Australian Stock Report - Share Tips

Share to buy - Toll Holdings Ltd

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Publish date: Fri, 30 Jan 2015, 02:07 PM
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Toll Holdings (TOL) will sell five underperforming businesses, estimated to raise around $100m.

We hail this as an improvement for operations and we're now more confident the company can achieve its potential.

Toll has an under geared balance sheet and as there is no need to reduce debt.

Toll Holdings graph

 

As such, we suspect that there could be a capital return on the top of monetising the company’s Singapore oil & gas supply base.

On the technical front, TOL is displaying all the characteristics we would want to see.

We have a solid bullish structure place, with the shorter-term EMAs crossed higher and the price action above the longer-term EMA filter, which is positive.

Momentum is strong and amid an environment where yield plays are attractive, Toll Holdings fits the bills and should press higher.

We're targeting a move towards $6.80.

 

The post Share to buy – Toll Holdings Ltd appeared first on The Best Shares to Buy.

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