PGW - PGG Wrightson

[JBmurc]

Do you think PGW will still want branches in these towns in 11 years time?
I ask that as the biggest suppliers of books to the NZ book trade are based in Victoria,and deliveries take about the same time as they did from Auckland.
Bit like Pack'n'Save replacing the corner shop.
Can't see tenants lining up for a prime downtown site in Kurow,or any of those towns.

I'd agree on most other commercial properties ...but Rural services seem to be one of the few that need to keep premises close to the farming communities

You do find farmers aren't really into ordering everything online aka supporting the dorklanders etc ....going to the local farming store talking with the local PGW workers face to face is still very well received from the farmers I know(father in-law,brother in-law etc) .... also the long 10yr lease at the current yield does give a great pay back of capital ....then if you believe we will continue to have inflation in building costs it would be more unlikely a tenant to want to build in 10yrs time for a much higher cost ....etc

[winner69]

Wow, share price 38.5 cents

Hasn't been this low for a while

Things not looking good for them?

Came out with a trading update this time last year - maybe one on the way in next day or two

[Agrarinvestor]

Has anyone seen the buyback announcement of Agria? It should be a good sign for PGW shareholders regarding earnings and dividends.

http://ir.agriacorp.com/phoenix.zhtm...cle&ID=2176021

[nextbigthing]

Has anyone seen the buyback announcement of Agria? It should be a good sign for PGW shareholders regarding earnings and dividends.

http://ir.agriacorp.com/phoenix.zhtm...cle&ID=2176021

That is interesting.

"Our Board of Directors and senior management strongly believe that the current valuation of Agria shares does not reflect the intrinsic value of the Company and the growth and strategic opportunities of PGW"

[BlackPeter]

That is interesting.

"Our Board of Directors and senior management strongly believe that the current valuation of Agria shares does not reflect the intrinsic value of the Company and the growth and strategic opportunities of PGW"

Interesting indeed. Given Alan's board position is it probably fair to assume that he knows more about the coming earnings report than we do.

On the other hand - he would continue to reiterate PGW's value proposition - wouldn't he? I think Agria bought in their last big stake at something like 60 cents per share (and their average price must be still higher) - i.e. if they (Agria) can't see the value in PGW, than what have they done?

Discl: Holding some - and sort of sitting on the fence ...

[winner69]

Interesting indeed. Given Alan's board position is it probably fair to assume that he knows more about the coming earnings report than we do.

..

Spot on again BP

Bit of tightening up of the rather large previous guidance range and suppose we could call it an 'upgrade'

Still less than last year though

[percy]

Spot on again BP

Bit of tightening up of the rather large previous guidance range and suppose we could call it an 'upgrade'

Still less than last year though

A lot better than I would have expected.

[Snoopy]

A lot better than I would have expected.

There is a lot of attention paid to dairy as NZ's rural headline act. But PGW also own Fruitfed that services the horticultural sector. And horticulture is near an all time high. Those same irrigation people at "PGGW Irrigation" can be redeployed from dairy farm conversions to frost turbines for vineyards and fruit and vegetable irrigation. Furthermore when you look at the likes lamb farming, which is not booming nor crashing, there is still much everyday expenditure to be done on those farms. These farmers may not be buying new tractors. But they will be buying new fenceposts and pasture seed. Not glamorous. But enough to keep the likes of PGG Wrightson ticking along.

SNOOPY

discl: holder

[Beagle]

Given the severity of the protracted downturn in dairy I think this guidance is a very credible outcome. Gives encouragement to divvy hounds looking for their regular feed but beagles are unlikely to get fat on capital gains anytime soon IMO. Disc: This hound likes dividends too, count me in.

[winner69]

Given the severity of the protracted downturn in dairy I think this guidance is a very credible outcome. Gives encouragement to divvy hounds looking for their regular feed but beagles are unlikely to get fat on capital gains anytime soon IMO. Disc: This hound likes dividends too, count me in.

Yes - one of those relief announcements and seen as 'good news' because it wasn't 'really bad news'