Stock Watch - Stock Picks - AVI and JP Morgan Chase & Co
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Wayne McCurrie from FNB Wealth & Investments chose AVI Ltd (AVI) as his stock pick of the day and David Shapiro from Sasfin Securities chose JP Morgan Chase & Co.
McCurrie said: "Good solid South African consumer share, the snacks business has done extremely well, the shoe business has not done well at all but that can turn around, and everyone knows that the fishing business is a relatively tough business. Share price has been hammered but it is still a very good quality company. And if you prepare for a better South Africa and you think a better South Africa is going to happen then AVI can do well. Looking at the price chart it is now the cheapest it has been for a long time.
Shapiro said: "I think the US economy is still in very good shape, consumer are still around and are still spending. I know that the margins between what you can borrow and what you are lending out is pretty low at the moment but I think that relative to the rest of the market the banks there look very cheap and they give you very good yields"
McCurrie said: "Good solid South African consumer share, the snacks business has done extremely well, the shoe business has not done well at all but that can turn around, and everyone knows that the fishing business is a relatively tough business. Share price has been hammered but it is still a very good quality company. And if you prepare for a better South Africa and you think a better South Africa is going to happen then AVI can do well. Looking at the price chart it is now the cheapest it has been for a long time.
Shapiro said: "I think the US economy is still in very good shape, consumer are still around and are still spending. I know that the margins between what you can borrow and what you are lending out is pretty low at the moment but I think that relative to the rest of the market the banks there look very cheap and they give you very good yields"