Ebos Limited EBO

[percy]

Hi all...a quick question; what does everyone think is driving the particular (mostly downward) volatility on this share? my own target valuation is higher than current price, and I don't seem to be wildly out of sync with most of the forecasts out there...only factor I can think of is the Amazon effect on their AU retail, and recent board changes but seems like a harsh market reaction if those are the only factors...

(and yes, first time posting - looks like a good quality forum, hope I can help with that!)

First of all welcome.
One of EBO's competitors in Australia recently reported lower pharmacy sales,which may be rubbing off on EBO,as they have [from memory] a 50% interest in 550 Australian pharmacies.
Valuation.I don't know, but with a PE of 20.26 eps growth most probably between 7% and 10% and a yield of 3.55% some people may consider the share fully priced.

[macduffy]

I think it's largely a "market" thing. Markets and individual stocks go up and down and the NZ and Aust markets, particularly NZ have had a pretty good run for some time now. True, EBO is in a downtrend at present - although only back to levels of 2-3 months ago - so I wouldn't be adding to my pile there until that reverses.

[percy]

I think it's largely a "market" thing. Markets and individual stocks go up and down and the NZ and Aust markets, particularly NZ have had a pretty good run for some time now. True, EBO is in a downtrend at present - although only back to levels of 2-3 months ago - so I wouldn't be adding to my pile there until that reverses.

I agree.
Often EBO's share price seems to go its own way for no particular reason.

[QOH]

Ebos ticks all the boxes for me.
Most of my friends are in the baby boomer category, and most of them have ailments which either require hospital care or expensive medicines, unless the health system implodes I can't see how Ebos can lose.
These people may live to a hundred but the cost is going to be horrendous.
Throw in what the older people are prepared to spend on their dogs to keep them alive.
One friend has a dog who has a pill daily that costs seven dollars .

[Oliver Mander]

Thanks all...helpful. percy, your comment around the competitor result sounds like the major impact. I guess I only become concerned if it impacts longer-term results.
I'm a long-term holder, and the current downtrend doesn't change my investment thinking (as QOH outlines). Have to say, I would have thought a PE of 20 with future growth of 7-10% sounds like a pretty good deal!

[percy]

Thanks all...helpful. percy, your comment around the competitor result sounds like the major impact. I guess I only become concerned if it impacts longer-term results.
I'm a long-term holder, and the current downtrend doesn't change my investment thinking (as QOH outlines). Have to say, I would have thought a PE of 20 with future growth of 7-10% sounds like a pretty good deal!

Take no notice of me.
I prefer a PE of 7 to 10 with growth of 20%......lol.
ps.My biggest mistake with EBO over the past 25 years has been getting nervous and selling down.Has always cost me heaps to buy them back.!

[Oliver Mander]

Take no notice of me.
I prefer a PE of 7 to 10 with growth of 20%......lol.
ps.My biggest mistake with EBO over the past 25 years has been getting nervous and selling down.Has always cost me heaps to buy them back.!

:-) Fair call!!! if you find any 7-10's with growth of 20%, let me know...!!

[QOH]

Have I missed some bad news re EBO? Seems to be sinking fast.

[babymonster]

nzd vs aud increases

[macduffy]

Have I missed some bad news re EBO? Seems to be sinking fast.

And now seems to be recovering quickly. Seems to be prone to large inexplicable movements, possibly Aussie market initiated?

I hold.