Tyndall AM

Heading into reporting season, the market looked expensive on the surface - trading around 18 times forward earnings - but if you dig a little deeper, there are still pockets of real value. One of the most compelling areas is small caps. Over the past three years, small caps have underperformed mid and large caps, breaking from historical trends. Typically, they trade at a premium to the broader market. Right now, they’re at a discount.

It's been another fun reporting season - waterboarded with information, as always. But what really matters isn’t the past six months; it's what the numbers tell us about the future. This time around, we saw something different - a shift in tone from management teams. Unlike previous reporting seasons where outlook statements were scarce, this time, more companies showed confidence, jumping on the rate cut bandwagon and backing an improving Australian consumer. That’s always a concern.

Amcor’s (ASX: AMC) planned merger with Berry Global (NASDAQ: BERY) is expected to strengthen its position as a leading global packaging provider. In episode five of the 'Value Added Insights' series, I explain the potential impact of the merger on the company’s outlook and why Tyndall have taken an overweight position in the stock.