SUM - Summerset Group

[percy]

Uncle Percy reckons SP follows earnings so underlying EPS up 55% last year and looking at 40-50% this year and only a 39% increase in SP means heaps of room for this puppy to run....but wait there's more...look at it since I sold 2 years ago at $3.60. Combined FY14 and Fy15 EPS growth since then has been 70% so 3.60 x 1.7 = $6.12 now (not a price target in 12 months time with another 40-50 growth). Freaky how that $6 figure keeps cropping up isn't it !!

Even more enjoyable when you have a "free ride".

[Beagle]

https://nzx.com/companies/SUM/announcements/279812 Annual report out. On a really quick 5 minute skim read so far I've seen Lots of talk about best practice, milestones, growth and lots of very strong and attractive bar graphs with exceptional growth over time...even a picture of an attractive grey dog. Well worth a good read.

As previously mentioned, a development margin uplift to 20% in 2015 is a strong measure of the model’s success. It has also resulted in an increased rate at which we can expand. We believe there could be further gains to come from ongoing improved procurement and forward planning of how we develop our sites.

I especially liked this bit seeing as most of their underlying profit comes from development and the build rate is increasing to 400 units per annum from 300 last year. Also worth noting that the development margin while 20% overall last year, itself a fantastic result, it was 20.5% in the second half, quite an improvement from the first half so that's a pointer on how the development margin is going to track for 2016.

[Food4Thought]

Wondering about who is buying up these smaller parcels of shares. Normal story, increase of 20-30%, average short term investor sells up. Looking forward to seeing some big investors stakes increase by compulsory disclosure. Don't sell too early, unless you need the cash and can make better investments, this one is worth a lot more than money in the bank long term. Hopefully there are no sell recommendations around on this one. SUM $4.50 by the end of next week? Follow the trend

[macduffy]

. Hopefully there are no sell recommendations around on this one.

FWIW, Craigs Investment Partners have a "Neutral" on SUM. (And on RYM and Metlifecare.)

[Food4Thought]

What is this "game"of end of day HIGH buy prices and LOW sell prices? Watching from ASB securities this is like some kind of play? How does it work

[Lewylewylewy]

It's an ASB f up, they seem to get the buys and sells the song way around if you look at the depth. People do put fake buys and sell orders in after close though

[Snow Leopard]

What is this "game"of end of day HIGH buy prices and LOW sell prices? Watching from ASB securities this is like some kind of play? How does it work

It is called the pre-close and ends in a price & volume matching 'auction' in the same way as the pre-open and the beginning of trading.

It's an ASB f up, they seem to get the buys and sells the song way around if you look at the depth. People do put fake buys and sell orders in after close though

The f up is not the ASB. You are making ill-informed comments.

Best Wishes
Paper Tiger

[limmy]

How does this pre-close work? I've often wondered why this is done and how it's carried out.

[777]

How does this pre-close work? I've often wondered why this is done and how it's carried out.

It also happens at the opening. Pick a stock and work through it. It is a relatively simple process. There are no fake bids.

[BlackPeter]

How does this pre-close work? I've often wondered why this is done and how it's carried out.

Google and you shall find an answer. However - if your search engine is broken, try this:

https://www.anzsecurities.co.nz/dire...htutorial.aspx

Pre-open and pre-close
The time periods either side of an open market are referred to as "pre-open" and "pre-close".

During pre-open and pre-close, Bid and Ask prices can be entered into the market but trades will not occur until the market actually opens for trading.

Refer to the timetable below:

NZX pre-open: 9:00am ASX pre-open: 9:00am (NZT)
NZX open: 10:00am ASX open: 12:00pm (NZT)
NZX pre-close: 4:45pm ASX pre-close: 6:00pm (NZT)
NZX close: 5:00pm ASX close: 6:15pm (NZT)


Pre-open period

During the pre-open period, investors may examine the quantities and prices on either side of the market to predict the potential trading sentiment for the day ahead.

In a situation where the Bid price exceeds the Ask price during pre-open, the opening price is found by a rule-based algorithm used by the relevant stock exchange.

When the market opens, the algorithm takes into consideration the volume and prices on each side of the market and uses four sequentially-applied steps to determine the open price. If a result cannot be found when the first rule is applied, the second rule will also be applied and so on until a price is created.

If you wish to view more information about the algorithm, an explanation can be found on the Australian Stock Exchange website.

Pre-close period

The same logic applies during the pre-close period, where investors have a 15 minute window to enter an order into the market for it to be potentially "matched off" at the specified close time, according to the price and volume on the Bid and Ask sides of the market. If the order is not matched, based on Bid/Ask price and volume, the order remains in the market queue until the following trading day when it can then be altered, removed completely or left unchanged.