Share Investor

Sunday, February 28, 2016

Critics and Wannabes

Chart forFisher & Paykel Healthcare Corp Ltd (FPH.NZ)

Just wanna counter the critics and wannabes, especially the ones you find on the internet.

Your criticism should be ignored.

If you know are doing the right thing for you, it doesn't matter who you have to answer for because the only person you have to satisfy.

Is you.

On that, ill take one instance is writing on this blog and on one particular instance on Fisher and Paykel Healthcare Ltd.

I had followed this stock for YEARS, not months and if you were to take my advice, freely of course because you don't have to take my advice, i'm just freely sharing it with you on these pages, you would have made at least 4 times your money and be in the position you are now with this company of more to come.

That's not including the 60 plus cents in divs.

Looking back i even included my advice AT THE PEAK OF MY CONFUSION AND STRIFE, IN THE MIDDLE OF A STROKE

Me:

At 1.91 today this puppy must be returning about 10%. Looks like another support level to me, if I had the money id be getting in again. Beware that this might jump down again again but also be aware that that this share traded at at 1.86 today. Depends what you want if you get it now you will return you well in the long term, if you think the traders (money) have had their fill get in now,if you don't bide your time.

An Anon Critic:

Come on, FPH is a dead end. Where its gona go and on what basis? Strong yield? How much are you expecting to gain, 10c a share?

So an answer to your critics.

Don't take what you read to heart, if you know you have made the right decision.

Toughen Up: What I've Learned About Surviving Tough Times by Michael Hill

c Share Investor 2016

Wednesday, February 3, 2016

Air New Zealand: On the Way Down

Air New Zealand is probably a very good airline.

I can either not afford to fly with them (in New Zealand I have to) and when I can it is some sort of forced codeshare thingy.

Those of you who know this blog well know i'm not a big fan of airlines and I share my fear of investing in them with that famous billionaire Warren Buffett.

I fear the end of the line for Air New Zealand, soon.

What I am saying is the number of news stories, local and international, about airlines expanding into new territories is particularly worrying. GROWING airlines, growing seats, lowering fares, its the only business I know that people(investors)get excited about prices going down - you should be worried.

The Airline has been doing ok for a number of years but this year after oil prices hit the bottom (i'm picking in the mid to high teens) and start rising things will start to move the other way.

The staff labour costs, fees paid to airports, divs to the govt, cost of food, cost of computer systems and long flights proportionately cost more. There are in the air for longer and burn a shit load of fuel.
Passengers just pay for one ticket. Air New Zealand are flying longer flights - along with everyone.

Of course there's hedging. The person in charge of this I would say has the most important job in the airline. What he does now will ultimately affect what happens a few years down the road.

By all accounts Air NZ has a very good one/s.

Be very careful if you are a long term investor. I would avoid this stock at all costs.

If however you are in it for the short term then Bobs your uncle, go for it.

You probably know when to pick it.

AIR @ Share Investor

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Mike Pero and Air New Zealand: Capitalism vs Socialism
Rob Fyfe's "Environmental Extremism"
Reality Needs to Bite
Air New Zealand wants another taxpayer bailout

Discuss this stock at Share Investor

c Share Investor 2016

Saturday, January 30, 2016

Welcome to Sharetrader Members!

I note the site Share Trader site has been down for over 24 hrs. Come on over

I seem to have some visitors from there reading this blog.

We have a history between us, I used to contribute as member to that aforementioned forum and was banned for having an opinion.

I have been banned for life so it seems, because I have been lurking here and there but eventually caught out.

Welcome to those of you that knew me on Sharetrader as Bongo and to those of you that don't thanks for reading this blog.

If however you would like to contribute to my Share Investor Forum, you are most welcome to sign up and let rip. I don't censor strong or contrary opinion to the website owner, nor am I bound by loyalty to advertisers or make you sign a disclosure that abdicates your right to the content you submit.

