ASZ 0.00% $1.63 asg group limited

With numbers like that you would think that would be enough to...

  1. 277 Posts.
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    With numbers like that you would think that would be enough to propel the share price back to where it sat for a long time - around a $1.20.
    It seems this type of stock needs more than a good report and needs to win contracts. Of course with talk of a 2 tier economy and government cutbacks this doesn't bode well for a whole lot of new contracts on offer. That's the perception anyway and perception is a major driver of share price. The reality is quite different and this is what makes this company an outstanding investment at present. Low P/E, high fully franked dividend, ongoing assured income stream with a high potential for further growth through data centres, new high end contracts and ongoing servicing of existing contracts all with an enviable track record behind it. The only negative that I can see is the difficulty management is having finding and recruiting high quality staff. This is an endemic problem right through the IT industry and probably always will be.
    All in all it is one of those stocks you can put in the bottom drawer and enjoy the dividend and those all important franking credits. The four most important rules in investing are -
    1. In real estate, position is everything
    2. Never underestimate the power of compound interest
    3. On the share market diversification is critical
    4. Remember franking credits are the icing on the cake.
    DYOR
 
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Currently unlisted public company.

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