reporting season

One of the most surprising outcomes from the better-than-expected August reporting season was the strong performance of consumer discretionary retailers, as Australians continued to weather higher interest rates and inflation better than many analysts had feared.

With reporting season already revealing earnings misses, valuation pullbacks are creating opportunities in high-quality small caps, according to DNR Capital’s Sam Twidale. Investors should look through short-term risk and select from sectors where fear and uncertainty prompt mispricings.

From shorting banks to going long on software and putting cash on the throne, fund managers give their thoughts on near term opportunities with reporting season in the rear view mirror.

A dramatic reporting season saw over 40 per cent of companies surprise to the upside, less than 30 per cent disappoint and a third fall in line with expectations.

See what the brokers say about Australia’s largest bank and mining entity this reporting season.