"when the economy does well, Heartland does well"
While the NZX 50 continues to slide, things got interesting for HBL after 3pm today... maybe we will finally see that $1.60 mark this week winner69?
Taken its time to get there, hasn't it?
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"when the economy does well, Heartland does well"
While the NZX 50 continues to slide, things got interesting for HBL after 3pm today... maybe we will finally see that $1.60 mark this week winner69?
Taken its time to get there, hasn't it?
More good news t_j. GDP over 4% this year I reckon. Nothing like a real boom before a crash is there
Cameron Bagrie @ANZ_cambagrie
NZ ANZ Roy Morgan consumer shows Spring bounce. Shows economic momentum continuing at brisk clip. House price expectations hit new high.
Directors Chris Flood and Jeff Greenslade buying more shares... but I think really just conversion of options to shares.
https://www.nzx.com/companies/HBL/announcements/289210
https://www.nzx.com/companies/HBL/announcements/289208
Yes, things can only get better! I wonder how UDC is going? All this "economic momentum" is certainly carrying HBL higher, and who can't like a quality New Zealand company with a dividend that has a [recent] track record of double digit percent increases year after year?
HBL finished at a record high of $1.59, shame it didn't quite touch the $1.60, but in a week where the nzx 50 has fallen around 3%, while HBL has risen about 2%, I suppose we can't complain to much about another out-performance?
[QUOTE=
HBL finished at a record high of $1.59, shame it didn't quite touch the $1.60, but in a week where the nzx 50 has fallen around 3%, while HBL has risen about 2%, I suppose we can't complain to much about another out-performance?[/QUOTE]
I am not complaining... Absolutely positive percy is not.. Quite a good investment purchasing at 52 cents and upwards .
Cursing myself for selling down to be honest.. Still my number one holding though.. Love those DRP's
I bought in November 2015, and I've been watching with interest as this share has rocketed upwards in the last couple of months. I am trying to learn how to value share prices, and curious to know what people's opinions are on the current level. I see 4-traders has the target price at $1.51, does this seem fair to people?
Having tried - and failed - to catch the falling knife on AIR I'm feeling like taking a bit of a breather on that particular roller-coaster ... :)
" Having tried - and failed - to catch the falling knife "..
That is how we all learnt... The hard way.. DYOR.. :-)))
Currently, it has bullish outlook and has some value when compare with some other stocks. My only concern is its ROE has declined over the fast five years.
Fair enough janner, and I'm definitely trying to learn. Greatly appreciate the wealth of knowledge on these forums, but I understand the need to make my own mistakes. :D
Oldtech.
Google The Zulu Principle by Jim Slater.A good place to start.
At least Flood et al aren't cashing in their huge bonuses
Now that's a real vote of confidence in the future
Strictly speaking you are correct in that new shares have been issued at a price above the NTA per share and thus the NTA per share of the company has risen.
However - and this is my being a little annoyed that this sort of thing goes on to the extent that it does (and that no one gives me a million dollars bonus):
the cost of those shares has been an expense to the company over the last few years and this 'debt for equity swap' just gives us our money back by diluting the equity with new shares at the same time.
And now for something completely different...
Best Wishes
Paper Tiger
Thanks for your reply PT
At least at the time of issue the options would have been issued well out of the money as an incentive to perform. $1.49 would have looked like a big step back then. At least they were not giving away shareholders funds as freebies like a lot of US and Aussie Companies have been so good at over the years.
I am reasonably sure:
that these shares, wot we are discussing, were freebies;
That those that received these shares did not pay anything at all for them;
(and by shares I include the options that they converted from)
[Stop here & read no further if you are easily confused]
That the cost of these shares has reduced company profits over the years and has been accumulating as a liability on the balance sheet;
That the total assets of the company has not changed by the issue of these shares, but the liability has been converted to equity as in:
Assets = Liaibilities + Equity
Assets = unchanged
Liabilities = reduced by X
Equity = increased by X
Best Wishes
Paper Tiger
Meanwhile, increasing heat on the Australian banks re rate rigging accusations.
http://www.bbc.com/news/business-37127579
Global Dairy Trade results over night reasonably positive
Good for Heartland share price (for whatever reason pretty strong relationship between the two)
http://www.theaustralian.com.au/busi...2319d484c3e9f9
UDC sale getting closer...
