Buy Hold Sell, by Livewire Markets

Small caps are in a bear market: Here’s what to do now

Remember in early 2021 when investment experts were talking about a "Goldilocks" scenario for markets - that is, when global economies were going from strength to strength, earnings seemed to be going through the roof, and stocks pushed investors' portfolios to lust-worthy heights? 

Well now, Goldilocks has well and truly been discovered by the three bears, with major indices around the world crashing in a risk-off market. 

While the Aussie large-cap index is in correction territory, the S&P/ASX Small Ords Index has suffered far worse, having fallen more than 25% year to date. Anything more than a 20% fall from a peak is considered a bear market. 

So how are the professionals navigating this difficult environment for small caps? Glad you asked. 

Livewire's Ally Selby was joined by Medallion Financial's Michael Wayne and Hayborough Investment Partners' Ben Rundle for their top tips on how to do exactly that. 

They share whether they have been buying the dip or selling the bounce in recent months, how much cash they are holding right now in portfolios, the signals they are watching, and six stocks for when markets rebound. 

Note: This episode was filmed on Wednesday 12th October 2022. You can read an edited transcript below:

https://www.livewiremarkets.com/wires/small-caps-are-in-a-bear-market-here-s-what-to-do-now 

Buy Hold Sell: 3 of Australia’s hottest stocks (and 2 actual buys)

According to those who act with the utmost decorum, there are three subjects that should never be breached at the dining table: religion, politics, and stocks. 

Why? Well, the first two have been widely covered. As for the last subject on that list, by the time your dinner guest, co-worker, and neighbour are talking about a stock, most of the good news is probably (definitely) baked in. 

So in this episode, Livewire's Ally Selby was joined by Hayborough Investment Partners' Ben Rundle and Medallion Financial's Michael Wayne for their analysis of three stocks the market can't stop talking about right now (for all the wrong and some of the right reasons).  

Plus, our fundies also name one underrated stock that you should probably be talking about instead. 

Note: This episode was filmed on Wednesday 12th October 2022. You can read an edited transcript below:

https://www.livewiremarkets.com/wires/buy-hold-sell-3-of-australia-s-hottest-stocks-and-2-actual-buys 

Buy Hold Sell: 2 big buys (and why fundies are split on tech’s next steps)

After a stellar decade for the dazzling technology sector, these long-duration stocks have fallen back down to earth, taking many an investor's portfolio down with them (this anonymous writer's portfolio included!). 

The local tech index is well and truly in a bear market, having sunken nearly 30% since the beginning of the year. The NASDAQ 100 has suffered a similar fate, also falling 30% over the same time period. 

But with many stocks down as much as 90% since the start of 2022, is tech now the fertile hunting ground both Growth and Value investors are searching for? 

For the last of our sector specials of Buy Hold Sell, it's a Value versus Growth face-off - with Livewire's Ally Selby joined by Investors Mutual's Lucas Goode and Market Matters' James Gerrish for their outlook on the tech sector.

They also analyse three tech darlings - Altium, Megaport and Tyro Payments - and each name their top tech picks for the year ahead.  

Note: This episode was filmed on Wednesday 28th September 2022. You can read an edited transcript below:

https://www.livewiremarkets.com/wires/buy-hold-sell-2-big-buys-and-why-fundies-are-split-on-tech-s-next-steps/ 

Buy Hold Sell: Why healthcare still needs some reviving (and 2 strong buys in the sector)

While healthcare was clearly the lifeblood of the Aussie market over the last decade, the last two years have seen many of these long-term compounders barely register a pulse. 

Sure, pathology players like Sonic Healthcare (ASX: SHL) and Healius (ASX: HLS) benefited from the COVID-19 crisis, but many other favourites slumped with elective surgeries on ice and stimulus payments injected into economies.

So what have the professionals taken away from the last two years of investing in this sector? And now the COVID-19 panic is calming down, could some of the harder-hit healthcare stocks come back to life? 

In the second of our Buy Hold Sell sector specials, Livewire's James Marlay was joined by two stock surgeons - Alphinity's Stuart Welch and WILSONS' Melissa Benson - for their outlook on the sector, as well as the headwinds (and tailwinds) that are swelling as we speak. 

Plus, they also analyse three healthcare favourites and each name a strong buy within this sector right now. 

Note: This episode was filmed on Wednesday 28th September 2022. You can watch read an edited transcript below. A note that Melissa works on the "sell" side and Stuart works on the "buy" side of markets.

https://www.livewiremarkets.com/wires/buy-hold-sell-why-healthcare-still-needs-some-reviving-and-2-strong-buys-in-the-sector/ 

Buy Hold Sell: Why fundies are bullish on energy (and 5 cracking stocks)

We're back, baby. And this time, we're trying something a little different. With multiple headwinds lashing markets at the moment, the team here at Buy Hold Sell thought it would be worthwhile taking a look at some of the sectors that are storming ahead (and those that are, let's face it, being battered). 

In this episode, it's all things energy. This sector has truly been able to withstand much of the volatility of tumultuous 2022, with some commodities (and related stocks) thundering to new highs thanks to unprecedented inflationary forces. 

