OCA - Oceania Group - retirement villages

[tommy_d]

i trid to bid this week from 0.73 then 0.74 then 0.75，too many bids on the queue.

check the offers and jump the queue if the spread is low and the price is right - if you were prepared to pay 0.75 on the day you bid 0.73 (and i don't think much has really changed this week), then the queue jump would have bought you the shares immediately at 0.74...

[macduffy]

Sometimes, when there’s only a 1 cent spread especially, and you want some shares, just buy at market. Imo

Prices can run away from you, they can creep away as well, up or down. Just decide if you want shares and get them, or play the market games if you really reckon you might save or make a few cents. Imo again

Exactly, Baa Baa!

[mfd]

Sometimes, when there’s only a 1 cent spread especially, and you want some shares, just buy at market. Imo

Prices can run away from you, they can creep away as well, up or down. Just decide if you want shares and get them, or play the market games if you really reckon you might save or make a few cents. Imo again

Good advice. I learnt my lesson holding out for 46c to double my ATM holding 5 years ago. With hindsight, I probably would have done just fine buying at 47c.

[Cyclical]

Good advice. I learnt my lesson holding out for 46c to double my ATM holding 5 years ago. With hindsight, I probably would have done just fine buying at 47c.

Are you predicting the same here with OCA, mfd? I think you did the right thing by not buying at 47c, as that would have been barely more than a 4000% gain. Meh

[Beagle]

https://oceaniahealthcare.sharefile....b6d6481344e8cb

Well worth downloading and watching. A very strong and resilient business. Dividend yield at 80 cents still just north of 6%.

[dubya]

https://oceaniahealthcare.sharefile....b6d6481344e8cb

Well worth downloading and watching. A very strong and resilient business. Dividend yield at 80 cents still just north of 6%.

The only downside I heard was difficulty hiring overseas nurses and carers due to the border being shut. Otherwise business as normal for OCA.
6%+ dividend pretty damn good and share price where it was 3 years ago at the IPO. Lots more upside to come I think???!!!!

[Maverick]

The only downside I heard was difficulty hiring overseas nurses and carers due to the border being shut. Otherwise business as normal for OCA.
6%+ dividend pretty damn good and share price where it was 3 years ago at the IPO. Lots more upside to come I think???!!!!

Hey Dubya,
most here won't know, OCA have a training business that convert NZ and overseas nurses to NZ RV requirements.
This arm contributes 1-2m income as " other income" every year.
There is an overall strong resistance from NZ nurses to convert to RV but with local doctors now doing online and car park consultations during level4 there are plenty being forced to reconsider their positions.
OCA has placed themselves in the front line to cherry pick the ones they like. Now overseas nurses have dried up we still have a facility that puts us in front of our competitors to assimilate the best nurses up for grabs.
I know that sounds dodgy but you know what I mean.

[Beagle]

A number of highlights of that presentation for me included :-
1. How strong, resilient and flexible their business model is. I didn't realise that they can either sell their care suites under an occupation right agreement model or simply let new people in and charge them a premium room rate of ~ $60 a day and from a financial perspective the returns are not dissimilar. Gives them a lot of flexibility with provision of those services.
2. How needs based this business is. I think Earl really reiterated that for us with how he said when people need care and support they need it, its completely unrelated to the business, housing or economic cycle. Instinctively I knew this already but it was nice to have that point reiterated.
3. The full continuum of care model. They're actually building out quite a lot of independent living apartments over the next few years but I think going forward after this Covid 19 scare people will really be focusing on who really does provide a first class full continuum of care model with plenty of access to care services, (not just a token number of hospital and dementia beds like some other operators)
4. How they can adjust their development model and speed in a prudent manner to the changing circumstances without penalty. (Bewing a bean counter I love that word prudent). The directors and senior management have really meaningful stakes in OCA and Earl is both a qualified lawyer and accountant. Senior leadership really do have their heads screwed on well and truly in my opinion.
5. Robust demand right through the Covid 19 crisis for care suites (essential service). Government pay cheque every fortnight.
6. Nobody who has signed a contract for a new independent living unit before the lockdown has subsequently cancelled. You'd have to say that's very comforting.
7. Covid 19 has really shined the spotlight on the value of the late stage healthcare services that private companies like OCA provide. Augers well for future Govt funding increases.

A "little birdie" tells me Govt funding is going up by more than 3% from 1 July 2020. Probably not enough to cover all extra expenses but it helps.

Yes Covid 19 has presented some challenges But YES OCA have responded to them very well indeed. A LOT to like here. Feels very solid to me.

[dubya]

Hey Dubya,
most here won't know, OCA have a training business that convert NZ and overseas nurses to NZ RV requirements.
This arm contributes 1-2m income as " other income" every year.
There is an overall strong resistance from NZ nurses to convert to RV but with local doctors now doing online and car park consultations during level4 there are plenty being forced to reconsider their positions.
OCA has placed themselves in the front line to cherry pick the ones they like. Now overseas nurses have dried up we still have a facility that puts us in front of our competitors to assimilate the best nurses up for grabs.
I know that sounds dodgy but you know what I mean.

Thanks for that Mav. No, I wasn't aware (and yes I know what you mean lol) .
Earl covered everything else really well I thought.

[youngatheart]

Close of day mid 80c by the look of it!