NZSX50 - Good News!

[winner69]

When I was in London...the mantra was "sell in May and go away!"

Good chart in this article

http://www.businessinsider.com.au/ch...go-away-2014-4

Might ea northern hemisphere thing .....maybe for NZ sell in October an go away ....summer holiday

[Billy Boy]

http://www.nzherald.co.nz/economy/ne...ectid=11400670
BB

[Billy Boy]

"The Stoxx Europe 600 Index ended the day with a 0.2 per cent decline from the previous"

Pretty sure the cows are still producing milk Billy Boy, don't sweat it

...
It's not the Index's that,s making my cows dry up, it's the causes. !!?
BB

[MAC]

Does anyone else have a sense that we have pretty much now seen the cyclical peak for the power company stocks ?

The forward yield play has been priced in, and there is, as CEN announced today, zero forward demand growth in the sector.

Going forward now over the next couple of years it may well be a matter of cyclical utilities coming and going with annual weather patterns. Although, any anticipated return of growth would be job ads for development engineers, I don’t think we will see that this year or next.

It’s all quite a large sector influence on the NZ50 with CEN, MRP, MELCA, GNE and TPW all being in the top 15 by market cap I think.

[bunter]

Does anyone else have a sense that we have pretty much now seen the cyclical peak for the power company stocks ?

The forward yield play has been priced in, and there is, as CEN announced today, zero forward demand growth in the sector.

Going forward now over the next couple of years it may well be a matter of cyclical utilities coming and going with annual weather patterns. Although, any anticipated return of growth would be job ads for development engineers, I don’t think we will see that this year or next.

It’s all quite a large sector influence on the NZ50 with CEN, MRP, MELCA, GNE and TPW all being in the top 15 by market cap I think.

Bit of a power cut today.

All fully valued by my model except GNE.

But - FWIW - I think there might be hidden value in the new floats.
Private ownership and management might unlock this.

Plus these high quality assets probably deserve some sort of a premium.

Short term I'm holding for bonus shares and for possible capital return (MEL).
Will look to sell down MEL and MRP some time. Hold too many.

Value guesses:

GNE -3.71
MRP - 3.28
MEL 2.42 (when fully paid)

TPW - 8.64
CEN - 5.88 (revised down form 6.8 today after shock result)
VCT 3.45

Also IFT 3.86

[MAC]

It begs the question too as to where cash from all the profit taking will now go to ?

[BlackPeter]

It begs the question too as to where cash from all the profit taking will now go to ?

looks like plenty of interest in NZR .... but no, seriously ... I could imagine that some of the money is moving off-shore. AUD and EURO look quite affordable these days, and in both regions is it currently easier to find shares still worth their money (based on PE) than around here.

[Bjauck]

Approximately in NZD terms since March 2014:

NZ50 (gross index) up 12.6%
FTSE100 up 11.2%
All Ords up 4.5%

[bunter]

looks like plenty of interest in NZR .... but no, seriously..

Just wait!

[MAC]

I think this may well be a symptom of the bubble in NZ yield stocks, perhaps when we see a tick up in US interest rates, 6 to 12 months of US yield hunting inflows into NZ dividend stocks may much more suddenly go back the other way ?

http://www.scoop.co.nz/stories/BU150...tment-plan.htm