ZEL - Z Energy.

[Beagle]

I don't think much of his maths capabilities.
Company guidance is 48-50 cps in fully imputed dividends, mid point 49. Grossing 49 up for imputation credits = 49 / 0.72 = 68.06 / 555 = 12.3% Gross yield.
With all the issues the company is facing that I've previously alluded too, that's not enough to get me back on board at this stage and I will need to see the company de-risked in terms of the conclusion to the fuel price enquiry and the jet fuel storage and supply situation at Auckland airport.

I also think the CEO is doing a superb job at shooting the company in its foot with his recent public relations double speak.

I think its clear enough the minnows are very gradually nibbling away at their market share and compounding the long term headwinds is the very slow, (albeit at glacial pace), but inexorable shift to electric vehicles. These things must be factored in when looking at yield.
I leaned my lesson with sunset industries with relying on the yield of NZME and others have learned this very harsh lesson through SKY.

[BlackPeter]

That dead cat has had another bounce today. Must have a bit of Snow Leopard in it, seems to have bounced pretty good.
Think I'll still wait for the Taxcinda steamroller though to flatten things down again.

Attachment 10776

Beautiful gap for people who like to play them, but not for the fainthearted. Overall trend pointing downwards - and while the share might be at this stage a plaything for traders, it appears to be quite risky for long term investors.

Not my cup of tea ...

[Beagle]

https://www.stuff.co.nz/business/116...ation-closures

Mark 5 December 2019 down in your diary as the date the Com Com come out with their final report.
Then the grandstanding by Jascinda after that in her usual way to try and tell us that fuel companies are fleecing us when its perfectly obvious who is really fleecing us.
This one is a real political hot potato with an election next year. Regulatory risk is something that I think one ignores at their peril...

[Joshuatree]

At least have the decency tospell her name right.
Both govts have added fuel taxes pretty well equally and its user pays for you jafa's , fair enough too.Too many years of not enough infrastructure and roading spend is all coming home to roost. health , housing, environment , water.as well.This govt is having to take on the lot due to past do nothing govts

[Beagle]

My review of fuel excise levies shows National's rate of increase broadly matched the inflation rate in the previous nine years, (no real increase in inflation adjusted terms), whereas Labour have dramatically upped the ante since they got into power under the auspices that fuel excise increases are not tax increases. Time for a Tui eh JT

[sb9]

Another media write up about the two-day public hearing held by Com Com in Wellington.

http://www.sharechat.co.nz/article/e682f06a/loyalty-scheme-members-not-exclusive-customers-fuel-inquiry-hears.html

[Beagle]

Z saying their return on invested capital will only be about 7% this year. Heck that's bad and not supportive of tens of millions required for shoring-up additional much needed infrastructure around crucial Jet fuel supplies is it ! Govt set to regulate on that as well ? Life seems to be getting tougher for Z.
Tide finally starting to go out ?

[Joshuatree]

My review of fuel excise levies shows National's rate of increase broadly matched the inflation rate in the previous nine years, (no real increase in inflation adjusted terms), whereas Labour have dramatically upped the ante since they got into power under the auspices that fuel excise increases are not tax increases. Time for a Tui eh JT

"Too many years of not enough infrastructure and roading spend is all coming home to roost. health , housing, environment , water.as well.This govt is having to take on the lot due to past do nothing govts" Dogroll

[Beagle]

"Too many years of not enough infrastructure and roading spend is all coming home to roost. health , housing, environment , water.as well.This govt is having to take on the lot due to past do nothing govts" Dogroll

Hard to believe you forgot to mention National's lack of action on climate change

[horus1]

The real point is not National or Labour BUT that we are a small country and Markets do not work. Look at electricity , supermarkets , fuel etc. The ideas need to change.