The share price underperforming the NZX50
Company underperforming - you tell me.
Printable View
We will find out before the end of feb. The capital return did use 1.20 as an example. Market must be reading into this. They should have used 1.60 right????
More on how some cunning people are using the 0% credit card deals to their advantage here...astute people with large undrawn credit card limits are very "well positioned"
http://www.sharetrader.co.nz/showthr...rest-free-game
Jeez, thought it was going to close at $1.20 but a bit of a recovery in the final wash up
Must be a few nervous nellies out there
Snoopy on the ANZ thread has done a lot of work analysing UDC and to some extent comparing it to Heartland.
The last paragraph of his last post is interesting and relevant to this thread -
Hope Snoops doesn't mind me posting it here but his work does deserve some consideration.Quote:
snoopy - Of course we all know that UDC isn't a 'real' finance company, even to the extent that they don't have to keep the Reserve Bank updated on their financial position. As long as the parent ANZ New Zealand (who have full control of the UDC purse strings) keeps their own disclosure up to date, the UDC are off the radar as far as the Reserve Bank of NZ is concerned. In practice UDC are simply a 'marketing arm' of the ANZ. If anything that might make UDC potentially more 'reckless' than fully independently owned finance companies. That's because they know that ANZ Bank will bail them out if they get into trouble. So I think it is interesting that in practice UDC are less reckless with their lending policies (hold a lower relative provision for credit impairment on the balance sheet) than Heartland.
This was going to be a simple post along the lines that the share price has taken a sharp turn southwards since they changed their name to have the word Bank in it and thus, obviously, this was a bad thing to have done.
But then I noticed this...
So I have read all of Snoopy's original post and checked his figures and have no complaints there (though if anybody does want a good discussion of what are applicable inclusions and exclusions - do not phone me)...
But...
If UDC have a 1.43% impairment provision and Heartland have a 1.09% impairment provision then I do not see how the emphasised conclusion can be drawn from the data.
Best Wishes
Paper Tiger
Hopefully you're right with that, HBL (ex HNZ) is below some peoples exit price, even back to April 2015. It can be a long time between drinks if you're waiting for the 'next announcement'. That hasn't worked for quite some time now, in terms of SP capital appreciation.