Jsedirect With Simon Brown

Simon Shares SAB Zenzele Kabili trading at R180, at least 3x fair value? Local GDP for the first quarter was 1.1% QoQ. Kinda middling. Stor-Age* (JSE code: SSS) results. Thungela Resources (JSE code: TGA) lists. AdaptIT (JSE code: ADI) gets an improved offer from Volaris - 700c. Life Healthcare (JSE code: LHC) bouncing again because of the Alzheimer drug. But it a very long road. Sirius Real Estate (JSE code: SRE) results were excellent. * I hold ungeared positions. Upcoming events; 24 June ~ JSE Power Hour: Rand ~ stronger for longer Options, futures and CFDs Options (warrants on the JSE) Complicated Risk is only 100%. Right to buy or sell. Not much offered in SA. Long or short, depending on if call or put. Can trade on Safex, but institutional size trades only. Futures Exchange-traded Equity, indices, commodities, currencies & agriculture. Long or short. Interest charge and dividends built into the price. Require a Safex broker. You can lose more than you started with. Contract for Difference

Offshore / U.S. economy added 559K jobs in May and unemployment fell to 5.8% / G7 nations set the minimum global corporate tax rate at 15% / AMC issues shares above the current share price / Biden expands blacklist to 59 Chinese companies / Apple staff back to work 3 days a week, starting September Local / Volaris ups offer to AdaptIT to 700c / Sibayne Stillwater to buy back 5% of shares / SARB selling their stake in African Bank / Famous Brands results / Prosus to buy Stack Overflow of US$1.8billion / Mark Barnes sells up to half his Purple Group shares

Simon Shares Sibanye Stillwater* (JSE code: SSW) announced they'll buy back 5% of their shares. Shoprite* (JSE code: SHP) exits Nigeria. AdaptIT (JSE code: ADI) gets an upgraded offer from Huge (JSE code: HUG) but still likes the 650c cash from Volaris, even as that is below the independent board's fair value of 700c - 909c. Barloworld (JSE code: BAW) completes R1billion sale of motor retail unit and will also, in time, sell its Avis car rental and leasing business. Brent oil is above US$70 for the first time since early 2019. OPEC+ says it will maintain its policy of gradually increasing supply. A very strong trading update from Standard Bank (JSE code: SBK). Banks locally have risks, but look cheap, I have a position in the Satrix Fini ETF* JSE code: STXFIN).* I hold ungeared positions. [caption id="attachment_29849" align="aligncenter" width="888"] Fini15 ~ weekly[/caption] A new ETF to rule them all Manage your money like a rock star Upcoming events; 24 June ~ JSE Power Hour: Why the Rand will be st

Simon Shares Somebody buying Metrofile (JSE code: MFL). Started late on Tuesday, sending it almost 13% on the day and holding Wednesday. Mediclinic (JSE code: MEI) paid £432m for 29.9% of Spire Healthcare (LSE code: SPI) in 2015. They're now supporting a buyout from a third party valuing that stake at £287.8m. Healthcare stocks earnings remain under pressure as elective surgery remains limited. Afrimat (JSE code: AFT) to acquire R650m manganese mining rights. Gold above US$1,900 and even with Rand strength (currently 13.85) we're finally seeing gold in ZAR moving a little higher. No change to the repo rate at last weeks MPC meeting. All the excitement was that the next move will be up, but we knew that. Of more interest is that the govoner talks bout 4.5% rather than the 3%-6% range. He always has but it seems MPC will based rate decisions on that 4.5%. * I hold ungeared positions. Upcoming events; 27 May ~ JSE Power Hour: Manage your money like a rock star! 01 June ~ ThinkMarkets: Key points to investin

Simon Shares Santova (JSE code: SNV) were very solid and they are now truly a global logistics business. Distell (JSE code: DGH) announced that Heineken wants a 'majority' stake in the company. Details are scant with major shareholders being PIC and Remgro (JSE code: REM) both just over 31%. But does the majority mean they want the cider business or +50% of the shares which would trigger a mandatory offer to minorities? This of course after Heineken threatened to take their beer and go home last year during the alcohol ban. hmmm, wasn't it just last year Heineken was hating on us so much they was canceling projects and threatening to take their beer and go home .. — Simon Brown (@SimonPB) May 18, 2021   Balwin (JSE code: BWN) & Calgro M3 (JSE code: CGR) results both showed a tough year. But I like this space. Calgro offering its units at the R500k price point (R4,000 monthly bond costs) while Balwin starts at a little under R1million to around R2million. So different markets. Redefine (JSE code: RDF

Offshore / US inflation / Disney results / US pipeline shut down due to ransomware attack / UK rejects (softly) Bidens plan for global corporate tax rate / Chinese industrial production and retail sales due Monday Local / Naspers / Prosus share swap / Raubex results / Ascendis swaps debt for assets / Clicks buys Pick n Pay pharamacy business / Cape Town airport has best month since lockdown, still 40% down from 2019 / Long4Life results and NAV discount

