With 2023 waving around the corner, many investors would likely look back and agree that 2022 is arguably one of the most challenging in All Ords ASX chart history with Nasdaq, Dow and S&P all in bear market zones, falling between 22% and 38% at their peaks.
Top 3 Stocks From The All Ordinaries Index To Keep Your Eye On In 2023
Whilst this can be nerve-wracking, history shows us that investing in All Ords ASX during a bear market can be a smart move to uncover opportunities for profit. Join us as we take a closer look at three ASX All Ords stocks that can forge a great beginning for long-term investors next year.
Corporate Travel Management Limited (ASX: CTD)
Corporate Travel Management Ltd (ASX CTD) is one of the world’s biggest corporate travel management organisations.
Whilst the ASX CTD share price decreased by roughly 25% this year, it is expanding its market share and expects to fully recover at the All Ordinaries chart by the end of FY23.
Solid demand from Corporate Travel ASX customers coupled with a high retention rate of current clients resulted in a $3.1 million bottom-line profit for the recent fiscal year, up from a $55.4 million loss in FY21. Underlying EBITDA increased to $59.8 million, up from a loss of $7.2 million the prior year.
Corporate Travel Management Limited reported a record month in September, with a total transaction value (TTV) of almost $0.8 billion. The revenue recovery in September was 75% of pre-COVID levels, with October pacing better than September.
It might generate $265 million in earnings before interest, tax, depreciation, and amortisation (EBITDA) in FY24 on $810 million in sales, assuming that airport issues will be resolved by June 2023 and Greater China opens.
Corporate Travel Management’s financial sheet has plenty of room for potential acquisitions, with $127 million in cash and no debt at the end of June this year.
This ASX All Ordinaries stock is now priced at 25 times the projected profits for FY23 and 16 times the estimated earnings for FY24.
Pinnacle Investment Management Group Ltd (ASX: PNI)
Pinnacle Investment Management Group (ASX PNI) remains an excellent investment management company and collaborates with fund managers wanting to establish their own businesses. It helps managers with several administrative tasks, including finance, legal, compliance, and offers start-up capital.
In the 2022 All Ords Index, the Pinnacle share price has dropped by 50%, giving it a far better bargain. Today, PNI ASX share price is worth 19 times the expected profits for FY23 and 17 times the estimated earnings for FY24. The company is consistently adding new managers to its portfolio.
When markets stop dropping, the restoration of longer-term asset price increases will be a natural stimulus for the rise of Pinnacle’s funds under management (FUM). It is expected that investment managers will experience higher client inflows again from PNI ASX shares.
IDP Education Ltd (ASX: IEL)
IDP Education Ltd (ASX IEL) is active in worldwide student placement and English language assessment. They have a presence in Australia, Canada, Ireland, New Zealand, the UK, and the USA. They also own and operate schools in South East Asia.
As COVID-19 caused borders to close and profits to sink, the IEL share price has fallen by 18% in the ASX All Ordinaries index this year. But now that borders have been opened, the IEL ASX share is rebounding significantly. In fact, its total revenue increased by 50% in FY22, while net profit after tax (NPAT) increased by 161%. IEL shares have not just outperformed the ASX 200 index, but also outperformed several blue-chip companies.
IDP Education Ltd (ASX IEL) has extended its worldwide network, provided online English language testing, and delivers substantially higher profit margins. The IDP Education share price is about 48 times the projected profits for FY23 and 36 times the estimated earnings for FY24.