Forum Archive Index - May 2000

[Phil Eriksen <phil@acepay.co.nz>]

Mike Hudson wrote:

> PS.  I have been recommended CAH as an "Absolute Buy" Has anybody got any
> thoughts on this one.


Bought some recently.  Not a good industry, not a good performer in
recent times.  Things looking up results-wise, out of Chile now, share
price doesn't reflect improving outlook, relatively cheap acquisition
for an overseas rival, recall hearing the boss mention e-commerce
recently. etc etc.

I certainly don't expect to die holding them, but in these turbulent
times I see very little short/medium term downside, the strong
probability of a not-dramatic-but-worth having upwards correction, and
the faint possibility of "transaction" profits (ie a takeover).  Sort of
share I like as a "punt" really, a chance of some action (certainly some
logical reasons for there to be action at least) but if there isn't, the
price is supported by the business and there shouldn't be a mad rush to
the exit if you get bored and want to sell.

Cheers,
Phil

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