RYM - Ryman Healthcare

[Vaygor1]

Sparky, you seem to be a reasonable sort of person so I don't think you should call Morningstar "fools" because their approach to value, differs from yours. They had a fair value target of $3.30, in Sep 2011 and so at $2.40 they said buy. Their fair value has increased to $3.50, but the price is 30% above that so on that basis they now say sell. I think that is a sound methodology.

Now you may disagree on some of their assumptions they use to get to a $3.50 fair value price, however that is a different kettle of fish. Would you buy Ryman at today's price, if not, at what pullback price would you add more? $3.50?

Looks like Moosie and I are putting in 4 cents worth.

I agree with Sparky and Moosie. In particular I think MourningStar at the very least should change there recommendation from SELL to REDUCE.
With RYM's 16%/annum growth rate (arguably higher these days) today's price of $4.50 soon becomes $5.22 if the PE ratio is to remain constant. They did trade at $4.80 not long ago.

I first bought RYM at $2.11 in Sept 2007 and with the benefit of this wonderful thing called hindsight it was a great buy. The fact is the price dropped after that for a long time and produced even greater bargain buys in RYM.

If the price dropped to $3.50 this year, I would do everything in my power to buy the entire company if that were possible.

I am hoping that the mum & dad investors (as well as some institutions for that matter) will be selling all and sundry (including RYM) in the next few months to get funds for the MRP float thus driving RYM's price down so I can buy some more at a bargain.

Dream-come-true if they go down as far as $4.00 as far as I'm concerned.

[Vaygor1]

...
I agree with Sparky and Moosie. In particular I think MourningStar at the very least should change there recommendation from SELL to REDUCE.
......

And that is exactly what has happened this morning.

Well done MorningStar (sincerely).
A bit more in-depth research and you can take the next step to HOLD.

[Vaygor1]

13-March-2013. And that is exactly what has happened this morning.

Well done MorningStar (sincerely).
A bit more in-depth research and you can take the next step to HOLD.

MourningStar have now upped RYM's value by 28%... from $3.50 REDUCE to $4.50 REDUCE.

REDUCE ??????

Are MoaningStar the world champs of shutting the gate long after the horse has bolted?