Search Results for: thorn group
-
Is Vocus about to light up?
David Buckland
December 1, 2014
Russell and I attended the Vocus Communications Limited (ASX: VOC) Annual General Meeting last week. While the company could not give anything away on their proposed merger with Amcom Telecommunications Limited (ASX: AMM), we continue to be incredibly impressed with the calibre of the Vocus Board of Directors, especially in the context of its $600m market capitalisation.
In the four years to June 2014, the company’s revenue line has increased from $31m to $92m, while its EBITDA has climbed from $10m to $33m. And in the four years to November 2014, the Vocus Communications’ share price has responded in kind by quadrupling from $1.50 to the current $6.00. Continue…
by David Buckland Posted in Companies, Insightful Insights, Investing Education, Technology & Telecommunications.
-
Where is the demand for heavy equipment?
David Buckland
November 24, 2014
At last week’s Annual General Meeting, Seven Group Holdings Limited (ASX: SVW), the Kerry Stokes-controlled diversified operating and investment company, revealed there was more pain to come from their WesTrac Australia business.
WesTrac operates as the sole Caterpillar dealership in WA, NSW and the ACT. It supplies and services new and used Caterpillar machinery for the mining, construction and forestry markets. Continue…
by David Buckland Posted in Energy / Resources, Insightful Insights.
- save this article
- POSTED IN Energy / Resources, Insightful Insights.
-
Iron Ore Pricing: Where is the floor?
David Buckland
November 14, 2014
Citigroup Inc. analyst, Ivan Szpakowski has slashed his iron-ore forecast to average US$65/tonne in 2015.
Ivan is looking at the iron-ore price bottoming in the September 2015 quarter at an average US$60/tonne on the back of renewed supply growth and further demand weakness. About 140 million tonnes of export supply growth is expected in 2015, with the bulk of this coming from Rio, Vale and BHP.
When the Australian Federal Budget deficit of A$30 billion for the 2014/2015 financial year was announced in May, the iron-ore price was above US$100/tonne and few analysts could see it would decline to the current levels.
So far this calendar year, the iron-ore price has declined 44 per cent from US$131/tonne to US$74/tonne. If Ivan is right, there are further declines expected.
As we have previously noted, it is worth remembering that for decades prior to 2004, the price of iron ore traded between just US$10/tonne and US$20/tonne. The price then rallied to $187 in 2011. It has been falling ever since. Today’s experts guessing iron ore’s near term levels are the same people who failed to see the current levels materialising.
by David Buckland Posted in Energy / Resources, Insightful Insights.
-
The need for speed
Scott Shuttleworth
November 11, 2014
Last week I posted some data from the Australian Bureau of Statistics to find out how fast Australia’s appetite for downloads had been growing over the past few years. If you haven’t read it, you can find the post here.
Now I pose a different question although slightly related, is there a relationship between the speed of internet offered in a country and demand? Interestingly enough there is. Continue…
by Scott Shuttleworth Posted in Insightful Insights, Technology & Telecommunications.
-
Darth Veda
Russell Muldoon
November 7, 2014
Veda Group Limited (VED) is one of the more successful IPO’s we have participated in recently. Listing in early December 2013 at $1.25 the stock went on to subsequently double in price hitting a high of $2.55 just a few months later.
Adding to this success was the exceptional 2014 full year results that came in ahead of the prospectus guidance, producing one of the best reports over the August reporting season. Continue…
by Russell Muldoon Posted in Companies, Insightful Insights, Market Valuation.
-
Quality businesses keep chugging along
Scott Shuttleworth
October 30, 2014
Amongst the doom and gloom in some sectors, one business that has reported strong figures and is held by Montgomery Investment Management is Burson Group Limited (ASX: BAP). The stock has done well since its listing in early 2014. Continue…
by Scott Shuttleworth Posted in Insightful Insights.
- 4 Comments
- save this article
- 4
- POSTED IN Insightful Insights.
-
Bubble Watch #15
Roger Montgomery
October 22, 2014
Businessweek reports: “Billionaire Stephen Schwarzman, who oversees the largest manager of alternative assets as Chief Executive Officer of Blackstone Group LP (NYSE: BX), said the recent declines in financial markets are an “overreaction.” Continue…
by Roger Montgomery Posted in Economics, Market commentary.
- save this article
- POSTED IN Economics, Market commentary.
-
A lot has changed in a month – now its Ausdrill’s turn
David Buckland
October 22, 2014
Less than four weeks ago, Ausdrill Limited (ASX: ASL) released its 2014 Annual Report and Notice of AGM. At the time, the company was “…expecting an improved result in FY15 with improvements expected particularly in the Energy Drilling Australia business and in the African Mining Services business”. Continue…
by David Buckland Posted in Energy / Resources, Insightful Insights.
-
Crash landing or turbulence?
Roger Montgomery
October 20, 2014
As you would be well aware, nobody is able to control share prices. Even the very best quality companies, purchased at steep discounts to intrinsic value, can fall in price over a week or a month or even a year. And so we aren’t surprised to see the share price of one of our holdings – Flight Centre Travel Group Ltd (ASX: FLT) – not flying as high as we’d like. Continue…
by Roger Montgomery Posted in Foreign Currency, Insightful Insights, Tourism.
