ARG - Argosy Property.

[BlackPeter]

ARG is simply unless the forum can inform us otherwise, a class act and very investable.

Absolutely, though timing is important. much more fun to buy them around (or below) $1 per share ... and I would not be surprised if they get there at some stage again ...

ARG5.JPG

[Swala]

Managed to buy at $1.04 mid April and very happy with this stock. One of the best real estate investments you can make in these times in my opinion and a long term hold.

[peat]

looks like it found its mojomentum this arvo!

[NZSilver]

Arg moving higher, great stock great returns considering it's very low risk nature

[BlackPeter]

Arg moving higher, great stock great returns considering it's very low risk nature

Is it really low risk? Sure, they still will be around in a decade and keep paying a dividend - however - SP was eight months ago around $1 ... and there is nothing stopping it to have another dip if & when the recession starts biting. Renting out offices and warehouses won't turn them into the next XRO or Amazon of real estate.

What is the up potential? You think another doubling of the share price is likely? I doubt it.

What is the down potential? Could SP drop to half? Well, they have been there 8 months ago ...

So, yes, good company and sure, NZ might be able to avoid the worst of the recession if we play our hand as "Switzerland of the South" really well.

However - there are always risks in a global storm. Personally I prefer to park my money at that stage into ventures with more up and less down potential.

[NZSilver]

Thanks for your comments - my bull case is Low debt, diversified, good yield. Cashflow every month. I would be interested in you top picks with more upside than downside

[BlackPeter]

Thanks for your comments - my bull case is Low debt, diversified, good yield. Cashflow every month. I would be interested in you top picks with more upside than downside

Not sure I have time to list them all (and sort of off-subject), but some examples would be e.g. OCA (I go here with Beagle & Mav), INA, CDI - a small property developer trading well below NTA, solid and consistent performer like MFT, PPH, various agricultural (and currently downtrodden) stocks including ATM and SML.

Anyway ... not saying ARG is bad, just feels currently a bit dear. I used to love to buy them around $1 and depending on how NZ Inc comes through the next crisis we well might get there again - or not - this is my risk :

[NZSilver]

Yeah agree, I still see arg a lot lower risk then all of those, other than main freight. I'd say arg is at fair value but could move towards 1.60 simply based on where the OCR is heading. I'm very familiar with CDI and have owned previously and own a smaller parcel, a real value play with property on the books at purchase price rather than developed/appreciated price. No debt and plenty of cash. However it is illiquid and more importantly is controlled by MCK and there overseas owners. The big question is will it actually ever realise it's true value and trade towards what is probably worth? Possibly not with it's large holders who I'm sure see it more as a private business and are not to worries where the shareprice sits, reasonable dividend in the mean time though.

[NZSilver]

Buy more pre results or afterwards? Seems to be holding well mid 140s

[DDog]

This is not getting any attention

Argosy Property Limited (‘Argosy’ or the ‘Company’) has reported its results for the 6 months to 30 September 2020.
Key highlights for the period include:
• Net distributable income up 21.5%;
• Net distributable income per share up 21.2%;
• Robust portfolio metrics maintained with high occupancy (99.4%) and WALT (5.7 years);
• Strong portfolio leasing and rent review outcomes, including 3.8% annualised rent growth on rents reviewed;
• An unrealised revaluation gain of $79.8 million, an increase of 4.3% on book value;
• An increase in net tangible assets per share (NTA) to $1.41 from $1.30 at 31 March 2020;
• Strong delivery on key strategy focus areas including minimising Covid-19’s impact on the business, the continued focus on sustainability and green developments and executing on capital management initiatives;
• Argosy’s FY21 dividend guidance increased to 6.45 cents per share, reflecting continued sound delivery of strategy.