Category: Sectors

Categories
Shares Small Cap

Improvements in occupancy to be the major driver for driving up G8 revenues

Investment Thesis

  • Trading at a discount to our valuation.
  • With a growing population, the long-term outlook for childcare demand remains positive (organic and net immigration).
  • Increased emphasis on both organic and acquired growth.
  • Increasing exposure to international markets (Asia).
  • Strategic investor China First Capital Group (12.45% stake in GEM) may see a collaborative expansion into the Chinese market.
  • The Company’s national footprint enables it to scale more effectively than competitors and mom and pop shops.
  • A global operator could be interested in acquiring the company.
  • Improve occupancy levels by leveraging – (rough estimates) A 1% increase in occupancy equates to $10-11 million in revenue and a $3 million EBIT benefit.

Key Risks 

  • The company faces execution risk in meeting its FY19 earnings per share (EPS) target.
  • Pricing pressure is being exerted as a result of increased competition.
  • Increased supply in some areas has resulted in lower occupancy rates.
  • Acquisition with a negative impact on value (s).
  • Execution risk associated with offshore expansion.
  • Childcare funding cuts or adverse regulatory changes
  • Australia is experiencing a recession.
  • Dividend reduction

FY21 Result Highlights

  • Revenue of $421.5 million (vs. $308.2 million in CY20 H1 and $429.9 million in CY19 H1) reflects occupancy recovery and the effects of greenfield growth, Victorian Government Covid-19 payments, and the February fee review, offset by divestments.
  • GEM saw an increase in national Core average occupancy to 68.0 percent (from 65.1 percent in CY20 H1), but it remains below pre-Covid levels of 70.4 percent in CY19 H1.
  • Operating EBIT (after lease interest) of $38.9m was up from $19.7m in CY20 H1 (restated) and in line with $38.8m in CY19 H1 (restated), owing to the “benefits of the Improvement Process, February fee review, and greenfield growth being invested in increasing system support and quality.” 
  • The statutory NPAT of $25.1 million was an improvement over the net loss after tax of $244 million.
  • GEM’s balance sheet remains strong, with a net cash position.
  • GEM did not pay an interim dividend, but the Board “expects dividend payments to resume with a full-year CY21 dividend to be paid in CY22.”
  • GEM’s employee remediation programme is well-advanced, with a provision of $80 million pre-tax ($57 million after tax), less costs incurred to date.

Company Profile 

G8 Education Limited (GEM) owns and operates care and education services in Australia and Singapore through a range of brands. The Company initially listed on the ASX in December 2007 under the name of Early Learning Services, but later merged with Payce Child Care to become G8 Education.

(Source: Morningstar)

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

Categories
Technology Stocks

WiseTech FVE Under Review Following Stronger Than Expected Fiscal 2021 Result and Outlook

The firm reported revenue of AUD 508 million which was in line with our AUD 510 million forecast. However, fiscal 2021 EBITDA of AUD 207 million was 22% above our AUD 170 million forecast. Underlying NPAT of 108 million was 19% above our forecast. Management’s comments indicate this margin improvement is unlikely to be lost as the pandemic subsides, as will be the case for some other ASX listed technology companies.

For fiscal 2022, the revenue expected to be between AUD 600 and 635 million as per management provided earnings guidance which is only 5% above our forecasts. However, the EBITDA guidance range of AUD 260 to 285 million is 32% above our forecast. 

Prior to the result, our forecasts assumed a 21% underlying EPS CAGR over the next decade and a terminal P/E multiple of 19. However, over the past seven years, WiseTech’s revenue has grown at a CAGR of 34% and the shares have traded on a P/E multiple of around 100. However, we can achieve a fair value equal to the current market price of AUD 46.50 if we assume an EPS CAGR of 27% over the next decade and a terminal P/E ratio of 27. We will consider the feasibility of such a scenario while the stock is under review.

The company also has a very high customer retention rate and a high and growing proportion of revenue is recurring. These attributes, combined with the very large addressable market and scalable and cash generative business model, means WiseTech has a very strong earnings growth outlook and an incredibly strong balance sheet.

