Bargains during lockdown, what's on your shopping list ?

[nztx]

Could it be that Japanese housewives were instead investing offshore? https://www.financereference.com/japanese-housewives/

They could be fairly roubled soon if they were throwing it at the Russian fiat

[Muse]

I don't know of many bargains on the NZX but I do have quite a few on my watchlist. But I am patient and this is sort of my medium term shopping list, nothing I am looking to buy right now

* contact energy: fairly resilient and decent distributor. Already have a decent holding, keen to top up if CEN falls into the mid/low 7's. Wonder if rising interest rates will widen the market's dividend yield expectation and force down the SP, so waiting/hoping for that.
* heartland. Good yielder, already a holder. But wary of rising energy/interest rates creating a stagflationary environment. Macros great for this company now, unemployment probably can only go up from here. On my long term shopping list, or any large drops.
* skellerup. Pretty pricy at $5.50 but outstanding company w/ acceptable yield at spot price. buyer if any large drop eventuates. Think their medical division is about to ramp up.
* HLG. another excellent company & yielder. I think retail has some serious headwinds which will impact it over the next 18 months, and want an attractive entry point if adding a highly cyclical company to my long term holdings
* SUM. Keen to see the RV sector beaten up by negative property sentiment for at least 12 months before increase exposure to this industry
* Vulcan. Will probably have to wait a year or two for metal pricing to revert to mean and earnings to revert to mean as I think current margins are unsustainable. Outstanding company and want to double my holding, just not at current levels.
* Others: If I weren't overweight TRA that would be on my list, looking for weakness in SP over the next 2 years as the used car market normalises. Bought a small stake in genesis in january, yield was too good, but CEN my preferred utility.

I'm content to sit on my cash and will patiently watch to see if normalising market conditions produce drops in the above companies share prices.

[Sideshow Bob]

I am keen on EBOS, albeit not at current prices. Still almost 30% higher than 12 months ago, but has a great track record, well managed and most important is largely in recession proof, or at least a recession resillient businesses - ie healthcare, medical, pharmaceutical and pet. Also still expanding and appears able to integrate and run any purchases that they bring into the fold.

Feeling a bit bearish at the moment. I think capital preservation will be the key.

The other key will be no trying to pick bottoms (smelly fingers and all that) and not buying into a downtrend!

[Beagle]

I don't know of many bargains on the NZX but I do have quite a few on my watchlist. But I am patient and this is sort of my medium term shopping list, nothing I am looking to buy right now....
...I'm content to sit on my cash and will patiently watch to see if normalising market conditions produce drops in the above companies share prices.

Excellent post.

I am keen on EBOS, albeit not at current prices. Still almost 30% higher than 12 months ago, but has a great track record, well managed and most important is largely in recession proof, or at least a recession resillient businesses - ie healthcare, medical, pharmaceutical and pet. Also still expanding and appears able to integrate and run any purchases that they bring into the fold.

Feeling a bit bearish at the moment. I think capital preservation will be the key.

The other key will be no trying to pick bottoms (smelly fingers and all that) and not buying into a downtrend!

Yes I agree 100%. I will bold this up because its really important. Technical analysis is your best friend at times of great uncertainty. Anyone with excess hubris around their fundamental analysis who thinks they can pick a bottom in a downtrend is highly likely to find having smelly fingers is the least of their problems !

[JimmyTrade]

Excellent post.



Yes I agree 100%. I will bold this up because its really important. Technical analysis is your best friend at times of great uncertainty. Anyone with excess hubris around their fundamental analysis who thinks they can pick a bottom in a downtrend is highly likely to find having smelly fingers is the least of their problems !

With limited knowledge of technical analysis of trends I am just dollar cost averaging companies I believe have reasonable strong balance sheets.

Is there something you would recommend to learn how to do technical analysis of charts and a platform to do this ?

[Beagle]

With the knowledge of technical through trends I am just dollar cost averaging companies I believe have reasonable strong balance sheets.

Is there something you would recommend to learn how to technical analysis of charts and a platform to do this ?

DCA is a reasonable strategy at times like this...here's a good thread for you to study https://www.sharetrader.co.nz/showth...ries-and-exits

[JimmyTrade]

DCA is a reasonable strategy at times like this...here's a good thread for you to study https://www.sharetrader.co.nz/showth...ries-and-exits

Thanks for this Beagle.

I will start implementing this. I found a platform called Plus500 which I have been mucking around with since your reply and using the 50 day MA and 200 day MA and it appears Google, Apple, SPY, Meta, Abbott and Adobe (high conviction stocks) are heading into the “death cross” which to my understanding is when the 50 day MA drops below the 200 day MA. Maybe a good time to wait it out until the 50 day MA trends upward and crosses the 200 day MA once again ?

[LaserEyeKiwi]

Tourism stocks (MCK, SKC, THL) may benefit from this expected announcement this week:

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