To be honest I have come to the conclusion that I do not really know how to value MET, RYM or SUM. The models I am comfortable with give much lower values than the numbers most brokers and the optimists of ShareTrader throw around.
BUT.
For my model that gives RYM a current value of $7.525 on a 15% growth rate:
For SUM with a 15% growth rate of their current profit (of $20M9) : $3.240;
For MET with a 15% growth rate of their current profit (of $56M6) : $3.836;
Now whilst I expect RYM to follow the model, I fully expect both SUM and MET to pick their game up, SUM quicker that others (MET)
.
So both should really be valued higher, but I have not yet done the work to come up with what I would consider realistic scenarios.
So as a conclusion I would suggest that according to the majority world view then currently:
RYM is fully priced;
MET is probably fully priced;
SUM is cheap.
I hold all three of these and taken together they constitute 36% of my total NZX holdings and whilst they are going up I will keep them.
[Another] BUT
I worry that current valuations of these companies have actually lost sight of the fundamentals of what these companies consist of how they should be actually be valued.
Best Wishes
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