Equity Strategy
February Reporting Season: The Bounce Back
Thu 18th February, 2021

As we approach the halfway point of the February reporting season, the clear trend is that corporate Australia has bounced back strongly over the second half of CY20, with the improving domestic economy translating into improved earnings and dividends.

Domestic consumer discretionary businesses have done well and global businesses exposed to either commodities or housing have also posted solid results. We estimate around half of all results are beating market estimates, compared to around one-third in August 2020.  In our weekly view on Australian equities we explore:

  • The 3 distinct factors driving earnings upgrades
  • The improving dividend outlook
  • COVID-19 losers seeing stronger price performance
  • 4 key trends shaping reporting season
  • Share key company comments

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    This document has been prepared by Wilsons Advisory and Stockbroking Limited (AFSL 238375, ABN 68 010 529 665) (“Wilsons”) and its authors without consultation with any third parties, nor is Wilsons authorised to provide any information or make any representation or warranty on behalf of such parties. Any opinions contained in this document are subject to change and do not necessarily reflect the views of Wilsons. This document has not been prepared or reviewed by Wilsons' Research Department and does not constitute investment research. Wilsons makes no representation or warranty, express or implied, as to the accuracy or completeness of the information and opinions contained therein, and no reliance should be placed on this document in making any investment decision. Any projections contained in this communication are estimates only. Such projections are subject to market influences and contingent upon matters outside the control of Wilsons and therefore may not be realised in the future. Past performance is not an indication of future performance.

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    Written by

    John Lockton , Australian Equities

    John is a leading investment strategist with 20 years experience.

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