The WiseTech share price initially rose by 58% on the day of the result before falling back to a 28% gain by the close of trading. We expect the share price jump reflects the market’s surprise at the strength of the result and outlook, in addition to the relatively low free float. The intraday volatility also reflects the uncertainty associated with the high-growth earnings outlook, whereby small differences in investor assumptions can have a large impact on the intrinsic value.

Company Profile

WiseTech is a leading global provider of logistics software, and 19 of the largest 20 third-party logistics companies are customers of the firm. The company has a very strong customer retention rate of over 99% per year, and is growing quickly as its global SaaS platform replaces legacy software. The company reinvests around 30% of revenue into research and development, but around 50% of this cost is capitalised, leading to poor cash conversion. Founder Richard White remains CEO and the largest shareholders.

 (Source: Morningstar)

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

Categories
Expert Insights Shares Small Cap

Ampol the Latest to Join the Energy M&A Frenzy with Bid for No-Moat Z Energy

Word equity under magnifying glass --- Image by © Image Source/Corbis

in line with the Ampol’s bid. The decline in value is in accord with the terms of a proposed merger and our prior standalone fair value estimates. Merger and acquisition activity continues at a frenetic pace in the Australasian fossil fuel space, coronavirus fragility and carbon concerns marking some as prey. Ampol is proposing an NZD 3.78 per share cash offer for Z Energy via scheme of arrangement. Australia’s largest refined fuel retailer has been granted a four week-exclusivity period in which to undertake due diligence prior to formalising the offer for its smaller New Zealand counterpart.

The equity issuance may take the form of partial share consideration to Z shareholders. Or Ampol may simply conducting a pro rata entitlement offer to its own shareholders, which would be done following regulatory approval and nearer the date of completion. Ampol may have to sell-down some NZ assets to meet NZ competition guidelines. This could include its Gull network. With Ampol shares falling on the bid news, and Z Energy shares rising but not meeting the bid price, the implication is the market on balance thinks Ampol is paying too much, or at least that the bid won’t succeed. The natural question is how do we reconcile this with our much higher standalone valuation for Z.

Company’s Future Outlook 

Despite there being no certainty that discussions will result in a binding agreement, we think the chance of success is high. The latest is apparently the fourth in a series of nonbinding offers from Ampol, including at NZD 3.35, NZD 3.50, and NZD 3.60 along the way. And there is logic to a merger– Ampol and Z have very similar business models. Z Energy’s board wouldn’t have opened the books if the chance of a deal proceeding was low. At NZD 3.78 Ampol will be getting Z Energy at a material 33% discount to our NZD 5.60 standalone fair value. 

Our formal recommendation for Z shareholders is don’t accept, based solely upon the offer’s material discount to our NZD 5.60 standalone fair value. However, we suspect that advice is likely to prove academic. Z shares rose just over 14% on the day to NZD 3.48, though still 8% below the proposed bid level. They have moved just into 4-star territory from 3-star prior. Z Energy shares have been in the doldrums for over two years given intense retail fuel competition in New Zealand, more recently exacerbated by COVID-19 disruption.

The shares have fallen from a peak of NZD 8.65 and have only recently show signs of life from NZD 2.56 lows. Ampol’s most recent offer price represents a 24% premium to the last NZD 3.04 close. We suspect there is Z Energy shareholder fatigue that might help Ampol’s offer along. However, if Ampol’s bid were to fall over, our stand-alone Z Energy fair value estimate is unchanged at NZD 5.60.

Company Profile 

Z Energy was born of the purchase of Shell New Zealand’s downstream operations by Infratil and the New Zealand Superannuation Fund in 2010. It has since transitioned to New Zealand’s largest stand-alone retailer of refined petroleum products and meets close to half of the nation’s transport fuel requirements, serving both retail and commercial customers. The principal activities of Z Energy are importing, distributing and selling transport fuel and related products. The business has scale and sells a full range of transport fuels.

(Source: Morningstar)

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

Categories
Global stocks Shares

Morgan Stanley: Increasing Capital Allocation to Exemplary and FVE to $85

fintech icon on abstract financial technology background represent Blockchain and Fintech Investment Financial Internet Technology Concept.

