HGH - Heartland Group Holdings

[percy]

Fair enough yep, similar to what I'm looking for, cash flow from operations as you know are very different to earnings however. Capex and IFRS lease rules can cloud the waters.

I will have a look, sounds interesting. Thanks for the information.

The one thing that really puts me off a company is intangibles.Often I find intangibles far exceed shareholders' equity.
I take them out of the balance sheet before I start looking at ratios.
MFB in NZ is a classic "Red Flag" to me.High intangibles and lots of debt.
Share opportunities are like buses.You miss one, you know there will be another coming along shortly.
But when you see the right one it pays to get onboard.
This coming year I may not get another ATP or 2CC,but you never know.?.l

ps.If I catch the wrong bus,I get off at the next stop.lol

[winner69]

You could research bitcoin and other cryptocurrencies for thousands of hours and the purchase of it will always be speculation. Research is not the difference between speculation and sound investing.

I’ve done the research and it’s Race 3 Number 12 Sugar Tine today

A sound investment …no speculation here …and a value one at that

[alokdhir]

The one thing that really puts me off a company is intangibles.Often I find intangibles far exceed shareholders' equity.
I take them out of the balance sheet before I start looking at ratios.
MFB in NZ is a classic "Red Flag" to me.High intangibles and lots of debt.
Share opportunities are like buses.You miss one, you know there will be another coming along shortly.
But when you see the right one it pays to get onboard.
This coming year I may not get another ATP or 2CC,but you never know.?..lol

Just on friendly note now that. we discussing research based investing on HGH thread ...so bringing both together ...What did your research said when u made major investments in HGH CR last August @ $ 1.80 or so ? When it was looking like going the way its gone after that ...

If it was good at 1.80 it must be great at 1.30 too ...balance sheet of HGH is not easy to understand even for an accountant like Mr B that he seeks help from FM to understand their treatment of some derivatives ...etc . U are a founder investor and supporter so u must have great understanding or its more faith here then anything else ...I am just trying to understand how and why ...as I am not an accountant nor I profess I can understand reading between the lines of balance sheets ....so just trying to update my knowledge mate

[percy]

Just on friendly note now that. we discussing research based investing on HGH thread ...so bringing both together ...What did your research said when u made major investments in HGH CR last August @ $ 1.80 or so ? When it was looking like going the way its gone after that ...

If it was good at 1.80 it must be great at 1.30 too ...balance sheet of HGH is not easy to understand even for an accountant like Mr B that he seeks help from FM to understand their treatment of some derivatives ...etc . U are a founder investor and supporter so u must have great understanding or its more faith here then anything else ...I am just trying to understand how and why ...as I am not an accountant nor I profess I can understand reading between the lines of balance sheets ....so just trying to update my knowledge mate

When I had spare cash I invested in HGH.
When I wanted some cash for something I sell enough HGH to pay for my purchase.
I sold HGH shares on 28th September,10th and 11th October,at $1.72 and $1.73.
I retain a good holding in HGH.
At present time I am neither a buyer nor seller of HGH.
Short term outlook is poor.Long term the outlook is good in my opinion.
If or when they do a capital raise,at that time I will decide whether to support it or not.
[most probably depend on funds I have available]

[SailorRob]

The one thing that really puts me off a company is intangibles.Often I find intangibles far exceed shareholders' equity.
I take them out of the balance sheet before I start looking at ratios.
MFB in NZ is a classic "Red Flag" to me.High intangibles and lots of debt.
Share opportunities are like buses.You miss one, you know there will be another coming along shortly.
But when you see the right one it pays to get onboard.
This coming year I may not get another ATP or 2CC,but you never know.?.l

ps.If I catch the wrong bus,I get off at the next stop.lol

For me, as with Warren Buffett, intangibles are everything.

If they are internally generated then mostly they're invisible, but assets over and above tangibles are the only thing that gives any company value.

