One thing about the likes of TSE, UGL, LEI, TSI, AAX & KIL in there favour, is Infrastructure.
Both the Australian & New Zealand Govts have earmarked Infrastructure for additional spending over the short term(in part to stimulate the slowing economies).
I read an article a while back suggesting there was $A180b worth of infrastructure to go ahead over the next 4 years in Australia, whilst the credit crunch will have dampened some of this, a big chunk will still go ahead, even if it has to wait a bit longer for things to settle.
That got me looking for those companies who would benefit from the additional work, ie service/maintenance companies
TSE & UGL in particular look strong as over the last 5 years, revenues, profits, eps & dividends have been increasing as all/most divisions have enjoyed double digit growth, albeit during the boom times...
TSE seems the most undervalued of the larger players, hence i favour TSE over UGL.
TSE under $3.50 is very tempting (when the TH finishes) & should UGL drop around $5 i'd be very interested.
TSE Price at posting:
$2.38 Sentiment: Buy Disclosure: Not Held
