I have transferred my 'off topic' reply to this post to the Coronavirus thread. Fair point Couta (post 12582)
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Going back 5 years is always enlightening.
Here are a few comments Beagle made in March 2017 just prior to IPO. Hope Beagle doesn't mind me quoting him from back then)
- Not too keen onthe care bed focus. Very little money to be made in that sector
- Very unlikely I will participate based on what I have heard of their top heavy management structure.
- Hmmmm, if it were not for gains on revaluation of properties (IFRS) they would have lost ($13m) in 2016, an improvement from losing ($23m) from operations in 2015. Talk of big growth by promotors does not impress me. Track record to date is well below par.
- You cannot list on fancy pants multiples because of tailwinds in the sector unless you have a decent track record wherein you've proved your development model
- Promotors promises of future growth when prior growth has been very modest always worry me, Tegal the last example of a float choc-a-bloc full of corporate spin.
- After reviewing their previous year's financial performance already. Lets be honest, promotors can forecast anything they like, (Tegal anyone ?), but their historical financial performance speaks for itself and it isn't flash on an underlying basis.
Even percy said it was 'mutton dressed up as lamb' lol
Seems no money in care beds, high cist structure, no growth, losses if you take fair value gins etc etc etc still persist and punters still live with their promises that things are on track to riches.
So from 79 cents at IPO to 97 cents could be called a success - 4% pa plus divies to keep you interested not too bad
One thing its better than that that My Food Bag IPO ;)
Not a great story but just like My Food Bag things are going OK (operationally) at the moment so no worries
He's pretty bloody onto it. Have to be proud of that statement/analysis pre IPO.
There is more than one company making their 'profits' with property revaluations.