SUM - Summerset Group

[Snow Leopard]

This is where on my understanding of the matter underlying earnings gets a little bit into murky waters....actually almost creative accounting if they're carrying a lot of stock that subsequently might need to be discounted below independent valuation in some sort of clearance sale. What they do with their development book is book a development profit for all units "developed" or in their terminology "delivered" during the year regardless of whether they're sold or not. The book entry of development profit "realised" is the difference between the cost price of construction and independent valuation at year end (for those units unsold) and the difference to sale price for the sold units. If the market starts to fall however, so called previously "realized" development profit from unsold units can be reversed to a certain extent....

I believe your understanding, if I am interpreting what you wrote correctly, is wrong here Beags.

The component of Underlying Profit related to new units is definitely only for new units sold.

A read of the FY17 results presentation will make this clear to you.

[Beagle]

I believe your understanding, if I am interpreting what you wrote correctly, is wrong here Beags.

The component of Underlying Profit related to new units is definitely only for new units sold.

A read of the FY17 results presentation will make this clear to you.

Happy to have another look at it when I get some spare time Snowy. Big volume today suggests someone sees value at this level. I know the generally pretty well regarded Harbour have them in their Australasian portfolio, (mind you they also have FBU in there too)

[Entrep]

No need to try and catch the bottom of this one. I think you will have plenty of time to get in once things turn.

[silu]

That's a vote of confidence. Dr Bismark buys 7,200 share on market @ $6.83

[Timesurfer]

I see Generate remain upbeat about SUM shares.

The weakest performing property and infrastructure holding was Summerset with a fall of -14.7%. While this is disappointing, even after this significant pullback Summerset was still up 23.4% for the calendar year to date making it the strongest performing Property and Infrastructure holding in 2018.

[winner69]

I see Generate remain upbeat about SUM shares.

Nice to see that they recognise Summerset for what it effectively is — a “Property and Infrastructure” company ....none of this healthcare / retirement sector stuff

[Timesurfer]

Nice to see that they recognise Summerset for what it effectively is — a “Property and Infrastructure” company ....none of this healthcare / retirement sector stuff

Indeed. Just as selling Big Macs is a front for buying up realestate.

[Beagle]

Ouch, just noticed the chart of SUM and it looks a bit like a head and shoulders with the formation of the right shoulder just completed. Some people reckon there's about a 90% probability these head and shoulders play themselves right out which would see SUM headed all the way back to $5.00

[Ggcc]

Ouch, just noticed the chart of SUM and it looks a bit like a head and shoulders with the formation of the right shoulder just completed. Some people reckon there's about a 90% probability these head and shoulders play themselves right out which would see SUM headed all the way back to $5.00

I was just thinking the share price was heading into cheap territory...... I still have a few thousand shares and will remain holding them as this sector will always remain doing well over the next ten years at least. Of course the “cheap territory” depends on their profit guidelines which hopefully be announced near Christmas.

[minimoke]

Stop loss at $6.40 on that one just hit as well. That's OK, I'll take my 35% profit and sit on the side lines for a while