So little value left on the NZX perhaps given relative valuations the potential rewards could outweigh the risks ? I suspect this has a reasonable chance of being a top performer for 2018. Might double down if I'm feeling brave soon.
Come on mr dog!..read thier recent presentation.....that will make u grave enough to double down
I confess l’ve been buying a few more lately, while they’ve been trading under $1, oh and this one is one of my nzx competition picks for 2018! Time will tell.. a bit risky compared to it’s pairs, but I like the potential
One suspects they have a better than fair chance of leveraging off their excellent care reputation to grow nicely over the long term.
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
When the fishing gets harder cast your net further
Originally Posted by King1212
Got to say..not much value share at NZX now..except OCA
Yes its been a big year on the NZX with the market up 23% and value getting harder to find which will encourage more people to look at left field less obvious choices.
Lots of potential if they can prove themselves but investors jaded from getting skunked on a lot of new listings in recent years (TGH, EVO and MPG to name just 3) will need to see a steady string of positive announcements before they'll ascribe a market average sector PE to this one. If they can prove themselves and grow earnings nicely over the next few years this has plenty of potential to double over time with some reasonable PE expansion thrown in as the company builds trust with the market.
I am cautiously optimistic over the long run.
Last edited by Beagle; 20-12-2017 at 03:50 PM.
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
Forward looking say OCA underlying profit F18 (May year end) of $50m puts them on a forward looking PE of 12 (they haven’t said what F18 profit going to be but refer to underlying ebitda of $62m so using that)
SUM underlying profit F18 (December year end) say $100m (+20% on F17) puts them on forward looking PE of 12
Think I know which is better value / cheapest or whatever
probably completely wrong about OCA forecast - you never know they might make as much as SUM. I stand to be corrected
Last edited by winner69; 20-12-2017 at 03:55 PM.
“ At the top of every bubble, everyone is convinced it's not yet a bubble.”
Forward looking say OCA underlying profit F18 (May year end) of $50m puts them on a forward looking PE of 12 (they haven’t said what F18 profit going to be but refer to underlying ebitda of $62m so using that)
SUM underlying profit F18 (December year end) say $100m (+20% on F17) puts them on forward looking PE of 12
Think I know which is better value / cheapest or whatever
probably completely wrong about OCA forecast - you never know they might make as much as SUM. I stand to be corrected
Yes I don't think underlying profit of $100m for SUM is out of the question for 2018. Disc: SUM easily my largest holding in this sector but I think OCA has the potential to grow their development model very nicely and could surprise on the upside.
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
Originally Posted by Beagle
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