Simon Shares Raubex (JSE code: RBX) results saw the second half record HEPS of some 110c after a loss in the first half. The previous full-year, 2020, HEPS was only 161.7c, so the business is looking good. That said, lots of debt and the expanding order book needs to be converted into profit. Transaction Capital (JSE code: TCP) results see the dividend returning. A super-strong trading update from Lewis (JSE code: LEW) with HEPS more than doubling. At the time of their interim results, they paid a dividend of 133c when the stock was around 2400c. If they can do a 250c dividend (should be easy?) the forward dividend yield sits at around 8%. US inflation data spooked higher than expected, even considering the April base effect. April Consumer Prices +4.2% and Core CPI +3%, highest since 2009. Used cars (stimulus cheques?) were +10% and made up a third of the core CPI increase. Fed will do nothing. Ascendis (JSE code: ASC) has announced they've reached a deal with debt holders. Basically, they're swapping the c

Offshore / US jobless claims below 500k, lowest since pandemic started. But overall employment slips to 6.1%, up from 6% in March. / Janet Yellen says rates will need to rise / ECB Official Calls for Accepting Inflation Overshoot / Saudi Aramco Q1 profits +30% / Gold +$1,800 Local / Moodys skips reviewing SA credit rating / MTN update / Sibanye Stillwater update / Kaap Agri results / Karooooo results / Anglo American gets coal demerger shareholder approval

Simon Shares Purple Group* (JSE code: PPE) now has 1million clients across all platform. A wowzer number. What an incredible milestone achieved today. Across all platforms & partners we've reached 1 million registrations. @CapitecBankSA @SATRIX_SA @BidvestBankSA @EasyEquities hard to describe how grateful I am to all you #invstr legends that challenge us to rise each day.

Offshore / April a green month for US indices / Palladium almost $3k and copper almost $10k / Knock out results; Microsoft, Apple, Alphabet & Amazon / US Q1 GDP +6.4% / Biden 100 days Local / Resi10 the main local index green in April (midCap & Property did well) / Gilbertson quits Gemfields / Tongaat update, just misses debt reduction targets / Steinhoff to list Pepco in Warsaw / Astral update / AdaptIT needs another week to decide on the two offers

Simon Shares Revego* (JSE code: RVG) was supposed to list today but has delayed their listing. I applied for allocation as I like the business model of renewable energy with guaranteed inflation-linked off-take agreements. They invest into operational renewable asset and are targeting a 8%-10% dividend yield, based off the 1000c listing price. * I hold ungeared positions. Total world ETF from CoreShares Cache This: Gadget insurance Upcoming events; 06 March ~ JSE Power Hour: Finding income in JSE listings Subscribe to our feed here Subscribe or review us in iTunes JSE protections With the Revego listing delayed the money I put into the book build last Thursday has not been seen since. The company was supposed to issue a SENS on Monday and list on Thursday, but we heard nothing until Thursday morning. It has been delayed by a few days. What struck me was that I was not worried about the chunk of money that I had put into the book build and which I have not see or heard from in a week now. The reason

Simon Shares South African inflation was 3.2% in March 2021. Pick n Pay (JSE code: PIK) results show it was all liquor and tobacco that was the pain as it was off 31%. Karooooo (JSE code: KRO) has returned after exiting as Cartrack. The market seemed confused as it opened at 6500c, it is now trading R480. Still well off the adjusted highs f over R900 as everybody got all excited about the Nasdaq listing. Long4Life (JSE code: L4L) hints at possible unbundling as it looks to unlock shareholder value. I'm confused, they were just consolidating by buying up businesses? I held them but sold early in the pandemic as they were so small in my portfolio and weren't doing much with their cash. Absa (JSE code: ABG) loses their CEO. Cell C reports R5.5billion full-year loss. Horror story and I never understood what Blue Label (JSE code: BLU) saw in the business. PSG results without Capitec* (JSE code: CPI) and they're buying back their preference shares. * I hold ungeared positions. Upcoming events; 22 April ~ Introd

Offshore / Coinbase lists / China Q1 GDP 18.3% / Reports Jack Ma will divest from Ant Group / Gold looking strong, but miners lagging (Rand strength?) / Just more than half of U.S. adults have gotten at least one COVID-19 vaccine dose ~ CDC Local / Rand strength / Karoooo lists on Wednesday / Capitec results / EOH looking better / Sasol goes green / Local CPI later this week

Simon Shares New Global ESG ETF from Sygnia. Anglo American (JSE code: AGL) to list their coal assets, Thungela Resources. Comair has finally been delisting from the JSE and shareholders will receive 4.26c per share. * I hold ungeared positions. Upcoming events; 15 April ~ Everything ETFs and tax-free investing Subscribe to our feed here Subscribe or review us in iTunes Capitec and Purple Group (EasyEquities) results Two stocks that I own; Purple Group* (JSE code: PPE) and Capitec* (JSE code: CPI). Both with really good results and I'll go into the numbers in detail. Capitec monthly chart since listing Purple Group monthly chart since listing JSE – The JSE is a registered trademark of the JSE Limited. JSE Direct is an independent broadcast and is not endorsed or affiliated with, nor has it been authorised, or otherwise approved by JSE Limited. The views expressed in this programme are solely those of the presenter, and do not necessarily reflect the views of JSE Limited.  

