Comvita - CVT

[Balance]

Thanks balance, no offence. Just my impression, not necessary right.

No offense taken Lease.

We learn everyday and learn off each other.

Cheers!

[BlackPeter]

In this forum, I have found some active members, in most of time, exaggerate issues and ignore potentials. This may call conservative, but well, I'm not that kind of investor.

Maybe this is not the right forum for you? if you don't want to read opinions which differ from yours than it might be more useful for you to write letters to yourself.

If you want however a better understanding of investor psychology (including yours ...) then it might pay to have a good read through e.g. some of the following threads: WYN, PEB, CRP, Pumpkin Patch, RAK, ... Might be fun to align the posts with where the SP (and trend) was at the time of writing. Feel free to add ATM or DIL or PPH to get some balance.

Very educational - and while nobody I know off is / was always right (including myself), it might help to get some reality check.

I find it useful to consider other reasoned views when making investment decisions (whether I follow them or not), but if you don't, maybe just go back to the first paragraph ;

I hope that this is useful for you.

[Lease]

Maybe this is not the right forum for you? if you don't want to read opinions which differ from yours than it might be more useful for you to write letters to yourself.

If you want however a better understanding of investor psychology (including yours ...) then it might pay to have a good read through e.g. some of the following threads: WYN, PEB, CRP, Pumpkin Patch, RAK, ... Might be fun to align the posts with where the SP (and trend) was at the time of writing. Feel free to add ATM or DIL or PPH to get some balance.

Very educational - and while nobody I know off is / was always right (including myself), it might help to get some reality check.

I find it useful to consider other reasoned views when making investment decisions (whether I follow them or not), but if you don't, maybe just go back to the first paragraph ;

I hope that this is useful for you.

No No No No No, I'm certainly open-mind to view all you guys opinions, for or against mine.

What I said is our investment style is quite different: you focus on risk and want very large degree of certainty. I would like to take risk but not take risk blindly surely have my own logic.

My way had some very successful experience so I'll keep going on.

[Balance]

No No No No No, I'm certainly open-mind to view all you guys opinions, for or against mine.

What I said is our investment style is quite different: you focus on risk and want very large degree of certainty. I would like to take risk but not take risk blindly surely have my own logic.

My way had some very successful experience so I'll keep going on.

Nope - we do not want very large degree of certainty - otherwise, you will not see us investing in shares like ATM or Serko or Xero.

What we want is:

Coherent strategy

Consistency of strategy

Transparency of how that strategy is being rolled out

Milestones being quantified and recaliberated as appropriate

And management and board showing that they are up to the task and are not perennial excuse makers.

Comvita fails on all fronts!

[bull....]

obviously some people dont believe in

Contrarian Investing

is an investment strategy that is characterized by purchasing and selling in contrast to the prevailing sentiment of the time. A contrarian believes that certain crowd behavior among investors can lead to exploitable mispricings in securities markets

[Balance]

obviously some people dont believe in

Contrarian Investing

is an investment strategy that is characterized by purchasing and selling in contrast to the prevailing sentiment of the time. A contrarian believes that certain crowd behavior among investors can lead to exploitable mispricings in securities markets

You mean like those of us buying Heartland when everyone was selling and Diligent when the stock was getting bagged by Milford?

[bull....]

You mean like those of us buying Heartland when everyone was selling and Diligent when the stock was getting bagged by Milford?

exactly good companies fundamentally maybe with issues at the time

[percy]

Yes good companies can have issues,while poor companies can have a good year.
Knowing the wheat from the chaff, is where the quality of your research pays off.

[Lease]

Nope - we do not want very large degree of certainty - otherwise, you will not see us investing in shares like ATM or Serko or Xero.

What we want is:

Coherent strategy

Consistency of strategy

Transparency of how that strategy is being rolled out

Milestones being quantified and recaliberated as appropriate

And management and board showing that they are up to the task and are not perennial excuse makers.

Comvita fails on all fronts!

Thanks balance, learnt from you.

[Balance]

exactly good companies fundamentally maybe with issues at the time

Comvita issues are that:

1. The golden days of super high margins for its products are over,

2. The company's cost base is too high,

3. Competitors (like Hong Leong group and China players) have entered the market - they have deeper pockets and superior distribution & marketing network in China & Asia,

4. Competitors have locked in supply contracts with numerous bee-keepers, depriving CVT of the abundant supply it used to access,

5. The new MPI standard has leveled the playing field - CVT is no longer the only standard bearer of quality manuka honey,

6. Much of the manuka honey out there are multi-flora, not mono-flora.

7. Management and board have for 4 years showed no progressive ability to tackle and manage the above issues (refer post #1565)

Let's see what the new CEO can do.

My expectations are that he will initiate a massive write-down, necessitating a capital raising and several years of 'repositioning' - even while its competitors move ahead.