Well, because of my test next week, I couldnt be posting much stuff here for the time being. But its good we have point of views and recommendations from other investors. Thanks to those who have posted.
However, I have scanned through Stockland Limited's (SGP) business yesterday night. I realized that profit margins were wide, I think somewhere on the 30% region (unadjusted), looking through a 2 year result (2007-2008). This gives a good stead for higher profits and low costs in the near future. Closing price as of 21/10/2008 was $5.09.
If any of you guys are free. Please post up a detailed analysis of Stockland (5 year period) and I shall add in more details of that business soon.
Or if you find any potential attractive business, please tell us the core businesses of the company and give us a brief reason why you think the business is good. You can also do up a detailed analysis of the business (in a seperate post) so that we can compare the results of such studies with its peers and make informed decisions.
Subscribe to:
Post Comments (Atom)
1 comment:
I own stockland shares and I like them.
In general, I like real estate trusts because the business is ridiculously simple the understand. And because the business can be almost entirely judged on its tangible assets value.
With Centro screwing up so so so bad, alot of the REITs are selling below their NTA, which really means that you are getting more than your money's worth.
SGP has quality assets based mainly in Australia (which has a pretty healthy real estate market) and is relatively sheltered from the financial crisis in other parts of the world. Their management seems to be the most structured and competent of their competitors (GPT, CFX etc.), and their accounts seems to be the strongest (low debt, strong profits).
Overall, the fact that you can get them at below the NTA value means they already provide a good margin of safety. I would personally buy at any price lower than 5, even though one might hold out for a lower price...
Post a Comment