Site menu

Search by ticker code:
Generic filters


Search by ticker code:
Generic filters

Search by ticker code:
Generic filters

Santa rally takes S&P/ASX 200 (INDEXASX:XJO) to 10-month highs: G8 Education (GEM) impresses

Here’s today’s The Match Out report from Market Matters’ James Gerrish. Key point: the S&P/ASX 200 (INDEXASX: XJO) finished up +0.84% to 7,489.10.

Markets @ MiddayListen here at lunchtime or find all Market Matters Podcasts on Spotify.

The bullish sentiment returned to the market today, storming higher to levels not seen for 10 months.

All sectors took part in the rally with the laggard, Staples, still up by more than 0.5%, though Utilities, Tech and Consumer Discretionary were the key winners.

Energy was also a standout following attacks in the Red Sea overnight, disturbing supply routes.

  • The ASX 200 finished up +62pts/+0.84% at 7489.
  • The Utilities sector (+1.82%) was best on ground, followed by Tech (+1.13%) and Consumer Discretionary (+1.13%).
  • The worst sector was Staples (+0.53%)
  • The RBA released the Minutes from their December meeting, the comments were mostly hawkish with some discussion around a hike at the meeting a fortnight ago. Bond yields and the AUD rose on the back of the news, but equities largely brushed the update.
  • G8 Education Ltd (ASX: GEM) +13.57% surged on strong guidance thanks to improved costs in the 2H. More on that below
  • Origin Energy Ltd (ASX: ORG) +3.24% edged higher after increasing their stake in UK energy retailer Octopus. They will pay $530m, taking their share to 23% following the company’s latest round of fundraising.
  • Azure Minerals Ltd (ASX: AZS) +1.65% directs have unanimously recommended a $3.52/sh cash bid from Chile’s SQM and Australia’s Gina Rinehart. Gina has taken a significant interest in the junior lithium space, potentially the start of several deals to play out here.
  • AGL Energy Limited (ASX: AGL) +0.55% signed off on a 500MW battery in the Hunter as part of their
  • Iron Ore was flat in Asia but the big miners were strong, Fortescue Ltd (ASX: FMG) closing above $28 for the first time.
  • Gold was marginally weaker, though gold equities largely took part in the rally.
  • Asian stocks were soft as well, Nikkei -0.7% and Hang Seng -0.88%
  • US Futures are all largely unchanged



G8 Education (GEM) $1.13

GEM +13.57%: two month highs for the childcare centre operator today, G8 Education provided 2023 guidance that was better than expected.

They now see Operating EBIT at $99-102m and NPAT at 62-64m, coming in ~5% ahead of consensus on both fronts.

Occupancy had improved marginally since the company’s October Investor Day, however, it appears cost control was the main driver for the improved performance which includes divesting or cutting a number of underperforming sites.

The guidance shows a marked improvement from the first half where G8 posted operating NPAT of just $19.6m.

G8 Education (GEM)

Broker Moves

  • Rural Funds Group (ASX: RFF) Reinstated Buy at Moelis & Company; PT A$2.40
  • Pilbara Minerals Ltd (ASX: PLS) Cut to Sell at Citigroup Inc (NYSE: C); PT A$3.90
  • IPH Ltd (ASX: IPH) Raised to Buy at CLSA; PT A$9.05
  • Carnarvon Energy Ltd (ASX: CVN) Raised to Outperform at Macquarie Group Ltd (ASX: MQG)
  • Neuren Pharmaceuticals Ltd (ASX: NEU) Raised to Buy at Bell Potter; PT A$27
  • Link Administration Holdings Ltd (ASX: LNK) Cut to Reduce at CLSA; PT A$2.26
  • Iress Ltd (ASX: IRE) Rated New Hold at Jefferies; PT A$8.64

If you’re reading this article on Rask, chances are, you’re in the market for passive income. Whether you’re in retirement or growing your assets — income matters!

So how’s this: our team at Market Matters has delivered a 15.3% return from our Income Portfolio*.

How does that happen? I can tell you, it’s not by chance.

In our brand-new free investing report — we break down “the good, the bad & the ugly”, reviewing the standout ASX income stars, as well as analysing our underachievers.

Get an inside look at our key investments and understand our strategies around nurturing winners and managing laggards. The free report will also cover detailed insights into our approach for trimming, holding, or even doubling down.

As investors continue to look for strong income performance, in a turbulent market, this is a free report not-to-be missed. 

Simply click here to get my free report and take your income investment strategies to the next level.

Information warning: The information on this website is published by The Rask Group Pty Ltd (ABN: 36 622 810 995) is limited to factual information or (at most) general financial advice only. That means, the information and advice does not take into account your objectives, financial situation or needs. It is not specific to you, your needs, goals or objectives. Because of that, you should consider if the advice is appropriate to you and your needs, before acting on the information. If you don’t know what your needs are, you should consult a trusted and licensed financial adviser who can provide you with personal financial product advice. In addition, you should obtain and read the product disclosure statement (PDS) before making a decision to acquire a financial product. Please read our Terms and Conditions and Financial Services Guide before using this website. The Rask Group Pty Ltd is a Corporate Authorised Representative (#1280930) of AFSL #383169.

*Active Income Portfolio FY 23 of 15.36% achieved between 01/07/22 to 30/06/23.

At the time of publishing, the author or their clients may have a financial interest in some of companies or securities mentioned.

Powered by

Skip to content