Transpaco packs a punch

Good Morning Voornaam,

With a new Ghost Wrap episode due tomorrow, make sure you're up to date with the latest from Grindrod, Impala Platinum, Merafe, Resilient, NEPI Rockcastle, Santam and Sun International by listening to this show. It needs less than 6 minutes of your time! Ghost Wrap is brought to you by Mazars.

If you have your own business, then I have very exciting news. You should be familiar by now with bizval, where I've helped build a tool that brings professional valuation techniques within reach of small business owners. Gone are the days of valuations being hugely expensive things of great mystery. In fa ct, we've simplified the process so much that there is now a free valuation tool available. You need to answer just a handful of questions to get an indicative valuation of the business you've built. Find it here>>>

Unlock the Stock is back this Thursday with Barloworld joining the platform at midday. This is a wonderful opportunity to ask questions directly to the CEO of this company. It's rare indeed for a large cap to invest time in retail investors, so don't miss out. Attendance is free provided you register at this link. Unlock the Stock is made possible by the support of A2X.

With provisional tax deadlines upon us, Grovest recently hosted a webinar on how the Twelve B Green Energy Fund can help reduce your provisional tax burden. The recording is available on YouTube at this link>>>

Speaking of recordings, last week's fireside chat with TreasuryONE was a great success. The engagement was fantastic and we discussed many important topics around the rand, interest rates and the broader macroeconomic environment. The recording can be watched here>>>

What do Caterpillar and Home Depot have in common?

Aside from both being solid global companies that we like from a long-term perspective, they now both feature o n Magic Markets. We are trying something new in the free show, where each of the presenters (your favourite ghost and Mohammed Nalla) bring a few insightful facts about a company to the show for discussion. I chose Caterpillar and Moe chose Home Depot. You only need 20 minutes to enjoy this episode>>>

Transpaco packs a punch

There haven't been many good news stories on the local market this year, let's face it. Transpaco is one of them, flagging HEPS growth of between 16% and 22% for the year ended June. The share price jumped accordingly, although low levels of liquidity mean that the traded multiple is still modest. That's arguably an opportunity.

Other earnings news on Friday wasn't nearly this pretty, with Libstar and especially Sibanye-Stillwater giving details of significant drops in earnings. The beauty (and cruelty) of the markets is that mushrooms and platinum group metals can hurt you at the same time, with no relationship between the two.

Finally, it looks like another listing is on the way out. Emira wants to take Transcend Residential Property Fund private. The really interesting thing is that the price on the table isn't at a premium to the current traded price.

Along with the earnings news, I explain why that is the case in Ghost Bites this morning. Read it here>>>

Back below R19.00 - but will it stick?

TreasuryONE notes that the rand has once again shown resilience, moving below R19.00 against the dollar. With BRICS and the Jackson Hole events this week, all the ingredients are there for volatility. News also did the rounds of a local MPC member stating that further rate hikes can't be ruled out, which may have boosted the rand.

TreasuryONE has also flagged the equity / bond ratio that is well above the trend. It sits at 40%, which isn't quite at the 50% level that has been a useful signal of potential reversals but is still an elevated level. Simply, this is an indicator that US stocks may be due a correctio n.

From my perspective, there have been many reasons to believe this to be the case, which is why I moved from equities to cash some weeks ago. We will see how it plays out.

Have a great start to your week!

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