Shares of Telstra Corporation Ltd (ASX: TLS), Bellamy's Australia Ltd (ASX: BAL) and National Australia Bank Ltd. (ASX: NAB) have been caught in the market's crosshairs in recent times.
In fact, in the past five days alone their share prices have fallen more than 5%. So could this be the opportunity that savvy investors have been waiting for?
Telstra share price: $5.22
Telstra's shares have come under meaningful selling pressure since early 2015, having fallen over 21% since their high in February. However, at $5.22, Telstra's share price has moved into a far more compelling valuation range considering the company's growth outlook. Moreover, at today's prices it's expected to yield a dividend equivalent to 5.8% fully franked.
Bellamy's share price: $12.06
Bellamy's share price has been on a tear in 2015, rising from less than $2 to over $13 last week. The company's organic infant formula has been a huge success in Asia, especially in China. However, with a market capitalisation over $1.1 billion, there's a chance the Bellamy's share price has become a little heated. While its future is undoubtedly positive; in my opinion, its shares are closer to a hold than a buy at today's levels.
NAB share price: $28.28
NAB's share price has performed poorly in 2015, falling 16%, so far. Increasing competition, slowing house price growth and regulatory concerns have hurt each the big four banks' returns this year. However, the outlook for a medium-term turnaround is uncertain. In addition, NAB's proposed divestment of its troubled UK subsidiary, Clydesdale Bank, is continuing. Indeed, its success is not yet guaranteed.
Buy, Hold or Sell?
In my opinion, Telstra shares are nearing the buy zone (around $5 per share); Bellamy's, while one of the Australia's best growth stocks, is a hold; while NAB is a sell at today's prices or a hold – at best.
