FPH - Fisher Paykel Healthcare.

[winner69]

I sold some FPH for about $18 once ...after doubling in a few months had to sell

Should get back there again one day

[BlackPeter]

It’s a shame FPH isn’t a trendy stock on sharetrader.co.nz, otherwise a lot of users would have made a lot of money. It’s essentially NZ largest external facing company now but it gets no love.

It is not. ATM is larger (at the time of posting this ) - and they are as "external facing".

... Every time it’s mentioned some idiot calls it expensive.

Well, I guess this must make me an idiot. I suppose you are an expert in this area?

But lets see ...

FPH has a backward PE of 74.6. This means it would take the company 75 years to earn (based on the average of the last 8 years) its share price.

But sure ... the earnings are modestly rising every year - in the last 8 years they more than doubled from 14 cents per share in 2010 to 33 cents in 2018. Not really stellar, but solid growth.

So lets look at the analyst predictions for the next handful of years. If I use them, than I get a forward PE of 38.4. Still more than 38 years to earn their share price. I call this expensive, but as you say, i must be an idiot.

If we put FPH's forward growth (make it 12%) and earnings into the usually quite optimistic Grahams formula, than we get a fair value per share of $11.84;

So - I guess Graham must have been an idiot as well ... good to know, but don't tell Warren Buffet ;

Look - I guess what you probably want to say is that market hype is able to override any sensible value proposition (and it is, just look at the "crypto market" - no underlying value, high price). This is however nothing new. Many people buy stocks based on the greater fool theory, and some get rich that way. Does not mean, though that the others are idiots :

And just to make myself clear: I think FPH is a great company ... just a bit overpriced - and yes, this can still stay that way for some time (or not).

Discl: used to hold, but am currently not. There are plenty of in my view more sensibly priced companies around which offer appreciation gains as well.

[winner69]

BP - even $11.84 is 32 years ...hmmm

[percy]

BP - even $11.84 is 32 years ...hmmm

Fantastic......32 years.?..
Just before my 102nd birthday.....

[winner69]

In the US growth funds easily beating value funds

Main driver is the current mentality of growth at any price

While the world remains happy as FPH share price will continue upwards (and with expanding PEs)

FPH one of the greatr value creators globally (Boston Consulting Value Creators Report) so FPH well regarded by overseas fund managers

[percy]

In the US growth funds easily beating value funds

Main driver is the current mentality of growth at any price

While the world remains happy as FPH share price will continue upwards (and with expanding PEs)

FPH one of the greatr value creators globally (Boston Consulting Value Creators Report) so FPH well regarded by overseas fund managers

Maybe they are all a lot younger than me.?

[h2so4]

Fantastic......32 years.?..
Just before my 102nd birthday.....

No value there...?.....LOL!

[hardt]

Going to cut my holding by 30% today, had a great run and I hope it continues... I personally don't see anymore than modest gains for the coming year - happy to be proven wrong.
Had a PT of $15 for the FY and that was on slightly better numbers.

Profits already put into riskier picks.

[Filthy]

Comparing FPH to crypto-currency was perhaps a little unfair BP
Without doing the figures, I suspect the high-forward PE is probably there or thereabouts when compared to other similar wide-economic-moat health peers i.e. RMD,COH,CSL
Reckon some of the premium baked-in is also speculative – you never know what that R&D team might create with that 95mill eh.
Good positive balance sheet. I must admit though, I am a little perplexed with the 10% jump since the results which were good, but not fantastic.
Guidance of 210 rather than the 220-230 I had expected. Solid company which I bought on the ‘Mexican wall’ weakness.
Just ‘taken the money and run’ this week, but will be buying-back if/when the price retreats back to my FVE

[Joshuatree]

Filthy are you trading FPH?. If not how to you justify selling now to buy back in later with your accountant or IRD. Genuinely interested in this as ive been having disagreements lately with an accountants.