REA Group is up 57%

Posted on | by Leon Hinde

REA Group is among the best-performing stocks in our ASX 100 model portfolio, with the share price up 57% since being added in September last year.

REA Group has acquired 100 percent of the shares in Mortgage Choice for $1.95 a share, valuing the company at $244 million. REA is now focused on accelerating its financial services strategy to become a leading player in the home loan market.

REA is a high quality business with terrific growth potential, however, the 65x PE multiple is a little rich and we recommend waiting for the next Algo Engine buy signal.

Lendlease – Update

Posted on | by Leon Hinde

Lendlease has issued a profit warning indicating statutory profit after tax of $200 – $320 million, blaming the interruptions caused by the coronavirus, which have hit rents and development activity in London especially hard.

The group’s balance sheet remains strong with gearing expected to be below the bottom end of the target range of 10-20%.

Crown – Buy

Posted on | by Leon Hinde

The current weakness in the Crown share price could be a buying opportunity. It’s unlikely that the current COVID-related operational impacts are going to deter the interested parties who have put forward takeover offers.

Cure ETF – Buy

Posted on | by Leon Hinde

CURE:AXW is under Algo Engine buy conditions and the current pullback provides another buying opportunity.

ETFS S&P Biotech ETF (ASX Code: CURE) offers investors exposure to U.S. biotechnology companies. These companies are engaged in research, development, manufacturing and/or marketing of products based on genetic analysis and genetic engineering.

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