Latest news with #consumer discretionary
Daily Telegraph
12-08-2025
- Business
- Daily Telegraph
ASX soars on Tuesday after RBA cuts cash rate to 3.6 per cent
Don't miss out on the headlines from Business Breaking News. Followed categories will be added to My News. Australia's sharemarket soared to a fresh record high on Tuesday, after a unanimous decision from the Reserve Bank of Australia to slash the cash rate. The benchmark ASX 200 gained 36 points, or 0.41 per cent, to finish the day's trading at 8,880.80. The broader All Ordinaries also finished the day in the green, up 32.70 points or 0.36 per cent to 9,150.30. The Aussie dollar slipped 0.18 per cent to 65.02 US cents. On an overall positive day eight of the 11 sectors finished higher, led by utilities, consumer discretionary, financials and telecommunications. Eight of the 11 sectors finished higher. Picture NewsWire/ Gaye Gerard. JB Hi-Fi was among the major winners up 6 per cent to $113.85, Aristocrat Leisure was up 1.2 per cent to $70.17 and Breville Group gained 1.32 per cent to $35.24. The big four banks also finished in the green. CBA gained 0.11 per cent to $178.80, NAB jumped 0.95 per cent to $39.19, Westpac gained 0.93 per cent to $34.63 and ANZ outperformed the rest up 2.2 per cent to $31.93. Telstra group closed flat at $4.98, while Car Group soared 5.03 per cent to $39.07 and EVT Limited gained 0.47 per cent to $17.02. Shares jumped during the afternoon's trading following the announcement from the Reserve Bank of Australia cut interest rates from 3.85 to 3.6 per cent. While the move was widely anticipated, financial markets are now pricing at least one more interest rate cut in 2025. IG market analyst Tony Sycamore said share and money markets moved on the assumption of multiple rate cuts. 'Following the RBA decision, the Australian interest rate market is almost fully priced for additional 25 basis point rate cuts in November and March 2026, which would bring the cash rate back to around 3.1 per cent, considered near 'neutral', where rates are neither restrictive nor contractionary.' ASX gains on the back of the RBA rate cut. Picture: NewsWire / Jeremy Piper AMP chief economist Shane Oliver agreed, saying 'expect further gradual easing to 2.85 per cent'. 'The RBA now sees growth recovering more slowly,' he said. 'But with growth forecast to run below potential – judged to be around 2 per cent per annum – until mid next year the risk is that this results in a rising trend in the unemployment rate in the near term, rather than a flat trend as the RBA is forecasting.' In company news, Star Entertainment shares soared 23.60 to $0.11 after announcing it will offload its Brisbane Queen's Wharf precinct for $53m. While Star won't get a large cash injection, the deal eases the burden on the business which would have to cough up its share of the $1.4bn debt tied to the precinct. Shares in Life360 also soared 7.8 per cent to $40.77 after reporting second quarter revenue jumped 36 per cent to $115.4m. Seven West Media shares slumped 6.67 per cent to $0.14 after profits slumped 63 per cent to $16.6m for the 2025 financial year. SkyCity Entertainment closed 0.6 per cent higher to $0.90 after telling the market its Adelaide casino has been found suitable to retain its licence. Originally published as 'Gradual easing': RBA rate call helped lift ASX to record high
News.com.au
12-08-2025
- Business
- News.com.au
Top 10 at 11: ASX opens at fresh highs; small caps push deeper into e-commerce spaces
