| Good morning Voornaam,
Highlights in this edition of Ghost Mail:
Metair has appointed a new CEO Northam Platinum increased production significantly Microsoft is worth more than Apple Recap the most interesting recent JSE news in Ghost Wrap, brought to you by Mazars
Local company news:
In Ghost Bites this morning, you'll find only two major stories.
The first relates to Metair, which could well be the unluckiest company on the JSE. A new CEO has been appointed. Hopefully, this will bring some stability to the company and perhaps a change in fortunes.
The second is Northam Platinum's production update, reflecting substantial year-on-year growth in the six months to December. Purchases from third parties more than doubled!
Get all the details you need on these stories in Ghost Bites at this link>>>
For a really useful recap on recent JSE news, you need just a few minutes of your time to listen to the Ghost Wrap podcast. Brought to you by Mazars, the first episode of 2024 covers Merafe, Pick n Pay, Frontier Transport and PGM duo Tharisa and Northam Platinum. Check it out here>>>
International company news:
Make sure you've checked out Dominique Olivier's excellent piece on the safety culture at Boeing (or lack thereof).
It's worth noting that we recently covered Boeing in Magic Markets Premium, a subscriber-only research platform that brings deep analysis on global companies at a price that retail investors can afford. For just R99/month, there's a huge library of content to enjoy and a new report every week. It really is the best investment you can make - an investment in your knowledge!
If you've followed international investing news over the past year, you'll know that the "Magnificent Seven" have been all the rage. This is effectively the evolution of FAANG, taking into account two more companies and allowing for the fact that Facebook and Google changed their listed names to Meta and Alphabet respectively!
Of course, the big miss in FAANG was the lack of an "M" in the acronym - mainly because many didn't see the ongoing growth in Microsoft. When a company is so huge, it's risky to assume that growth can carry on at a high rate. Despite this, investors make that assumption with Apple.
If you look at Apple over the past decade, you'll find that a vast component of the share price growth was due to valuation multiple expansion rather than earnings growth. Don't get me wrong, earnings have moved higher, but the share price story has been because investors are willing to pay far more per dollar than a decade ago.
Now, over the next decade, which horse do you back to grow earnings rather than rely on further multiple expansion?
For me, Microsoft is the answer. A headline about Microsoft surpassing Apple as the world's most valuable company last week didn't shock me. Microsoft's business is magnificent.
Yesterday I joked about "in Jamie Dimon we trust" when it comes to US banks. In tech, I believe even more strongly in Satya Nadella and the strategy at Microsoft. In fact, if I could pick just one company to hold forever, it would be that one.
For more international company news, the Magic Markets podcast is a wonderful way to keep expanding your knowledge. In the latest episode brought to you by data and automation specialists B2IT, we covered two brands that might have been a feature of your festive shopping lists: Pandora and Swatch. Although they arguably have similar models at first blush (jewellery / watches direct to consumers), the share price charts couldn't be more different over the past year. To find out why, listen to the show here>>> |
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| READ: Boeing, Boeing, Gone!
(by Dominique Olivier) |
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| With Boeing in the news again for all the wrong reasons, Dominique Olivier shows the dark side of M&A and how the quest to cut costs can lead to tragedies.
This is a great article and an important read. |
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| Currencies, commodities and rates: TreasuryONE Market Update It was a quiet day yesterday, with the US out of the picture as they celebrated Martin Luther King Day. There wasn't much liquidity as a result and markets traded sideways.
The big news of the day came from Germany, where we now know that their economy has entered a recession. Growth printed at -0.3%. This obviously raises questions around how the ECB will factor this into rate decisions this year.
Brent Crude is back down at $77 per barrel after looking to break above $80 last week, so that's good news for South African consumers. Gold was flat for the day, trading at around $2,052. |
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| LISTEN: Magic Markets podcast |
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| In Episode 157 of Magic Markets, we dived into the recent results and strategic drivers at Pandora and Swatch. Although they are effectively adjacent to each other in the speciality retail space, the share price performance couldn't be more different in the past year.
Why is that the case? Find out in this podcast brought to you by international data and automation specialists B2IT. |
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| LISTEN: What to do with those festive savings
with Siyabulela Nomoyi of Satrix |
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| | | Saving and investing over December - January isn't easy. To keep you inspired, Siya joined me to cover a wide range of ETF topics - along with some tips of how to keep those goals going over this period of endless spending! |
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| READ: Letter from the Editor - from Cape to Clarens |
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| | | A roadtrip across South Africa is always a treat. Of course, it's also a way to see what is really going on out there.
I wrote about my experience from Cape Town to Clarens (and back again!) |
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Disclaimer
Our content is intended to be used and must be used for informational purposes only. You must do your own analysis before executing any investments or strategic decisions, based on your own circumstances. We do not provide personalised recommendations or views as to whether an investment approach or corporate strategy is suited to the needs of a specific individual or entity. You should take independent financial advice from a suitably qualified individual who gives due regard to your personal circumstances.
Whilst every care is taken, we accept no responsibility or liability for any errors or omissions in any of our content.
The views, thoughts and opinions expressed in our content belong solely to the author or quoted individuals and/or entities, and not necessarily to the author's employer, organisation, committee or other group or individual, or any of our affiliates or brand partners. |
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