wowee even better than the best (ryman) by miles... and even better than I was expecting... everything up really. Share price should skyrocket... but it probably won't, everyone will go buy sum thing else for reasons I still cannot understand
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wowee even better than the best (ryman) by miles... and even better than I was expecting... everything up really. Share price should skyrocket... but it probably won't, everyone will go buy sum thing else for reasons I still cannot understand
Crazy good ARV...
SURELY WE CAN MOVE PAST +140 NOW...it's time.
These look like an excellent set of results. The sector challenges they outline are consistent with others - but looking at those challenges, ARV looks the best of all to cope with them...and their high engagement scores bode well in a time of labour shortages.
Yep TJ, that's a stunning result, go you for all your well placed faith in the company. Full year normalised earnings increased 46% - 2017 , 43% -2018 and now (1/2 yr) 45%- 2019.
Plus , after my disparaging comments on the last report presentation I must comment that this report is looking totally professional.
ARV share price heading north ...good
Be $1.60 by Xmas ...even better
I thought this would happen... share price going nowhere fast anytime soon... typically typical... best ever half year by miles and share price still below where it was nearly 2 years ago
PE contraction is a bitter pill to swallow isn't it. Seeing it right across this sector. Explains why SUM other companies are also under the pump including even some people's market darling RYM. http://nzx-prod-s7fsd7f98s.s3-websit...432/291294.pdf
Profit reporting sounds great especially the headline IFRS report doubling and underlying profit growth also sounds impressive at 45% but underlying eps is only up 17%, (ouch a sad and inconvenient truth) and its not the supercheap opportunity some thing at a forward underlying PE of 15.3.
I have OCA on a forward underlying PE of about 11 and don't think ARV's premium is warranted. Heck SUM other companies with a much longer track record of strong growth are on a forward PE of just 14 now. The problem with headlines is everyone gets excited about doubling of profit but underlying eps growth of 17% really isn't that flash compared to the growth rate at last report point for OCA and SUM. Development margin of only 16% is also the laggard of the entire sector so nothing to write home about there either. Not a mutt or a dog but a very ordinary company with ordinary growth trading at a fulsome valuation is my assessment.
Reading bits of the 2018 AR suggests that the acquisitions made H2 last year ( not included in H1 results) could have contributed more than $10m npat this half
That’s a fair chunk of the 116% increased profit eh
That’s one reason market not that excited I reckon.
The metrics, high-ish underlying PE, modest partially imputed dividend yield, slight premium to NTA, underlying eps growth of only 17% and development margin of just 16% all point as this to being an "also ran" in this sector. Nothing to get excited about. Disc: Not holding and not intending to hold.