STU - Steel & Tube Holdings

[BlackPeter]

EPS about 10 cents and share price about $1.10

Justin — What you reckon a good PE for a company like STU is

10 cents EPS? Where is this coming from?

If we assume that they have very little tax to pay this year (for sure they accrued some losses), and that their interest payments dropped due to the recent recapitalisation, than it would be more like 14 cents / share.

For what it is worth - 4-traders is coming up with 16.5 cents EPS, but not sure how they calculated that (maybe assuming a tax refund from last years loss?). Their target price is 144 cents.

https://www.marketscreener.com/STEEL...20/financials/

Haven't yet met anybody who is not just able to predict future shrare prices (anybody can do that), but to get them right as well ... but yes - on a PE of 10 would this be something like $1.50 - add or deduct any hype and (as couta correctly states) the forecasts for 2020.

I will lean myself wide out of the window and predict that the STU share price within a year will be between 110 and 250 cents. For disclaimers, please check above ;

[winner69]

10 cents EPS? Where is this coming from?

If we assume that they have very little tax to pay this year (for sure they accrued some losses), and that their interest payments dropped due to the recent recapitalisation, than it would be more like 14 cents / share.

For what it is worth - 4-traders is coming up with 16.5 cents EPS, but not sure how they calculated that (maybe assuming a tax refund from last years loss?). Their target price is 144 cents.

https://www.marketscreener.com/STEEL...20/financials/

Haven't yet met anybody who is not just able to predict future shrare prices (anybody can do that), but to get them right as well ... but yes - on a PE of 10 would this be something like $1.50 - add or deduct any hype and (as couta correctly states) the forecasts for 2020.

I will lean myself wide out of the window and predict that the STU share price within a year will be between 110 and 250 cents. For disclaimers, please check above ;

I just assumed they were going to pay tax

Wrong again eh as I see they have $4.9m in tax losses to carrry forward

[Justin]

show over，there are only one winner， milfie

[BlackPeter]

show over，there are only one winner， milfie

Depends on your perspective and time horizon. If you discount for the "FBU-takeover-hype peak", than the SP is nicely and steadily rising since the CR.

STURise.PNG

The show ain't over - you just watched the end of the first act (since CR) ;

[Filthy]

http://www.scoop.co.nz/stories/BU181...-indemnify.htm

[winner69]

http://www.scoop.co.nz/stories/BU181...-indemnify.htm

STU will continue to be arrogant and won’t even consider that course of action.

[Beagle]

http://nzx-prod-s7fsd7f98s.s3-websit...475/290065.pdf

Well regarded Harbour Asset management selling down close to 2 million shares at average of $1.337. They must think any prospect of a takeover is well and truly dead and buried and that prospects for this company with its highly chequered track record are anything but bright. FWIW I think the market is dead right to be highly skeptical in regard to future profit "forecasts" STU have made. Their response to the FBU takeover was farcical in my opinion and the market clearly does not share the directors high opinion of the companies future prospects.
I remain of the view that the construction sector is best avoided.

[Justin]

Who bought this 2 million shares?

[Balance]

Who bought this 2 million shares?

https://www.nzx.com/announcements/326709

Not him but always good to see directors and management buy shares on market.

[Scrunch]

http://nzx-prod-s7fsd7f98s.s3-websit...475/290065.pdf

Well regarded Harbour Asset management selling down close to 2 million shares at average of $1.337. They must think any prospect of a takeover is well and truly dead and buried and that prospects for this company with its highly chequered track record are anything but bright. FWIW I think the market is dead right to be highly skeptical in regard to future profit "forecasts" STU have made. Their response to the FBU takeover was farcical in my opinion and the market clearly does not share the directors high opinion of the companies future prospects.
I remain of the view that the construction sector is best avoided.

Or they just sold down additional shares and booked a profit. Part of the sell-down has been redistributed within the same wider First NZ Capital Group so the group didn't want out completely.

7 Sept - Announce they have gone over 5% (8,754,574 = 5.274%)

10 Sept - Announce increase from 5.274% to 6.556% (8,754,574 to 10,882,258 shares). Its confusingly titled First NZ Capital Group Limited but First NZ Capital securities only hold 22,424 shares at this point in time.

7 Nov - Announce they have decreased from 6.542% to 5.492% (10,859,834 to 9,117,284 shares). What is less clearly stated is that of this 1.74m share reduction, 0.56m was purchased by the related entity First NZ Capital Securities which has increased to 579,302 shares.

What is more interesting is the purchase by Ngaire Malpass of another 50,000 shares which Mark Malpass (CFO) disclosed today.