James Gorman and Morgan Stanley’s management team have deftly positioned the firm to key financial sector trends through acquisitions. They inked a transformative deal with the acquisition of Citigroup’s Smith Barney that increased Morgan Stanley’s proportion of stable, balance-sheet-light earnings after the enactment of higher regulatory capital requirements. 

Recent acquisitions of E-Trade and Eaton Vance further extend Morgan Stanley’s capabilities and deepen its competitive advantages. E-Trade is a technology firm that offers a leading self-directed brokerage, digital bank, and workplace services business. Eaton Vance is an asset manager that will benefit from Morgan Stanley’s international relationships, while Morgan Stanley’s investment management business can leverage Eaton Vance’s financial intermediary distribution channel and capabilities in environment, social, and governance investing and mass customization of financial products.

Morgan Stanley’s thoughtful acquisitions provide it the scale and scope to effectively compete with the largest financial sector players that are increasingly moving beyond their traditional industry silos. Given synergies and exposure to industry tailwinds, we expect Morgan Stanley’s returns on tangible common equity will increase over time and support the company’s valuation.

Company’s Future outlook

It is estimated that Morgan Stanley’s acquisitions and strategy have led to the increase in its valuation, management’s path to increasing the firm’s valuation to over 2 times tangible book value from 0.5 times in just a decade.” Morgan Stanley plans upgrading capital allocation rating to Exemplary from Standard and increasing fair value estimate to $85 from $70.

Company Profile

Morgan Stanley is a global investment bank whose history, through its legacy firms, can be traced back to 1924. The company has institutional securities, wealth management, and investment management segments. The company had about $4 trillion of client assets as well as nearly 70,000 employees at the end of 2020. Approximately 40% of the company’s net revenue is from its institutional securities business, with the remainder coming from wealth and investment management. The company derives about 30% of its total revenue outside the Americas.

(Source: Morningstar)

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

Categories
Global stocks Shares

CWY’s FY22 Quantitative earnings guidance are expected to have negative monthly impact

Investment Thesis 

  • CWY trades at fair value based on our infused valuation.
  • Earnings are fairly defensive (as the Company has long term rubbish collection contracts with local government).
  • The solids segment is growing at a slightly higher-than-average GDP rate, with the potential to benefit as CWY’s sales team concentrates more on price increases.
  • Liquids and Industrial Services are expected to recover and benefit from high oil prices.
  • A strong balance sheet that allows for bolt-on acquisitions or capital management initiatives.
  • High entry barriers – difficult to replicate assets & solid margin business

Key Risks

  • Its Solids segment performed worse than expected.
  • There will be no or only minor price increases.
  • Liquids and Industrial Services performed poorly.
  • Oil prices are recovering slowly or not at all.
  • China’s National Sword policy imposes additional cost surcharges.
  • Management fails to meet their key segment margin targets.
  • While earnings are largely defensive, there is some exposure to cyclical economic activity, which may be a drag on earnings.

FY21 Result Highlights

  • Net revenue increased by 7.5% to $1,476.3 million; EBITDA increased by 4.4% to $405.3 million; and EBIT increased by $0.3 million to $213.0 million. “FY22 D&A is expected to be higher reflecting full year contributions from acquisitions and municipal contracts that partially contributed in FY21, new municipal contracts that start in FY22 (Logan, Hornsby), the start of operations at the rebuilt Perth MRF, and higher landfill depreciation,” management stated.
  • The reported EBITDA of $48.0m was +4.6% higher. EBITDA margin was 110 basis points higher than in FY20, owing to the successful implementation of the strategy of exiting low-value workstreams. EBIT increased by $1.2 million to $22.6 million, and the EBIT margin increased by 60 basis points to 7.4 percent.
  • EBITDA increased by 3.5 percent to $110.0 million, while margins increased by 80 basis points to 21.5 percent. EBIT increased by 5.1% to $67.6 million, and EBIT margins increased by 70 basis points to 13.2 percent.
  • Covid-19 lockdowns on lower East coast oil collection volumes had an impact on hydrocarbons. Covid-19-related activity at aged care facilities, hotel quarantine, and mass testing and vaccination centres resulted in higher earnings for Health Services.
  • Despite lower volumes from visitor states, hospitality (grease trap), cruise ships, and automobile industries as a result of Covid-19, liquids and technical services earned more than the pcp.

