Author: roymorgansocial

Shareholders to reap $24b in dividends

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Original article by Patrick Commins
The Australian Financial Review – Page: 31 : 9-Sep-16

CommSec’s Craig James estimates that shareholders of Australian-listed companies will receive $A16.3bn worth of dividend payments in the three weeks from mid-September 2016. The total payout in the wake of the August reporting season is expected to top $A24bn. Fortescue Metals Group is among the companies that have significantly increased their payout, although rivals BHP Billiton and Rio Tinto have slashed their dividends.

CORPORATES
COMMONWEALTH SECURITIES LIMITED, FORTESCUE METALS GROUP LIMITED – ASX FMG, BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, BT INVESTMENT MANAGEMENT LIMITED – ASX BTT

Play time: where Aussies buy their toys and games

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Original article by Roy Morgan Research
Market Research Update – Page: Online : 8-Sep-16

A Roy Morgan Single Source survey has found that 2.6 million Australians aged 14+ buy toys and/or games in an average four-week period. The survey, which was carried out in the year to June 2016, also shows that 612,000 people buy toys and/or games from EB Games in an average four weeks, ahead of Kmart (412,000), Big W (349,000) and Target (297,000). Meanwhile, 801,000 Australians buy toys and/or games via the internet, either from an online-only business or the e-commerce channel of a bricks-and-mortar store.

CORPORATES
ROY MORGAN RESEARCH LIMITED, EB GAMES, KMART AUSTRALIA LIMITED, BIG W DISCOUNT STORES, TARGET AUSTRALIA PTY LTD, JB HI-FI LIMITED – ASX JBH, TOYS ‘R’ US (AUSTRALIA) PTY LTD, EBAY AUSTRALIA AND NEW ZEALAND PTY LTD

One in five first-year uni students drops out

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Original article by Julie Hare
The Australian – Page: 1 & 6 : 8-Sep-16

New figures show that the proportion of Australian university students who quit their course in the first year rose to a record 21.09 per cent in 2014. However, this falls to 15.25 per cent if students who change courses are taken into account. Andrew Norton of the Grattan Institute says the rise in the first-year drop-out rate can be linked to the increase in university enrolments in recent years. The number of Australian students enrolled in university courses rose above one million in 2014.

CORPORATES
GRATTAN INSTITUTE, UNIVERSITY OF TASMANIA, UNIVERSITY OF MELBOURNE, SWINBURNE UNIVERSITY OF TECHNOLOGY, SEEK LIMITED – ASX SEK, AUSTRALIA. DEPT OF EDUCATION AND TRAINING

Over 400,000 Australians intend to retire in the next 12 months, increasing burden on government funding

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Original article by Roy Morgan Research
Market Research Update – Page: Online : 8-Sep-16

Roy Morgan Research estimates that 415,000 Australians intend to retire in the next 12 months, compared with 327,000 in 2008. Some 228,000 men and 187,000 women intend to retire in the next 12 months. The magnitude of the intending retirements, combined with the fact that their average retirement funding is inadequate for being "self-funded", is likely to increase substantially the need for government support. Currently the average gross wealth (total assets excluding owner-occupied homes) of intending retirees is $A306,000, up from $A231,000 in 2008. Although the average debt level for this group is currently only $A25,000, it does reduce their average net wealth to $A281,000, which is generally inadequate for self-funded retirement.

CORPORATES
ROY MORGAN RESEARCH LIMITED, THE ASSOCIATION OF SUPERANNUATION FUNDS OF AUSTRALIA LIMITED

Zero rates eould smash the banks

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Original article by James Eyers
The Australian Financial Review – Page: 21 : 8-Sep-16

A decline in the cash rate to zero would have a negative impact on returns from Australian banking stocks. Credit Suisse analysts Jarrod Martin and James Ellis have calculated that such a scenario would trigger a fall in earnings of the major banks by an average of nine per cent or $A2.7 billion in total. Consequently, the banks would have to respond to a fall in return on equity by reducing their dividend payout ratios.

