Haha given the price of bitcoin that would be one expensive ransom.
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I've been pondering how HBL have gone up so much in SP over the last year and above my target price of $1.65. Their original forcast of 57 - 60 million has not changed significantly and things have seemed to be business as usual. The NZ economy is strong but I'm wondering what has justified such a sharp increase in HBL SP past $1.50 or so especially. Is it just that the market hadn't previously considered HBL but now are starting to believe it's growth story?
I have been a SH in this company since it was called Building Society Holdings with a ticker of BSH. Every now ad then since then, I have seen posts worded nearly identical to this one. Meanwhile Percy, myself, Scotty and a few others just remain well positioned
Still well positioned aye percy ?? :-)))))))))))))))
Risk has dissipated to a material extent with the advent of the dairy recovery and that along with reasonable GDP growth and the possibility of EPS accretive acquisitions has driven the stock to where it is today. Fair value and a good hold in my opinion. Can't let this opportunity pass without mentioning that shareholders are well positioned :)
The last HBL presentation I went to was on 31st May, where Greenslade and Flood were very confident the result to 31st June would continue their record of beating brokers' forecasts.
Well now we are past the year's end, and will have to wait for the result announcement to find out whether HBL are at the top end of their forecast,or above up.
I see June new motor vehicle registrations were an all time record,so NZ Ltd remains in good shape.At Greymouth Top 10 last night there were 10 Maui/Britz camper vans.So Tourism is in good shape too. NZ Ltd outlook remains positive.
The solid ground work Heartland Bank laid,is now producing very real organic growth.The momentum is there,so we have every right to look forward to the coming year with confidence.
All Heartland Bank's niche sectors are growing.
We therefore remain "well positioned.".........lol.
You answered your own question jeremy - the market is believing its growth story.
As you know there are two components to the market price - company performance and multiples (snetiment / what punters are prepared for that performance)
Comparing HBL share price to its book value is a great example. Two to three years ago in June 15 HBL was trading between 1.1 and 1.3 book value .... and now it is trading at over 1.6 time book value (in spite of paying out quite a large percentage of earnings as dividends and issuing quite a lot of new shares). See the chart below
A big rerating / change in sentiment eh ......that is the market believing the Heartland story
The market obviously believes the story more than you do when you came up with your $1.65. ou haven't misjudged Heartlands performance it's just the market and you have different views.
Soon it's going to be $2.00 plus I'm told - good eh
Informative post until the last line but thats W69 for ya.:)
Ok so which is it W69 ?.Was that a throw away line and who told you and do you believe this person? You could have said anything, agreed.Thats w69 for ya:sleep:
Yep, about time for a decent ramp up
Percy mentioned year end has passed and an update might be coming soon
Off course FY will.be above guidance - how about $62m profit (which also leaves a fair bit for a rainy day)
Jeff known that for a while .....too shy too tell us