The Match Out: Bank dividends offset healthcare strength, US Inflation in focus

• The Healthcare sector was best on ground (+0.96%) while Real Estate (+0.34%), Consumer Discretionary (+0.22%) and Tech (+0.2%) were the other sectors in the black.
• Financials (-0.54%) and Telcos (-0.38%) the weakest links.
• Uranium stocks were strong today on the back of a report from Bank of America talking up the Global X Uranium ETF (NYSE: URA), Paladin (ASX: PDN) seeing the biggest move of the large caps, up +8.45. This will be in focus in tomorrow’s Morning Report
• SRG Global (ASX: SRG) +4.17% upgraded earnings guidance, including the recent acquisition of Asset Care. More on that below
• Dicker Data (ASX: DDR) +6.12% hit a ~3-month high on a positive quarterly update last night. 1Q Revenue for the computer hardware & software company was up 15% on 1Q22 with margins continuing to improve.
• CSR (ASX: CSR) -2.56% reported FY numbers which were slightly ahead of consensus, EBIT of $330m vs $319 expected. Guidance was mixed though with the building products division continuing to do well, margins expected to remain at the current and a backlog of work providing good growth support, however, Aluminium is expected to fall into a loss in FY24.
• Portfolio Manager James Gerrish joined Ausbiz today to talk about the budget’s impact on the ASX today – Click Here to watch.
• US Inflation data tonight will be watched closely, Expectations are for the headline figure to come in at +0.4% MoM vs +0.1% last month, while Core is expected in line with the last print at +0.4% MoM.
• Iron Ore was ~0.15% higher in Asia while Coal prices slide a further -0.5%.
• Gold softened in Asia, down -0.3% settling $US2028 at our close.
• Asian stocks were weak today, Nikkei -0.4% holding up the best while Hong Kong fell -0.5% and China -1.40%.
• US Futures are all up, S&P and Nasdaq both ~0.15% higher.  

ASX200

SRG Global (ASX: SRG) 75c

SRG +4.17%: the engineering and contracting company upgraded FY23 EBITDA guidance by ~8% today, largely on the inclusion of the recently acquired Asset Care business from ALS. The new division is expected to contribute $4.5-5m in EBITDA, while there was a slight upgrade to the performance of the rest of the business with the company tightening the guidance range to $79-80m We spoke to management today, and they were very pleased with the progress of the integration of the acquisition saying cross-sell opportunities had already presented themselves and is expected to be incrementally positive over the next few years.

SRG Global (ASX: SRG)

Broker moves

• Centuria Capital Rated New Buy at Barclay Pearce Capital
• Janus Henderson GDRs Raised to Neutral at Credit Suisse
• Monadelphous Raised to Neutral at Citi; PT A$12.80

Major movers today

Have a great night

The Market Matters Team

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