Sharetrader do!

I am independent and proud of it.

So welcome Sharetrader members, welcome to Share Investor.

You can get the forum at the following URLs:

www.shareinvestor.nz
www.shareinvestorforum.com
www.shareinvestor.co.nz
www.sharetrader.biz

c Share Investor 2010, 2016

Sunday, January 17, 2016

Murray & Co: Overachieving Kiwi-style

I had to hunt high and low but I found something.

This piece really has everything a little Fisher & Paykel holder really wants to know.

What he neglects to tell us is, has Mike Daniells passed all his business acumen on.

I would have to answer that by saying yes by looking at the figures, 29-800 million, in 26 years.

What is more important is, has he passed that "we are a company that is going to spend northwards of 70 million next year on R & D" and you would have to say yes again.

Lewis Gradon is still there as head of R & D and as long as he is I don't have one worry.

The biggest value creator in the history of the NZ sharemarket, Mike Daniell (CEO of Fisher & Paykel Healthcare) quietly handed in his resignation slip recently without any fanfare or great media interest.

Mike Daniell’s board at Fisher & Paykel blew his trumpet on the announcement of his forthcoming retirement but they really should have played a full reveille. This is the untold story of NZ finance, a company that grew from a prototype made with an Agee preserving jar after a physician at Auckland Hospital in the 1960s became concerned about the adverse effects of ventilating patients with dry air.

Consider the numbers. When Daniell took charge of the Healthcare division in March 1990 his predecessor was ruling off the accounts showing about $29m of sales and $4m of EBIT. When Daniell steps down in March next year

Photo: Dave O'Hare and 3280 Humidifier (1970)

Healthcare will report sales of over $800m and EBIT of >$200m.

Annual compound sales and EBIT growth of 14% and 16% respectively over 26 years; approximately $500m of shareholders funds turned into marketcap of $4 billion - that’s $3.5b of value creation, 99% of it on Daniell’s watch, the biggest such “market value added” on the NZ market.

If Healthcare had been a listed company the whole time it would have been a 100-bagger. As it was it saved its previous parent company, Fisher & Paykel Appliances, and has done well since listing despite currency headwinds.

How has the company achieved this? Five key aspects, all pointing to good strategy from the top:

A consistent team, in particular Lewis Gradon and Paul Shearer, who have respectively led the R&D and international sales teams over the same 26 year period.

The company persistently plugged away (through sponsoring numerous studies and direct marketing) at the seemingly boring hospital humidification market, gradually leaving less committed competitors in the dust.

It then segued into humidifying air used in “blowers” for sleep apnea in the home. The company quickly worked out that people would get sick of having separate blowing and humidification devices hogging their bedside table and introduced a combined unit before anyone else. This action led to a much bigger fast-growing market.

The company determined that value is in consumables and introduced (and importantly concentrated on) proprietary chambers and tubes to go with its hospital gear and masks to accompany sleep apnea devices.

It has invested in R&D to open up new sales areas, the latest of many is humidifying air pushed over body parts during surgery.

Daniell is an old-style NZ CEO, little ego, no twitter account, his one company generates export sales the equivalent of 60% of the vaunted NZ wine industry with about 1% of the fanfare. Thanks Mike.

	Project Management Essentials For Dummies, Australian and New Zealand Edition by Nick Graham Buy new: $9.74 / Used from: $8.96 Usually ships in 24 hours

Project Management Essentials For Dummies, Australian and New Zealand Edition by Nick Graham
Buy new: $9.74 / Used from: $8.96
Usually ships in 24 hours

c Murray & Co Share Investor 2016

Share Investor

Sunday, February 28, 2016

Critics and Wannabes

Wednesday, February 3, 2016

Air New Zealand: On the Way Down

Saturday, January 30, 2016

Welcome to Sharetrader Members!

Sunday, January 17, 2016

Murray & Co: Overachieving Kiwi-style

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