| Good morning Voornaam, Well done - you've made it to five days in a row of work. It's been a while since you had to do that!
We saw a really interesting day of local company news yesterday, so buckle up. I'll start with AB InBev, where sales trends suggest that you might be choosing alcohol-free beers this weekend. It's amazing how quickly things are changing in that space.
In the paper and packaging industry, the divergence in performance (and share price) between Mondi and Sappi is extraordinary. They both released numbers yesterday and the Sappi share price promptly disappeared into oblivion, while Mondi closed higher. It's a tough sector that is very difficult to forecast with any accuracy.
I prefer steady growth stories to cyclical stocks, which is why I was excited to see an update from Prosus / Naspers. I'm long and I am starting to think I should be longer (more long?) - either way, it's looking good.
Another local growth stock is Lesaka Technologies. The underlying business is moving in the right direction, but they still have quite a mountain to climb in terms of debt.
In further updates (I told you that it was a busy day), KAL was negatively impacted by fuel prices and Gemfields is digging for better quality emeralds again. Finally, enX is missing loadshedding, as they are one of the businesses that invested to address a consumer need that suddenly disappeared.
These details and the Nibbles are available in Ghost Bites at this link>>>
Have you ever wondered about the nuts and bolts of an ETF and how it can track so many stocks at a low cost? Lauren Jacobs, Senior Portfolio Manager at Satrix, joined me on the latest Ghost Stories podcast to talk about what a day in her life looks like. It's a fascinating look at how ETFs actually work and what the different ways are to replicate an index. I enjoyed recording this podcast and you'll also enjoy the end result at this link>>>
You can also enjoy the latest episode of No Ordinary Wednesday, the excellent Investec podcast that is hosted by Jeremy Maggs. It features Annelise Peers and Richard Cardo in a discussion on US exceptionalism and the potential in alternative markets. Get it here>>>
Warren Buffett is famous for a reason. The latest Magic Markets podcast was a lovely opportunity to dig into some of the recent nuggets from Omaha, where Buffett was his usual entertaining and insightful self, before surprising everyone (including his successor, Greg Abel) with the news that he will be stepping down as CEO at the end of this year. Learn more here>>>
DealMakers is back today with the usual excellent summaries of local M&A, local corporate finance and deals in Africa. Importantly, they've also made the Q1 South African M&A analysis available, so don't miss that!
Finally, as you plan your diary next week, keep space open for Astoria on Unlock the Stock on 15th May at 12pm. Attendance is free as always, but you must register here>>>
Have a great day and we will see you on Sunday for Weekender! |
|---|
|
|---|
| SATRIX: A Day in the Life of a Portfolio Manager at Satrix |
|---|
|
|---|
| | | Ever wondered how the nuts and bolts of ETFs work? What goes into index tracking and making sure that it is achieved at the lowest possible cost? And are all indices created equal from a complexity perspective?
Lauren Jacobs (Senior Portfolio Manager at Satrix) shows you what a day in the life of a portfolio manager looks like.
