Highlights

Australian Stock Report - Share Tips

Author: share-tips   |   Latest post: Fri, 20 Oct 2017, 01:59 PM

 

Shares to buy: Boral Limited (BLD)

Author:   |    Publish date:   |  >> Read article in Blog website


BLD is trading at a steep 25% discount to the All Industrials ex-financials on FY18 price/earnings estimates, which is significantly below the historical trading range.

This is largely attributable to the proposed acquisition of Headwaters, reflecting the size of the transaction and concerns around coal-linked fly ash and regulatory approvals.

In our opinion, investor concerns are overstated.

The catalysts that could drive a re-rating include regulatory approvals, delivery on FY17 expectations and evidence of synergy execution.

On the technical front, since November last year an uptrend has developed, characterised by a series of higher highs and higher lows.

We like the recent compression in the shorter-term EMAs (red) and bounce from the longer-term EMAs (green). This suggests those active in the stock are willing to bid up dips and that longer-term momentum is becoming more bullish.

We are targeting a move to $6.50.

The post Shares to buy: Boral Limited (BLD) appeared first on Australian Stock Report.

Share this

  Be the first to like this.
 


 

648  559  663  9226 

ActiveGainersLosers
Top 10 Active Counters
 NameLastChange 
 LKO 0.001-0.001 
 MXC 0.076+0.038 
 AUZ 0.045-0.016 
 RFN 0.017+0.003 
 AGO 0.018+0.001 
 THD 0.017+0.005 
 RRS 0.002-0.001 
 MPE 0.0010.00 
 CUL 0.0010.00 
 AVZ 0.165+0.005 
Partners & Brokers