With the US economy looking worse by the week, and the Australian stock market still taking one step forward and two steps back, the Punter last week resolved to trim his portfolio and cut some of his losses.
These have been mounting to the point where (on paper) his current holdings are showing an overall loss. Ouch!
He should have flogged the lot at Christmas, but his resolve has withered on the vine.
The Zicom Group, one of his big winners, went into freefall last week, to the point where the company was sent a “please explain” by the stock exchange authorities.
Zicom (ASX code ZGL) said it couldn’t explain, but its profit would not vary by more than 15 per cent from the previous guidance.
That was somewhat reassuring, and the shares began to bounce back.
The finger was poised to click “sell” for Cool or Cosy (ASX code COS) at a hefty loss.
It has not been involved in the potentially lethal foil insulation, but the air conditioning and related industries are clearly in a shambles – thanks, Peter – and COS has suffered by association.
But last Thursday it forecast a significant profit recovery, provided the new Government scheme starts in June. It’s been reprieved – for now.
Laserbond (LBL) is another loser, but it seems to have a sound business refurbishing heavy digging and engineering equipment, that should be relatively resilient.
It stays for now and the Punter may even double up if it falls much further.
Ditto Tyrian Diagnostics, (TDX) where the interim report was all that the Punter hoped for.
Revenue almost tripled to $1.3 million and losses were cut from $3.2 million to $2.1 million.
Ditto again for Minemakers, where firmer fertiliser prices must be helping the prospects for its big phosphate operation at Wonarah in the Northern Territory.
If fertiliser prices continue to improve, it may start mining there before the end of this year.
The Punter is not buying anything in this market, but he has put Living and Leisure Australia (ASX code LLA) high on his watchlist.
The ski resorts and tourism group produced interesting interim results last week.
The Punter has no financial qualifications and no links to the financial services industry. He owns shares in a number of companies featured in this column.
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