Being Pedantic because one poster wants that
http://www.4-traders.com/AIR-NEW-ZEA...07/financials/
Consensus NTA as at 30 June 2016 $2.04 and as at 30 June 2017 $2.29, includes $112m of intangible assets listed in the balance sheet as at 31 December 2015, 9.9. cps for all the I.P. of AIR.
NTA metric comparison looks compelling compared to its peers.
Some people will want to buy at a discount to NTA taking into account recent issues and the potential loss from a possible VAH sale and quite frankly I can't say I blame them but that doesn't make a case of itself for me to sell this close to NTA so I for one will continue to hold.
He won't be reading this but I will have a dig at him anyway
Quote:
Originally Posted by
Roger
http://www.4-traders.com/AIR-NEW-ZEA...07/financials/
Consensus NTA as at 30 June 2016 $2.04 and as at 30 June 2017 $2.29, includes $112m of intangible assets listed in the balance sheet as at 31 December 2015, 9.9. cps for all the I.P. of AIR.
NTA metric comparison looks compelling compared to its peers.
Some people will want to buy at a discount to NTA taking into account recent issues and the potential loss from a possible VAH sale and quite frankly I can't say I blame them but that doesn't make a case of itself for me to sell this close to NTA so I for one will continue to hold.
Actually you are quoting the Book Value (or Net Asset Value) per share.
As any accountant should tell you this is different from
the Net Tangible Asset (NTA to his friends) per share which specifically excludes Intangible Assets.
In the case of Air New Zealand Intangibles (as they are sometimes called) is purely for certain items of [customised] software.
There is no other Intellectual Property on the books.
Whilst there is lot more to the value of an airline than a simple NTA multiplier and I personally consider current value to be well in excess of the current price I stick with my belief that owning airline shares is only for your multi-millionaire friends who have nothing better to do with their money.
Best Wishes
Paper Tiger
Anybody want to throw Matthew 7:5 into the ring.
Quote:
Originally Posted by
sharp
...
To put into perspective how many other companies are we comparing the SP with NTA (including or excluding intangibles)?
...
If you are happy to work on rpuNTA (Roger's peculiarily unique NTA) then the best buy is non other than:
Virgin Australia Holdings listed on the ASX which is currently trading under rpuNTA.
Other excellent airlines with low SP/NTA ratios to consider are:
Singapore Airlines on the Singapore Exchange (trading about NTA);
Cathay Pacific on the Hong Kong Bourse (trading a little above NTA).
This is not a recommendation to buy any airline or other stock.
Best Wishes
Paper Tiger
Elementary My Dear Watson
Quote:
Originally Posted by
Paper Tiger
...see AIR announcement for details...
Quote:
Originally Posted by
workingdad
I don't understand that PT. wouldn't a sale of a percentage of holdings be on current number of shares not based on a possibility (or probability whichever way you look at it) of new issue yet to be approved?
I appreciate the time you take to offer insight on the various posts you do. It does benefit us lesser experienced ones balancing out various perspectives.
Link to Announcement
from Announcement:
"Today, Air New Zealand (NZX: AIR) is pleased to advise that it has entered into a Sale & Purchase Agreement (the Agreement) with Nanshan Group in respect of its stake in Virgin Australia. Under the Agreement, Air New Zealand will sell shares held in Virgin Australia at A$0.33 per share. Following the sale, Nanshan Group will have a shareholding of approximately 19.98% in Virgin Australia1." << see that 1 ?
from Announcement
"1 Based on Virgin Australia’s expected issued capital outstanding following the HNA Group equity investment as announced by Virgin Australia on 31 May 2016."
Best Wishes
Paper Tiger
The One Little Secret that the Professionals Do Not Want YOU To Know
Quote:
Originally Posted by
workingdad
Thank you. I read it twice and still didn't put it together.... From Alzheimer's meds to a stroke of some sort obviously.
Cheers
Always, always, always, always:
Carefully read the PDFs linked in the announcement, save them to your hard drive for later retrieval if you think they contain important information (and save them to your hard drive even if you do not but you have the free space).
Probably get drummed out of the Cubs for revealing this.:(
Best Wishes
Paper Tiger
Prickles = Hedgehog or Echidna, Stripes = Tiger
Quote:
Originally Posted by
Roger
http://www.smh.com.au/business/aviat...09-gpfw5q.html
Just a really quick back of the envelope calculation based on a press article which is always an incredibly dangerous thing to do. FACT - Book value of AIR's stake in VAH as at 30 June 2015 was $360m Kiwi. Going off memory this had already been written down by some $50m Kiwi (IIRC) in previous years.
Sale value, SPECULATION (subject to regulatory consents) as reported in the Australian press $232m I presume $A = approx. $250m Kiwi and they've sold roughly 19.9 / 22.5 (their stake assuming HNA issue proceeds) = 88.44% of their stake sold so if they can sell the rest at the same price their stake is worth $250m Kiwi / 0.8844 = $282.7m Kiwi less transaction costs and advisory fees. So a loss on book value as at 30 June 2015 of circa $77.3m plus transaction costs to be booked in the financial year in which the sale goes unconditional. (DYOR, not to be considered professional advice or a recommendation and I am certain the resident prickly cat will have a different view).
I hardly like to bring this up given the above closing remark but:
It is 19.98% of the expanded VAH that has gone under the hammer.
AIR have just sold approx 807.7M shares at $0.33 which is A$266.5M
AIR had 913,503,208 VAH shares and if they sell the lot at $0.33 that would be A$301.5M
As Always Best Wishes
Paper Tiger
Your guess is as good as mine when it comes to bureaucracy
Quote:
Originally Posted by
winner69
So possibility might not be all settled by June 30th as AIR were aiming for?
Don't quote me on this but:
万事俱备 只欠东风
Best Wishes
Paper Tiger