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Live ASX Coverage – Monday, May 12
Welcome to our live coverage of the Australian Securities Exchange (ASX) for Monday, May 12. We are trialling this format for more immediate updates, so please refresh the page to stay informed. Your feedback is welcome here.
Webjet’s Block Trade Confusion
In a surprising turn of events, BGH Capital, a private equity firm, attempted to acquire a substantial 5% stake in Webjet, amounting to approximately 19.6 million shares. However, the effort fell short as sellers reportedly demanded a higher price, leading BGH Capital to secure only 1.8% of the stake. Analysts speculate that the firm may be attempting to obtain a blocking stake in anticipation of an upcoming takeover bid.
Source: The Australian
FleetPartners Reports Positive 1H25 Results
FleetPartners has released an encouraging interim result for the first half of FY25, highlighting key financial indicators as follows:
- Assets Under Management: Increased 6% to A$2.3 billion.
- New Business Writings: Decreased by 17% to A$370 million.
- Net Profit After Tax: Achieved A$38.9 million, slightly above guidance (A$37.5 million – A$39.5 million) and consensus estimates (A$37.1 million).
- On-Market Buyback: The board has approved a buyback programme of up to A$25.3 million for the second half of FY25.
- Impact from US Tariffs: FleetPartners does not anticipate any immediate effects from the new US tariff policy.
- Operating Expense Forecast: Reiterated at A$91 – A$92 million for the full year.
Source: ASX Announcement | FleetPartners (FPR)
Broker Upgrades and Downgrades
So far, there has been a calm morning with a few notable broker rating changes:
- Catalyst Metals: Upgraded to Buy from Hold, with a target price increase to A$7.05 from A$6.30.
- Goodman Group: Upgraded to Buy, although the target price has been reduced to A$36 from A$36.80.
Key Headlines from Livewire
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Future-Ready Stocks: 13 stocks positioned for the future, priced right in the present – Kirsteen Morrison from Impax Asset Management shares insights on navigating tariffs and the energy transition, spotlighting companies such as Schneider Electric and Intuitive Surgical.
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Uranium Supply Concerns: Uranium supply risks signal a precarious future – France’s reliance on uranium from Niger poses questions about the future of its nuclear energy sector amid rising global demand.
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Quality Investments: Searching for quality in ASX small and mid-caps – Analysts discuss why quality stocks remain essential in volatile markets, highlighting key picks like Regis Healthcare and News Corp.
- Gold Demand Surge: Going for gold amid safety concerns – Significant inflows into global gold ETFs last month indicate growing investor interest, particularly in Asia.
Market Dynamics
US markets experienced a slight decline last Friday, but S&P 500 and Nasdaq futures are indicating an uptick of 1.2-1.5% due to favourable US-China trade discussions. Treasury Secretary Bessent announced "substantial progress" in negotiations, marking the first tangible signs of reducing tensions. This follows a statement from Trump on Truth Social regarding a ‘total reset’ in discussions.
Morning Overview
The S&P/ASX 200 futures indicate a potential gain of 0.19%, likely surpassing expectations given the positive trend in US futures, currently up by 1.3-1.5%.
We apologise for the missed coverage last Friday due to illness. If you’re new to our updates, be sure to catch up with today’s Morning Wrap for the latest developments.