Get ready to learn and be inspired at this link>>> |
|---|
|
|---|
| GHOST WRAP: April's droppers and whoppers |
|---|
|
|---|
| There may have been many public holidays in April, but that didn't stop the market from reacting to the broader geopolitical turmoil. With recession concerns as a key theme, which stocks did well and which ones delivered a nasty drop? This podcast is an overview of recent big share price moves among larger local companies on the JSE, revealing some interesting trends. Ghost Wrap is brought to you by Forvis Mazars. You can find the recording and the transcript at this link>>> |
|---|
| |
|---|
| GHOST BITES - Making sense of SENS on the local market |
|---|
|
|---|
| | | A busy day of news saw Mondi and Sappi release results with very different share price outcomes. AB InBev's numbers tell a story of consumer trends. Look out for Prosus/Naspers, enX, Gemfields, KAL and Lesaka Technologies as well. Get the details in Ghost Bites>>> |
|---|
|
|---|
| Unlock the Stock - CA Sales Holdings |
|---|
|
|---|
| In the 51st edition of Unlock the Stock, regular attendee CA Sales Holdings returned to the platform to talk about the recent performance and strategic focus areas for the group. The recording of the management presentation and interactive Q&A is available at this link>>> |
|---|
| |
|---|
| DOMINIQUE OLIVIER - The IVF pioneer the world (almost) forgot |
|---|
|
|---|
| | | Science doesn’t just progress in laboratories. It unfolds in the margins, shaped by the people, politics, and institutions around it. The story of IVF, when told in full, reminds us that breakthroughs are often born twice: once in the petri dish, and again in the public imagination. Dominique Olivier explains how IVF was really developed in this piece>>> |
|---|
|
|---|
| INVESTEC PODCAST: USE Inc - a superpower stumbles |
|---|
|
|---|
| | | With the recent global markets turmoil, driven by US President Donald Trump’s tariffs policies, questions are being asked about the future of US exceptionalism. Jeremy Maggs hosts this episode with Annelise Peers and Richard Cardo of Investec. Get the insights in this podcast>>> |
|---|
|
|---|
| International Business Snippet: |
|---|
|
|---|
| Market punters will sometimes joke that a stock is a "doughnut" if it is going to zero. Krispy Kreme is starting to write its own jokes, with the doughnut company's share price down nearly 75% in the past year. The plan was to start selling the doughnuts at McDonald's (because exactly what you need with your next McMega Super Calorific Experience is a doughnut), but that doesn't appear to be working so well. This could be because anybody washing down a McD's with a Krispy Kreme doughnut isn't living long enough to be a repeat customer.
Jokes aside, the health trend is here. You can see it in AB InBev's numbers and so many others as well. Is a doughnut company really where you want your money?
In further food news, Restaurant Brands International missed first-quarter earnings and revenue estimates. In this case, it's less about the product range and more about general pressure on consumer spending in the past quarter.
This week in Magic Markets Premium, we've covered Waste Management. This company probably isn't on your radar, yet it represents a solid utility-style investment profile with a wide moat. As our subscribers will find out in the research, you need to pay a beefy multiple for that profile. But is it still appealing? |
|---|
|
|---|
| Magic Markets: Mesh.Trade - Unlocking Private Markets |
|---|
|
|---|
| | | Magic Markets: As the recent trend in IPOs and delistings on public markets tells us, an increasing number of companies are looking to private markets for their capital raising needs. This means that retail investors are being shut out of these opportunities, which is particularly problematic as these early-stage opportunities usually offer the highest potential returns.
Mesh.Trade is committed to increasing access for investors, which is why the platform is designed to enable issuers to raise debt and/or equity funding.
Connie Bloem joined us to talk about why access to good quality private assets is so important in the South African market. To learn more, listen to this podcast>>> |
|---|
|
|---|
| Macroeconomic indicators and IG Markets macro update |
|---|
|
|---|
| Global markets have responded positively to the newly signed US-UK trade agreement, with US and European futures climbing alongside most Asian equity markets. The comprehensive deal reduces tariffs, expands American export opportunities, addresses critical sectors including automotive and steel, and reinforces supply chains - representing a significant advancement in the countries' trade relationship. Attention now shifts to upcoming US-China trade discussions scheduled for this weekend.
The dollar has found strength following the announcement, while gold prices have begun to decline as the stronger currency and reduced safe-haven demand (following trade negotiation progress) impact the precious metal.
China's crude oil imports for April showed a 7.5% year-over-year increase despite slowing from March levels, driven by sanctioned shipment deliveries and strategic stockpiling during refinery maintenance periods. Oil markets are poised to close the week higher on an improved demand outlook.
The South African rand has weakened slightly against the stronger dollar but remains near its firmest levels since March. The JSE All-Share Index is expected to open with modest gains this morning.
Key Indicators: USD/ZAR R18.24/$ | US 10yr 4.38% | Gold $3,328/oz | Platinum $987/oz | Brent Crude $63.35
As often as practically possible, insights from the IG Markets morning macro update by Shaun Murison will be featured here. Where this isn't possible, only indicators will be provided. If you want to learn more about trading, refer back to The Trader's Handbook, a podcast series that takes you through many of the important principles in trading. |
|---|
|
|---|
|
|
