Ports of Tauranga

[moka]

https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12062800

Brian Gaynor: NZ's best investor — is it BoP Regional Council?

Who is New Zealand's best investor?
This is a difficult question to answer but the Bay of Plenty Regional Council is an obvious candidate because of its stewardship of Port of Tauranga, which has created vast shareholder value over the past 26 years.

[Lawstudent05]

Great article, thanks for the link.

[Sideshow Bob]

https://www.stuff.co.nz/national/106...rt-of-tauranga

Bit of a BBQ at POT and container terminal closed.

[martinchnz1]

Is the lower support finally starting to cave?

[Lawstudent05]

Is the lower support finally starting to cave?

Hey, out of interest what do you mean by the comment? You sensing a downward fall for the stock?

[martinchnz1]

Hey, out of interest what do you mean by the comment? You sensing a downward fall for the stock?

Well it's already 6.3% down from it's peak within the last few weeks and many commentators have called it over valued stating fair value at $3.80.

[Patient Panda]

Well it's already 6.3% down from it's peak within the last few weeks and many commentators have called it over valued stating fair value at $3.80.

POT is an excellent business with great management but has been seriously overvalued for a long time. Even being generous with the numbers you plug in to the Graham formula its very hard to get a fair value over 3.30 and thats with no discount (no discount probably fair in the case of POT with its pedigree).

[Lawstudent05]

POT is an excellent business with great management but has been seriously overvalued for a long time. Even being generous with the numbers you plug in to the Graham formula its very hard to get a fair value over 3.30 and thats with no discount (no discount probably fair in the case of POT with its pedigree).

Thanks for the reply. What do you mean by the Graham formula?

I guess if its overvalued the SP might take a hit with the upcoming annual results this Friday. For me POT is long term and have to slowly accumulate as it builds.

[Joshuatree]

Yep best stock to set and forget for 10 years if you had to pick one imo, RYM another fave.
Your $1m inheritance is locked for 10 years in one company, which one ?

[Patient Panda]

Thanks for the reply. What do you mean by the Graham formula?

I guess if its overvalued the SP might take a hit with the upcoming annual results this Friday. For me POT is long term and have to slowly accumulate as it builds.

https://en.m.wikipedia.org/wiki/Benjamin_Graham_formula

normally the formula presented in the link is very optimistic with its valuation so instead of 2g I just use the plain long term growth rate.

so you get
v= eps * (8.5+g).


I can’t tell you what will happen to the SP in the short run, flipping a coin will be just as accurate. In the long run I am sure they will continue the march onward and upward