Like anyone does, they were offered a parcel of reasonable size at a price below their own view of fair value, and took the opportunity.
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Like anyone does, they were offered a parcel of reasonable size at a price below their own view of fair value, and took the opportunity.
Interesting chart eh jimdog
Funny that after I mentioned that HMY behaving like HUM you show that it is
Both have amazing fundamentals …..but not liked by market
Maybe the problem is their names ….Harmoney and Humm pretty nondescript names eh ,,,,perception goes a long way to create excitment.
Maybe it’s a permanent thing ….just asker trader_jackson how long Flexigroup/Humm has been unloved
Was it humm that bought that fintech for 20x revenue to stay alive? Or was it latitude?
HMY 20x revenue one day?
ASX: Latitude (LFS) have a proposal to purchase HUM's Humm Consumer Finance
https://www2.asx.com.au/markets/company/hum
https://www2.asx.com.au/markets/company/lfs
the SP of both has gone backwards since this was announced in early January 2022
I think HMY is unloved for a bit of that but also because the loan book is growing very slowly and the market cannot see past it.
Plenti, MoneyMe and Wisr all growing their books above 20% on avg every qrt for the last 4 qrts.
HMY was until recently growing its book only 3% every qrt, but pleasing to see that ramp up to 8% last qrt.
Its the NZ book that is lagging (for reasons unknown to me).
NZ loan book went NO WHERE from FY21 Q2 to FY22 Q2.
Compare that to the Aus long book that just booked 83% pcp growth.
However it is still growing slower than their Aussie peers but HMY growth is increasing qrt on qrt while the others growth is decreasing qrt on qrt.
Two reasons why I chose HMY over the others:
1) Much of HMYs peers growth has come from buying business. I.e. they lowered their rates to the brokers/ car dealers who then pushed business their way. They all generate less revenue from their loan books aside from MoneyMe who is on par with a ratio of 16% revenue/loan book.
2) HMY is the only 100% direct to consumer lender. They dont go through brokers or car dealers who want to clip the ticket. So yes HMY book is growing slower. But it is growing and it makes more and their customers are theirs for life (3Rs kick in at no extra marketing cost). Vs the others that customers will go back to the introducer (broker or car dealer).
rawz
If you go here https://www.rbnz.govt.nz/statistics/c5 it looks like personal consumer lending has been rather flat for the last 5 months and is less than what it was in Dec2020 and not much more than Dec2019
Seems that non-bank lenders are getting a bigger share over time (v banks)
aybe explains your disappointment in Harmoney lack of growth in NZ
Thanks W69
Looks like HMY NZ market share is 2.7% of all consumer lending and 6% of non bank lending.
A lot of room to grow and not sure why HMY hasnt won market share?
Maybe just holding back funds to lend to our mates across the ditch
I see the CCCFA changes as benefiting HMY. Not good for the banks.
HMY have bank scraping tools to do the work vs banks relying on a personal banker.
We do know HMY turned the lending tap off when covid first hit. I think this has had a big impact on the 3r's. I dont know how much. Possibly the lack of growth is down to this and other small factors. Excuses right?..
Next qrt better build on the 2% growth seen last qrt or maybe W69 is right and the data scientists are not doing their job...