Part of the reason for the interest will be the fact it is the main pick at the moment of the NIA, who many regard as a pump and dump operation.
Certainly, if you look at the long term track record, it consists of things starting at a dollar, going up to 5 bucks, and ending up at 50 cents.
Regardless, they apparently have millions on their mailing list, so their interest almost always pops a stock. A sample of their stuff is below.
---
New Zealand's exports to China reached a record $1.22 BILLION in the month of November alone, up a STUNNING 80% year-over-year! On an annualized basis this equals $14.64 BILLION up an AMAZING 597% since 2008, when total full year New Zealand exports to China were only $2.3 billion! Exports of agricultural products, mainly meat and dairy, are by far driving the overwhelming majority of this unbelievable growth.
China's wealthiest investors are rushing to buy up New Zealand agricultural assets. Agria (GRO) was the very first to do so several years ago, which allowed GRO to acquire the cream of the crop - PGG Wrightson, the largest agricultural services company in the entire nation with over 100 rural supply stores located throughout every part of both the North and South New Zealand islands. In New Zealand, the name PGG Wrightson is just as well known as McDonalds is in America. Today PGG Wrightson was the 7th most active stock on the NZX, and lately it has been one of New Zealand's most active stocks almost every single day.
The first half of PGG Wrightson's fiscal 2014 ends tomorrow, and by the time they report first half results in February, both PGG Wrightson and GRO will likely be trading significantly above their current share prices. New Zealand's economy is the fastest growing out of all developed countries due to its booming agricultural sector, and PGG Wrightson's business is such an integral part of New Zealand's agricultural sector that it's nearly impossible for GRO and PGG Wrightson not to be benefiting big time - with both companies likely set to report extremely strong financial results!
Based on PGG Wrightson's dividend paid in fiscal 2013, it has a dividend yield of 8%. Check out this web site: http://www.dividendyield.co.nz/hightolowdividend.php It lists PGG Wrightson's dividend yield as the 8th highest out of all NZX traded companies. However, if you look at things more closely, #7 on the list Pacific Brands paid out their dividend in Australian dollars, which have fallen dramatically vs. the NZD - and PGG Wrightson's dividend yield is actually now higher! #6 on the list Marlin Global may pay a slightly higher dividend yield but it trades an average of only 16,000 shares per day vs. PGG Wrightson's average volume of 474,000 shares per day!
#5 on the list Hallenstein Glasson only has a higher dividend yield because the stock is down 23% in recent months after poor earnings results, which will force them to lower their dividend next year to a yield less than PGG Wrightson! #4 on the list TeamTalk is also down 31% in recent months and will likely have to lower their dividend next year as well. #3 on the list Barramundi has little/no liquidity with average daily volume of 14,000. #2 on the list Chorus just withdrew its 2014 dividend guidance, causing a 38% drop in the stock. #1 on the list Pan Pacific is on the list by error and stopped paying a dividend last year.
As you can see, PGG Wrightson truly has the #1 highest dividend yield on the NZX, and GRO's 80.81% owned Agria Asia subsidiary will receive the majority of PGG Wrightson's HUGE cash dividend payments! PGG Wrightson is very liquid with rapidly increasing volume, and is currently in a major uptrend, with their EPS projected to double next year. PGG Wrightson's dividend will likely increase substantially next year to match their rapidly improving fundamentals!
Already GRO's PGG Wrightson ownership is worth $1.81 per share and including a 1-2X sales valuation for GRO's rapidly growing China seeds business, GRO deserves to rise immediately to $2.12-$2.42. For every $0.10 per share PGG Wrightson rises, GRO will deserve to rise an additional $0.45 per share. So if PGG Wrightson rises to $0.50 in January, GRO will deserve to rise to $2.57-$2.87. If PGG Wrightson rises to $0.60 in January, GRO will deserve to rise to $3.02-$3.32.
GRO's net tangible assets grew 165% in fiscal 2013 to $76.836 million or $1.39 per share. In 2012, GRO averaged a share price of $1 or 1.92X its net tangible assets at the time of $0.52 per share, which will now value GRO at $2.67 per share! GRO is now a major global competitor of Monsanto (MON), the world's largest seeds company, which currently trades for 7.76X its net tangible assets. GRO's net tangible assets will likely increase tremendously once again in 2014 as they receive their HUGE cash dividend payments from PGG Wrightson. Remember, GRO controls PGG Wrightson and will make them pay out the largest cash dividends it can afford - to drive GRO's cash flow through the roof as high as possible! After GRO breaks $1.60 it could rapidly explode past $2. NIA will prepare a technical analysis chart to show you later!
NIA is not an investment advisor and is not making any target prices or financial projections. Never invest based on anything NIA says. Always do your own research and make your own investment decisions. NIA never recommends to buy or sell any stock.
Disclaimer: NIA currently owns 550,000 shares of GRO. NIA intends to sell its GRO shares and can do so at anytime. NIA reserves the right to add to its GRO position at any time. NIA initially discussed GRO in a private report that was released to a small exclusive group of NIA members over two years ago.