HGH - Heartland Group Holdings

[h2so4]

Sorry should have used the 'fair value share price' as a bas, not the current share price! Have corrected my post (sell down price now $1.74).

SNOOPY

I don't understand why you have a sell price for a share that you don't even own.

[trader_jackson]

So you wouldn't consider selling till it at $1.74, yet you think it is overvalued at $1.55?
So how overvalued does a share have to be until you decide to sell it?

[Snoopy]

I don't understand why you have a sell price for a share that you don't even own.

Two answers to that.

1/ I study HBL as a 'value benchmark' for the finance sector shares I do own: ANZ and WBC. So knowing where the value of HBL is in the market, relative to the other two, is useful to me.

2/ The 'Capitalisation of Dividends Valuation' that I did produced:

2a/ an 'average value' AND
2b/ a 'buy value' (as a non-owner that is of interest to me) AND
2c/ a 'sell value'

all as outputs of a single analysis.

IOW, it wasn't really any extra work to produce the 'sell value', which might be of interest to those that do hold. So I printed it.

SNOOPY

[h2so4]

Two answers to that.

1/ I study HBL as a 'value benchmark' for the finance sector shares I do own: ANZ and WBC. So knowing where the value of HBL is in the market, relative to the other two, is useful to me.

2/ The 'Capitalisation of Dividends Valuation' that I did produced:

2a/ an 'average value' AND
2b/ a 'buy value' (as a non-owner that is of interest to me) AND
2c/ a 'sell value'

all as outputs of a single analysis.

IOW, it wasn't really any extra work to produce the 'sell value', which might be of interest to those that do hold. So I printed it.

SNOOPY

Well I'm impressed SD.

[davflaws]

Well I'm impressed SD.

Me too,and would probably be even more so if I knew what IOW meant

[Jantar]

Me too,and would probably be even more so if I knew what IOW meant

In other words are you saying you do not understand common abreviations?

[Snow Leopard]

Me too,and would probably be even more so if I knew what IOW meant

IOW = Institut für Ostseeforschung Warnemünde

IOW = Isle Of Wight



In other words it can mean many things

Best Wishes
Paper Tiger

[Snoopy]

So you wouldn't consider selling till it at $1.74, yet you think it is overvalued at $1.55?
So how overvalued does a share have to be until you decide to sell it?

Actually I said I would be selling down from $1.74 (cum dividend) because the share would be 20% above my fair valuation. I didn't say I wouldn't consider selling at a lesser price.

I might sell at a price less than $1.74, but above $1.42 (my fair value price) if I found something better to invest in. The problem is, in this market, really good investment opportunities are hard to come by. Selling something above fair value, only to buy something else above fair value, doesn't necessarily make me better off.

However if something is very clearly overvalued to a significant degree, and I would argue Heartland at $1.74 would fit that category, then I would consider reducing my holding and putting that money in a 2% call account until another opportunity arose somewhere else in the market.

SNOOPY

[JeremyALD]

Wow that last page was a painful read.

The SP has been extremely stable for the last 6 months, even through the elections saga. People obviously see fair value in this share around its current value.

Looking forward to the results, they're delivering nicely at the moment and out of most banks in New Zealand have the most room for growth and profit expansion over the next 5 years.

[tim23]

Think they would have been firmer but for the share placement lingering expecting announcement with result this week