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- TRA - Turners Automotive Group [previously TNR - Turners Limited]
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28-11-2018, 08:51 AM
#3531
Originally Posted by Beagle
Long term I can't see you going wrong at that price.
TRA - I think people are pricing it as a no growth company as though the current difficult trading conditions will exist permanently. I think that's as fundamentally erroneous as saying the Labour party who have seriously undermined business confidence will be in power permanently. I have some reservations about Grant Baker but I think Todd Hunter is doing a good job. PE is less than 9 and gross yield more than 9% with a $10m+ buyback coming. Hmmmm
Beagle in love again.?
No surprises.!!.
Yes vertically intergrated business model is sound,and scalable.
OK slow market in Auckland in October,but I believe November has picked up,and the rest of NZ is not looking too bad.
BuyRight cars in Hamilton trading above expectations ,and further growth available in the rest of NZ.
Last edited by percy; 28-11-2018 at 08:53 AM.
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28-11-2018, 08:58 AM
#3532
Originally Posted by janner
In agreement. I see this as financial fiddling.
C’mon janner ...be more sophisticated than using terms like “fiddling”...that sounds like being dishonest .....in the trade it’s “financial engineering”
”When investors are euphoric, they are incapable of recognising euphoria itself “
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28-11-2018, 09:10 AM
#3533
Originally Posted by winner69
C’mon janner ...be more sophisticated than using terms like “fiddling”...that sounds like being dishonest .....in the trade it’s “financial engineering”
I say it as I see it..
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28-11-2018, 09:14 AM
#3534
Originally Posted by janner
I say it as I see it..
......and I agree with you but some (not those entranced by management of course) might have used the word dodgy
Last edited by winner69; 28-11-2018 at 09:17 AM.
”When investors are euphoric, they are incapable of recognising euphoria itself “
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28-11-2018, 09:26 AM
#3535
Originally Posted by winner69
......and I agree with you but some (not those entranced by management of course) might have used the word dodgy
I could not possibly comment on that..
Dodgy
adjective INFORMAL•BRITISH
dishonest or unreliable.
"a dodgy second-hand car salesman"
potentially dangerous.
"activities like these could be dodgy for your heart"
of low quality.
"Spurs' dodgy defence had thrown away a 2-0 lead"
synonyms: second-rate, third-rate, substandard, low-grade, low-quality, cheap;
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28-11-2018, 09:28 AM
#3536
Originally Posted by percy
Beagle in love again.?
No surprises.!!.
Yes vertically intergrated business model is sound,and scalable.
OK slow market in Auckland in October,but I believe November has picked up,and the rest of NZ is not looking too bad.
BuyRight cars in Hamilton trading above expectations ,and further growth available in the rest of NZ.
Love doesn't come into it. Just a cold calculated business decision that on the balance of probabilities its probably (despite the SP being a train wreck for the last year, thank goodness I took steps to mitigate my losses and only held a few) reasonably good investing for yield at this level, possibly limited downside from here, hopefully
Not a high conviction or high level holding for me.
Last edited by Beagle; 28-11-2018 at 09:30 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
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28-11-2018, 09:38 AM
#3537
Originally Posted by Beagle
Love doesn't come into it. Just a cold calculated business decision that on the balance of probabilities its probably (despite the SP being a train wreck for the last year, thank goodness I took steps to mitigate my losses and only held a few) reasonably good investing for yield at this level, possibly limited downside from here, hopefully
Not a high conviction or high level holding for me.
I remain unconvinced on the dividend yield argument - it is not keeping up with capital losses through reducing Share Price.
Not am I convinced by the share buy back - it is likely to create false liquidity in the market. All good for a trader who will take a punt on buying low and selling higher. But not as a long term investment. Share buy back ends - liquidity dries up and SP fall back.
I'm still not sure where the money is coming from for the share buy back.
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28-11-2018, 09:43 AM
#3538
Originally Posted by minimoke
I remain unconvinced on the dividend yield argument - it is not keeping up with capital losses through reducing Share Price.
Not am I convinced by the share buy back - it is likely to create false liquidity in the market. All good for a trader who will take a punt on buying low and selling higher. But not as a long term investment. Share buy back ends - liquidity dries up and SP fall back.
I'm still not sure where the money is coming from for the share buy back.
Buy low the chance of good returns is better ...buy high the chance of good returns is diminished. Beagle thinks now is a low
Buyback money coming from petty cash
Last edited by winner69; 28-11-2018 at 09:44 AM.
”When investors are euphoric, they are incapable of recognising euphoria itself “
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28-11-2018, 09:47 AM
#3539
Originally Posted by minimoke
I remain unconvinced on the dividend yield argument - it is not keeping up with capital losses through reducing Share Price.
Not am I convinced by the share buy back - it is likely to create false liquidity in the market. All good for a trader who will take a punt on buying low and selling higher. But not as a long term investment. Share buy back ends - liquidity dries up and SP fall back.
I'm still not sure where the money is coming from for the share buy back.
I hear you mate and agree the SP performance has been absolutely appalling. Stepping back from that and taking a medium - long term view at $2.51 and assuming normal market conditions return in the medium term, 17 cps fully imputed gives 23.61 cps gross and on $2.51 that's 9.4% gross and its paid quarterly. Funding, they have increased their syndicated banking facility significantly this month.
I see this one in a similar light to the long term position I took in ZEL recently. Both suffered a tough first half and both got beaten up very badly by the market which appears to assume that a bunch of one off factors and / or tougher market conditions are going to be permanent.
I am shifting my portfolio to have a strong dividend bias for calendar year 2019 onward. Any stock that doesn't pay a forecast yield of at the very least 5% (and I would need to see genuine prospects of strong growth in future dividends at that level) is under review with a bias towards sale.
Last edited by Beagle; 28-11-2018 at 09:54 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
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28-11-2018, 10:06 AM
#3540
and everyones hoping that 10 - 20% decline in business doesnt mean reduced dividends and buybacks reduced to conserve cash
one step ahead of the herd
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