Lizard .... good result or a little underwhelming .... you don't sound that exciyed about it
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Lizard .... good result or a little underwhelming .... you don't sound that exciyed about it
Hi Winner,
I don't feel expert enough in insurance to really comment and, as you point out, many of the numbers affecting profit and asset values are easily skewed by assumptions. However, my view remains that TWR are well under-valued at current prices of around $1.65. The result appeared in line with the upper end of my expectations, so I am happy enough.
Had a bit of a hunt around the traps for analyst predictions (found two) and think that their forecasts were already on the high side, so they may not be overly excited. The ones I found already had TWR as a "BUY", so I don't think there will be much change in view to drive the price - perhaps some initial disappointment.
NAV maybe $1.79 but NTA is a little lower:
Tower reckon it is $1.60, I reckon it is lower (but only one of us is right).
Strip out the change in Investment Revenue and it is all very much as it was.
Surprised they are chucking a 5c dividend out. Maybe they want to prove they think they are doing well and can sustain it.
best wishes
Paper Tiger
Some would say that 'investing' is their core business ........having hoards of cash from premiums to invest is their game isn't it "...and hoping they don't have to pay out too much in the way of claims.
Most of that change in investment returns relates to unrealized gains .......hm what's happened to the markets since 1/2 half year balance date?
Tower investments in equities 18% - compare it with QBE 2% in equities!
OK, I will re-word it so that even belge can understand. :p
The change in pre-tax profit is almost exactly the same as the change in investment revenue.
If you dig into that bit of the report you will see the big change within that is from 'derivative financial assets and financial liabilities' (this time working in their favour).
best wishes
Paper Tiger
Hey PT you didn't read Note 22 or whatever did you ..... and I bet you understood every word and every number in that 20 page information pack they handed out
Suppose some analyst or a number cruncher like Belge will look at that Embedded Value number and calculate that TWR shareprice should be over a buck