As the market takes a beating, I'm rubbing my hands together gleefully.
You see, I've a cash management account earning next to nothing in interest and a lump of cash that needs investing.
Many investors might see that view as 'crazy', but when I go shopping for stocks, I want them as cheap as possible. For those investors bailing out in the past few days as the markets tumble, all I can say is that you've probably missed an opportunity.
Since Monday, the S&P/ASX 200 (Indexasx: XJO) (ASX: XJO) is down 2.7%, and dreams of hitting the supposedly magical 6,000 barrier have been shattered. Still, further falls would be nice, and I can wait for a few more dividend payments to roll in.
But here are four stocks that I've got at the top of my watchlist.
iSentia Ltd (ASX: ISD) has seen its shares rally 29% since the beginning of this year, thanks to impressive performance over the last financial half year, and a great outlook for the full year. The media monitoring business has a strong position in Australia and says it has a huge potential market in Asia. Given the importance of its services to companies, I can't see iSentia disappearing anytime soon.
Pet supplies retailer and veterinarian Greencross Limited (ASX: GXL) has seen its share price fall nearly 20% in the past month, and is currently trading at around $6.60, well off its highs of over $10 set 8 months ago. Greencross is still bedding down its Petbarn stores and has plenty of potential to cross-sell veterinarian services to shoppers, as well as Petbarn's loyalty program members.
Woolworths Limited (ASX: WOW) are currently trading at around $29.30, virtually unchanged since a month ago and the beginning of this year. The supermarket retailer is under pressure and virtually unloved by investment banking analysts. A perfect opportunity if ever there was one to pick up a quality stock at a fair price.
REA Group Limited (ASX: REA) is the last but by no means least on my watchlist. Currently trading at around $47 and sporting a P/E ratio above 31x, shares ain't cheap. But quality companies are rarely on sale, so I guess I'll have to just bide my time and be patient.
