AUS
NZ
UK
CA
USA
IND
Highlights:
- Large-cap stocks attract investors for the stability and maturity offered.
- ASX 100 Index includes the 100 largest Australian market listed companies based on market cap.
- The story talks about ResMed, Computershare and Brambles from the ASX 100 Index.
Australian shares have been extending losses since last week, setting new lows. On Monday, the Australian representative ASX 200 closed almost 1.18% lower, with eight of eleven sectors in the red zone. When the markets are facing southwards, investors tend to prefer large-cap equities for investment.
Why do investors look at large-caps?
It is because highly capitalised companies offer stability, maturity, much lower volatility than other stocks and wider analytical coverage. Also, these stocks belonging to big and influential companies are much more regulated, making them less risky.
On the ASX, an investor can easily identify these stocks as they are a part of the ASX 20, ASX 50 of ASX 100 indexes. The ASX 100, for instance, is an index tracking the largest 100 companies listed on the ASX in terms of their market capitalisation.
Let us take you through three noteworthy stocks from the ASX 100 Index with this background. The stocks covered are ResMed Inc (ASX:RMD), Computershare Ltd (ASX:CPU) and Brambles Ltd (ASX:BXB).
Note- Share prices mentioned for all comparisons in the story are as of 9 May 2022.
ResMed Inc (ASX:RMD)
The first one covered is ResMed Inc. from the Healthcare sector. ResMed, on last Thursday (5 May 2022), issued an ASX notification regarding the conversion of its convertible debt instruments to stock options under its incentive award plans.
Other than this, last week, ResMed had also released its form 10Q consisting of its quarterly financial report submitted to the US SEC. Due to the release of these notifications, the RMD share price gained about 0.14%. However, on Monday, the share price slumped by 1.46%. As of Monday, ResMed shares traded on ASX with a market capitalisation of AU$42.12 billion in the 52-week price range of AU$24.61 to AU$40.790 a share.
On Tuesday, the stock was spotted trading 2.924% lower at AU$27.550 per share at 10:39 AM AEST.
Computershare Ltd (ASX:CPU)
Next is Computershare from the technology sector. Its latest release on the ASX is its Macquarie investor conference presentation published last Monday (3 May 2022).
In the presentation, Computershare provided a summary of its H1-22, showing an EBIT spike of about 1.6%. The company also talked about growth expectations in its registry and governance services.
Computershare's management also affirmed its EPS expectations at around 9% pcp and kept its H2-22 guidance unchanged at around 12%. However, due to technology shares remaining down last week CPU share price went down about 2.42%. The losses were extended on Monday by another 0.49%.
As of Monday, Computershare securities traded at a market capitalisation of AU$14.65 billion, in the 52-week price range of AU$14 to AU$26.44 a share.
On Tuesday, at 10:40 AM AEST, the stock was spotted trading 3.105% lower at AU$23.400 per share.
Brambles Ltd (ASX:BXB)
The third one is Brambles Ltd from the consumer sector. There were no other notifications on the ASX except for a few changes in the director's interest and a few changes in its executive board. However, in the last five days of trade on the ASX, BXB shares gained about 0.29%, but on Monday, the share price traded tad lower.
As of Monday's close, the share price was just about AU$1.21 above its 52-week low price. The supply chain company's shares traded with a market capitalisation of AU$15.04 billion on the ASX. The share price remained within the 52-week range of AU$9.260 to AU$12.70 a share.
On Tuesday, at 10:29 AM AEST, the stock was spotted trading 1.719% lower at AU$10.290 per share.
Near term share price performance of the above three shares
Image Source © 2022 Kalkine Media®
More from ASX- Two Vanguard & VanEck ASX ETFs to track for global exposure
