Stock market specialists share their top share tips

A mixed bag of share tips this week has something for everyone, just like global financial markets last week. See their suggestions.

Sometimes, no matter how hard you try, you just can’t find a theme running through our weekly stock market tips.

After a week in which the Aussie share market bumped along to a 0.8 per cent overall rise, our expert tipsters have delivered a huge variety of suggestions: mining, education, waste management, poker machines, alcohol, healthcare, engineering and property.

AMP head of investment strategy Shane Oliver said the Australian market’s performance was good enough to reach another record high.

It followed the US market higher amid good economic data there and an “okay” start to the US reporting season, Dr Oliver said.

“Gains on the Australian share market were led by financial, industrial and health care shares offsetting weakness in energy and IT shares,” he said.

“Oil prices fell 8.4% and metal and iron ore prices also fell, but gold prices rose to a record high.”

Baker Young Stockbrokers managed portfolio analyst Toby Grimm

Tony Paterno from Ord Minnett Senior Client Adviser

Baker Young managed portfolio analyst Toby Grimm

BUY

Cleanaway Waste Management (CWY)

Investment into higher-margin collection and recycling capabilities will likely drive accelerating earnings growth over the next two years.

BHP Group (BHP)

Increasing urgency in China’s stimulus policy brightens the demand outlook as we head into an historically more favourable seasonal period for commodity prices.

HOLD

ALS Limited (ALQ)

We view recent softness in mineral sample volumes as largely cyclical and are encouraged by indications the larger Life Sciences division is seeing long-awaited improvement.

IDP Education (IEL)

Immigration and student visa restrictions remain headwinds in all key markets. However, product leadership continues and the stock screens as significantly undervalued longer-term.

SELL

Aristocrat Leisure (ALL)

After a strong performance in 2024, we see more limited revenue and earnings growth next year, and with the share price well above valuation we would lock in some profits at current levels.

Pro Medicus (PME)

While execution has been impressive, share price gains have far exceeded earnings upgrades, making the stock significantly more expensive and vulnerable to a pullback.

Ord Minnett senior private wealth adviser Tony Paterno

BUY

Medibank Private (MPL)

The stock continues to deliver double-digit earnings per share growth. At an

undemanding market price-to-earnings ratio, we continue to consider Medibank Private as defensive.

Worley (WOR)

Worley has been a material underperformer, leaving potential upside to our numbers.

The engineering company is trading on undemanding trading multiples compared with its history and peers.

HOLD

Coles Group (COL)

We remain neutral on Coles. The company delivered strong results, but liquor was an area of

concern. Execution of the transformation projects was a positive.

WiseTech Global (WTC)

We are encouraged by the signing of three new large global freight forwarders, and

the release of three new products.

SELL

Lendlease Group (LLC)

We remain positive on Lendlease Group’s strategy to reweight to Australian operations but we see its earnings trajectory as the key share-price driver.

Sonic Healthcare (SHL)

Sonic is finding it difficult to offset an elevated rate of cost inflation, encompassing

labour, rent, utilities and transport.