This ASX airline you never heard of could see 40% earnings boost
Tony Yoo | April 27, 2021 2:03pm |
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Montgomery Investment Management founder Roger Montgomery has predicted a little-known ASX-listed airline could enjoy a 40% lift in earnings.
The veteran investor told his online subscribers that
Alliance Aviation Services Ltd (ASX: AQZ)’s advantage is that it “wet leases” planes to its big rivals in addition to its own operations.
“Under a wet leasing arrangement, Alliance supplies the aircraft as well as crew, maintenance, and insurance – while the customer pays by hours operated, pays for fuel, and covers airport fees, duties and taxes,” said Montgomery.
The firm said that in the first six years, this strategy delivered a compound annual return, in Australian dollars, of 16.42% after fees, against the benchmark MSCI ACWI Net Total Return Index, in Australian dollars, of 10.77%.
The second strategy was Polen Capital Global Emerging Markets Growth Fund, a new fund that invested in a concentrated portfolio of outstanding emerging markets businesses with competitive advantages and the potential for sustained superior growth. This strategy would be expected to become available to Australian investors from mid-year, the firm said.
“Montgomery Investment Management and Polen Capital share a commitment to investing in high-quality companies with strong growth prospects over the longer term,” Montgomery’s chief investment officer, Roger Montgomery, said.
Got money to invest? Here are 3 ASX shares to buy
Tristan Harrison | February 15, 2021 8:20am |
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The ones below could be worth thinking about:
This ASX share is a business that provides electronic donation services for the large and medium US church sector.
Fund manager Ben Griffiths from Eley Griffiths said not too long ago: “Over the last 12 months it has become clear Pushpay is at an inflection point for both cashflow and earnings. Under the stewardship of CEO Bruce Gordon, Pushpay has transitioned from a founder-led investment phase into an optimize/monetization phase. What is more surprising is the very conservative nature of the accounts (a rarity in small cap tech, outside