HGH - Heartland Group Holdings

[Beagle]

didn’t poor ‘old Snoopy bring forward a very compelling PE debate awhile back and end up getting slated by a lot of people on ST for his comparison of HBL to the big ozzy banks?

I really enjoyed all of the contributions at the time, but seem to recall that the outcome (general consensus) was that a slight PE premium for a growing kiwi bank vs the ‘large, mature & clunky' ozzy banks was deemed acceptable?

charts indicate support at around 175. should be fine.

A fine debate that was too at that time. At the time HBL was growing its EPS faster than its Australian peer group so the theory then as espoused by this author was that a slight PE premium was fair and reasonable. The issue now is that with recent share issuance I don't see a superior rate of growth anymore so at least in my mind this begs the question of whether a PE premium is currently justified. Time will tell but I agree with posters above all this cloak and dagger stuff with RBNZ does not help confidence or transparency.
In a behind the paywall article on NBR today apparently the FMA knew about the RBNZ investigation into CBL from mid 2017. The only ones who didn't know about the unfolding fiasco were Joe public investors. How this is possibly acceptable in the context of continuous disclosure obligations of the NZX I have no idea ???? Perhaps there should have been a trading halt in August last year ?
Erosion of confidence in RBNZ's transparency will not help confidence in other companies they have a mandate to oversee which of course includes HBL.
Some people on this forum reckon we should all take great comfort from the fact that HBL has the oversight of RBNZ. How much comfort you really can now draw from that I have no idea.

[Balance]

Erosion of confidence in RBNZ's transparency will not help confidence in other companies they have a mandate to oversee which of course includes HBL.
Some people on this forum reckon we should all take great comfort from the fact that HBL has the oversight of RBNZ. How much comfort you really can now draw from that I have no idea.

I for one draws comfort from RBNZ oversight.

RBNZ may not be on the ball all the time but it certainly got the UDC decision right. ANZ was all for selling UDC to HNA group but RBNZ put a stop to it - HNA Group is in all kind of financial difficulties.

[winner69]

I for one draws comfort from RBNZ oversight.

RBNZ may not be on the ball all the time but it certainly got the UDC decision right. ANZ was all for selling UDC to HNA group but RBNZ put a stop to it - HNA Group is in all kind of financial difficulties.

And they recently did catch Westpac out on some of their disclosures around capital ratios and how they had made mistakes in calculating them

[winner69]

Internet forum..
I thought you knew better.

yeah, all sorts of shady characters on those

[Balance]

yeah, all sorts of shady characters on those

As true as it gets!

[percy]

Wonder what the resident beagle makes of the increased provision for impairments...now 0.73% of all receiveables...compares to 0.1-0.2% for most of the major Aussie banks. I guess that's the price you pay for lending more to the consumer finance and agricultural sector...has to be some price when their net interest margin is circa double that of the Aussie banks.

Posted 22-02-2015.
Interestingly HBL's MIM has remained twice the Aussie Banks.Yes twice.
HBL funding model does not rely on European wholesale funds.
HBL exposure to Aussie residential property is via RELs, which are safer and have a better margin than normal mortgages.
HBL exposure to Aussie mining,and commercial property is nil.
HBL exposure to NZ housing market remains low.
HBL's equity ratio remains excellent.
HBL has good organic growth,mainly driven by digital products,and is stronger than Aussie banks.
HBL has a good record of paying increasing fully imputed dividends.
HBL's directors are major shareholders.The owner's eye.

[Baa_Baa]

Posted 22-02-2015.

Right after peak 'ramp' [those were thrilling times, when the duo show was in full swing and agreement] when it came off the Dec/Jan spike and then went down 25% then oscillated sideways(ish) over a year and a half before recovering.

[percy]

Right after peak 'ramp' [those were thrilling times, when the duo show was in full swing and agreement] when it came off the Dec/Jan spike and then went down 25% then oscillated sideways(ish) over a year and a half before recovering.

Yes it has been a fun ride with Heartland.Plenty of opportunities for every one to buy in.
With increasing fully imputed divies, us long term shareholders are certainly being well rewarded.
The next five years should be even more rewarding for those of us who enjoy fat divies.
May be the share price will be over $5.00.?

[Onion]

yeah, all sorts of shady characters on those

And some of those dodgy internet forums seem to get taken over by cats and dogs! Imagine!

[winner69]

And some of those dodgy internet forums seem to get taken over by cats and dogs! Imagine!

.....and the onions haven’t driven them away

Maybe need to put out some pepper spray