Offshore / New highs for S&P500 & Nasdaq / Yellen wants global minimum corporate tax rate / Semi conducter chip shortage continues to hurt production / China slaps Alibaba with $2.8 billion fine in anti-monopoly probe / Goolge pushes back on WFT, wants staff back in the office from September Local / Prosus sells another 2% of Tencent / Purple results / IMF says local GDP 3.1% in 2021 and 2% in 2022 / Anglo exits SA coal by setting up a new JSE-listed miner / 650c Cash offer for AdaptIT / Pick n Pay update

Simon Shares Prosus (JSE code: PRX) selling another 2% of Tencent. Purple* (JSE code PPE) trading update for six months ending February. HEPS of about 0.85c. They did 1.54c HEPS for full-year ending August after a loss in the first half last year. So this period showing slower growth. Growthpoint (JSE code: GRT) announced that their healthcare fund tops R3.2bn with Cintocare Hospital acquisition. The JSE is investigating PPC (JSE code: PPC) trades amid insider trading suspicions as the share moved ahead of the announcement last week. The IMF now says SA’s economy will grow faster at 3.1% in 2021 and 2% in 2022, but it will take over two years to recover from the 7% collapse we saw last year. Janet Yellen wants all countries to have a minimum corporate tax rate. * I hold ungeared positions. Upcoming events; 15 April ~ Everything ETFs and tax-free investing Subscribe to our feed here Subscribe or review us in iTunes Selling to early This is a problem for both traders and investors. Part of the problem

Simon Shares PPC (JSE code: PPC) have made a deal with their DRC lenders. They potentially owed US$175million but now are only on the hook for US$16.5million. This stock was 60c in November and is now around 240c. Renergen* (JSE code: REN) says helium concentration is +3%. But reference the US has the current best concentration level at 0.35%. Sabvest (JSE code: SBP) results show a discount to net asset value (NAV) of some 50%. Add to this PSG (JSE code: PSG), Remgro (JSE code: REM), Naspers (JSE code; NPN) and Prosus (JSE code: PRX) discounts all in the order of 40% or more. The market is clearly hating on holding companies? Back in the day, a 30% discount was a lot, 15% about the average, and at times PSG has been at a premium to NAV. Ever Given is free, but shipping rates remain elevated as they were before Ever Given got stuck. MPC no change to rates, but changes to Q1 GDP and the vote. Goldman analysts say go long on Russia, South Africa stocks. Bank of America Securities conference on investing in SA h

Offshore / S&P500 closes at all-time high, Nasdaq still 6% off highs / US Personal Spending fell 1.0% in February, slightly more than expected, but January spending was revised upward by a full percentage point to 3.4%. / Ever Given remains stuck in Suez Canal / Intel to build new silicon chip fab plants for $20bn / Tencent results / WeWork to go public, via a Spac, with $9bn valuation Local / CPI 2.9% for Feb and MPC no change / Magda Wierzycka quits as Sygnia CEO / AdvTech results / Old Mutual results / Remgro results overshadowed by 40% discount to NAV / Goldman analysts say go long on Russia, South Africa stocks

Simon Shares AdvTech* (JSE code: ADH) solid results in a tough market. Vivo Energy (JSE code: VVO) issued an update on Moroccan industry review and seems it's back to square one. Resilient (JSE code: RES) results not the horror show expected. Aveng (JSE code: AEG) wants to do another rights issue, again at 1.5c and raise R100m. Tencent solid results. Ever Given gets stuck in the Suez Canal. February local CPI at 2.9%. * I hold ungeared positions. Upcoming events; 15 April ~ Everything ETFs and tax-free investing Subscribe to our feed here Subscribe or review us in iTunes Why all the panic? A small rise in US ten-year treasury yields and a little inflation and suddenly it is the end fo the world for markets. Inflation is likely to move higher in the US as the stimulus money gets spent. This is different from the stimulus after 2008/9, which went to banks who hoarded it and stuck it into markets. This time money goes directly to consumers who'll send the money. But the Federal Reserve is happy that stru

Simon Shares Shoprite* (JSE code: SHP) delivered really strong results for the six months ending December. Shoprite daily chart[/caption]Purple* (JSE code: PPE) is up some 20% in the last ten days. A buyer has arrived and thanks to low liquidity they're moving the price. Good update from AdVTech* (JSE code: ADH) and results fro Stadio (JSE code: SDO) while Curro (JSE code: COH) was modest. Seems tertiary education was the winner and schools are under pressure but longer-term a sector I like. Astral (JSE code: ARL) update. TSA travel numbers are hitting their highest levels since lockdown started. Still only about half what they were before lockdown but the US is vaccinating and opening up. This while Europe looks to be starting the third wave and locally nobody will give/sell us any vaccines. So globally this re-opening is going to be very lumpy with the US and UK seemingly winners in the vaccine front (ironic after they were losers on the pandemic front).  Sun International (JSE code: SUI) nothing to writ