TRA - Turners Automotive Group

[Dolcile]

Briscoes guiding NPAT if 60m... meaning it trades on a 20x PE multiple with low /now growth expectations 

[Basil]

Briscoes guiding NPAT if 60m... meaning it trades on a 20x PE multiple with low /now growth expectations 

2 x short Briscoes and 1x long TRA and 1x long HLG would be an excellent way to go even harder on growth stocks in the retail sector trading on compelling fundamental's and remove any extra retail risk involved.  Crickey, that strategy is almost begging to be implemented.

[Dolcile]

Is there a practical way to short Briscoes?

[Basil]

Talk to these guys  https://www.leveragedequities.co.nz/about-us

[Waltzing]

Its ... up again....AGAIN....

[Basil]

777 is often considered a lucky number. It is associated with good fortune, positive energy, and spiritual growth. Many believe that seeing the number 777 signifies alignment with your purpose and that your goals and desires are manifesting into reality. Additionally, it is viewed as a powerful spiritual sign that encourages intuition and inner wisdom.
whatisnumerology.com

Sounds like a load of mumbo jumbo B.S. to me but hey, its Friday and Turners closed there so I'll drink to that.

[winner (n)]

Sounds like a load of mumbo jumbo B.S. to me but hey, its Friday and Turners closed there so I'll drink to that.

SUM closed at 1111 a few weeks and that's a number that points to good fortune.

Means even more when these prices are weeks end

[mike2023]

Sounds like a load of mumbo jumbo B.S. to me but hey, its Friday and Turners closed there so I'll drink to that.

I like 777. I like 888 more. Chinese love numbers. I find it intriguing. They're supposedly secular but very superstitious. It's a contradiction.

I bought more at 7.32 after exchanging kfl for kfl warrants. It seems like sound math. The outcome is to be seen. I'd already doubled my holding around 7. I'm overweight but I have bought an ebike this week and I love it, more beer and tra 😁

[winner (n)]

 Apparently the used car market is stuffed at the moment....like challenging market conditions, including economic weakness, margin pressure, low immigration numbers, and high regulatory costs in the used-vehicle industry

So says a competitor ...it's amazing Turners heading to record profits if that's the case

[Basil]

Would make a fascinating case study for a management studies course at Uni. How can one company do so well when others in the sector are struggling. I think there's a huge number of salient reasons why but I'm just on my phone so won't elaborate further as it would take too long.  Another great case study would be comparing SUM with its peers. Such a vast difference in their performance despite operating in the same sector and same weak economic conditions.
Lots of lessons to be observed studying companies with true management excellence. Looking forward to TRA reporting next Thursday.  Yet another record interim result looks certain.  For what its worth Todd responded very positively to my suggestion of a share split a while back. Obviously he's only one board member though but you never know.

[Waltzing]

Tourism up, retail down... more OCR cuts needed???

https://www.interest.co.nz/economy/136146/review-things-you-need-know-you-sign-thursday-no-joy-retailers-migration-pressures

share split fabulous .... could they be 10 dollars by 2023?

[mike2023]

What reason is there for a split? Liquidity? Two impressive years of appreciation and I'm still feeling optimistic.
If there's a reason to sell give me a heads up,  I held hgh and pgw all the way up...and most of the way down.

[Basil]

A possibly share split is just to boost liquidity. I'm also very optimistic about Turners future and a very happy long term holder too with no interest whatsoever in selling.  Is it expensive given the excellent run in the share price in the last 2 years at $7.80 ?
I would argue its absolutely not expensive at all !  7.5 months of FY26 is already done and dusted and Turners trades at just 14.2 times consensus analyst earnings for FY27 and that's for a company with a proven 5 year EPS CAGR across the bottom of the worst retail cycle in decades of 12.4% per annum.

If they can grow like that during doom and gloom times, given we are surely now at the bottom of the economic cycle its not a big stretch at all to think that growth can continue at a similar rate going forward on the back of further branch expansion in the years ahead and other business initiatives like vehicle servicing, not to forget loan growth @ higher net interest margins.  I'm looking forward to their half year report on Thursday 20th next week.

[Waltzing]

This is off topic but related to companies running finance divisions and TRA does run one and insurance...

TRA is not just a car dealer... it far far more than that..

from AI on calculating those tricky finance and insurance payments...

wonder what back end they are using for the finance division calculations... and remember AI has this to say about using Excel...

Wonder about all those law suits out there for Interest payments that are going on for banks but they should be using old main frames that use decimal data types ...


AI:

"Based on actual research, here's what I found:
Key Finding from Stack Overflow and Wikipedia:
The behavior difference is NOT the FPU adjusting values. It's Excel's worksheet formula engine implementing different comparison logic than VBA.
Evidence:

Excel's worksheet formulas "cheat" - Stack Overflow users discovered that Excel's = operator in worksheet formulas doesn't follow strict IEEE 754 binary comparison. Quote: "The Excel program gets around the issue by cheating on the application side."
Excel rounds/snaps results - Wikipedia's article on Excel precision states: "Excel does some rounding and/or 'snap to zero' for most of its results, in average chopping the last 3 bits of the IEEE double representation."
VBA follows IEEE 754 faithfully - When you pass those same values through VBA's comparison operator, it performs strict binary equality checking per IEEE 754 spec.

The Actual Mechanism:
Excel's worksheet calculation engine appears to apply a tolerance or rounding behavior to comparison operations that's NOT documented by Microsoft. One hypothesis is it may round to 15 significant figures before comparing (Excel's stated precision limit), or apply a "snap to zero" for tiny differences.
Critical Point:

A formula in excel =(0.1+0.2)=0.3 returning TRUE is Excel's formula engine applying undocumented comparison tolerance - NOT the FPU doing anything special. The FPU is faithfully executing IEEE 754 arithmetic. Excel then post-processes the comparison result.

The Missing Documentation:
I couldn't find Microsoft's official documentation explaining exactly what tolerance/rounding Excel applies to worksheet comparisons. This appears to be legacy behavior, possibly from when Excel needed to hide floating-point quirks from non-technical users.

something IS adjusting the comparison - but it's Excel's application layer, not the FPU hardware."

[Ferg]

Looks to be a good half year result:
https://www.nzx.com/announcements/462999

Key Financial Highlights (HY26 vs HY25):
• Revenue: $219.0m, +5%
• EBIT¹: $34.1m, +10%
• NPBT: $30.4m, +13%
• NPAT: $21.9m, +13%
• Earnings per share (EPS): 24.2 cps, +11%
• Interim dividend declared: 8.0 cps, fully imputed