There’s a lot of talk of the WAAAX stocks causing fund underperformance, but they’re simply not big enough compared with choosing the wrong winners and losers among the large cap stocks.
Author Archive | Rudi Filapek-Vandyck
About half of companies reported as expected in their latest financial results, and the rest were split between favourable and disappointing. Valuations are not cheap but some companies deserve to be expensive.
Australian banks appear cheap and their shares trade below broker targets. But three analysts offer deeper explanations that suggest stronger credit standards will affect house prices and credit growth.
Long-term oil price projections and currency appreciation make the current valuations of many Australian companies look overly optimistic. Extra supply can be turned on quickly when prices start to rise.
US companies might be leading the global technological boom but there are also opportunities to invest in new Australian companies that are at the forefront of new technologies.
While investors like receiving healthy dividends, it’s money that the company can then no longer use for capital growth. Less can really be more if there are better growth prospects with lower dividends.