Reminds me of Talking Heads hit "We're on the road to nowhere".
Exactly. The vast sums this company has paid for goodwill on center acquisitions simply vanishes into thin air as soon as they start running the center in such a mean tight fisted manner that the centers deteriorate. Any write-down will be a token effort only as they need to appease their bankers that goodwill hasn't been materially compromised which anyone with any industry knowledge knows has occurred. Shareholders really are on a hiding to nothing with this company.
As Winner suggested this is indeed a slow motion train wreck.
Remember folks, this company has a net tangible asset backing of negative 29 cents per share. The "strength" of the company is ALL predicated upon the goodwill they paid for centers they acquired being maintained. Be very careful with this one.
Last edited by Beagle; 19-02-2018 at 10:43 AM.
Ecclesiastes 11:2: “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.”
Ben Graham - In the short run the market is a voting machine but in the long run the market is a weighing machine
yes, a reasonable shift on this news (no surprises there). tough going in a saturated market. EVO might be a good TO target for the likes of GEM(ASX).... try and keep the good (profitable) centers and get rid of the low occupancy crap ones that don't contribute.
yes, a reasonable shift on this news (no surprises there). tough going in a saturated market. EVO might be a good TO target for the likes of GEM(ASX).... try and keep the good (profitable) centers and get rid of the low occupancy crap ones that don't contribute.
filthy
Another industry stuck between a rock and a hard place involving government funding. Wages are on their way up and funding stays steady.
The same will happen what took place in the retirement sector. Government funding will be needed to keep up with wage growth demand. If it doesn’t we will see profits continue to decline.
Anything to explain being down 10% in the weeks leading up to this update?
Punters worried by market crash where hopeful companies get sold down more than solid companies ....but then some a bit cynical like you eh ...would never happen would it
So today’s 20% is really more of a fall
“ At the top of every bubble, everyone is convinced it's not yet a bubble.”
Something definitely smell's off and my nose says there's more trouble coming.
Keep up the sniffing Beagle
Thanks mate. you also called this a flea ridden pup, (or words to that effect) earlier on so well called too.
Not sure why anyone would want to hold this even at 60 cents...
Ecclesiastes 11:2: “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.”
Ben Graham - In the short run the market is a voting machine but in the long run the market is a weighing machine
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Originally Posted by percy
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