So Livewire's Ally Selby was joined by two sector specialists - Tribeca Investment Partners' Todd Warren and Monash Investors' Simon Shields for their outlook on the fulgurous energy sector. 

Plus, they also analyse three energy plays, both old world and new, as well as each naming one of their top energy picks to take advantage of sky-high prices right now. 

Stay tuned for two more sector specials next week (spoiler alert: you'll be learning about the two biggest growth sectors of the past decade - can you guess what they are?). 

Note: This episode was filmed on Tuesday 27th September 2022. You can read an edited transcript below: 

https://www.livewiremarkets.com/wires/buy-hold-sell-why-fundies-are-bullish-on-energy-and-5-cracking-stocks/ 

Buy Hold Sell: 5 industry-leading micro caps

When you think of industry leaders, large caps probably come to mind. Think iron ore giant BHP, biotechnology behemoth CSL, or global logistics software provider WiseTech. 

But that's not to say there aren't bourgeoning industry leaders within the micro-cap end of the market. In fact, many small stocks have already made a name for themselves, and have become the go-to for their products and services on the global stage. 

So in this episode, Livewire's Chris Conway was joined by 1851 Capital's Chris Stott and Yarra Capital Management's Joel Fleming for their analysis of three micro-cap stocks making serious strides. 

Plus, our fundies also each name one micro cap with an enviable market position. 

Note: This episode of Buy Hold Sell was filmed on Wednesday, 14th September 2022. You can read an edited transcript below:

https://www.livewiremarkets.com/wires/buy-hold-sell-5-industry-leading-micro-caps/ 

2 winning stocks (and how rising costs impact those micro caps in your portfolio)

Rising costs have become a major theme to come out of the August reporting season, with both inflation and the soaring cost of capital weighing on companies' balance sheets. 

So which stocks can continue to survive and even thrive in this environment? 

In this episode, Livewire's Chris Conway sits down with Stott and Fleming for their outlook on the future path of interest rates, as well as whether the capital needed by many micro and small caps has dried up. 

Plus, they also name two stocks that can pass on these rising costs, as well as two that will likely continue to suffer. 

Note: This episode of Buy Hold Sell was filmed on Wednesday, 14th September 2022. You can read an edited transcript below:

 

Buy Hold Sell: 3 micro-cap buys (and 2 facing headwinds)

After a few months of episodes at the top end of town, the team here at Buy Hold Sell thought we would take a trip along the road less travelled. 

Why? Well, micro caps are often under-researched, undervalued and underappreciated by investors. This means these stocks can potentially produce outsized returns - far greater than those seen in the large-cap end of the market. 

But not all micro caps are created equal. These companies are often far less transparent, far less liquid, and can carry a hell of a lot more risk. 

So in this episode, Livewire's Chris Conway makes his Buy Hold Sell debut alongside 1851 Capital's Chris Stott and Yarra Capital Management's Joel Fleming for a look at three undiscovered micro-cap gems. 

Plus, they also each name one much-loved micro-cap with serious headwinds on the horizon.  

Note: This episode of Buy Hold Sell was filmed on Wednesday, 14th September 2022. You can read an edited transcript below: 

https://www.livewiremarkets.com/wires/buy-hold-sell-3-micro-cap-buys-and-2-facing-headwinds/ 

Buy Hold Sell: 5 of your top stock picks

If there is one thing this anonymous writer can take away from the comments left on this very platform, not to mention our Meet the Investor series, it's that Livewire's readers seriously know what they are talking about.

Many of you have been investing for years, if not decades - and a large majority of you have done it all on your own (without the help of a financial services professional).

Given that reporting season is now behind us, as well as the volatility that we have seen in markets of late, we thought it would be wise to ask Livewire readers which stocks they would like to see covered on Buy Hold Sell.

So in this episode, Centennial Asset Management's Matthew Kidman was joined by abrdn's Michelle Lopez and First Sentier's David Wilson for their analysis of five of your top stocks.

Many thanks to all the readers who sent stock requests, particularly Wendy, Lisa, Walter, Chris, and Fred, whose picks ended up being selected for this episode. We are keeping the remaining stock picks in our back pocket for future episodes.

Note: This episode of Buy Hold Sell was filmed on Wednesday, 30th August 2022. You can read an edited transcript below:

https://www.livewiremarkets.com/wires/buy-hold-sell-5-of-readers-top-picks/ 

The 10 best management teams this reporting season

We investors are told time and time again that a company is nothing without a great management team. That founder-led businesses often far outperform those with hired suits. That leaders who continue to exceed expectations are a rarity - and thus, invaluable. 

Considering the mess of a market in which we find ourselves, Aussie companies have proved themselves to be "resilient" - resulting in a relatively "beige" reporting season this August. 

So which companies have truly come out on top? And why does having the right management team make all the difference?

In this thematic episode of Buy Hold Sell, Centennial Asset Management's Matthew Kidman was joined by abrdn's Michelle Lopez and First Sentier's David Wilson for 10 of the country's best management teams this reporting season, including leaders from the financial, tech, materials, healthcare and industrial sectors. 

Note: This episode of Buy Hold Sell was filmed on Wednesday, 30th August 2022. You can read an edited transcript below:

https://www.livewiremarkets.com/wires/the-10-best-management-teams-this-reporting-season/