4 sectoral growth themes to consider

Marcus Tuck

When looking for growth opportunities in the equity market, a common approach is to look for sectoral growth themes expected to provide a tailwind to revenues for years to come. However, in many instances, the “new age” sectors with the brightest growth narratives are populated by companies that are not... Show More

Growth at a reasonable yield

Marcus Tuck

John D. Rockefeller once said: "Do you know the only thing that gives me pleasure? It's seeing my dividends coming in". Mr Rockefeller was perhaps a little too fond of his dividends, but they are an important component of total equity returns, particularly in a high-dividend-paying market such as Australia's... Show More

Copper leading resources higher

Marcus Tuck

The copper price is often regarded as a barometer of the world economy because of its wide-ranging applications in industrial production and electrical equipment. Copper is used everywhere from homes and factories, to electronics and power generation and transmission, so demand for copper is often viewed as a reliable indicator... Show More

Thanks Michael. Yes, the Conference Board publish leading economic indicators for several countries, including Australia. You can see them at : https://www.conference-board.org/data/bcicountry.cfm?cid=1 Regards, Marcus

On Why the equity market should resume its advance -

It’s a fair question about Jumbo’s economic moat. Whilst it’s true that the lion’s share of JIN’s revenue is Tabcorp-related lotteries business, it appears to be reasonably secure. In May 2017, JIN expanded its decade-long commercial relationship with Tatts Group, with an extension and expansion of its existing lottery reseller agreements. All current reseller agreements (NSW, Victoria, SA, NT and Fiji) have been extended for five years and then continue on a 12-month rolling basis beyond 2022. The relationship was further strengthened by Tatts subscribing for a substantial shareholding in JIN. Tabcorp is currently the second-largest shareholder in JIN (12.64%), which should encourage strong alignment of long-term interests. The former COO of Tatts is now the MD of Lotteries & Keno for Tabcorp, where JIN had a close relationship with the previous Tatts executives. A competitor, Lottoland, which offers derivative-style products on lottery outcomes, was recently banned from offering any products on the outcomes of Australian lotteries, further strengthening JIN’s competitive position. A small but fast-growing part of JIN’s business is Charity Lottery sales, which represents a key growth area away from traditional lottery offerings. Regards, Marcus

On The only 6 stocks to pass our filters -