STU - Steel & Tube Holdings

[Scrunch]

Think EBO,FRE,HLG,MFT and many others.It really works.

Except where it didn't yet or clearly hasn't. Tower is an example where there has been quite a bit of insider buying but the price hasn't moved much. MPG had insider buying around $1 and that was a terrible predictor of where the share price would go.

As BP notes there are a lot of examples either way.

That said, I'd take insider buying over insider selling any day.

[percy]

Except where it didn't yet or clearly hasn't. Tower is an example where there has been quite a bit of insider buying but the price hasn't moved much. MPG had insider buying around $1 and that was a terrible predictor of where the share price would go.

As BP notes there are a lot of examples either way.

That said, I'd take insider buying over insider selling any day.

I agree.
People sell for any number of reasons,but they only buy for one.
Bit different from directors /management having "the owners' eye".

[Shareguy]

Vulcan upgrades. Looks good for STU. Either way you look at it valuation of $2.00 is cheap when you consider listing multiples of Vulcan.

https://www.nzx.com/announcements/384182

[Muse]

Vulcan upgrades. Looks good for STU. Either way you look at it valuation of $2.00 is cheap when you consider listing multiples of Vulcan.

https://www.nzx.com/announcements/384182

Hell of an upgrade. At the opening price about a PE of 11.5. Now up 5% after a few big sellers got taken out at 8.78 - and ~7,300 shares available for sale on the NZX!

[sb9]

Vulcan upgrades. Looks good for STU. Either way you look at it valuation of $2.00 is cheap when you consider listing multiples of Vulcan.

https://www.nzx.com/announcements/384182

Unfortunately STU will always be at lower multiple than VSL and therefore portrayed as its poor cousin. Mr Market doesn't buy STU story fully yet.

[winner69]

Unfortunately STU will always be at lower multiple than VSL and therefore portrayed as its poor cousin. Mr Market doesn't buy STU story fully yet.

Maybe Mr Market jumps to conclusions and assumes Vulcan taking share off STU

[BlackPeter]

Hmm - interesting ... target price seems to be a lagging indicator (well, for STU this is):

STU target price.JPG

https://www.marketscreener.com/quote...420/consensus/

The other little gem from our distinguished market experts ... STU was 12 months ago on "Underperform" (2.5 / 10) - and the recommendation still does not look flash (3.3. / 10). Share price however nearly doubled from Nov 20 to Nov 21 - I hope nobody took the analyst recommendation at that stage serious unless they found a still better investment :

Discl: happy hodler ;

[sb9]

Here's hoping that big crossing of 370k odd shares y'day at 1.39 has cleared the seller out....

[winner69]

From the Metro Glass thread I was asked to put up this chart of STU sales over the years v's building activity

I made it look less sad by adding in a 2022 forecast


Bear in mind STU have some non-building activity but in general terms most say their fortunes are tied to the building cycle

[Balance]

From the Metro Glass thread I was asked to put up this chart of STU sales over the years v's building activity

I made it look less sad by adding in a 2022 forecast


Bear in mind STU have some non-building activity but in general terms most say their fortunes are tied to the building cycle

A very interesting & useful chart indeed.

Shows STU generally following the building activity cycle between 2008 to 2016 :

- in fact bucking the downtrend between 2010 and 2012 when activity declined but STU sales increased,

- hiccup in 2013 before resuming sales growth in line with activity until 2017 when STU's problems surfaced.

Every reason indeed for STU's sp to decline from 2017 and in fact, collapsed to below 50c in 2020, given the scale of sales decline relative to building activity levels.

Well, here's to STU regaining its ability to benefit from the increase in building activity levels from 2021 and beyond.