Broker picks

See what the brokers say about Australia’s largest bank and mining entity this reporting season.

An action-packed month of record dividends, soaring energy prices and rising inflation are all expected to be key trends this earnings season.

Of the 200 companies that Morningstar analysts research on the ASX, 15 companies have made it onto the firm’s Best Stock Ideas for August.

In Bank of America’s July global fund manager survey, several measures show money managers pointing toward further doom and gloom. So much so that the historically bearish sentiment hints at a potential rally to the upside should market conditions only marginally improve.

Falling resource and commodities prices are worrying investors and resource companies have dropped sharply in price in July. Analysts are mixed on their outlook for resources companies, with some tipping energy companies to outperform while other experts favour diversified resources companies.

It’s been a relatively difficult two years for market darling CSL Limited. Despite the lacklustre recent performance, here are five reasons to be bullish on CSL.

As we say goodbye to a volatile financial year, most investors are glad it’s over and can’t wait to say hello to FY23. Markets will be hoping that this new financial year will bring about calmer trading conditions with fewer geopolitical tensions and no devastating pandemics.

Following two years of heightened volatility, brokers are already out making grand declarations and stock predictions of what will transpire in the new financial year. Macquarie, one of the first to put together its dream portfolio built to survive a recession, believes the bear market we are currently experiencing is split into two parts.

It’s time to start buying quality stocks that have fallen sharply over the last six months. This is the view held by Roger Montgomery, founder of Montgomery Investment Management. Given that valuations have come off, Montgomery believes investors have a far better chance of making attractive returns buying now; with one big caveat – that these businesses grow their earnings.

With markets starting to turn mildly positive, the driving factor seems to be cautious commentary from the RBA after several weeks of fuelling fears of a recession due to aggressive rate hikes.

Three new tiers will be added to Queensland’s coal royalty structure from July 1 as the Palaszczuk government attempts to take a bigger slice of the recent spike in coal prices.

Last month’s higher than expected inflation reading confirmed what many had long feared. Australia is not immune to the rising price of goods as a result of massive stimulus efforts during the pandemic, higher energy prices, supply disruptions and labour shortages.