OCA - Oceania Group - retirement villages

[winner69]

Somebody reminded me of a saying I always thought was quite good: "the closer you look, the less you see".

This may be a relevant to a lot of today’s discussion around care conversions

[Baa_Baa]

Somebody reminded me of a saying I always thought was quite good: "the closer you look, the less you see".

This may be a relevant to a lot of today’s discussion around care conversions

And somehow we end up knowing more and more about less and less until we know everything about nothing. Lol.

I reckon just buy your fill with this one and be happy. Current prices are a second chance for late comers.

[winner69]

And somehow we end up knowing more and more about less and less until we know everything about nothing. Lol.

I reckon just buy your fill with this one and be happy. Current prices are a second chance for late comers.

Yes, buy and be happy but one needs to have faith and hope we haven’t been sold a pup with this baby

And don’t forget Socrates as per my signature below ....cool eh

[percy]

Yes, buy and be happy but one needs to have faith and how we haven’t been sold a pup with this baby

And don’t forget Socrates as per my signature below ....cool eh

Pup.
Liz Coutts chair.
Gregg Tomlinson director/large shareholder .
Neither do pups.

[Baa_Baa]

Pup.
Liz Coutts chair.
Gregg Tomlinson director/large shareholder .
Neither do pups.

Precisely, an impressive Board and Management. People should re-read the Investor site and the company reports, this is an impressive company and great long term investment.

[bull....]

care beds to care suites i was mentioning i believed they used these to boost revenues , cashflows etc

this from there statements


· Reported net profit after tax increased by $32.1m (71.5%) compared with the prior corresponding period (pcp) to $77.0m due to uplift in valuation of investment properties driven by higher resale margins and sale of new retirement village units

care bed to suite is a change in asset

· Total assets increased by $229.0m from pcp to $1.15bn due to significant development capital expenditure, greenfields acquisitions and revaluations

i wasd saying they use the conversion to boost there books

NEW OCCUPATION AGGREEMENTS provided 45M INCREASE IN THE CASHFLOWS from the conversions i mention cause when you change from care bed to suite you get the 10% cashflow 1st yr boost the cashflow

[Beagle]

I have this on a forward PE of just 10 and a gross yield of 6% for FY19 growing strongly in the years ahead and possibly with some imputation credits in due course which will boost the yield further.

I cannot ever recall in the last 19 years since RYM listed and this sector started to grow strongly more compelling metrics from any of the sector participants at any time even during the GFC. (Perhaps my memory fails me, it wouldn't be the first time)

I also think OCA's business model offers a compelling alternative to the other sector players and plays directly into what I perceive as a shortage of late stage care going forward. I think its clear from observing things in recent weeks there's one or two institutional holders determined to sell down having taken a negative view on the sector, possibly as a result of the regulatory review concerns in Australia. I think its likely the sellers are Australian institutions who took part in the recent placement at $1.10

I think market and sector risk has overplayed itself here but on a company specific basis I have no concerns whatsoever. I have seldom seen more compelling opportunities in the market in over 30 years of investing. HLG at $2.70 a couple of years ago struck me as just about as compelling as this and likewise AIR at $1.80 a few years before that.

Just my opinion and not a recommendation and a reminder that nobody really knows what the future holds and in an extreme bear market almost everything gets beaten down. Its for this reason that I have put any further purchases on hold at this stage but this is one I will add too in due course again, (notwithstanding its already my biggest listed investment position), assuming we don't get armageddon in the markets in 2019. I remain with over 50% of my listed net worth in cash as I expect a tough year in 2019.

Might leave you guys to "enjoy" the excessively bearish comments from others for a while from here, (and go play with my new toy that Santa's got for me this afternoon). Good luck to all for 2019 and keep thinking hard and do plenty of DYOR !

[Maverick]

I have this on a forward PE of just 10 and a gross yield of 6% for FY19 growing strongly in the years ahead and possibly with some imputation credits in due course which will boost the yield further.


Good luck to all for 2019 and keep thinking hard and do plenty of DYOR !

Completely agree with all your thoughts here Beagle.
How is that Numpty one seller this morning dumping 130k of shares at $1.05 ???(3 cents lower than any other seller). No wonder an average Joe like myself can make money in this game. Got a good feeling that OCA might have a green colour tonight ($1.06?)
Looking forward to reading OCA`s progress late January.
Thank you very much Beagle for all of your well thought out contributions over 2018. Have a well deserved break

[bull....]

i take it the bearish comment was directed at me. i for one dont know why people get so upset when someone has a different opinion on a stock? whether its from reading a chart or f/a thats what a market is full of different opinions. i thought a very bullish beagle not so long ago would stand there ground with a bit more grit than be running away with a tail stuck between its legs over some differing opinions offered.

anyway i will too be taking a break and wish everyone including beagle a merry xmas

[Beagle]

I have better things to do that argue with you at this time of year bull. I have one of the fruits of my hard work arriving this afternoon. Investment has been defined simply as "deferred consumption"
More fun actually enjoying the fruits of my labour than debating why your excessive negativity isn't warranted. You can label it anything you want but believe me the choice between enjoying my new toy and debating with you is not a hard one lol

Many thanks Maverick. I always enjoy reading your very well researched posts too. Have a great Christmas mate