FPH - Fisher Paykel Healthcare.

[iceman]

Great post Alokdhir.

What is often not appreciated is that there will be huge tail winds for FPH in the next 2 - 5 years as hospital budgets throughout the world get priority spending treatment to remedy the discrepancies that Covid has highlighted.

A SP of $50 in 2 years is not unreasonable and your $100 in 5 years is quite possible.

Agreed and then we are also going to see the increased hardware sales due to COVID as well as the next few years hospital spending increases you mention, lead to long term growth in consumables to service all that hardware. It is important to note that in FY 20 sales to hospitals (homecare was nearly identical) were 14% hardware and 86% consumables. Gives us an idea of the size of the potential pool for consumables sales in the near-medium term future.

[alokdhir]

Agreed and then we are also going to see the increased hardware sales due to COVID as well as the next few years hospital spending increases you mention, lead to long term growth in consumables to service all that hardware. It is important to note that in FY 20 sales to hospitals (homecare was nearly identical) were 14% hardware and 86% consumables. Gives us an idea of the size of the potential pool for consumables sales in the near-medium term future.

Also to highlight here another darker truth of post Covid symptoms ....Many many doctors have reported partial long term damages to lung tissues resulting recovered patients needing home ventilation support and other respiratory help at home for 12-36 months if not permanently .

I think after Covid fully or partially gone then their Homecare business will take of including OSA part .

Overall I am quite bullish on FPH and it has superb management also . Not easy to ramp up production so much and so fast in such a short time

[alokdhir]

Great post Alokdhir.

What is often not appreciated is that there will be huge tail winds for FPH in the next 2 - 5 years as hospital budgets throughout the world get priority spending treatment to remedy the discrepancies that Covid has highlighted.

A SP of $50 in 2 years is not unreasonable and your $100 in 5 years is quite possible.

Thanks buddy for your appreciation and fully agree with your thoughts on the subject ...It has been put on the back burner by many after vaccine news but IMHO it has a potential to surprise on upside...2 year target of $ 55 possible .

[Louloubell]

Am surprised with the high level of fluctuations, resembling an IT company

[Old mate]

https://www.goodreturns.co.nz/articl...et-higher.html

[Leftfield]

Am surprised with the high level of fluctuations, resembling an IT company

All part of the cunning plan. Maybe today was a signal that others are beginning to see further potential in FPH (on reasonable volumes.) Onwards and upwards.

[alokdhir]

After long FPH has moved above 50day SMA ...Hopefully it will stay over it now as market is also sensing which we talked about here ...that a earnings upgrade is due mid Feb .

But Jarden's analysts gave it target of 33.55 as per market summary on GOOD RETURNS ...maybe its AUD and not NZD .

Lets hope it continues its march upwards as it has failed many times before in this area of SP

[iceman]

Am surprised with the high level of fluctuations, resembling an IT company

Well FPH sort of is a technology company to quite a significant degree. Huge amounts of money spent on R&D and patent work

[alokdhir]

ResMed's quarterly results are coming on 28th ...

If our companies also start providing quarterly results then tracking them and also investing in them will become more informed . Also it will remove lumpiness in SP movements also ...which is so the case with FPH as it moves only on or around results data or earnings updates

[winner69]

ResMed's quarterly results are coming on 28th ...

If our companies also start providing quarterly results then tracking them and also investing in them will become more informed . Also it will remove lumpiness in SP movements also ...which is so the case with FPH as it moves only on or around results data or earnings updates

You sort of saying that every company should have a Dashboard that is updated with key KPIs (revenues etc etc) say once a month ....and then punters will be even more informed?

I’m sure that would increase the occurrence ‘lumpiness’ in share prices