TWE has done very well over the last month and reporting was as expected. We are trimming half the position to lock in profits and looking to get back in if the stock falls.
Sell Trim – Mineral Resources (MIN). MIN is a mining services company with a portfolio of mining operations across lithium and iron ore. MRL has been providing safe, high-quality, low-cost mining, mining construction and mining infrastructure services in Australia. The business consists of three core pillars Mining Services, Commodities and Innovation and Infrastructure.
Take Profit Telix Pharma (TLX) in our balanced portfolio, we will take half our allocation for a 15.8% profit as we see the overall market underperforming in the next couple of weeks.
Sell Take Profit – EBOS Group (EBO). EBO has remained range bound even after their earnings report. Looking to take profit on position if it gets to the top of the recent range around $35
While there has been volatility today with the release of IPD Group (IPG) earnings, the company has beaten on most analysts expectations. IPG should rally to new highs in the near future. Take profit on IPG above $5.50
Buy Add – Stanmore Resources (SMR). Stanmore Resources (SMR) owns and operates the Isaac Plains Complex in Queensland’s prime Bowen Basin region which includes the Isaac Plains Mine and processing facilities, the adjoining Isaac Plains East (operational), Isaac Downs Project (under development) and the Isaac Plains Underground Project.
Mineral Resources reports a robust earnings update with significant revenue growth, strategic leadership changes, and a shareholder-friendly interim dividend, reflecting strong operational performance and future optimism.
Pilbara Minerals faces a challenging half-year with a sharp revenue drop, countered by strategic expansions and efficiencies aimed at leveraging future lithium market recoveries.
The company made significant investments for growth, including increasing its shareholding in Transmedic and acquiring Superior Pet Food Co. Ebos’s strategy includes further expansion in Southeast Asia and enhancing its product portfolio through acquisitions and new product development.
A softer than expected 1H revenue and EBITDA result was observed due to two main factors: negative travel sentiment from the conflict in the Middle East and corporate customer budgets being fully utilized by September 2023 due to high ticket prices, particularly in the northern hemisphere. However, an encouraging rebound in January activity implies these issues have dissipated.
Based on the updated earnings guidance from GrainCorp and considering the recent weather improvements that positively impact soil moisture and crop prospects, coupled with GrainCorp’s strategic adaptations for future market conditions, it’s recommended to consider buying GrainCorp shares around the $7.5 price point.
Our strategy aims to prudently manage risk by locking in profits from our Judo Bank position. Taking profits at this juncture allows us to reduce exposure to potential market corrections and sector-specific risks highlighted by the CBA earnings report and the rising trend in home loan arrears.
