Australasian Equities

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Australasian Equities

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Core

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FY22; prices nip and costs bite Fortescue has released its 2022 financial results to show a satisfactory performance for the year, as weaker prices and cost pressures tugged on the numbers. Operations delivered record ore shipments, and toward the top end of guidance for 2022. The balance sheet remains sound but did take on more gearing. While shareholders did see a fall in the full year dividend. The following table summarises Fortescue’s 2022 results (m – million, wmt – wet metric

Stockland (ASX:SGP)

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Master plans Stockland (ASX:SGP) have presented their FY22 report, the markets response was again positive, we breakdown the numbers and move our recommendation. With the Australian economy now in post covid recovery and open for business the headwinds for the company have changed to now managing building cost inflation with a focus on return of capital for the Australian business. The Monthly chart for Stockland indicates the price remains within a large consolidation area above $3.20 and below $5.20 with the price currently

Suncorp Group (ASX:SUN)

Core

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Going the pure-play route Investors have ultimately welcomed the decision of Suncorp Group (ASX:SUN) to sell its banking operations to ANZ for $4.9 billion, with Suncorp shares modestly higher than before the transaction was announced. The deal will be subject to the usual approvals and will get a good look from regulators, though we expect the deal to eventually go through. The target timeline provided was approximately 12 months, acknowledging the many moving parts. Should the deal complete as expected, Suncorp

Bubs Australia (ASX:BUB)

Core

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Bubs finishes Q422 with flying colours Let’s jump back in to assess if Bubs is on track to deliver as per the guidance. Shares of the infant baby formula maker took a 6.5% upward flight to 57 cents on 20th July, on the back of a robust fourth quarter. Bubs (ASX:BUB) logged a record gross revenue of $48.1 million, rocketing 278% YOY and 174% QOQ, generating the fourth consecutive quarter of growth over the preceding year. Subsequently, annual gross revenues more than doubled

Evolution Mining (ASX:EVN)

Speculative

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Trading update Evolution Mining (ASX:EVN) has updated the market on its expectations for 2022 guidance for gold production and all-in sustaining costs, with the release not taken kindly to by the market, with the shares falling heavily. Evolution now expects 2022 production guidance to come in lower than its already downwardly revised guidance for the year. Unit costs on the other hand, are expected to come in above 2022 guidance, on forecast lower production numbers and rising inflationary pressures. The news

Westpac (ASX:WBC)

Core

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Westpac-k of opportunity amidst challenges Westpac (ASX:WBC) reported its 1H22 results on 9th May, delivering better than consensus estimates, but the share price has nosedived ~20% ever since. We think the vicious sell-off is sparked by fears surrounding the impact of rising interest rates. We take a stock of the bank’s 1H22 earnings to decipher if the ongoing dip is due to a negative signal or does it pose a buying opportunity. The bank posted a 5% drop in net profit to

Nufarm (ASX:NUF)

Core

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Grow A Better Tomorrow Shares in this multinational farm crop protection solutions and seed technologies player Nufarm plummeted last Tuesday following the announcement by major shareholder Sumitomo Chemical (Sumitomo) of its intention to sell its 15.9% holding in the company. But after the market digested all the information and understood there was value in the fundamentals, Nufarm shares recovered. The Ukraine war saw a minimal impact on Nufarm’s overall business. The half-year result of 2022 reported substantial growth in underlying earnings,

Incitec Pivot (ASX:IPL)

Core

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Happy Separation Shares of this diversified manufacturer and distributor of explosives and fertilisers, Incitec Pivot (ASX:IPL), dropped last Monday, after the company announced its plan to spin off its explosives segment from its fertiliser business, despite delivering a record half-year profit. The short-term concerns over the new Labor Government’s planned climate action and a global energy crunch fuelled gas prices triggered the split. Still, over the long-term, we think the higher demand for products from the mineral and agricultural sectors

About these archived stock reports

These are archived Fat Prophets equity research stock reports and share analysis. They do not constitute current investment advice, financial product advice, or a recommendation to buy, sell or hold any financial product. They are provided for historical reference only, and reflect the market conditions, company information, forecasts and opinions available at its original publication date. The information may no longer be current or applicable. Past performance is not a reliable indicator of future performance.

This is general information only and does not take into account your objectives, financial situation or needs. Before acting on anything in this report, you should consider its appropriateness to your circumstances and seek advice from a licensed financial adviser.

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