Company Profile 

Cleanaway Waste Management Ltd (CWY) is Australia’s leading total waste management services company. CWY has a nation-wide footprint in solid, liquid, hydrocarbon and industrial services (with ~200 solid, liquid, hydrocarbon and industrial services depots and processing facilities across the country servicing well over 100,000 customers.

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

Categories
Technology Stocks

Cochlear’s Reported Strong FY21 Results

Investment Thesis

  • Benefits from an Australian tax incentive are possible. The patent box tax regime for medical technology and biotechnology, if legislation is successfully passed, should encourage the development of advancement in Australia by taxing corporate income derived from patents at a concessional effective corporate tax rate of 17 percent, with the concession applicable from income years beginning on or after 1 July 2022.
  • Attractive market dynamics – growing population requiring hearing aids, improved health in EM allowing for greater access to devices such as hearing aids, and a relatively emerging real estate market. There is still a significant, unmet, and configurable clinical need for cochlear and acoustic implants, which is expected to underpin COH’s longterm sustainable growth.
  • Positions of global market leadership.
  • Direct-to-consumer marketing is anticipated to accelerate market growth.
  • Best-in-class R&D programme (significant monetary investment), resulting in the continuous development of new products and upgrades to the existing suite of products.
  • New product launches are fueling ongoing demand across all segments.
  • Attractive exposure to Chinese, Indian, and, more recently, Japanese growth.
  • A strong balance sheet position.

Key Risks 

  • Recall of a product
  • In China, a persistent coronavirus outbreak is delaying the resumption of hospital operations.
  • The R&D programme fails to produce innovative products.
  • Intensification of competitive pressures.
  • Modifications to the government’s reimbursement policy.
  • The AUD/USD has experienced negative movement.
  • The emerging market does not recover – this has a significant negative impact on earnings.

Key Results FY21 Highlights

  • Sales revenue of $1,493 million was up 10%, or 19% in constant currency (CC), driven by market share gains, market growth, and rescheduled surgeries following Covid lockdowns. Sales revenue increased by 6% (CC) over the previous fiscal year, which was unaffected by the pandemic.
  • Implant units increased by 15% to 36,456 (up 20% in developed markets and 10% in emerging markets). Implant units increased by 7% over the previous fiscal year.
  • The underlying net profit increased by 54% to $237 million, falling within the $225-$245 million range.
  • The underlying net profit margin of 16 percent was higher than the 11 percent margin achieved in FY20, but it fell short of COH’s longerterm target of 18 percent.
  • Statutory NPAT of $327 million (includes $59 million in patent litigationrelated tax and other benefits and $31 million in aftertax innovation fund gains).
  • The Board declared a final dividend of $1.40 per share, bringing full-year dividends to $2.55 per share, an increase of +59 percent, and a payout ratio of 71 percent of underlying net profit, in line with COH’s target payout of 70 percent.
  • COH’s balance sheet position persists, with net cash of $564.6 million at year end, up from $457 million in FY20.

Company Profile 

Cochlear Ltd (COH) researches, develops and markets cochlear implant systems for hearing impaired people. COH’s hearing implant systems include Nucleus and Baha and are sold globally. COH has direct operations in 20 countries and 2,800 employees.   

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

Categories
Global stocks Shares

Cushman & Wakefield Excellent Recovery in First Half of 2021

20025825 - closeup image of businessman drawing 3d graphics

a boom in the commercial real estate services industry since the nadir of the real estate-driven global financial crisis of 2007. As the third-largest player in the space by market cap, Cushman & Wakefield has benefited disproportionately from various tailwinds that have underpinned an impressive run of growth. Key to this success has been the company’s industry-leading brand reputation and a platform that melds complementary business lines in areas such as property sales, leasing, project management, and outsourcing to serve its corporate and institutional clients.

Although Cushman & Wakefield nominally reports its segments on a regional basis, it also discloses the amount of revenue coming from each business line. Among these, the property, facilities, and project management business is the largest and also the most stable, providing contractual revenue from corporate customers. This business line, which contributes around 54% of companywide revenue, is where Cushman & Wakefield provides many of the services needed by corporations that occupy real estate. 

