Magellan Financial Group (MFG)

Discussion in 'Stocks & Derivatives' started by finicky, Jun 16, 2014.

  1. finicky

    finicky Well-Known Member Silver Stacker

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    Maybe an opportunity will come up here. What a chart, yet it could be correcting. Certainly in any general market pullback, including overseas markets, I would expect this hyper successful funds management company to take a knock. Expecting more inflows into equities while interest rates stay low. But suspect this company vulnerable also to strengthening $A

    Trading at many times its book value but here's the record of Return On Equity (ROE) for FY06 - FY13:
    Return on Equity (%) -4.0 8.8 -3.1 -3.8 -9.4 3.4 4.6 9.3 31.7
    This year expects ROE of about 75% according to Clime, but wouldn't be a nice place to be when the stock market's going badly.

    All Data monthly Chart to my eye shows rallies are getting shorter in duration and extent, candle ranges are getting bigger (volatility and indecision at a peak). There're a lot of profits that have been made in this stock, and those profits will be protected by selling if the uptrend breaks?

    [​IMG]
     
  2. scott_reeve

    scott_reeve Active Member

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    MFG chart:

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