Aussie companies delivered a mixed bag of results, with experts impressed by A2 Milk Company but not so much by Bendigo and Adelaide Bank.

As the world muddles through economic and geopolitical uncertainty, some key Aussie stocks now appear overvalued to some analysts – suggesting it may be time to take some profits.

Here are this week’s recommendations.

Sequoia Wealth Management senior private wealth adviser David Thang:

BUY

The A2 Milk Company (A2M)

The company declared its first-ever dividend on the back of strong revenue growth in the USA and Asia. Moreover, it achieved a record Chinese label infant formula market share of 5.3 per cent.

Megaport (MP1)

It has solid top-line revenue growth across Europe, Asia Pacific and America. Rising demand for cloud connectivity globally is expected to fuel long-term expansion.

HOLD

HUB24 (HUB)

Its recent first-half results were slightly ahead of market expectations. HUB24 is now the seventh-largest wealth industry platform provider, with market share increasing to 7.9 per cent from 6.6 per cent in September 2023.

BHP (BHP)

On valuation grounds the global diversified miner is attractive. Its healthy fully franked dividend yield ticks another box.

SELL

Kelsian (KLS)

Net profit and earnings per share have declined for the global public transport and tourism operator. We favour others.

Bendigo & Adelaide Bank (BEN)

Profit, cash earnings and net interest margin have all dropped substantially. Operating expenses are on the rise. Other companies appeal more.

Cumulus Wealth partner Mark Goulopoulos:

BUY

Bannerman Energy (BMN)

Weak uranium sentiment presents an attractive entry point into Bannerman’s Etango-8 project in Namibia, offering strong leverage to uranium prices.

Ora Banda Mining (OBM)

A gold producer with a growing production profile and exploration upside, it is led by the former chief operating officer of Northern Star Resources.

HOLD

Telstra Group (TLS)

It delivered a strong half-year result with organic growth in both the Mobile and InfraCo divisions. While it maintains a solid dividend yield, the valuation is currently full.

Lovisa Holdings (LOV)

Announced a mixed result, with resilient gross margins offset by rising operating costs. The success of its US store expansion remains a key factor.

SELL

Qantas Airways (QAN)

The company faces increasing domestic competition from the Qatar Airways-Virgin partnership, and also faces a major capex cycle to upgrade one of the oldest fleets in the world.

Netwealth Group (NWL)

Its valuation remains rich, leaving little room for missteps. Any slowdown in funds-under-management growth or higher-than-expected expenses could weigh on the stock.

This article first appeared in the Wealth section of The Australian.