Fairfax Media Limited

FXJ Details
· Weak outlook: Fairfax Media Limited (ASX: FXJ) stock fell over 4.3% on November 03, 2016 due to the weak update from the group. FXJ stock lost over 15.6% in the last four weeks (as of November 02, 2016) due to weak sentiment on the stock. The group reported that their FY17 year-to-date revenues from continuing businesses fell 6% to 7% as compared to the corresponding period of last year. With regards to the segment business, Domain’s overall revenue surged 2% while their overall digital business surged 11%. New real estate listings in higher value markets in Sydney and Melbourne have witnessed modest improvement in recent months after a weak July. New listings volumes lost 18% in Sydney and 5% in Melbourne to the end of October. Domain’s first half of EBITDA is expected to be slightly below the prior corresponding period. Moreover, Metro Media fell over 8% while Australian Community Media lost over 10%. New Zealand Media lost over 4% due to currency impact while Macquarie Media lost over 1%. On the other hand, the stock may recover in the coming months given the group’s efforts on its diversified portfolio coupled with cost savings steps.

· Recommendation: We recommend a “buy” at the current price of $ 0.77 

Diversified portfolio (Source: Company Reports)

Galaxy Resources Limited

GXY Details
· Mt Cattlin construction will be finished soon: Galaxy Resources Limited (ASX: GXY) stock fell over 4.35% on November 03, 2016 owing to market volatility. On the other hand, the group is continuing their efforts and expects their Mt Cattlin construction to finish soon. Ore commissioning is expected to start two weeks ahead of the revised schedule released in September 2016 while spodumene concentrate production is forecasted to start by November 15, 2016.

· Recommendation: GXY stock is trading at an attractive P/E, while we maintain our “Buy” recommendation on the stock at the current price of – $ 0.33

Mt Cattlin construction (Source: Company Reports)

Disclaimer
 
The advice given by Kalkine Pty Ltd and provided on this website is general information only and it does not take into account your investment objectives, financial situation or needs. You should therefore consider whether the advice is appropriate to your investment objectives, financial situation and needs before acting upon it. You should seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) as necessary before acting on any advice. Not all investments are appropriate for all people. Kalkine.com.au and associated pages are published by Kalkine Pty Ltd ABN 34 154 808 312 (Australian Financial Services License Number 425376).The information on this website has been prepared from a wide variety of sources, which Kalkine Pty Ltd, to the best of its knowledge and belief, considers accurate. You should make your own enquiries about any investments and we strongly suggest you seek advice before acting upon any recommendation. Kalkine Pty Ltd has made every effort to ensure the reliability of information contained in its newsletters and websites. All information represents our views at the date of publication and may change without notice. To the extent permitted by law, Kalkine Pty Ltd excludes all liability for any loss or damage arising from the use of this website and any information published (including any indirect or consequential loss, any data loss or data corruption). If the law prohibits this exclusion, Kalkine Pty Ltd hereby limits its liability, to the extent permitted by law to the resupply of services. There may be a product disclosure statement or other offer document for the securities and financial products we write about in Kalkine Reports. You should obtain a copy of the product disclosure statement or offer document before making any decision about whether to acquire the security or product. The link to our Terms & Conditions has been provided please go through them and also have a read of the Financial Services Guide. On the date of publishing this report (mentioned on the website), employees and/or associates of Kalkine Pty Ltd currently hold positions in:  BHP, BKY, KCN, PDN, and RIO. These stocks can change any time and readers of the reports should not consider these stocks as advice or recommendations.