Friday, December 30, 2016

Is Mainfreight Worth 20 Bucks Plus a Share?

Image result for 20 4 note nz

The last time we visited Mainfreight Ltd [MFT.NZ] it was worth just over 10 bucks, just 6.5 years latter it is worth $20.71.

We should look at a few facts first to dispel any myths surrounding the company.


*Net Reported Profit   88 mil

*Price Earnings Ratio (P/E) 22.65
*Earnings per Share (EPS) 96.24
*Net Tangible Assets per share 329.21c
*Total Net Div Paid (last full financial year) 40c
*Div Yield 1.79%
*Market Cap 2,079,000,000


*Net Reported Profit  26 mil

*Price Earnings Ratio (P/E) 13.92 
*Earnings per Share (EPS) 47.88
*Net Tangible Assets per share 1.86
*Total Net Div Paid (last full financial year) 19c
*Div Yield 2.24%
*Market Cap 880,000,000

Source - Morningstar

The figures obviously speak for themselves.

The 2 sets of figures make the 2016 figures look good by comparison. 

I'm not going into the many other sets of figs like net/debt equity or the net margin as a % but they are generally within the range of a good corporate citizen.

Mainfreight would not operate any other way.

If you want to delve into these find another blog - I'm no longer capable of doing such things. 

Except to say if they ever break with tradition and find another way of reporting profit, I'm outta here.

I don't think that's going to happened any time soon because it seems ingrained deep within the Mainfreight culture that flim flam and politically correct nonsense does not exist.  


The company are looking set to tap that 3 billion sales mark within the next 5 years and there are all sorts of lofty figures that they have as a company as aspirations to set.

Now they just have to achieve these.

Not easy.

But logistics isnt easy and its not supposed to be.

Every client that they have is picked apart and put back together again to see if there is a more efficient way of doing things.

They seem to (and I say seem because I've only seen them operate at a distance not actually operate) really genuinely care about every client, like they are all on the same team.

I genuinely think this company could be a big player within the global logistics community within the next 10 years.

It really is up to them if there share price goes up from here - they are not going to split the shares.

Is it worth 20 plus bucks a share?

Sure, if you believe the company is on an every increasing arc of successfulness.

But if your like me you'll wait for that nervous investor who sells out, that big overseas institution who decides to leave NZ. 

The price then drops then your in like a robbers dog if this company has been on your radar for some time.

Your welcome.

Mainfreight @ Shareinvestor

Share Price Alert: Mainfreight Ltd 2

Mainfreight's European Acquisition a Good Move
Share Price Alert: Mainfreight Ltd
Investing in the Stockmarket: Timing your Purchase
Stock of the Week: Mainfreight Ltd
Mainfreight Ltd: 2011 1st quarter Profit Analysis
VIDEO: Don Braid with Paul Homes on the Economy
Mainfreight Ltd: Full Year 2010 Profit Analysis
Long Term View: Mainfreight Ltd
Share Investor Interview: Mainfreight's MD Don Braid
Stock of the Week: Mainfreight Ltd
Questions to Mainfreight's MD Don Braid
I'm Buying: Mainfreight Management delivers the goods
Mainfreight Annual Report Packs a Punch
Analysis - Mainfreight Ltd: FY Profit to 31/03/09
Mainfreight VS KiwiRail: The Sequel
Long VS Short: Mainfreight Ltd
Why did you buy that stock? [Mainfreight Ltd]
Mainfreight 2008 Annual report worth reading
KiwiRail will cost Mainfreight
Mainfreight keeps on truckin
A rare breed
Share Investor's 2008 stock picks

Discuss MFT @ Shareinvestor

Share Investor 2011-2017

No comments:

Post a Comment

Comment on Share Investor Stuff