CORPORATES
CREDIT SUISSE (AUSTRALIA) LIMITED, RESERVE BANK OF AUSTRALIA, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, WESTPAC BANKING CORPORATION – ASX WBC, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Taxpayer funds hold up economy, families ease back

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Original article by David Uren
The Australian – Page: 1 & 2 : 8-Sep-16

The latest national accounts data shows that the Australian economic expanded by 3.3 per cent in the year to June 2016. It is now 25 years since the last recession in Australia, and Prime Minister Malcolm Turnbull has attributed the almost unprecedented period of economic growth to factors such as the nation’s commitment to free trade and economic reform. However, growth in household spending slowed to just 0.4 per cent in the June quarter, while growth in household incomes is also subdued. A sharp rise in government spending contributed to GDP growth in 2015-16.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIAN BUREAU OF STATISTICS, AUSTRALIAN LABOR PARTY, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, EAST ASIA SUMMIT

Shamed Dastyari bites the dust

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Original article by Primrose Riordan
The Australian Financial Review – Page: 1 & 5 : 8-Sep-16

Senator Sam Dastyari has stood down as Shadow Minister for Consumer Affairs to allow the Australian Labor Party to focus again on policies rather than his behaviour. He announced his resignation on 7 September 2016. Dastyari was found to have had a legal bill paid by Yuhu Group’s Huang Xiangmo, who is also the head of the Australia Council for the Promotion of Peaceful Reunification of China. On another occasion, Dastyari’s travel bill was paid by Top Education’s Minshen Zhu.

CORPORATES
AUSTRALIAN LABOR PARTY, YUHU GROUP (AUSTRALIA) PTY LTD, TOP EDUCATION INSTITUTE, COMMUNIST PARTY (CHINA), AUSTRALIAN FELLOWSHIP OF CHINA GUANGDONG ASSOCIATIONS INCORPORATED

Dakota chief tips Tesla’s end within 10 years

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Original article by Tess Ingram
The Australian Financial Review – Page: 19 : 8-Sep-16

Dakota Minerals has bought a tenement package in Portugal in anticipation of a rise in demand for lithium in Europe. David Frances, the CEO of the Australian-listed lithium explorer, expects strong demand for lithium from European manufacturers of electric cars. In contrast, Frances is sceptical about the popularity of electric cars in the US, where buyers are likely to show limited interest in such cars.

CORPORATES
DAKOTA MINERALS LIMITED – ASX DKO, TESLA MOTORS INCORPORATED, MERCEDES-BENZ AG, VOLKSWAGEN AG, BENCHMARK MINERAL INTELLIGENCE

Fairfax sells NZ assets for $200m

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Original article by Jake Mitchell, Daniel Palmer
The Australian – Page: 21 : 8-Sep-16

Australian-listed Fairfax Media will have a 41 per cent stake in NZME if a deal to sell its New Zealand media assets to the APN News & Media spin-off proceeds. The proposed deal is worth $A200m in total, including a cash payment of $NZ55m ($A53.5m). It must be approved by shareholders and New Zealand’s competition regulator, which is slated to issue a draft determination in November 2016 and a final decision in March 2017.

CORPORATES
FAIRFAX MEDIA LIMITED – ASX FXJ, NZME LIMITED – ASX NZM, APN NEWS AND MEDIA LIMITED – ASX APN, NEW ZEALAND. COMMERCE COMMISSION, THE RADIO NETWORK, GRABONE

Short sellers target Rio, BHP

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Original article by Peter Ker
The Australian Financial Review – Page: 22 : 8-Sep-16

New figures show that 4.79 per cent of Rio Tinto’s shares were subject to short selling on 31 August 2016, compared with 0.48 per cent on 30 July 2015. Likewise, the proportion of BHP Billiton’s shares that are short sold has risen from 0.2 per cent in March 2015 to 2.15 per cent on 31 August. Pure-play iron ore producer Fortescue Metals Group has traditionally been a key target for short sellers, but shorting activity has fallen from around 12.6 per cent in April 2015 to 2.5 per cent at the end of August.

CORPORATES
RIO TINTO LIMITED – ASX RIO, BHP BILLITON LIMITED – ASX BHP, FORTESCUE METALS GROUP LIMITED – ASX FMG, WESTERN AREAS LIMITED – ASX WSA, SHAW AND PARTNERS LIMITED, MYER HOLDINGS LIMITED – ASX MYR, WORLEYPARSONS LIMITED – ASX WOR, METCASH LIMITED – ASX MTS, MONADELPHOUS GROUP LIMITED – ASX MND, FLIGHT CENTRE TRAVEL GROUP LIMITED – ASX FLT, MACQUARIE GROUP LIMITED – ASX MQG, SHORTMAN.COM.AU