Busy and exciting times with dairy famers 'back in black' and UDC sale on the horizon:t_up:
Good eh t_j
So Kohlberg Kravis Roberts, Macquarie Group and Heartland Bank are touted as suitors
Despite Heartland continually repeating "Acquisitions remain a part of Heartland’s growth strategy, but they must be value accretive and either deliver innovation or a compelling distribution capability" I can see Jeff salivating at the mouth at the prospects of acquiring UDC.
An opportunity to great to miss no matter what the cost. One doesn't get that many opportunities to make a name for oneself and life must be pretty boring for him at the moment. Just say the magic words 'eps accretive' and its all honky dory and share holders will front up with zillions to make it happen.
Essentially:
Deutsche gets set to launch the sale process of ANZ’s UDC Finance operation across the Tasman at the end of this month, suitors being touted as the likely buyers include Kohlberg Kravis Roberts, Macquarie Group and Heartland Bank.
UDC is a major NZ asset finance company, providing financing for plant, vehicles and equipment, along with secure term investments and call accounts.
It comes after ANZ last year sold its Australian auto finance operation Esanda to Macquarie and General Electric’s consumer finance operation was sold to a consortium including KKR.
Thanks to HBL's great dividend (even better than ARV's;)), and similar to HBL itself, I am "well positioned", and will have some cash around for the capital raising to acquire UDC (should this opportunity materialize) ;)
It has happened as stated, and with 3 months to spare! Congratulations to all holders!!!
I've awoken to this brilliant news on my yacht in the Med and shall celebrate with a 30l Boerl and Kroff Brut breakfast, will be interesting to see how long it lasts!
NBT
New to share trading but heartland has certainly been my glowing share in the last few months. Bought in at 1.18 and it's been up ever since! Been really impressed with how well it's holding over the last two weeks ex dividend and a small correction across the NZX. Long may it continue. I feel like HBL still has a bit of gas left before Christmas.
Hard few days for HBL... great fundamentals remain intact so no panic in TJ camp (maybe with Deutsche bank weakness etc etc UDC can be brought cheaper??)
In fact... isn't this good for the DRP?? :t_up:
"...P is the volume weighted average sale price in New Zealand dollars (expressed in cents and fractions of cents) for a Share calculated on all trades of Shares which took place through the NZX Main Board over the period of 5 trading days immediately following the Record Date."
hmm... Mr Market, please do a crazy over-reaction 'IQE style' and crash substantially, but only for the rest of this week before a swift rebound to $1.60+ thanx ;)
Got the lovely annual report in the post today... great stuff really, could go on all evening, but I've talked enough about HBL's recent results already I think ;)
Fun Fact(s) Tuesday:
Compared Executive Remuneration numbers... Summary: quite interesting but essentially the top seemed to take a haircut, although overall total is up to 113, from 109 in 2015 (contact me if you'd like a 'comprehensive' picture :))
Compared Shareholder Information... Summary: ACC was a very large seller that is for sure! Overall number shareholders are up by nearly 10%, with middle 1 001 - 100 000 (the 4 categories this covers) all increasing their ownership stakes... more retail shareholders than last year? (again, contact me if you'd like a 'comprehensive' picture :)))
Disclosure: Fun fact Tuesday will most likely not become a regular thing
Interesting Tuesday Facts there t_j
What they say about diversity?
Ah I see it now - not much - the bare minimum as required by the NZX, no more and no less. All i would have expected from an old boys club run company.
Hope Ricketts has been briefed how to respond when asked about diversity at the ASM. He made an embarasing hash of it last year
Loved the pages in Maori though - diversity in action that is. Translated into Chinese next year as well
There is a HUGE amount of spin in this announcement. Especially the last sentence.
The quality of the HBL board has just been diluted IMO.
