What's new

I've been idle with my stock research recently due to other commitments. However, my positions haven't changed in terms of relative weights or new additions. Currently, I'm long G8 Education (ASX: GEM), Vita Life Sciences (ASX: VSC) and Sirtex (ASX: SRX).

However, Sirtex is more on the side of a speculative buy at these prices. Sirtex's near-term future may see a large inclination in both key fundamentals such as, both the top and bottom lines and a "step-change" demand in their products if the Sirflox study proves effective. However, if it doesn't come out positive or lack of take up by oncologists and all the rest of it will probably see the stock plummet which could be both a good and a bad thing, depending on what you do with it. I've bought into this stock myself and am completely aware of the risks involved (i.e. a decent chance that my quotational loss could amount to 70% of the price i paid for it). So the capital used to buy stock was money which isn't needed elsewhere per say.

I've been a big fan of G8 education and how their expansions are coming along. They are exercising due diligence, which can be seen through their organic growth, attractive multiples for the business they're buying and cost discipline (rising EBIT margins). There are of course some key risks such as a macro downturn may lead to a slump in demand. (As I'm also a big fan of the qualitative side of investing and Phil Phiser's methods, I've spoken to many mothers about their opinions on child care services and I'm very pleased with the results I'm hearing. I've talked with parents from both low economic advantage all the way to the other end and there is definitely some consistency throughout their reasoning from both sides when it comes to child care). The biggest risk for me is their solvency with rising debt. Debt is something i disapprove of with pleasure.

The only thing I'd like to add about my previous VSC coverage is that I'm hoping their advancement into Indonesia comes sooner rather than later. However, I'm willing to wait, as always because I've got nothing but time baby!