, (formed in February), to close at $2.89, we now draw your attention to MPL as it enters our value range.
MPL’s earnings report last month showed the company is struggling to grow revenue and bottom line profit, therefore 2019 will likely show flat to no growth.
However, with the stock on a 4.4% yield and adding a covered call option, 10 – 12% annualized cash flow can be generated without too much downside risk.
Look to accumulate within the $2.80 – $2.90 range.
Sorry, but this content is restricted to our members.
Please login with your account or register for a free trial. If your trial has expired, then you may renew it here.
If you are having an issue with your account, then please get in touch with us.
The XJO has now sold off 4% in the last 7 days and the index is back at the same level it was in June.
BBOZ is an inverse ETF with a 2x leverage, therefore, in approximate numbers, BBOZ has increased 8% over the same period.
BBOZ allows investors to hedge a portfolio of ASX 200 stocks in one ASX listed transaction.
BBOZ
CIMIC was a stand out during the recent earnings season with growth coming in well above market consensus, supported by large infrastructure spending.
We expect 2 – 3 years of above trend growth in CIMIC and see the current weakness as an opportunity to accumulate the stock.
Our buy range is $48.50 to $47.50.
Also keep an eye on any weakness in the share price of Downer EDI, as a buy on the dip opportunity.
CIMIC
We recommend investors begin accumulating Origin Energy at current levels.
The company will reinstate their dividend in February and the current sell-off will likely prove to be a substantial low.
Origin
We recommend accumulating Ansell within the 24.25 – $24.75 range.
The share price has reached oversold territory relative to the healthy rise in NPAT announced in its FY18 results.
Ansell
Sorry, but this content is restricted to our members.
Please login with your account or register for a free trial. If your trial has expired, then you may renew it here.
If you are having an issue with your account, then please get in touch with us.
In a move to diversify its asset base, mining giant BHP has agreed to pay around $50 million for a 6.1% stake in SolGold, which operates a copper-gold project in the mineral-rich Cascacbel region of Ecuador.
Interestingly, one of BHP’s partners in the SolGold project will be Newcrest mining, which owns 14.5% of the mine and is the majority operator.
We take notice of the foresight of this purchase, along with other asset acquisitions by domestic mining names against the backdrop of falling raw materials and mineral prices.
We see solid chart support for BHP in the $30.60 area.
BHP
Should Crown retrace back to $13.50 – $13.75, we consider the entry range as good medium term value.
Crown next goes ex-div on 20th March 2019, so adding a covered call into December will help drive additional cash flow, whilst waiting for the next round of dividends.
Crown
Level 17 Chifley Tower
2 Chifley Square
Sydney, NSW 2000
1300 614 002
Investor Signals Pty Ltd
ABN 44 143 555 453
Or start a free thirty day trial for our full service, which includes our ASX Research.