Argosy Property

[Waltzing]

property stocks on fire and banks selling off...

did you get enough or is retail AUS clothing still the big winner, winner()?

[winner (n)]

3rd qtr divie ......doesntvseem much of a payrise who rely on it for the groceries

[BlackPeter]

3rd qtr divie ......doesntvseem much of a payrise who rely on it for the groceries

I guess somebody must help to get inflation down again ... why not investors?

[Waltzing]

Is that SHINTR saying salt just dumped?

they still hold a few..

[Waltzing]

COMP PROPS SP's holding in the face of higher yields.

Siegel has gone bullish... and says FED has over tightened.

SP to go Higher? your kidding!!

[winner (n)]

COMP PROPS SP's holding in the face of higher yields.

Siegel has gone bullish... and says FED has over tightened.

SP to go Higher? your kidding!!

Good ol Siegal eh

Wonder if anybody would listen if Winner(n) said Orr has over tightened and should be reducing rates rather than contemplating further rises

[Waltzing]

is this why this stock is in demand today...

https://www.cnbc.com/2023/03/16/new-zealands-economy-shrinks-in-fourth-quarter-changing-rate-outlook.html

1.10... thank you for that the other day... many thanks...

[winner (n)]

Suppose report pretty solid

Aren't these stocks often held for their dividend income stream ...........if so not much of a pay rise this year and no pay rise next 12 months


http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/ARG/411537/394453.pdf

[Basil]

Solid result as you say Winner.   I think the outlook is satisfactory in the face of much higher funding costs and a weak economy.
http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/ARG/411537/394455.pdf

In terms of yield.  At $1.10, backing out the 1.6625 cps Q4 PIE dividend receivable in the next few weeks and treating this as part return of capital that's gives a net input cost of $1.0834 for FY24 income.
6.65cps forecast income / 108.34 = 6.14% tax free PIE yield.  For 33 % taxpayers like me that's worth 6.14 / 0.67 = 9.16% Gross yield. 
I reckon that's sustainable and solid and you're effectively buying $1.58 of assets for $1.08, (50 cents per share discount which is 32%), when interest rates and cap rates may be close to the top of the cycle.  Sound long term investing in my opinion.   

[BlackPeter]

Suppose report pretty solid

Aren't these stocks often held for their dividend income stream ...........if so not much of a pay rise this year and no pay rise next 12 months


http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/ARG/411537/394453.pdf

One does not need to be Mister Universe to win a local beauty contest, it is enough to look better than the other guys in the room ... and in terms of investments I think that ARG ticks some boxes in that regard related to reliable, sustainable and sufficient dividends. Asking for more would be greedy, wouldn't it?

From an FA perspective ... the time to buy REITS is when share price is low and interest rates are high (like now). Will give you on top of the dividends some nice capital appreciation as soon as interest rates drop.

From a TA perspective ... do I see a dropping wedge? I know, some people don't like dropping wedges, particularly if they are heavy and they have their foot below ... but from a TA perspective its a bullish sign.


You cannot view this attachment.

All good ... happy holder;

[Waltzing]

GMT has shown a lot of support lately and its DIV is more than half ARGS... money flowing into Auckland COM Property.

 Lets look at the potential for future development.

If they expand over the next 10  years it would be great...

"Looking ahead, it is clear that the New Zealand economy will face challenges
during the remainder of FY24. With this in mind, the Board has decided to
maintain the dividend at the current level, so dividend guidance for FY24 is
for a pay-out of 6.65 cents per share."
"

If things turns around they could change that but it simply means they are being prudent.

[BlackPeter]

GMT has shown a lot of support lately and its DIV is more than half ARGS... money flowing into Auckland COM Property.

Expect income for reits to be flat for a few year or even more...

If they grow somehow  it would be great...

"Looking ahead, it is clear that the New Zealand economy will face challenges
during the remainder of FY24. With this in mind, the Board has decided to
maintain the dividend at the current level, so dividend guidance for FY24 is
for a pay-out of 6.65 cents per share."
"

If things turns around they could change that but it simply means they are being prudent.

Agree - REITS income likely to be flat for some years to come.

However - as soon as interest rates drop (and at some stage they will) will the current dividend yield of 6% (not even considering imputation credits and PIE's) look very flash ... and market will fix that by increasing the SP.

Sometimes I love how the markets work ...

[Waltzing]

ARG has a pipe line of developments and its looks like they will weather the storm.. and you can see how expenses have been hit in the P&L...

the new accounting standard that put non cash into retained earning in what are likely single DIM consolidated journal ledgers is a joke from the accouting PHD's...

back out the non cash retained earnings as it means now nothing at all... what a joke..

[winner (n)]

Agree - REITS income likely to be flat for some years to come.

However - as soon as interest rates drop (and at some stage they will) .......

Surely not a prediction BP

[BlackPeter]

Surely not a prediction BP

Not a prediction - just a reminder of the negative correlation between the price for real estate (and REITS) with interest rates as well as the correlation between the price for pseudo bonds with interest rates.

Economy 101.