Morning, and welcome to Stockhead's Top 10 (at 11… ish), highlighting the movers and shakers on the ASX in early-doors trading. With the market opening at 10am sharp eastern time, the data is taken at 10.15am in the east, once trading kicks off in earnest. In brief, this is what the market has been up to this morning. Banks, discretionary push ASX higher The ASX pushed into fresh new highs yesterday, and it's looking like the bourse will be doing the same today. The ASX 200 is 12 points or 0.14% higher in the first hour of trade, making modest gains with 7 of 11 sectors green. Consumer discretionary sector stocks are the main drivers of momentum this morning, with some extra support from the top seven banks (+0.61%) and our All Tech index (+0.37%). It's another sign the Aussie market has decoupled its fortunes from US and European indices, which both moved lower last night. Oil remained flat overnight, hovering around US$66.83 a barrel of Brent while gold futures slid 2.5% to US$3404 an ounce after the White House said tariffs would not be imposed on imported gold bars. Spot gold is trading at about US$3355 an ounce this morning. SMALL CAP WINNERS Code Name Last % Change Volume Market Cap AJL AJ Lucas Group 0.014 133% 21903763 $8,254,378 LNU Linius Tech Limited 0.0015 50% 4649399 $6,501,216 AUA Audeara 0.025 32% 395334 $3,418,753 HPC The Hydration 0.013 30% 736097 $4,308,009 SUH Southern Hem Min 0.037 28% 5600825 $21,350,961 GRL Godolphin Resources 0.014 27% 5408733 $4,937,606 PIL Peppermint Inv Ltd 0.0025 25% 2499992 $4,662,820 PRX Prodigy Gold NL 0.0025 25% 2001571 $13,483,725 LU7 Lithium Universe Ltd 0.0085 21% 20281362 $8,476,857 PR1 Pure Resources Limited 0.18 20% 78279 $6,901,319 In the news... AJ Lucas Group (ASX:AJL) has settled a dispute over a carry agreement relating to UK shale gas exploration licences through subsidiary Cuadrilla Resources Limited, paying a cash sum of £12.5m (about A$26m) and terminating the agreement. Audeara (ASX:AUA) is moving into the Chinese e-commerce space with a licensing agreement through Eastech Holding Limited, a Taiwan-listed company valued at about $350m. AUA will market its hearing technology under a third-party brand to be distributed via a Chinese e-commerce hearing aid provider with a strong online presence across major platforms, offering exposure to millions of potential customers. The Hydration Pharmaceuticals Company (ASX:HPC) is launching two new products this quarter: a metabolic support gut health product already in pre-launch sale, and a brain health product to be introduced later this month. HPC will offer its Hydralite products through Amazon US, targeting a category that generated US$840m in sales on the platform in 2024. Godolphin Resources (ASX:GRL) has materially upgraded the Lewis Pond project's mineral resource, increasing gold 18% to 470koz and silver 31% to 21Moz. GRL reckons there's more room for growth in fresh lodes that haven't been incorporated into the estimate yet, and plans to do more drilling alongside metallurgical testing and a mining scoping study already underway. Lithium Universe (ASX:LU7) has locked in global rights to use Macquarie University's Jet Electrochemical Silver Extraction (JESE) technology, which can selectively dissolve silver from photovoltaic solar cells. The tech extracts the silver while leaving behind aluminium and other impurities, preserving silicon wafers and high-purity silica glass for recycling. SMALL CAP LAGGARDS Code Name Last % Change Volume Market Cap 1AD Adalta Limited 0.002 -33% 80006 $3,338,949 NTM Nt Minerals Limited 0.001 -33% 8000 $1,816,354 RLC Reedy Lagoon Corp. 0.002 -33% 1499998 $2,330,120 C7A Clara Resources 0.003 -25% 800 $2,353,084 HLX Helix Resources 0.0015 -25% 2025000 $6,728,387 SRN Surefire Rescs NL 0.0015 -25% 4000000 $6,457,219 ERL Empire Resources 0.004 -20% 200000 $7,419,566 MOH Moho Resources 0.004 -20% 284500 $3,727,070 FBR FBR Ltd 0.005 -17% 1550133 $34,136,713 RGL Riversgold 0.003 -14% 1 $5,892,994 At Stockhead, we tell it like it is. While Audeara and Lithium Universe are Stockhead advertisers, they did not sponsor this article.
