Stocks: Some bargain hunting but ripe for profit-taking

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The local stock market is expected to see a little more bargain-hunting at the start of this week although many issues may already be ripe for profit-taking given the lingering uncertainties in the domestic and global front.

“ week’s V-shaped recovery is reason permeating the market, but intraday movements remain tense in general and will likely remain that way until headwinds turn the corner. For the strong-handed, no sweeter time to hunt for bargains,” said 2TradeAsia.com.

“This seesaw in policy is what we have been harping in our notes the past few weeks, given the delicate balance need by an inflationary macro-environment in post-pandemic, job-sensitive markets,” it added. Tantiangco added that, “Finally, investors are still expected to watch out for further details on the economic policies of the incoming administration.”

“Given the numerous challenges facing the stock market in the near term, we recommend investors to stay light. Rallies are opportunities to sell, and accumulate slowly only when stocks are sold down to attractive valuations,” advised COL. “We continue to like GMA7 given its strong financial position and efficient operations. Moreover, the company is in a prime position to capture ad placements for television and radio being the only dominant player in the free to air space,” it added.

 

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