DIRECTOR: HBL: Heartland Bank appoints Vanessa Stoddart to its board
HBL
03/10/2016 08:42
DIRECTOR
NOT PRICE SENSITIVE
REL: 0842 HRS Heartland Bank Limited
DIRECTOR: HBL: Heartland Bank appoints Vanessa Stoddart to its board
NZX Release
Heartland Bank appoints Vanessa Stoddart to its board
3 October 2016
Heartland Bank Ltd (Heartland) (NZX: HBL) today announced the appointment of
Vanessa Stoddart as an independent director.
Vanessa is an experienced director and currently serves on the boards of New
Zealand Refining Company Ltd, The Warehouse Group Ltd, Alliance Group Ltd,
Tertiary Education Commission and the Financial Markets Authority.
Following an early legal career, Vanessa gained broad commercial experience
in change management and performance improvement roles for some of New
Zealand's largest companies.
In 2003, Vanessa joined Air New Zealand as part of the executive team to
transform the airline. She was initially responsible for a wide portfolio
including HR, Industrial Relations, Training, Facilities and Health Safety.
From 2009 she also led the Engineering Group, with responsibility for the
safety and maintenance of the airline. Prior to this, from 2000 to 2003 she
was Chief Executive of Carter Holt Harvey's Australian Packaging Group.
Vanessa has been recognised for her achievements in both the HR and
Engineering professions - as a Companion of IPENZ and Honorary Fellow of
HRINZ. She is a Graduate of the Australian Institute of Directors and a
Chartered Member of the New Zealand Institute of Directors.
Government appointments include MBIE's Audit and Risk Committee, DOC's Audit
and Risk Committee, and Business New Zealand's representative on DESC.
Vanessa previously Chaired the Otago University Business School Advisory
Board and is on the Board of Global Women and Kings College.
Heartland's chairman, Geoff Ricketts, said: "We are delighted to welcome
Vanessa onto the Heartland Bank board. She brings outstanding professional
leadership and governance experience to the role."
-
Sort of agree biker
Thought they go for somebody like the lady raz picked - somebody with modern day wherewithal and technical thinking
Lost opportunity imho
hmm interesting, so was the NZX's website inaccurate? (as I think this is where I saw the 22nd, and believed I was wrong)
Not a bad DRP at all, given not so long ago HBL was a cool $1.60...
And as for the appointment of Vanessa ... I would sort of agree with biker... but all about the diversity so at least something improved, right winner69?
GDT auction overnight - WMP down 4%
HBL down yesterday ....hmmm
Spooky eh possums
Heartland use the words digital and seamless a lot in this modern ever changing world
Good they use a (dodgy?) P2P platform for consumer loans and a little black box can approve business loans in a few minutes without human intervention .........but if one wants to put some cash on term deposit you need to ring and talk to a real person .....hmmmm
They'll probably blame money laundering requirements to "know thy customer" and to make enquiries about the source of the funds involved. Or some other woollly reason!
What has happened today to trigger today's SP retreat? I haven't seen any news that would explain!
Worldwide markets worrying.
NZX generally in the red.
Global Dairy auctions.
Profit taking / rebalancing.
Any combination of the above.
I find it easier to be a 'well positioned' LT holder than worry too much about no news intraday drops.
And technically, the top/turn-over was perfectly on the 50% Fib Extension and today's fall through the 50EMA likely spooked a few punters. $1.42 is the previous high and $1.41 is the 100EMA so those look like good price support, not fool proof but technically good.
According to the Tiger Furry Logic Valuation Engine
Heartland Bank is today worth:
$1.384
and will be, on Christmas Day, worth
$1.424
Of course the share price is a different matter entirely :).
Best Wishes
Paper Tiger
OK,
You have made a good effort.
But more effort is required.
Forget the Tiger Furry Logic, and revert to the tried and tested Tiger Tea Leaves reading.[Tasseograph] .
We need the answer to two very simple questions:::
1] Date and time HBL sp,[notTFL] will hit $1.60.
2] Date and time HBL sp will hit $2.00.
You will need to concentrate a little harder than you did with the EBO target price.!
