Fund managers are identifying significant value in ASX-listed stocks previously impacted by the “SaaSpocalypse,” alongside strategic bets on founder-led companies globally. Portfolio managers from Solaris, Ziller Funds, and Antipodes shared insights and top stock selections at a Morningstar digital investment conference.
Solaris chief investment officer Michael Bell named real-estate listings platform REA Group as his top S&P/ASX 200 Index pick. REA Group is a digital platform dedicated to real estate. It facilitates property transactions by connecting buyers, sellers, and renters through extensive listings and tools. Its shares plunged in April amidst AI disruption concerns but have since rebounded. Bell argued REA is poised to emerge as an AI beneficiary, citing its scale, data, and brand advantage. Morningstar equity analyst Roy Van Keulen similarly favoured ASX-listed hotel software provider Siteminder. Siteminder offers cloud-based software solutions for the hotel industry. Its technology enables hotels to manage room rates and distribute inventory across various online travel platforms. Despite a significant share price drop, Siteminder recently announced new AI tools, with Van Keulen believing it offers good value as the travel industry recovers.
Globally, Ziller Funds founder Joseph Ziller highlighted founder-led companies. His top picks include spacecraft manufacturer Rocket Lab, South American online marketplace Mercado Libre, and cryptocurrency exchange Coinbase. Coinbase recently announced workforce reductions, but Ziller expressed optimism for its significant role in the stablecoin market. Stablecoins are a less volatile cryptocurrency. Their value is pegged to hard currencies like the US dollar, making them ideal for faster, cheaper international payments. Meanwhile, Antipodes Partners CIO Jacob Mitchell identified US conglomerate Honeywell, Chinese battery giant CATL, and e-commerce giant Amazon as his leading AI picks. His global fund outperformed the MSCI All Country World Index over the past year.
