Australia Stock Alert

AUSTR

CLOSING UPDATE: QBE Insurance keeps rising: up 7.0% in 7 days October 20, 2017 16:00:00 AEST

NEWS BITES - AUSTRALIA

This is an end of day Alert, produced after today's Australian market close. It concludes the BSS News Bites intra-day Alert series (summaries below).

QBE Insurance, Australia's 3rd largest insurance company by market capitalisation, extended its gains on Friday, rising an additional 6.0c (or 0.6%) to trade at $A10.97. The shares have risen 72.0c (or 7.0%) over the past seven trading days vs. the All Ordinaries Index which has risen 2.2% in the same period.

Technical indicators complementing today's significant uptrend:

+ The positive 0.08 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

+ The price climbed 5.9% in the last week and 4.7% in the last month.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

+ Price/Earnings of 14.0 [25.7]

+ Price to Book of 1.8 [2.7]

+ Return on Equity 8.2% [6.9%]

+ Return on Assets 2% [0.9%]

Other Bullish Signals include:

+ Tobin's Q Ratio is 0.3. Compared with the rest of the market the stock is undervalued and ranks in the top 10% of stock by value of Q Ratio.

+ As per the Du Pont analysis, Return on Equity of 8.2% is better than sector average of 6.9%.

Note

QBE Insurance today is at a discount of 17.8% to the 12-month high of $A13.34 on 11 May, 2017. It is at a premium of 24.6% to the 12-month low of $A8.80 on 09 Nov, 2016.

The stock has underperformed 68% of the Australian market over the past 6 months.

Bearish Signals:

Net profit margin has averaged 5% in the last 3 years. This is lower than the sector average of 5.8% and suggests a low margin of safety.

TODAY'S ALERT

Morning Alert: QBE Insurance increases 0.9%

October 20, 2017 11:00:00 AEST

QBE Insurance Group Limited (ASX:QBE) has increased 10.0c (or 0.9%) to trade at $A11.01.

RECENT ALERTS

CLOSING UPDATE: QBE Insurance lifts 2.8% on robust volume

October 19, 2017 16:00:00 AEST

QBE Insurance, Australia's 3rd largest insurance company by market capitalisation, traded on heavy volume of 1.8 times average today while the price lifted 30.0c (or 2.8%) to trade at $A10.91. Compared with the All Ordinaries Index which rose 5.0 points (or 0.08%) in the day, this represented a relative price increase of 2.8%.

Morning Alert: QBE Insurance keeps rising: up 6.0% in 6 days

October 19, 2017 11:00:00 AEST

QBE Insurance Group Limited (ASX:QBE) extended its gains on Thursday, rising an additional 25.0c (or 2.4%) to trade at $A10.86.

QBE Insurance Group Limited (AU:QBE; ASX:QBE; AX:QBE)

ISIN: AU000000QBE9

PermID: 4295858616

Source: www.BuySellSignals.com