RYM - Ryman Healthcare

[winner69]

Listing on ASX would be good for RYM ... even if no other reason Aussies usually have higher valuations than NZ companies.

If punters in AU can see RYM being successful over there a bigger pool of punters wanting to buy share as well.

If capital was needed having AU presence makes it easier as well

[percy]

Listing on ASX would be good for RYM ... even if no other reason Aussies usually have higher valuations than NZ companies.

If punters in AU can see RYM being successful over there a bigger pool of punters wanting to buy share as well.

If capital was needed having AU presence makes it easier as well

Maybe nice to have a placement to our Aussie friends at NZ $6.90.

[Queenstfarmer]

Its looking more and more like a pyramid scheme this year. Its going to be sometime before the yield will get anywhere respectable...and maybe even more time before it gets anywhere near what the banks will pay for your your money. Many have creamed it over the past few years...but is it really a wise investment for people getting into it now and over the next year that it may approach $7.00 a share. Currently 500mil ordinary shares out there...what are the chances of an offering...increasing it to 750mil or more?

[CJ]

Its looking more and more like a pyramid scheme this year. Its going to be sometime before the yield will get anywhere respectable...and maybe even more time before it gets anywhere near what the banks will pay for your your money. Many have creamed it over the past few years...but is it really a wise investment for people getting into it now and over the next year that it may approach $7.00 a share. Currently 500mil ordinary shares out there...what are the chances of an offering...increasing it to 750mil or more?

In a way it is a pyramid scheme, using the money of the residents in existing villages to build the next village. The share is asset and cashflow backed so is not a pyramid scheme in the sense you are suggesting.

[NZSilver]

Great Company, great growth prospects, great management, great sector, still plenty of value at current share price, in 5 years I will be looking back thinking I wish I had more money to buy more ryman at $5.75, if I had put all my eggs into the ryman basket (the first share I ever bought on the 26/5/2011) I would be a lot better off. Currently the biggest portion of my portfolio by far, and wish I could buy more.

[Queenstfarmer]

Not a pyramid scheme...looking like one. I feel there will be a point where investors have paid too much too soon going on dividend yield. Its great to make capital gain as many have over the past few years. The investors that get in now and over the next few years (whom decide to hold) will be waiting along time to get a decent return.

[NZSilver]

Not a pyramid scheme...looking like one. I feel there will be a point where investors have paid too much too soon going on dividend yield. Its great to make capital gain as many have over the past few years. The investors that get in now and over the next few years (whom decide to hold) will be waiting along time to get a decent return.

Queenstfarmer - interesting thoughts,

for the record - price $5.79, div < 2%, P/E 22 I will remind you of your comments in 2 years time, however you might remind me, you never know what the future will throw in your path. But I think RYM has a bright future, with good returns (mainly capital) over the next several year. Im sure they will keep plenty of funds to use for growth - returning 15% on the money they hold instead of giving out bigger DIVs.

[Queenstfarmer]

If I paid the current share price and decided to hold as a dividend yield investor and perhaps even bought in as the sp increased....id be for their return hoping for something north of 30c per share dividend in the not too distant future. Yes great if I sell next year at $6.90 but whomever takes my shares is going to be needing 30-40c per share dividend. How far a Ryman away from being able to pay out 150-200-250 million in dividends each year.

[Queenstfarmer]

Hiya NZsilver. I'm not disputing that there isn't money to be made through capital gain in this Company and also the fact that Ryman is a well run company. Not everyone is going to benefit from this sky rocketing sp. Many will be relying on something north of 5% yield and I feel that could be some time off yet.

[CJ]

Hiya NZsilver. I'm not disputing that there isn't money to be made through capital gain in this Company and also the fact that Ryman is a well run company. Not everyone is going to benefit from this sky rocketing sp. Many will be relying on something north of 5% yield and I feel that could be some time off yet.

Dividend yeild is only one part of investor return. If you want a bond like return, why not buy bonds.

Their earnings growth is greater than their funding cost so it makes sense to keep growing rather than distribute those profits.