Yahoo
31-07-2025
- Business
- Yahoo
Dear Disney Stock Fans, Mark Your Calendars for August 6
In the consumer discretionary industry, players either evolve or get streamed over. Disney (DIS), the century-old king of castles, cartoons, and cinematic blockbusters, seems to have traded in its glass slipper for a sharper, profit-driven playbook. Earlier this spring, inflation pressures and tariff concerns dragged Disney stock to a 52-week low of $80.10. But Disney pulled a plot twist worthy of its own writers' room — rallying more than 31% in just three months. That comeback didn't happen by accident. As wallets tightened and splurges were shelved, streaming stayed sacred. That stickiness has become a lifeline, and Disney has smartly leaned in where the audience refuses to log out. While Disney+ and its broader digital portfolio account for only about a quarter of total revenue, it has finally entered profitability territory. Subscriber growth may slow with recent price hikes, but the company is clearly prioritizing quality over quantity, and margin over metrics. More News from Barchart Morgan Stanley Says Nvidia Has 'Exceptional' Strength. Should You Buy NVDA Stock Here? 2 Growth Stocks Wall Street Predicts Will Soar 74% to 159% Dear MicroStrategy Stock Fans, Mark Your Calendars for July 31 Get exclusive insights with the FREE Barchart Brief newsletter. Subscribe now for quick, incisive midday market analysis you won't find anywhere else. Now all eyes are on Wednesday, Aug. 6, when the curtain is set to rise on Disney's third-quarter earnings. Analysts expect a $1.47 per-share profit on $23.76 billion in revenue. The report will offer a telling look at how far Disney's transformation has flown, and whether there's still enough pixie dust left to keep the magic alive. About Disney Stock Headquartered in Burbank, California, Disney has grown into a global entertainment empire, mastering the art of storytelling and monetizing it across movies, parks, merch, and now streaming. Taking on Netflix (NFLX) and Amazon's (AMZN) Prime Video, Disney's digital game is heating up. With a $215 billion market capitalization, it's not just making memories — it's shaping the future of entertainment. Disney's chart reads like a comeback script. After bottoming out at $80.10 in April, DIS stock flipped the script and hit $124.69 on June 30. The rally was powered by May's strong earnings report and a broader rebound in risk appetite, with analyst buzz around streaming profits and margin gains adding fuel to the fire. Shares are now up roughly 50% from the April low, marking several new highs in just three months, suggesting momentum has been strong. That momentum, however, has cooled a bit, with DIS stock now consolidating near $120 and sitting below key resistance at $123 — a level where sellers previously stepped in. The RSI sits at a neutral 51.47, suggesting room to move in either direction, while steady volume and price action above key moving averages keep bulls optimistic. Traders are now eyeing a breakout above the 13-week high. With earnings set for next week, the next scene could either power the rally forward or cue a pullback. After a three-year pause, Disney brought its dividend magic back last year, starting at $0.30 in January 2024 and lifting the payout to $0.50 per share by July 23, 2025, now yielding 0.83%. With a modest 16% payout ratio, the company is signaling strength while keeping cash on deck for future moves. That balance of reward and reinvestment is not going unnoticed. On the valuation front, DIS stock trades at 21 times forward earnings and 2.37 times sales. That's still a discount compared to rivals like Netflix and below its own historical norms. A Closer Look at Disney's Q2 Report Disney's momentum is picking up steam under CEO Bob Iger's second act. Since returning as CEO, Iger's strategy reboot is showing results — stronger fundamentals, sharper execution, and a tighter focus on profitability. That progress came into focus after the company unveiled its Q2 earnings report on May 7. The company generated revenue of $23.6 billion, up 7% year-over-year (YOY) and exceeding forecasts. The real mic drop was streaming. While rivals still bleed red, Disney+ and Hulu posted a combined profit of $336 million, a stellar jump from last year's $47 million. Meanwhile, adjusted EPS climbed by 20% annually to $1.45, coming in well above expectations thanks to streaming momentum, packed domestic parks, and Moana 2's home-entertainment firepower. Subscriber count for Disney+ inched up to 126 million. Meanwhile, free cash flow more than doubled to $4.9 billion, and operating cash hit $6.8 billion. Liquidity remained solid with nearly $5.9 billion in cash in hand, underscoring the improved financial resilience of the business. Looking ahead, Disney is not just hoping for a comeback — it is planning one with precision. The company expects adjusted EPS for fiscal 2025 to hit $5.75, marking a solid 16% annual jump. Management is also calling for double-digit