It will, with its US earnings, also benefit from the predicted drop in the Aussie dollar as US interest rates pick up, suggested to be sometime in 2015.
Any thoughts on CSL?
Bought a parcel of shares in CSL.
Strong uptrend 5 year chart.
Very strong fundamentals.
circa 70% income in USD, with a low AUD/USD this should come out nicely.
Interim report out on 11 Feb 2015, should show some positive results.
Been too busy with my day job to pore through CSL's numbers, but it seems like the fact that CSL reduced guidance for its full year NPAT growth from 12% down to 10%, as well as a set of figures in the first half that didn't shoot the lights out has contributed to the share price tumbling today.
Going back up today.
My largest shareholding. I predict it will be over $100 a share within a year.
It really is the only decent growth company in the top twenty.
What about MQG? They seem to be back on track to repeat their performance pre GFCGoing back up today.
My largest shareholding. I predict it will be over $100 a share within a year.
It really is the only decent growth company in the top twenty.
What about MQG? They seem to be back on track to repeat their performance pre GFC
They already have had a three for one split. Wonder if another is in the wings as $100ish may be off-putting for some.Just like to point out CSL is now above $90. The very short dip was a buying opportunity.
They already have had a three for one split. Wonder if another is in the wings as $100ish may be off-putting for some.
Over $100! As expected.
At the stock level, CSL is a prime example of this willingness to pay massive premiums for traditional growth stocks, whether they deliver the growth or not. At the full-year result this week, CSL achieved their guidance of about $1,470m and just 5% growth by excluding the losses from their flu business. This number also includes a foreign exchange gain of about $115m. The normalized number is over 25% lower than where expectations were one year ago. This performance is clearly not the kind of quality growth expected from a company trading on over 30 times.
The company then guided to 11% growth for 2017. However, the starting point for this growth includes the flu loss and excludes the foreign exchange gains for a base of just $1,152m and a 2017 earnings target of $1,278m. Therefore to report a number showing some growth, various one-offs were included, but to ensure growth for the following year these same one-offs were removed from the base. That is the company is asking the market to accept $1,470m as the measure of the performance in 2016, and $1,278m (-13% lower) as the target in 2017, and arguing this still represents growth. In fact, earnings have grown by less than 2% p.a. since 2010. It would be understandable for the market to have hammered the stock over this period. Instead, CSL has been consistently re-rated from an average in the high teens before 2013 to about 30 times now. CSL is one example of many of this trend.
At the stock level, CSL is a prime example of this willingness to pay massive premiums for traditional growth stocks, whether they deliver the growth or not.
They trade on a very high Pe, so I guess any sign of weakness (not that it was that weak), can see some of the froth blown off.
I don't hold Csl, but I think it's a great company, if the share price did drop back a bit, I would happily take a position,
Over $100! As expected.
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?