WATCH: Stock picks — CMH and MSCI world index tracker
Sekgabo Molelekoa from Umthombo Wealth chose Combined Motor Holdings (CMH) as her stock pick of the day and Gary Booysen from Rand Swiss chose MSCI World index tracker.
Molelekoa said: “I choose CMH and we’ve seen it being very defensive, even in the way their vehicle results were falling. They are highly cash-generative, with around R514m on a market cap of around R1.6bn. Also, when you compare them to peers, they are SA centric so they are geared towards an economic upturn.”
Booysen said: “I have an interesting stock pick, although I am restricted to the actual name of the stock pick, anyone with a decent financial adviser should know what I am referring to. A company that is listed in Bermuda and it essentially tracks the MSCI World index. When you get this stock, you get total capital protection plus a 3% coupon over a 3.8-year period.”
Sekgabo Molelekoa from Umthombo Wealth and Gary Booysen from Rand Swiss talk to Business Day TV
Or listen to the full audio: