Maybe market adjusting multiplies downwards a bit because of the higher leverage as a result of a significant amount of new debt (ie Heartland perceived to be more ‘risky’)
Printable View
Yet with their very high net interest margin, I would have thought the over subsribed bond issue would signal growing earnings.
And a massive cash warchest for investment into significant growth. The re-rate should resume shortly, once the nervous nellies and profit takers leave the room. Might not be significant but drilling into the 1 minute chart, the price action levelled off this afternoon after Friday's and this morning's dip into the recent stellar SP gains. Was always a good buy in the $1.30's, probably attracted a few traders, those nimble folks who can scalp a SP faster than a Apache.
Some dog barked last week that the easy money from the low $1.30's had already been made. Maybe some people misinterpreted me thinking I was saying sell.
All I was suggesting is the value had shifted from being a BUY to being a good HOLD for both strong yield and strong high single digit eps growth.
Possibly an accumulate rating may be warranted soon...
I will see you, and raise you 10.......$1.80 plus.....as the plan gains momentum....................
Aussie REL tv advertising due to start in July.Be going gangbusters by September.
May be $1.90......?.............lol.
What is important to me is the divie.
Gross yield according to Craigs FY 2019.. 7.6% and FY 2020..... 8.2%..Tastie.
Now down to $1.57 ... that's down 11 cents from Friday's high ... my "BUY" finger is hovering just millimetres from the keyboard ...
The thing is, I cannot see any reason for this drop. Did the SP just rise a bit too quickly and is now recalibrating? That's the only reason I can see; the SP rose very quickly over the past three weeks and is now falling back to the 50-day MA.
This post is a general observation and does not specifically relate to HGH.
"The Best Way to Rob a Bank is to Own One."(1)
Boop boop de do
Marilyn
1. https://en.wikipedia.org/wiki/William_K._Black
I think this is (at this stage) a plausible hypothesis. If you look at the chart below using MA30 and MA100, than it looks so far just as the natural oscillations in a healthy uptrend.
Attachment 10477
If you take a bit longer term view the reddish (or is it purple? - anyway the upper) line in the chart below is the MA200) - than we see that the SP moved recently above the MA200 - and might be after a normal drop back top the MA200 ready to bounce again.
Attachment 10478
I expect it to stay above the MA200 (at $1.57), but not too worried as long as it stays above the MA100 ($1.46). If it comes down to these levels I would see that as a serious reason to buy some more ... and I suppose I am not alone ;);
Global dairy prices up a tad but whole milk powder down a tad.
Whole milk powder prices been a bit weak last couple auctions after a pretty good run so far this year ....could be a sign that Heartland share price could be a bit weak the next month or so (maybe even started to be weak) after a pretty good run up the last month or so.
Bit spooky eh