The week ending Friday 1 February 2019 saw the eight stockbrokerages we monitor daily, issue 10 upgrades for individual ASX-listed stocks. None involved multiple moves for a single stock, and only three upgrades stopped at Neutral/Hold, indicating there might still be selective opportunity for investors post the unusually strong January rally.
Upgrades include companies having issued a profit warning (such as Air New Zealand), mining stocks (including Galaxy Resources and Iluka Resources), banks and other financials (NAB and Challenger), and sold down industrials, whose core resilience might not be fully appreciated by jumpy investors. The latter category includes the likes of DuluxGroup and GUD Holdings.
Those same stockbrokers also issued 18 downgrades and here the market division about intrinsic value and outlook for mining stocks is on full display, with all of Fortescue Metals, Newcrest Mining and OceanaGold receiving two downgrades during the week, of which one for each went to Sell.