operating income growth in its entertainment and sports arms, a clear sign the turnaround is gaining ground. Even its theme parks and consumer products — the legacy engines — are expected to deliver 6% to 8% growth. When earnings hit next Wednesday, Disney+ is also set for modest subscriber gains in Q3, keeping the direct-to-consumer engine humming as Iger's vision continues to unfold. Analysts tracking Disney expect the company's Q3 EPS to surge by 5.8% YOY. Looking further ahead, the company is projected to report a profit of $5.78 per share in fiscal 2025, up 16.3% YOY, with further annual growth of 9.9% to $6.35 per share expected in fiscal 2026. What Do Analysts Expect for Disney Stock? Wall Street is looking at Disney with a fresh pair of Mickey ears. Recently, UBS raised DIS stock's price target to $138 from $120 while sticking to a 'Buy' rating. The firm anticipates strong Q3 tailwinds ahead, pointing to unwavering demand at the parks and a bounce in direct-to-consumer profitability. That combination, they believe, could help Disney keep the earnings growth story alive. Adding to the optimism, JPMorgan also lifted its target to $138 from $130, maintaining an 'Overweight' rating. With Q3 results approaching, the firm highlights that investors are focused on operating income gains driven by both volume and pricing in Disney's direct-to-consumer segment. Theme parks remain a bright spot, and JPMorgan's updated estimates reflect confidence that Disney's key growth engines are gaining momentum. That upbeat tone is not just limited to a few firms. Disney carries a consensus 'Strong Buy' rating overall. Of the 28 analysts covering the stock, 21 advise a 'Strong Buy,' two recommend a 'Moderate Buy,' and the remaining five analysts suggest a 'Hold.' The average analyst price target of $132.32 indicates potential upside of 11% from current price levels. Meanwhile, the Street-high target of $148 suggests that DIS stock can rise by as much as 24% from here. On the date of publication, Sristi Suman Jayaswal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
18-07-2025
- Business
- Yahoo
3 Consumer Stocks with Warning Signs
Most consumer discretionary businesses succeed or fail based on the broader economy. Over the past six months, it seems like demand trends are working against their favor as the industry has tumbled by 4.7%. This performance was disheartening since the S&P 500 gained 4.1%. A cautious approach is imperative when dabbling in these companies as many also lack recurring revenue characteristics and ride short-term fads. On that note, here are three consumer stocks we're steering clear of. Levi's (LEVI) Market Cap: $8.33 billion Credited for inventing the first pair of blue jeans in 1873, Levi's (NYSE:LEVI) is an apparel company renowned for its iconic denim products and classic American style. Why Should You Sell LEVI? Constant currency growth was below our standards over the past two years, suggesting it might need to invest in product improvements to get back on track Demand will likely be soft over the next 12 months as Wall Street's estimates imply tepid growth of 2.6% Diminishing returns on capital from an already low starting point show that neither management's prior nor current bets are going as planned Levi's stock price of $21.18 implies a valuation ratio of 16.6x forward P/E. Dive into our free research report to see why there are better opportunities than LEVI. Sonos (SONO) Market Cap: $1.28 billion A pioneer in connected home audio systems, Sonos (NASDAQ:SONO) offers a range of premium wireless speakers and sound systems. Why Is SONO Risky? Annual revenue declines of 6.3% over the last two years indicate problems with its market positioning Persistent operating margin losses suggest the business manages its expenses poorly Negative returns on capital show that some of its growth strategies have backfired Sonos is trading at $10.70 per share, or 50.8x forward P/E. Check out our free in-depth research report to learn more about why SONO doesn't pass our bar. Wolverine Worldwide (WWW) Market Cap: $1.65 billion Founded in 1883, Wolverine Worldwide (NYSE:WWW) is a global footwear company with a diverse portfolio of brands including Merrell, Hush Puppies, and Saucony. Why Do We Pass on WWW? Annual sales declines of 4.1% for the past five years show its products and services struggled to connect with the market Performance over the past five years shows each sale was less profitable as its earnings per share dropped by 10.5% annually, worse than its revenue Negative returns on capital show management lost money while trying to expand the business At $19.53 per share, Wolverine Worldwide trades at 18.4x forward P/E. To fully understand why you should be careful with WWW, check out our full research report (it's free). High-Quality Stocks for All Market Conditions Trump's April 2024 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines. Take advantage of the rebound by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
