🎁Weekly | BLD, JHX Earnings Show Resilience in Buliding Sector
As of the close on Friday,$S&P/ASX 200(XJO.AU)$ closed at 7,340.10 points, up 0.20% in the past 5 days.
During the last 5 trading days, $BORAL LIMITED(BLD.AU)$ was up 14.29%; $AMP LIMITED(AMP.AU)$ added 13.70%; $JAMES HARDIE INDUSTRIES-CDI(JHX.AU)$ was up 13.37%; $Star Entertainment(SGR.AU)$ rose 13.30%; and $Bellevue Gold(BGL.AU)$ increased 11.49%.
1. $BORAL LIMITED(BLD.AU)$+14.29%: Expects Higher Earnings in 2024 Amid Strong Demand and Price Environment
Australian cement products manufacturer Boral Ltd (BLD.AX) announced on Thursday that it anticipates higher earnings in 2024 due to strong demand and a high price environment. This positive outlook follows a 4.7% decrease in annual profit.
Revenue up 17% to $3,460.6 million
Earnings before interest, taxes, depreciation, and amortisation (EBITDA) up 38% to $454.4 million
For the upcoming year, the company projects underlying earnings before interest and taxes (EBIT) in the range of A$270 million ($176.28 million) to A$300 million. This compares to an underlying EBIT of A$231.5 million in the fiscal year 2023.
The net profit before significant items for the year ending June 30 was reported at A$142.7 million, showing a slight decline compared to the A$149.7 million recorded in the previous year.
2. $AMP LIMITED(AMP.AU)$ +13.70%: Reports Strong Earnings with 31% Revenue Increase and Shareholder Returns
AMP Limited reported earnings results for the half year ended June 30, 2023.
AMP reported a 31% increase in revenue from continuing operations to $1,424 million and a 23.9% lift in underlying net profit after tax to $57 million.
AMP will pay an interim dividend of 2.5 cents per share, and it has also announced a share buyback valued at nearly $400 million.
AMP has returned $610 million of capital to shareholders since August 2022, the company reported. The interim dividend is estimated to return some $140 million, and AMP has paid down $302 million in July 2023 alone.
3. $JAMES HARDIE INDUSTRIES-CDI(JHX.AU)$ +13.37%: Jumps on Margins Improvement
The stock of James Hardie Industries, a prominent building products group, experienced a remarkable surge, climbing by a substantial 14.4% to reach $46.62 on Tuesday. This marked the stock's highest level since early last year.
James Hardie managed to bolster its margins. Notably, the company implemented price hikes of 12% in its operations in Australia and New Zealand.
Earnings before interest and tax margins in the Asia-Pacific region – largely Australia and New Zealand, with a small contribution from the Philippines – jumped by 750 basis points to 33.1 per cent. EBIT rose 35 per cent to $69.5 million in the three months to June.
UBS analyst Lee Power said margins in all three of the company’s main regions were ahead of expectations. He has a “buy” rating on the stock, and a valuation of $49.50 a share.
Citi analyst Samuel Seow said the June quarter result was materially higher than expected and that it showed the company was able to offset declining volumes.
James Hardie's strong financial performance and its ability to navigate challenging conditions in the construction industry have drawn positive attention from analysts and investors alike.
4. $Star Entertainment(SGR.AU)$ +13.30%: Navigates Casino Duty Challenges with In-Principle Agreement
The Star Entertainment Group faced potential challenges due to proposed increases in casino duty rates by the former New South Wales Treasurer. The company disagreed with the original proposal, citing concerns about its viability and the potential impact on jobs.
However, the good news is that The Star reached an in-principle agreement with the new NSW Treasurer, Daniel Mookhey. This agreement aims to amend the duty arrangements with the state in a way that ensures a sustainable outcome for The Star and protects the jobs of its team members.
The next steps involve formalizing the amendments through long-form binding agreements with the Treasury. The anticipated additional duty payable for FY24 is approximately $10 million, and the company plans to introduce a trial of its cashless gaming machine technology.
This agreement allows The Star to work towards restoring its Sydney operations, earning back community trust, and remaining a valuable contributor to the NSW economy.
5. $Bellevue Gold(BGL.AU)$ +11.49%: The Winner as Gold Hits a Record High
Spot gold prices hit a record intraday high of $2,072.5 on Aug. 7, 2020, and analysts say that prices can hit, and even push past that record.
Some analysts said gold may surpass that level, potentially reaching over $2,100 in late 2023 or early 2024, driven by a pause in the U.S. Federal Reserve tightening cycle.
Gold has outperformed other major asset classes, resisting rising interest rates and serving as a safe haven against inflation.
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Boral is Australia's largest vertically integrated construction materials company including quarry and cement infrastructure, bitumen and asphalt.
Boral's share price is up 72% year to date. Boral ticks all the core fundamentals of a quality stock.
@ASX_Stars
🌟🌟🌟There is silver lining in the horizon for $Star Entertainment(SGR.AU)$ with the latest lifeline from the current Labor State Government under Chris Minns in the form of a transitional tax levy for the next 7 years. Thhe previous government had proposed raising the tax rate on poker machine duties up to 60.67%. Now the new tax rate will instead rise to 22.91% in 2027 and stay that way until mid 2030.
The main reason given by Treasurer Daniel Mookhey was that thousands of jobs were at risk.
Performance wise Star Entertainment share price is up 17% yesterday but still down 31% year todate. Its share price has plummeted last year when it was fined AUD 100 million by NSW and Queensland for failure to comply with anti money laws.
Star Entertainment owns The Star in Sydney, The Star Gold Coast and Treasury Brisbane.
I believe Star Entertainment is undervalued and would be a good buy with this latest development. It was trading at a high of AUD4.07 in 2021.
@ASX_Stars
Come and join the discussion ya my friends @koolgal @rL @icycrystal @b1uesky @Universe宇宙 @Aqa @GoodLife99
🌟🌟🌟$詹姆斯哈迪工业(JHX.AU)$ 是世界第一。1高性能纤维水泥墙板及垫板的生产商及销售商，以及欧洲纤维石膏产品的市场领导者。其80%的收益来自北美。它还在澳大利亚、新西兰和菲律宾销售。
尽管房地产市场低迷，詹姆斯·哈迪的最新收益结果给我留下了深刻的印象。它显示了其管理团队能够应对挑战性条件的能力。
表现明智的詹姆斯·哈迪在过去5天上涨了12%，今年迄今上涨了77%。
我喜欢James Hardie拥有广阔的护城河，因为它是纤维水泥建筑产品领域的市场领导者。它还符合优质股票的所有核心基本面，具有巨大的盈利能力、出色的资产负债表和优秀的管理团队。
最棒的是，詹姆斯·哈迪在等待资本增长的同时支付稳定的股息。目前的股息率为2%。
@ASX_Stars
That agreement will see Genesis Minerals process material from the Bellevue Gold Mine, predominantly from the Vanguard open pit, at its Gwalia processing facility.
This is great news for the company because it will enable Bellevue to generate early cash flow in the current quarter ahead of scheduled processing at the Bellevue Gold Mine plant in the December quarter.
This news went down well with analysts at Macquarie. In response, the broker has retained its outperform rating and increased its price target to $1.80.
This suggests that the Bellevue Gold share price may not have peaked yet despite its impressive gains.