FYI | Sep 28 2011
Daily update on share prices and consensus price targets.
By Rudi Filapek-Vandyck
Icarus' eyes were drawn to Coca-Cola Amatil ((CCL)) shares yesterday as the share price touched the consensus price target and held on until the closing of trade in Sydney yesterday. Coca-Cola Amatil is well-known to Icarus as the stock tends to overshoot whenever Mr Market gets overly defensive and, of course, with extreme volatility in August and September, it seemed only a matter of time before the shares would surge on Icarus' radar once again.
Well, they did. Unfortunately, for investors owning the shares, two things happened today that combined conspire in a negative sense (on top of the shares reaching consensus target). Firstly, one of the major stockbrokerages did the only sensible thing and downgraded the shares to Hold on virtually no chance for outperformance left at yesterday's closing share price. Plus Mr Market appears to have grown his appetite for risk this week which in itself makes many of the undervalued cyclical stocks in the Australian share market look like a much better proposition than a fully valued, defensive stock that is Coca-Cola Amatil.
No surprise thus the shares are battling with more sellers than buyers today. Icarus has done his job once again.
Meanwhile, this month's downward spiral has all but decimated the main tables of FNArena's Icarus Signal. There are (at yesterday's closing share prices) only 11 stocks left that are trading within the vicinity of consensus price target, including David Jones ((DJS)), St Barbara ((SBM)), Reckon ((RKN)) and Blackmores ((BKL)).
There are only 10 stocks left trading above target, and most of these are directly linked to corporate take-over action. Amongst the exceptions are Domino's Pizza ((DMP)) and Sigma Pharmaceuticals ((SIP)).
Investors should consider the information and data are provided for research purposes only.
Stocks <3% Below Consensus
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Stocks Above Consensus
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Top 50 Stocks Furthest from Consensus
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To see the full Icarus Signal, please go to this link
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