The Impact of News
Old Wall Street wisdom says the following concerning news which comes out about individual listed companies:
- Good news which is expected - causes the share price to drop.
- Good news which is unexpected - causes the share price to rise.
- Bad news which is expected - causes the share price to rise.
- Bad
Karoo
In April 2018 – nearly seven years ago – we wrote an article about Cartrack. At the time we suggested that it was the ideal investment for private investors because it was a service company with debit order income and almost no working capital that was growing rapidly both locally and internationally.
Tweets
Over the Festive Season, we have been communicating with you via our tweets on “X”. The chart below shows the timing of our individual tweets and what subsequently happened to the S&P500 index.
Winners in 2024
2024 was always going to be a very good year for the share market. The year began with the S&P500 at 4742.83 (2/1/24) and it reached an all-time record high of 6090.27 (6/12/24) – a gain of 28,4% excluding dividends.
On the 25th of January 2024 we made the following prediction on Twitter (X):
Pan African Update
Pan African (PAN) is undoubtedly one of our best picks for this year. The share price has doubled in less than 12 months from when we added it to the Winning Shares List (WSL) at the end of January at 430c to last Friday’s close at 861c. Consider the chart:
Mr Price Interims
Almost 6 months ago, on 17th June 2024, we wrote an article about Mr Price (MRP) in which we examined their results for the year to 30th March 2024. These results had been published on the Stock Exchange News Service (SENS) a few days earlier on 13th March 2024 and they were very impressive.
Altron
Allied Electronics better known as Altron, is South Africa’s oldest technology company listed on the Johannesburg Stock Exchange (JSE). Since 1965 it has been providing IT solutions to the economy in various forms. Its customers include more than half of the top 100 companies listed on the JSE. It processes more than 100 million healthcare transactions every year,
Lewis Revisited
Working capital is always a key consideration when looking at a share, because it shows the quality of the company’s management. In simple terms, working capital is the cash tied up in the running of the business and it is calculated as:
Debtors + Cash – Creditors
Obviously,
Trump
I am a stock market analyst, not a political analyst, and I have to admit that I got the recent election in America devastatingly and horribly wrong. I honestly believed that the vast majority of Americans would never vote for Trump. My perception was that were just too many negatives – his proven and almost compulsive dishonesty, his life history of overt sexual perversion, his unashamed
The Great Bull Market
In recent months I have read a number of articles which suggest that the bull trend which is currently in progress on Wall Street began just over two years ago on 12th October 2022, starting from the S&P500 index’s low point of 3577.03 on that date. The technicians who make this assertion suggest that therefore the bull market is still at an early