You love your car, right?
Most other Australians do too.
With a country so expansive it makes sense that our cars are among our most valued possessions.
Instead of taking a Sunday drive this weekend, put these 3 auto stocks on your research list.
Super Retail Group Ltd (ASX: SUL)
Specialty retailer with auto, leisure and sports, Super Retail Group Ltd, is probably the best-known ASX-listed auto-focused retail company, with most Aussies having visited its chain of Supercheap Auto stores at least once in their lives.
Super Retail Group shares were up 1.6% to $6.66 at the time of writing, but share prices for the $1.3 billion market cap S&P/ASX 200 company have been on a downward slide in the last 12 months, dropping from $10.86 at this time last year.
It's hard to say what is behind the downward trend, with Super Retail Group posting solid half-year results for the six months to December 31, 2017 with a normalised NPAT of $74.9 million, up just shy of a percent on the previous corresponding period, group sales on the rise and a half-year dividend sitting steady at 21.5c per share.
With good progress notable in Super Retail Group's digital sector and the recent acquisition of New Zealand outdoor clothing and equipment brand Macpac for $144 million, growth propositions look promising for Super Retail Group making the current share price look like an attractive entry point.
One to watch for investors looking for a low PE retail share with solid fundamentals, a fully-franked dividend of more than 7% and just over 10% grossed up, good market share and strong performance metrics.
Automotive Holdings Group Ltd (ASX: AHG)
Shares in diversified automotive retail and logistics company Automotive Holdings Group Ltd are on a downward slide at the moment – dropping 2.6% to $3.62 at the time of writing from $4.13 at this time last year.
Automotive Holdings Group delivered reasonable half-year results in February, with a slight slip in statutory NPAT – down from $40.9 million in the previous corresponding period to $39.9 million for the six months to December 31, 2017 – but group revenue was up slightly and a fully-franked 9.5c per share dividend was logged.
Automotive Holdings will likely start to pick things up in terms of performance now it's shrugged off its Refrigerated Logistics business to HNA International.
The refrigeration business was a problem child for the company, drying up capital and management time to try and turn a profit so it will be interesting to see how Automotive Holdings fares after the sale is finalised on June 30, 2018.
A reduced demand in Automotive Holding's Holden and Ford parts business has been nicely offset by stronger demand for mining supplies and while the sale of Refrigeration Logistics will affect the consolidated outlook for FY18 the company is focusing on cost-control and increasing consumer confidence to bolster operations in the short-term.
A share to watch for potential buy opportunities over the next 12-18 months.
AMA Group Ltd (ASX: AMA)
Shares in collision repair chain business AMA Group Ltd have been on an upward trend in the last 12-months, opening steady today at $1.17, up from $1.06 at this time last year.
AMA Group manufacture and sell alloy vehicle protection equipment with business segments including panel repair, vehicle protection products, auto electrical and cable accessories and auto component remanufacturing.
A small cap auto stock, with a market capitalisation of around $611 million, AMA Group posted its half-year results in late February, reporting a revenue boost of 27.4% to $228.4 million normalised NPBT up 30.9% to $19.2 million and normalised EBITDA up 27.5% to $26.2 million.
AMA Group has held its 0.5c per share fully-franked interim dividend and acquired 10 businesses in the reportable half year to December 31, 2017, with 4 "greenfield" contracts executed within the period.
AMA Group appears to have a strong relationship with major insurers and prestige car manufacturers and a solid foothold in the alloy bull bar market – surging ahead of competitors in the space.
A share to watch as it continues to consolidate its operations to foster growth.
