......yes what is the current yield at 53c....anyone know or prepared to forecast that over the next 12mnths.??
Printable View
......yes what is the current yield at 53c....anyone know or prepared to forecast that over the next 12mnths.??
Just repeating part of a post I made on 13th January, for those with memories towards the shorter end of the spectrum. At 53c, PGW is trading on a 'good season' PE of around 7. The dividend has currently been suspended while earnings go to pay down debt. So the projected dividend yield is currently nil. If you swallow the Norgate hype then the the best case scenario would be an annual dividend of 7cps.
It is quite difficult to value a share like this based on cyclical earnings. The question is, is the Craig Norgate vision still attainable? I would say it is. But whether that vision comes to fruition in FY2011 is another matter.
SNOOPY
....so tell me SNOOPY, what exactly is/was the Norgate Vision??
[
It is quite difficult to value a share like this based on cyclical earnings. The question is, is the Craig Norgate vision still attainable? I would say it is. But whether that vision comes to fruition in FY2011 is another matter.
SNOOPY[/QUOTE]
As allways snoopy you do the hard work.Craigs have FY 11 net profit at $44.4 mil rising to $49.20 FY 12.So they are a bit behind Norgate's $55mil,but as you correctly point out cyclical earnings make a correct valuation hard.Who knows Norgate may be right!! What is important is the company has been put right.
If you are holding PGW at the moment it is because you are expecting the SP to move North rather than projected Yield. Good value at 53.
No major climatic effects during the farm year. Reduced costs because of rationalisation of the previous separate Pyne Gould Guiness and Wrightson store networks. Interest rates not significantly changed.
SNOOPY
P.S. No contribution from the failed Silver Fern Farms tie up has been allowed for.