undervalued compared to other gentailers? has not increased as much as other gentailers
definately under performing last mth 1.3% up compared to mel and cen up like 6%. i think some fund is capping the price from rising at the moment so once they have finished selling should play catchup. it has the highest div yield by far now of the gentailers
MCY went over $4 yesterday , it was only mcy and gne which were not performing , yesterday mcy joined cen and mel in new all time highs so only leaves gne lagging the others and not having reached new all time highs. As was saying a fund has either been accumulating a big position ( they do this by suppressing the price why they accumulate) or a fund has been selling.
MCY went over $4 yesterday , it was only mcy and gne which were not performing , yesterday mcy joined cen and mel in new all time highs so only leaves gne lagging the others and not having reached new all time highs. As was saying a fund has either been accumulating a big position ( they do this by suppressing the price why they accumulate) or a fund has been selling.
I saw something on yields the other day. They payout ration for Genesis was 202% for FY 19 and 159% for FY20.
So maybe the 5.43 is not sustainable long term.
I saw something on yields the other day. They payout ration for Genesis was 202% for FY 19 and 159% for FY20.
So maybe the 5.43 is not sustainable long term.
cash flow is how power companies measure div payout ratio. genesis is between 70 -80 % of free cash flow. i have debated with snoopy over div sustainability both with differing views , only time will tell who is right.
although i would say any power company that invest in a major new power station may affect there divs. but they are investing for the future cash flow which would mean higher divs in the future again
although i would say any power company that invest in a major new power station may affect there divs. but they are investing for the future cash flow which would mean higher divs in the future again
Yes except that Genesis have outsourced their next consented windfarm at Waverly to Tilt. Genesis have agreed to buy all the power from the new windfarm but they won't own it. They will be renters. And that will reduce cashflow for Genesis, so lower dividends going forwards are to be expected.
I haven't even mentioned a relatively weak petrol price of late. The current years production is all hedged, but what will happen with the new hedging contract for next year? Yet more reduced cashflow going forwards?
SNOOPY
Last edited by Snoopy; 14-06-2019 at 03:10 PM.
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Yes except that Genesis have outsourced their next consented windfarm at Waverly to Tilt. Genesis have agreed to buy all the power from the new windfarm but they won't own it. They will be renters. And that will reduce cashflow for Genesis, so lower dividends going forwards are to be expected.
I haven't even mentioned a relatively weak petrol price of late. The current years production is all hedged, but what will happen with the new hedging contract for next year? Yet more reduced cashflow going forwards?
SNOOPY
depends. will genesis be paying for power from waverley but then selling it for more to customers? this would mean no capital outlay and better cash flows.
also lower oil price does not necessary mean lower cashflow as you can pump more to acheive the same result.
definately under performing last mth 1.3% up compared to mel and cen up like 6%. i think some fund is capping the price from rising at the moment so once they have finished selling should play catchup. it has the highest div yield by far now of the gentailers
depends. will genesis be paying for power from Waverley but then selling it for more to customers? this would mean no capital outlay and better cash flows.
There has to be something in it for Tilt to have done the deal. Tilt could have bought the development rights from Genesis and gone it alone. Under that scenario The 'Waverley Windfarm' would have fed into the energy wholesale market. But no, Tilt have instead elected to sell all of their output to Genesis, I am guessing at a fixed price that will cover the development and running costs of the project. It could even be a take or pay deal which might prove expensive if the wind doesn't blow.
also lower oil price does not necessary mean lower cashflow as you can pump more to acheive the same result.
The Kupe field is in decline and I think they are pumping out as much oil as they can already. The NZOG plan in the day certainly showed declining production each year into the future.
SNOOPY
Last edited by Snoopy; 14-06-2019 at 08:24 PM.
Watch out for the most persistent and dangerous version of Covid-19: B.S.24/7
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Originally Posted by stealthmaster
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