I think the next year will be rough. Cant blame anything on the promoters, as they reached their prospectus. More competition hitting the market. This result will only prompt others to hit the market. Maybe not NZ wide, but major centres only.
I think the next year will be rough. Cant blame anything on the promoters, as they reached their prospectus. More competition hitting the market. This result will only prompt others to hit the market. Maybe not NZ wide, but major centres only.
I really don't understand this viewpoint.
What has the company done wrong?
They did everything they said they were going to do.
If you couldn't see these risks at IPO and still paid up just on the blind belief that being a stag always pays then more fool you.
Those salty shareholders are the ones blaming promoters.
Followed presumably by Waterman who will be annoyed that this has probably tarnished their reputation for future IPO exits.
I actually think there is value currently at 10%+ dividend yield, even if they do have significant competitive threats.
So MFB looking for acquisition opportunities to drive further growth
Not surprising …that’s how the games played …IPO ….big investors (say instos) say you must grow …buy something …as long as it looks good on paper judt buy it.
Isn’t that the way Metro went?
“ At the top of every bubble, everyone is convinced it's not yet a bubble.”
So MFB looking for acquisition opportunities to drive further growth
Not surprising …that’s how the games played …IPO ….big investors (say instos) say you must grow …buy something …as long as it looks good on paper judt buy it.
Isn’t that the way Metro went?
Cant keep buying up your competitors. I think its all about sustainable profits. Seems to be a relatively low cost entry, particularly locally. Results have been disclosed, but they are historical. Even Metro stated that their profits and market share will be affected by others entering the industry.
So MFB looking for acquisition opportunities to drive further growth
Not surprising …that’s how the games played …IPO ….big investors (say instos) say you must grow …buy something …as long as it looks good on paper judt buy it.
Isn’t that the way Metro went?
Yeah, I would never have bought MFB at IPO reading the prospectus but I'm kinda fine owning an unloved stock yielding free cash flow and prefer not to have muppets clamouring for it to make dumb acquisitions for the sake of it.
Too many hot sectors (I can think of one talked about ad nauseum on this website) and stocks where people have lost all sight of free cash flow but turn from suicidal to cheerleaders on nothing but acquisition news.
Results are as expected and dividends are as forecasted.
IPO was overpriced for sure but, current share price is good value and div yield is very good, fully imputed...
Let us look at dividends paid over the years (real money from tax paid on real income)
Debt is almost zero currently - 40 million debt facility available if required
Capital light, negative working capital, return on equity is now 29%
2018 -3.4 million
2019- 3.6 million
2020 - 8.4 million
2021 - 13.3 million
2022 - 16.8 million (7 cents div in total)
Ecclesiastes 11:2: “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.”
Ben Graham - In the short run the market is a voting machine but in the long run the market is a weighing machine
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Originally Posted by Rawz
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