Looks as though I will be closer to the $20 time and date.!!
The current tax paid yield of 5.82% with a likely net profit increase around 10% for next year makes them look pretty tasty to me :)
Yield seems to mean nothing at the moment. Genesis has a 10.5% gross yield and yet it has dropped quite a bit over the last few days. Incredible how people were so keen to pile into finance companies all those years ago for a lot less return than they would get with some boring old (and I hope safer) utility/infrastructure stocks today.
Wish Genesis had a DRP like HBL.
Yeah, I guess but I was just thinking of it being a nice compulsory savings plan. I'm hoping Kupe will run out mid 2030s rather than in 2027. I also hope for $100 US a barrel oil. I hope for lots of things.
Anyway, back to HBL:)
GNE could not have a DRP it simply wouldn't work, as others have explained.
However I wish ARV could have a DRP, especially once they get to greenfield development and things go from exciting to ultra exciting! ;)
Anyway, back to HBL, great fundamentals remain intact (some even saying GDP of 4% or something??)... Australian Financials haven't been doing anywhere near as badly as HBL has been doing, and HBL has much better fundamentals (great interest margin for a start!)
Still great value and in 2 or 3 years (months?) time we could possibly all be looking back laughing how cheap $1.4x was (like it was when it dipped to $1.1x for that very short time during that brexit thingy)
(Dairy prices down 4% and NZX is down something like 4% since the high's earlier this month which probably doesn't help)
Looks like only about 22% of the divi went to the DRP
With the NZX 50 index dropping like a lead balloon (down nearly 1%), HBL bucking the trend and now back at $1.50 just like that! (panic sellers finished?) Makes me thing Mr Market is searching for the best of both worlds: Yield + Growth in these 'volatile' and 'challenging' times
I joined the wife in not taking DRP this time.
Our dividends are in the bank.
Thank you and well done Heartland Bank.
I decided to go for the DRP this year Percy. At the current SP of $1.50 and a strike price of $!.476 I'm up an extra $3000 already. It's always a bit of a lottery as to how it will go but a happy investor here. I owe you a big thank you too. It was your enthusiasm for HBL that got me investing in the company at 63c back in 2012 and it's been a great ride since then. If I ever get to one of your ST meetings in Chch I'll buy you a beer - or even two!
Merci beaucoup
Pierre
Hope that Heartland's (and other NZ banks)sympathetic 'support' of troubled dairy farmers isn't anything like this GRG group that the RBS ran
https://www.buzzfeed.com/heidiblake/...R7W#.nipaPkKV9
Totally irrelevant but an intriguing story
Even more irrelevant to Heatrland Bank(i hope)
My oldest brother was a senior manager at Nat West at the time RBS bought them out.
He couldnt ignore what RBS were doing and telling him to do.
People can be so easily encouraged to take loans when offered.
He got out just before the crash with a good retirement/redundancy package and sold all his RBS shares.
My youngest brother didnt sell.
The oldest is having a lovely life-doing as he wants always in summer climes-6 months northern hemisphere and 6 months southern every year.
The youngest is stuck in the uk-no longer in the bank-and scraping.
Wisdom comes with age and experience.
Timing is everything.
We need to watch the type of lending Heartland Bank is doing.
Insider knowledge can be very useful and should never be ignored
https://www.nzx.com/companies/HBL/announcements/290626
Very nice to see, although not surprising for me.
Should at least provide strong support during these volatile times
if they make a significant aquisition then would the credit rating go up or down.
If they made an acquisition of something that had a lower credit rating, I would expect the credit rating to go down... if they made an acquisition of something that had a higher credit rating, then I would expect the credit rating to go up.
If they brought UDC, I believe the credit rating would not change as although UDC have a higher credit rating, this is mainly due to the fact ANZ own them... (although on second thought maybe go up a notch)
I believe HBL is deserving of a slightly higher credit rating, what do others think?
Sounds like baloney Percy as a banker any company would crawl over glass to obtain a higher credit rating if anything to obtain a higher level of respectability. The BBB rating shared by the likes of bank of baroda(nz), co op and SBS.