Sharemarket Update

Date: 01/02/2011

Check out those unloved stocks, as the upcoming reporting season throws up unexpected opportunities for the canny investor

Predictable and "ho hum" is the forecast of Lincoln CEO, Elio D'Amato, as he previews the upcoming reporting season for share investors. But that's where the canny investor will find value, he says, with surprises that will bring opportunity on both the upside and downside. Elio says now's the time to do your research, then evaluate that research against company results. His advice as always: look for financially healthy, profitable, growing companies with strong management. Look at the outlook for both company and sector, and check out sentiment, both from the directors of the company and from commentators. Elio's tip for surprises on the upside: unloved stocks and sectors such as retail and telcommunications. On the downside, beware stocks with inflated expectations.