FYI | Aug 17 2011
Daily update on share prices and consensus price targets.
By Rudi Filapek-Vandyck
Leighton Holdings ((LEI)) enjoyed a combination of a favourable market response to its released financials as well as reduced valuations and price targets this week. Not an uncommon feature in this year's FY11 reporting season. Where things get interesting in the case of Leighton is that this combination pushed the share price above consensus target and we couldn't help but noticing that selling has followed rather than further buying, even with most stocks on the ASX firmly in the black on Wednesday.
Does this mean Icarus has once again done what the signal does best?
Elsewhere, we also note that Cochlear ((COH)), one of the favourites for FNArena's Icarus Signal, is now similarly encountering more sellers than buyers after surging once again well past consensus target. On Monday we suggested investors judging Cochlear shares at face value (as many are bound to do) would be setting themselves up for a disappointing experience. Today's share price weakness further supports that prediction.
On a more positive tone we observe shares in Monadelphous ((MND)) are staging a serious come-back after being rejected above consensus price target in late July. Monadelphous has now joined the list of stocks closing in on price target and that's probably a good thing as this list only contains five other names, following recent market mayhem. Companies in casu are Riversdale Mining ((RIV)) and Foster's ((FGL)) both which arguably do not trade on earnings fundamentals, as well as Alacer Gold ((AQG)) which is favourite amongst many local goldbugs. Valad Property ((VPG)) and Tabcorp ((TAH)) complete the list.
Investors should note Valad Property is on this list for the same reason as I mentioned Leighton earlier; the fall in price target has to be taken into account.
There are now 21 stocks trading above target and Leighton and Tishman Speyer Office Fund ((TSO)) are today's newcomers. Tishman has a long history for trading above target.
The Bottom 50 has seen the inclusion of Cockatoo Coal ((COK)), Alkane Exploration ((ALK)) and Hillgrove Resources ((HGO)). A reminder: investors should ask as to why these stocks are trading so far below target, instead of assuming a bargain is up for grabs.
Investors should consider the information and data are provided for research purposes only.
Stocks <3% Below Consensus
|
Stocks Above Consensus
|
Top 50 Stocks Furthest from Consensus
|
To see the full Icarus Signal, please go to this link
Technical limitations
If you are reading this story through a third party distribution channel and you cannot see charts included, we apologise, but technical limitations are to blame.
Find out why FNArena subscribers like the service so much: "Your Feedback (Thank You)" – Warning this story contains unashamedly positive feedback on the service provided.
