next sector to move big time, page-34

Forget sectors. Who would've predicted hot pizza??? Not the fund managers.
Domino's has been a better bet in recent months than RIO or BHP! Over the past 5 weeks BHP RIO are off an average 11% against a 2% drop by broader markets. Domino's on the other hand has raced 10% higher over the same period, hitting a record high of $8.71 on Monday. At its close of $8.37, it's up nearly 30% over the past 6 months and threatening brokers' 12 month targets. Households cutting back on discretionary spending, cheap pizzas with budget conscious families eschewing restaurants and cinemas for a night at home with a movie.

Based on financial figures for 6 months to Dec 31, Domino's is doing as well as some of the miners with net profit of 23% and a return on capital of 30% plus.

Its growth has been aided by considerable investment in digital platforms, with the result that online and mobile orders are expected to account for 50% of sales within 6 months.

Full story, The West Aust, Business, Mar 13, page 29.

I think it's more important to pick the company within the sector. And one with foresight and good management, as Domino's shows.

I'm not banking on any particular sector. I do think that looking up the common 'diseases' that plague humans which are on the increase and finding a company that supplies the drugs or is advanced with a break through. Diabetes and high cholesterol seems to be a national past time!