It's the second week out from the end of interim reporting season, and the market is clearly doing some rebalancing with regards to the way certain shares are valued.
Lifehealthcare Group Ltd (ASX: LHC) is a case in point, having soared from $2.08 in early January to recent prices of $2.96.
While the 40% price rise might be enough to deter new buyers, there are several other shares that are worth checking out this week:
- Navitas Limited (ASX: NVT)
Motley Fool contributor Tim McArthur feels that Navitas is a classic example of a quality growth stock having been oversold in recent weeks.
The education provider continues to deliver strong overall growth of 9% at its Northern Hemisphere programs, with Canada up 16%, the USA up 15%, and the UK rising just 1%.
Despite the strong figures, Navitas shares have fallen 34% in the past 9 months, and it could be a company to watch in the lead-up to the Southern Hemisphere enrolment figures at the end of March.
(You can find Tim's full coverage of Navitas here).
- BHP Billiton Limited (ASX: BHP)
Although Foolish contributors have been bearish about iron ore for over 15 months now, contributor Ryan Newman has published a well-researched article into precisely why the market won't be recovering any time soon.
In particular Ryan thinks that the fall in ore prices could potentially continue, eventually breaking the backs of smaller miners like BC Iron Limited (ASX: BCI) and Mount Gibson Iron Limited (ASX: MGX).
The real question in my mind is whether greater profits are forthcoming (or not!) for BHP Billiton and Rio Tinto Limited (ASX: RIO), since both miners are aggressively increasing their production despite an oversupply situation which is forcing prices down.
(You can find Ryan's full coverage of China's iron ore situation here)
- QBE Insurance Group Ltd (ASX: QBE)
'Just like the New Zealand cricket team; after years of excuses and underperformance QBE has finally returned to form and is on track to grow earnings for shareholders.'
Contributor Regan Pearson thinks he's uncovered the secret behind QBE's rocketing share price, which has leapt nearly 30% since January.
Given its poor record over the past five years – I sold my shares for $23 and a small profit back in 2010 – I'm not so sure QBE has returned to form.
A return to profitability in 2014 and insurance profits which rose by 28% were a good start, but the company has a long way to go to build its appeal in my mind.
At current prices I would personally be looking at insurers like Insurance Australia Group Ltd (ASX: IAG), which recently took a hefty price hit after the Queensland cyclone – which isn't expected to have a major negative impact on profits.
Another stock displaying outstanding value is The Motley Fool's Top Stock for 2015, a market-leading online company well worth considering as an addition to your portfolio.
