AFF Member Stock Discussion

[RSD]

The world is moving into a bit of chaos with oil and copper dropping sharply @RSD.
If iron ore and coal both tank Australia will be wishing it had banked some of the good times post Covid.
Meanwhile we had Judo get hit with a wall of sellers. That one is JDO.

Yes indeed - and in January DT pleaded for OPEC+ to raise oil production to lower prices - and now the Saudis are delivering that with spades and big smiles on their faces as they know that WTI at $56.20 like it is as I write this will force a lot of U.S. oil production to cease as the Permian fields etc need WTI at $70 to be profitable enough for companies to keep drilling new wells.

AUQ is a share that seems to defy logic, science, the copper price and the share market - and it does the head in of its shareholders - not helped by its management probably being the worst communicators of any company on the entire ASX.

There is certainly a massive amount of chaos doing the rounds at the moment - and there are plenty of flashpoints appearing at the moment that could add massively to the chaos - India-Pakistan, Israel-Iran, etc

The problem with Australia is that we are governed by people whose thinking is governed by election cycles - and until that changes then Australia is going to continue to go backwards in real terms.

I wonder how the penguins are going in their trade negotiations with the U.S. to get their 10% tariff rescinded?

 

[RSD]

The biggest problem facing the world at the moment is that these seems to be a complete lack of understanding of macro economic fundamentals amongst the current leadership in the U.S.

 

[Quickstatus]

We are up on PLT

Theyto depend on solar and battery loans and novated leases which might get a boost as Albo wants to subsidise batteries

 

[ramamba]

depend on solar and battery loans and novated leases

Solar and battery has always been their smallest vertical. The main ones are personal and automotive is by far the largest. Personal also includes unsecured auto lending. They started as direct to consumer, but now most originations are via broker and partner network.

Plenti PLT needs to make a lot more money out of their loan portfolio. Growth is one thing but profitability is the winner.

Agree. Growth should be good with NAB partnership, but since NAB is bearing credit risk margins would remain skinny. They also historically had this selective targeting of 'prime' borrowers, certainly helped them in 2020.

One thing that puzzled me was the founder stepping down last year, I don't think it was well telegraphed to the market. He is still on the board though.