Finally, the company’s valuation and other business line include several services for corporate and institutional clients, which include appraisals that are used for various purposes. The leasing business line is Cushman & Wakefield’s second largest, contributing around 23% of companywide revenue. In this business line, the company’s brokers work with owners and occupiers of commercial real estate during the leasing process, primarily by executing lease agreements. Similarly, the capital markets business line, which contributes around 14% of companywide revenue, is where brokers facilitate the sale and purchase of commercial real estate property.

Financial Strength

Cushman & Wakefield has somewhat concerning financial health. Commercial real estate is highly cyclical and is subject to significant volatility during downturns, meriting a more cautious approach. Cushman & Wakefield’s higher level of leverage is the result of an aggressive acquisition strategy that has helped cement the firm’s position as a global provider able to compete effectively with CBRE and JLL. In response to the corona virus crisis, Cushman & Wakefield announced it would issue $650 million in senior notes, bringing further attention to its borderline precarious financial situation. 

Bull Says

  • As one of the largest of only a few truly international one-stop shops, Cushman & Wakefield is poised to continue taking share from competitors in a growing industry that increasingly rewards scale.
  • The trend of corporate outsourcing represents a significant opportunity and area of growth for Cushman & Wakefield.
  • Cushman & Wakefield is emerging as an authority on the topic of workplace protocols amid the corona virus era of social distancing, which will allow it to win new outsourcing contracts with major clients.

Company Profile

Cushman & Wakefield is the third largest commercial real estate services firm in the world with a global headquarters in Chicago. The firm provides various real estate-related services to owners, occupiers and investors. These include brokerage services for leasing and capital markets sales, as well as advisory services such valuation, project management, and facilities management.

(Source: Morningstar)

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

Categories
Technology Stocks

AMN Healthcare Fair Value Estimate to be raised to $71

investment stockbroker risk analysis using multiple devices. Financial analysis using phone app and laptop. Market trading profit.

though recent performance represents a new normal. The company’s fair value estimate has been raised on narrow-moat AMN to $71 per share, up from $55 previously. Labor shortages and resumed healthcare utilization kept revenue up this quarter. Management’s third-quarter guidance provides some clarity for 2021 results, suggesting a sharper decline in the third quarter, which will stabilize in the fourth quarter.

Nursing and Allied revenue fell only 5% sequentially this quarter due to lower nursing volume and bill rates, offset by higher allied revenue. This decline was less than anticipated due not only to lingering COVID-19-related activity but also a thin labor market. A resurgence in patient volume combined with nurse burnout and resignations may limit further declines after third quarter, too. 

Physician and leadership solutions was down 1% sequentially, as COVID-19-related demand mostly ceased in the first quarter, while demand for physician and leadership search remains strong due to vacancies. Technology and workforce solutions grew by 6% sequentially, and the SaaS business should continue its rapid growth, though at a reduced pace as the firm exhausts its lower-hanging partnership opportunities. Gross and operating margin percentages remained stable from the first quarter. 

Company’s Future Outlook

It is expected margins to steadily improve over the next few years, as the technology and workforce solutions segment will be a major driver of margin improvement, eventually overtaking physician and leadership solutions as the second-largest segment. AMN’s recent surge is consistent with the cyclical nature of this business, and is not believed this year represents a suitable point from which to anchor forecasts. Prior history shows that the firm does extraordinarily well during years of growth when need is high but it quickly reverts to baseline industry growth in the years thereafter.

Company Profile

AMN Healthcare Services Inc (NYSE: AMN) is the largest healthcare staffing company in the United States. In 2019, it placed almost 10,000 nurses and allied healthcare full-time workers with provider clients nationwide. About two thirds of its business is generated from its temporary nursing division; the other third is generated from its physician placement and technology-backed workplace solutions divisions.

(Source: Morningstar)

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

Categories
Global stocks Shares

Auckland Airport Taxis on the Runway with 2% Increase in FVE

with wide-moat Auckland Airport’s annual result offering fiscal 2022 guidance on what the airport will spend (on capital programs), but no guidance on what it will earn (for example revenue from passengers). Fair value estimate increases 2% to AUD 6.70 for the Australian listing due to time value of money. The shares screen as fairly valued at current levels. The New Zealand government has indicated that once vaccination rates increase, the plan is for a phased reopening, so long as that remains supported by the medical science.

