Editor’s Pick

In this week’s video insight Roger asks if another leg lower in the market transpires, what should you invest in? High quality businesses, when the price-to-earnings are compressed, are bound to generate great returns in the future. In fact, the lower the price you pay for a high-quality business, the higher your return will be. But what is a high-quality business? continue…

by Roger Montgomery Posted in Editor's Pick, Video Insights.

• watch video
• save this article
• POSTED IN Editor's Pick, Video Insights

The current equity market environment reflects soaring inflation, increasing interest rates and the first half of calendar year 2022 saw a double-digit decline in most major indices. continue…

by Roger Montgomery Posted in Editor's Pick, Whitepapers.

• save this article
• POSTED IN Editor's Pick, Whitepapers

I believe there are good arguments the current rally is premature and might reverse. Keep in mind I am still long and heavily invested in equities. I just think the current rally has got ahead of itself. continue…

by Roger Montgomery Posted in Editor's Pick, Market commentary.

• 3 Comments
• save this article
• POSTED IN Editor's Pick, Market commentary

In this week’s video insight I ask the question has inflation peaked, and is this leading optimism in the stock market? Stocks rallied sharply last week based on the better-than-expected consumer inflation (CPI) data. Consequently the U.S. Central Bank and the Reserve Bank of Australia will keep increasing interest rates this year, but then cut them next year thanks to a recession. Are these expectations reasonable? I look at some charts to answer this in the video. continue…

by Roger Montgomery Posted in Editor's Pick, Video Insights.

• watch video
• save this article
• POSTED IN Editor's Pick, Video Insights

Gary Rollo joined Chris Judd’s Talk Ya Book to discuss one of his favourite value picks at the moment, telecom software business Symbio Holdings (ASX:SYM). Symbio is profitable, growing, generates cash flows and is also on 9 times EBITDA which for an industrial stock is cheaper than the market.

continue…

by Gary Rollo Posted in Companies, Editor's Pick, Stocks We Like.

• 4 Comments
• save this article
• POSTED IN Companies, Editor's Pick, Stocks We Like

Domestic results season is about to ramp up and investors like us will be focusing, in particular, on the outlook statements. You might recall there was a lot of optimism at the time of the half yearly results in February. Back then, a combination of reopening, rebuilding and expectations of a continuation of accommodative monetary policy was met abruptly, in late February, with Russia’s invasion of Ukraine. continue…

by Roger Montgomery Posted in Editor's Pick, Market commentary.

• save this article
• POSTED IN Editor's Pick, Market commentary

Back in May, Montgomery CEO, David Buckland, said he saw New Zealand as Australia’s ‘canary in the coal mine’. As the Kiwis had raised rates earlier and more frequently than our Reserve Bank, their experience would be a good pointer to what we could expect. If he’s right, we now have the answer: big declines in consumer and business confidence, and falling property prices. continue…

by Roger Montgomery Posted in Editor's Pick, Property.

• 2 Comments
• save this article
• POSTED IN Editor's Pick, Property

We have been prompting investors over the last month or two to consider a framework for investing amid macro-economic, geopolitical and central bank chaos. Trying to pick how markets will respond to a barrage of sometimes conflicting influences is near impossible. The picture is so complex and dynamic, picking whether the market will fall or rise is at best just a guess. continue…

by Roger Montgomery Posted in Editor's Pick, Investing Education.

• save this article
• POSTED IN Editor's Pick, Investing Education

The Deputy Governor of the Reserve Bank of Australia (RBA), Michele Bullock, last week offered a cheerful, if not upbeat, interpretation of the circumstances faced by Australian mortgage holders, who are facing the brunt of the RBA’s interest rate rises. For Bullock, and presumably for the RBA, there’s no need to stress. I hope she’s right, but I fear things could get very difficult for a lot of borrowers. continue…

by Roger Montgomery Posted in Editor's Pick, Property.

• save this article
• POSTED IN Editor's Pick, Property

In this week’s video insight Roger discusses Flight Centre (ASX:FLT). This week Flight Centre saw its stock jump more than five per cent on the day it declared travel is recovering slightly faster than expected, and consequently, its losses should be smaller. Is the share price prematurely pricing in a recovery? continue…

by Roger Montgomery Posted in Companies, Editor's Pick, Video Insights.

• watch video
• save this article
• POSTED IN Companies, Editor's Pick, Video Insights