Clear market notes built around the JSE, the rand, and what matters locally.

2026-10-16 07:55 • The Motley Fool Positive Axe Cap view: Selective

Sandisk stock has surged 497% year-to-date and could nearly triple to $4,128 over the next year, driven by strong AI infrastructure demand and data center storage growth. The company reported 51% quarter-over-quarter revenue growth to $9 billion, with CEO David Goeckeler stating the company is still in early innings of growth. Long-term customer agreements covering over half of fiscal 2027 bits shipped provide revenue visibility, though cyclical pricing risks remain.

Axe note: Sandisk’s explosive growth highlights AI demand, yet South African investors must weigh currency and sector risks carefully.

2026-10-16 07:20 • The Motley Fool Mixed Axe Cap view: Selective

Berkshire Hathaway has aggressively invested in homebuilders, becoming the nation's 4th-largest homebuilder through acquisitions and stakes in major companies, betting on long-term housing demand recovery. However, the author argues against this thesis, citing persistent headwinds including elevated mortgage rates above 7%, rising building costs, labor shortages, and tariffs that continue to pressure the sector and make homes unaffordable for consumers.

Axe note: Berkshire Hathaway is doubling down on US homebuilders, but rising mortgage rates and cost pressures make me cautious from a South African perspective.

2026-10-16 07:13 • The Motley Fool Positive Axe Cap view: Selective

The Schwab U.S. Dividend Equity ETF (SCHD) has surged 25% in 2026, significantly outpacing the S&P 500's 13% gain. However, the fund's dividend payout has barely grown (only 1% year-over-year), with the gains driven primarily by price appreciation rather than increased dividends. The fund's yield has compressed from 3.8% to 3.1%, making it more expensive relative to its income. The analyst projects a more modest 7% annual return over the next five years, assuming dividend growth of 6% annually and a slight yield expansion to 3.4%.

Axe note: After a 25% jump in 2026, Schwab’s Dividend ETF looks pricey with a shrinking yield.