| As winter draws to a close, Dis-Chem has confirmed what Clicks has already told has - fewer South Africans bought cold and flu medication this year. With most of us working from home at the height of the lockdown, schools closed and increased wearing of masks and washing of hands, there was less demand for over-the-counter medicines. Of course, where the discount pharmacy chain did score was on increased sales of Covid-related products, including hand sanitisers and face coverings. It also says the pandemic has accelerated our shift to online consumerism. Dis-Chem made no mention of an interim dividend in a trading update yesterday, after deferring its final dividend in May due to the uncertainty the pandemic has created. Two companies that are paying final dividends are Lewis and Italtile. They both reported yesterday and seemed pretty upbeat despite the toll Covid-19 has taken on their earnings. Imperial Logistics isn't paying a final dividend but also says it's well positioned to capture new opportunities that arise in this market. As the pandemic rages on, leaving in its wake a trail of consequences much more long lasting than the physical ailments of the virus, it has become clear that we will all need to support each other if we are to rebuild. A renewed sense of community has been ignited in our collective psyche. And feeling like a community is important because robust, connected communities are the cornerstone of engaged societies. You are part of that community - through your engagement on iHIVE, you are connected to a broader South African community that is working towards building a stronger, more stable society for us all. Click HERE to donate. I hope you have a good day. Stephen Gunnion Managing Editor, InceConnect
Recent notes of topical interest from Ingham Analytics In "Rolling in the Deep....." issued on 14 August, the point was made that it is more likely that Brent will get weaker in absolute terms whilst WTI is more likely to be range bound. Oil has indeed trodden water. The advice was that ExxonMobil was the better bet than say BP or Shell - in fact, the latter two have dropped dividends whilst ExxonMobil has affirmed it'll maintain dividends. On 20 August, Ingham Analyst issued "Stimulus surge takes the sting out of Covid-19" but posed the question, could there be in fact a sting in the tail? On 24 August "Fed fortune cookie follies" didn't pull any punches about the Federal Open Markets Committee of the US Federal Reserve". The practical trading strategies are well-worth a read if you haven't done so already. On 11 August, in "Iron ore up, all else down" (ahead of full-year results), Ingham Analytics said that "there is an element of perfection pricing in BHP" and "based on our more conservative projections the share price is full". Indeed, since then the price in Sydney and Johannesburg has fallen. But, earnings in F2021 could be much higher if spot prices on iron ore prevail - so, maybe some more juice to squeeze. "Going, going for a song" on Sasol, issued on 5 August, remains a popular download - the recently issued Weekly also made some trenchant remarks worth taking on board. | 