The more cautious response to the pandemic in Australia and New Zealand means restrictions are unlikely to be largely removed until midway through fiscal 2022, a further recovery in the economy, consumer confidence in long-haul travel to rebuild, and a reigniting of the logistics needed to support mass travel, including travel agents, tour operators, business conferences, and so on.

The experience elsewhere in the world supports this view, with other highly vaccinated developed markets gradually removing restrictions. The pandemic’s notoriety was elevated in 2020 with the outbreak of corona virus on the Diamond Princess, but even the cruise industry has now restarted services in parts of the world. The company’s base case remains that virus concerns eventually fade, and passengers get back on board boats and airplanes.

Company’s Future outlook

It is believed that the air travel will recover to pre-pandemic levels. Air New Zealand’s fiscal 2021 domestic passenger capacity averaged a respectable 77% of pre-pandemic levels. Across the Tasman, Qantas was slower for the year, due to more frequent restrictions in Australia. However in the fourth quarter, a period which was relatively virus and restriction free nationwide, Qantas achieved domestic passenger traffic at 95% of pre-pandemic levels. Admittedly domestic travel in both nations was likely boosted by the inability to travel abroad. However, this is largely offset by the absence of international travelers taking domestic flights, especially in New Zealand, where nearly all international arrivals enter the country through Auckland Airport.

Company Profile

Auckland Airport is New Zealand’s largest airport, handling 21 million passenger movements in fiscal 2019, approximately 70% of the country’s international visitors. It owns 1,500 hectares of land, and hosts ancillary commercial services, including retail and duty-free, car parking, hotels, warehouses, and offices. Substantial development opportunities could bring its capacity up to nearly 26 million passenger movements per year anticipated by 2026, as well as adding capacity in the ancillary services offered. It also has a minority stake in the small but fast growing Queenstown airport on New Zealand’s south island.

(Source: Morningstar)

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

Categories
Dividend Stocks Expert Insights

MFG’s reduced the performance fee for the FY21

Investment Thesis

  • Principal Investments have the potential to become a significant contributor to group performance in the medium- to long-term.
  • Due to the recent de-rating, MFG no longer trades at a significant premium to its peer group.
  • Acquisitions may help to pave growth runways, easing the Company’s fund capacity constraints.
  • The average base management fee (bps) per annum (excluding performance fee) remains stable, but fee pressures pose a risk to the downside (which is an industry trend not specific to MFG alone).
  • Strategic  growth performance, particularly in the global and infrastructure funds.
  • Increasing amounts of money are being managed.
  • New strategies could significantly increase the addressable market and aid in the maintenance of earnings growth.

Key Risks 

  • Fund performance has declined.
  • The risk of potential fund outflows – both retail and institutional – (loss of a large mandate).
  • Acquisitions carry a high level of execution risk.
  • Crucial quality man risk exists in the immediate vicinity of Hamish Douglass and key management or investment management personnel.
  • New strategies fail to generate significant earnings for the group.

Key Result of FY21

  • Adjusted revenue was $699.1 million, largely unchanged from the prior year, with the Funds Management business continuing to perform well (management and service fees increased by 7% to $635.4 million).
  • Profit before tax and performance fees in the Funds Management business increased by 10% to $526.6 million, driven by a +9% increase in average FUM to $103.7 billion (total net inflows of $4.5 billion).
  • The Board declared a dividend of $1.141 per share (75 percent franked) for the six months ending 30 June 2021, consisting of a final dividend of $1.026 and a quality fee dividend for the year of $0.115 per share, bringing total dividend payouts for the year to $2.112 per share, down -2 percent over pcp, and announced a share buyback plan to allow stockholders to reinvest their dividends at a 1.5 cents rate.

Company Profile 

Magellan Financial Group Ltd (MFG) is a specialist funds management business. MFG’s core subsidiary, Magellan Asset Management Ltd, manages ~$53.6bn of funds under management across its global equities and global listed infrastructure strategies for retail, high net worth and institutional investors.

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.