CSL: 5 expert views ahead of results

Livewire Equities

Livewire

Ahead of CSL reporting this morning, here are 5 recent Livewire contributor insights into the stock. The stock is up 27% for the year, and 221% over 5 years, making it something of a poster child for the buy and hold investor. But after a big run, opinions are divergent. James Gerrish of Market Matters included it in his list of 'Go-to stocks starting to crack', while Rob Tucker from Chester Asset Management included it in his list of 5 stocks that could double cash flow in five years. Here's what they are saying:

 

Rob Tucker, Chester Asset Management

 

"We see CSL as fair value at current levels, and expect a period of consolidation ahead given the strong price appreciation over the past 6 months. We will look to accumulate on weakness, given we believe, the unique nature of the CSL industry structure and growth profile." (VIEW LINK)

 

Roger Montgomery, Montgomery Asset Management; and Ben Clark, TMS

 

In a recent episode of Buy Hold Sell Roger Montgomery described CSL as being ‘frighteningly expensive.’ While Ben Clark could only muster a ‘hold’ as the company had grown to be his biggest portfolio position: (VIEW LINK)

 

 

Andrew Tang, Morgans

“We highlight our key candidates that may surprise or disappoint during the upcoming August results season. Vulnerable high PE stocks include Ansell (ANS), CSL (CSL), Cochlear (COH), Domino's (DMP)”: (VIEW LINK)

 

James Gerrish, Market Matters

CSL has been an amazing performer for many years, but when the stock surges over 50% this calendar year we have to question whether value remains. Over recent weeks CSL has rapidly corrected ~10% but it¹s still trading on Est. P/E for 2017 of 34x earnings which is very much at the rich end of town.

3 ‘go-to’ stocks starting to crack?

What the brokers are saying

 

According to FNArena, 6 brokers currently have coverage on CSL Limited with 4 rating the stock a buy / outperform. Morgans and Morgan Stanley are neutral on the stock. The consensus share price target is $137  (Versus current price of $127).   

 


1 stock mentioned

Livewire Equities
Livewire Equities
Livewire

The Livewire Equities feed brings you a range of insights that relate to Australian equities

Expertise

No areas of expertise

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.

Comments

Sign In or Join Free to comment