Anyone can replicate tangible assets, intangibles are all that matter.

If however you've paid too much for them then yes it's a problem.

All of the best companies in the world have intangibles far exceeding tangible assets, when internally generated thus is seen as a high price to book.

[SailorRob]

Just on friendly note now that. we discussing research based investing on HGH thread ...so bringing both together ...What did your research said when u made major investments in HGH CR last August @ $ 1.80 or so ? When it was looking like going the way its gone after that ...

If it was good at 1.80 it must be great at 1.30 too ...balance sheet of HGH is not easy to understand even for an accountant like Mr B that he seeks help from FM to understand their treatment of some derivatives ...etc . U are a founder investor and supporter so u must have great understanding or its more faith here then anything else ...I am just trying to understand how and why ...as I am not an accountant nor I profess I can understand reading between the lines of balance sheets ....so just trying to update my knowledge mate

With due respect.

57 years of investment experience and the ability to choose from 50 odd thousand companies, and then buying General finance and HGH...

Well something is wrong with this picture.

The PEG idea is sound however, but obviously a lot more to it. Any company can create earnings.

[Valuegrowth]

It is for me.
The more research I do the better the results I achieve.
I do not invest outside the share market.
My investment principles are based on the book by Jim Slater "The Zulu Principle".
Simply put, earning per share growing at a higher rate than their current PE ratio. PEG ratio.
Smaller NZ and Aussie companies are where you find the gems.

Percy I am doing the same thing now. Sold one growth trap and one value trap recently. One has dropped almost 50% within three months. Concentrated on few debts free and low debts firms. Very happily staying with a strong balance sheet, cash rich, debt free and high dividend champion which I bought 10 years back. I think Sulu principle is suits me as well. I heard this Sulu Principle and didn’t follow much like other popular books on investment. We are going behind popular and promoted books and stocks while missing hidden gems (both hidden stocks and hidden books).

My congratulations for your investment success and other things that you achieve in your life!

[percy]

Percy I am doing the same thing now. Sold one growth trap and one value trap recently. One has dropped almost 50% within three months. Concentrated on few debts free and low debts firms. Very happily staying with a strong balance sheet, cash rich, debt free and high dividend champion which I bought 10 years back. I think Sulu principle is suits me as well. I heard this Sulu Principle and didn’t follow much like other popular books on investment. We are going behind popular and promoted books and stocks while missing hidden gems (both hidden stocks and hidden books).

My congratulations for your investment success and other things that you achieve in your life!

Thank you.
I find it embarrassing talking about what I have or have not achieved on this forum.So many people are so worse off than me,while others are so much better off.
Here is a link to Jim Slater's The Zulu Principle.
https://www.ftadviser.com/adviser-li...by-jim-slater/

[Valuegrowth]

Thanks Percy.

Thank you.
I find it embarrassing talking about what I have or have not achieved on this forum.So many people are so worse off than me,while others are so much better off.
Here is a link to Jim Slater's The Zulu Principle.
https://www.ftadviser.com/adviser-li...by-jim-slater/

[SailorRob]

The one thing that really puts me off a company is intangibles.Often I find intangibles far exceed shareholders' equity.
I take them out of the balance sheet before I start looking at ratios.
MFB in NZ is a classic "Red Flag" to me.High intangibles and lots of debt.
Share opportunities are like buses.You miss one, you know there will be another coming along shortly.
But when you see the right one it pays to get onboard.
This coming year I may not get another ATP or 2CC,but you never know.?.l

ps.If I catch the wrong bus,I get off at the next stop.lol

Buffett considers intangibles to be of the utmost importance. However, it may surprise you to learn that Buffett did not always believe in the power of intangibles.

In his 1983 annual letter, Warren Buffett writes, “I was taught to favor tangible assets and to shun businesses whose value depended largely upon economic goodwill. This bias caused me to make many important business mistakes of omission, although relatively few of commission.”