- 3 Comments
- save this article
- 3
- POSTED IN Foreign Currency, Insightful Insights, Tourism.
-
If you can’t beat ’em… join ’em
Scott Shuttleworth
October 17, 2014
The Hong Kong business of REA Group Limited’s (ASX: REA) Realestate.com has been one of a few dull spots on an otherwise bright canvas for quite some time. Through a well-executed move, they seem to have changed their prospects in the country. Continue…
by Scott Shuttleworth Posted in Companies, Insightful Insights.
- 2 Comments
- save this article
- 2
- POSTED IN Companies, Insightful Insights.
-
Don’t let a catastrophe sneak into your portfolio
Scott Shuttleworth
October 13, 2014
The rewards in the stock market can be vast – why else would we spend so much time on it? But the risks can often go overlooked as we dream of retiring down at the beach tomorrow. One risk I’d like to highlight is catastrophe risk. Continue…
by Scott Shuttleworth Posted in Companies, Insightful Insights.
- 2 Comments
- save this article
- 2
- POSTED IN Companies, Insightful Insights.
-
A chat with Warren
Roger Montgomery
October 9, 2014
Warren Buffett was on CNBC’s On the Money program over the weekend, and we thought you might be interested in his very latest thoughts… Continue…
by Roger Montgomery Posted in Insightful Insights, Value.able.
- 5 Comments
- save this article
- 5
- POSTED IN Insightful Insights, Value.able.
-
Titan Energy Services Limited and the rapidly shifting CSG market
David Buckland
October 7, 2014
This blog post follows on from a piece I wrote back in July, on Titan Energy Services (ASX: TTN). Continue…
by David Buckland Posted in Energy / Resources, Insightful Insights.
-
Can Rupert Murdoch sell homes in the US?
Scott Shuttleworth
October 2, 2014
REA Group Ltd (ASX: REA) announced that they are partnering with News Corp (Nasdaq: NWS), a majority owner of REA, to acquire US-based company Move Inc (Naqdaq: MOVE) for a total of US$950 million. As per the chart below, Move Inc has an interesting history, and has most recently benefitted from the recovery in the US housing market. Continue…
by Scott Shuttleworth Posted in Insightful Insights, Property.
- save this article
- POSTED IN Insightful Insights, Property.
-
Aussie dollar exposure
Ben MacNevin
September 26, 2014
Team Montgomery has long warned the Australian dollar, at near parity to the US dollar, has a fair bit of downside risk (see here, here and here). With that hypothesis now playing out – and commentators starting to crow – you may be wondering which companies may benefit from a stronger US dollar. Continue…
by Ben MacNevin Posted in Foreign Currency, Insightful Insights.
- save this article
- POSTED IN Foreign Currency, Insightful Insights.
-
Reflecting on Australia’s Future
Tim Kelley
September 24, 2014
It’s hard not to be impressed by US dominance of the online world. If you look at a list of the top internet sites in Australia, the leaders are almost all of US origin: sites like Google, Facebook, YouTube, eBay and Wikipedia. Continue…
by Tim Kelley Posted in Insightful Insights.
- 7 Comments
- save this article
- 7
- POSTED IN Insightful Insights.
-
Arrium: Burning the cash
David Buckland
September 22, 2014
During Sky Business’ Your Money Your Call – on which the Montgomery team regularly appear – there is a segment entitled ‘Buy, Hold, Sell’. One of my preferred ‘Sells’ over recent years has been Arrium Ltd (ASX: ARI), formerly known as OneSteel. Continue…
by David Buckland Posted in Energy / Resources, Insightful Insights.
-
The world according to Munger
Roger Montgomery
September 17, 2014
Daily Journal Corporation (DJC) publishes newspapers and websites covering California and Arizona, as well as the California Lawyer magazine, and produces several specialised information services. Sustain Technologies, Inc. (Sustain), a wholly owned subsidiary, supplies case management software systems and related products to courts and other justice agencies, including administrative law organisations. These courts and agencies use the Sustain family of products to help manage cases and information electronically and to interface with other critical justice partners.
The company’s Chairman is none other than Charles T. Munger. Here’s a transcript of his comments from last week’s DJCO Shareholders meeting.
We’ve copied it here raw and unedited, but there are many pearls. It’s long, so print it off and enjoy.
by Roger Montgomery Posted in Insightful Insights.
- 5 Comments
- save this article
- 5
- POSTED IN Insightful Insights.
-
Our process in practice
Ben MacNevin
September 16, 2014
Today’s blog post is an example of our investment process in practice, the result of which has enforced our commitment to investing in quality companies with bright prospects at attractive discounts to our estimates of their intrinsic value. Continue…
by Ben MacNevin Posted in Insightful Insights, Intrinsic Value, Investing Education, Montgomery News and Updates.
-
House prices to crash? Ask your barber!
Roger Montgomery
September 2, 2014
Writing for Finsia’s InFinance daily report, Robin Christie has quoted the Big Four banks’ head economists speaking at the AB+F Breakfast with the Economists event in Sydney late last week. Continue…
by Roger Montgomery Posted in Economics, Financial Services, Insightful Insights.