ASX earnings & outlook observations along with a look at broader market movements. FLT, DUG, EOS and DRO are looked at today.
LAST UPDATE – 10:55AM
AFTER THE MARKET OPEN
The move appears to be on in the Lithium stocks. The lithium price has started to move higher. It’s very early days and the trend remains firmly down but the large short positions in many of the Lithium stocks means movements will be sharp.
source: ASX Short Positions – Stocks Under The Hood
FLIGHT CENTRE (ASX:FLT)
https://www.flightcentre.com.au/
As is always the case with ASX:FLT, the focus is on the 2nd half outlook.
All in all it looks like they continue to deliver on their promises. Profitability is increasing faster than the top-line I’m guessing due in large part, to having closed so many shop-fronts during Covid.
Market doesn’t love the result though for some reason. The shares are currently down 6% in early trade.
BEFORE THE MARKET OPEN
The US market rose last night. I saw a headline questioning the relevance of the Dow Jones as an index. I have to agree, it seems redundant and doesn’t seem to reflect the broader market on a day-to-day basis.
Source: https://stocksunderthehood.com/resources/us-sector-performance/
The short-term trend for Uranium seems to have broken.
No such problems for Bitcoin
The Australian futures market suggest the ASX will open up 21 points.
Let’s look at some more company reports out today.
Dug Technology (ASX:DUG)
https://dug.com/
It will be interesting to see how the market responds to this. ASX:DUG has had a huge run into this result. They’re clearly in a strong growth upswing, so much so that they’ve incurred some costs using 3rd party capacity. Nevertheless, a lack of guidance makes it tricky especially when the stock has had such as strong run up to this result. It sounds like it’s a 2nd half-story but they won’t really say so.
Electro Optic Systems (ASX:EOS)
https://eos-aus.com/
Still losing money but improving quickly. Those finance costs are a killer. I hope they can / have addressed that.
No outlook given. They’ve probably learned from the past when they’ve been inclined to disappoint the market.
All in all, there shouldn’t be too many surprises here as ASX:EOS do update the market on a quarterly basis and last did so only last month.
Droneshield (ASX:DRO)
https://www.droneshield.com/
Impressive numbers but there is nothing new here that hasn’t already been reported to the market.
The order book looks a bit light-on. Hopefully they can convert a good chunk of that pipeline otherwise the 2023 result will be hard to match.
Disclaimer: This information is provided purely for educational purposes. It takes no account of an individual’s personal financial circumstances and hence can in no way constitute financial advice. The above data may be subject to errors or inconsistencies for which the author takes no liability. It is imperative that all investors do their own research or if they need advice, seek it from a qualified financial adviser.
Wed Feb 28, 2024