Forum Archive Index - October 2000

["Philip Robinson" <robph639@student.otago.ac.nz>]

Thanks for that Nick,

On Brian's suggestion I have changed the name to Focus Investor Analysis to
recognise that principles other than Buffet are being used in the analysis
and therefore it would be misleading to call it that. Also some people have
a mental block about Buffet and so this may help by removing the name. I
will still suffix it with Buffet for a while so people don't get confused.

The good management list stands at:
 - Baycorp
 - Montana
 - Nufarm
 - Frucor
 - GPG

I have to agree on all except beg ignorance on NUF.

An update on the table with 5 of the 11 categories completed only three
companies have double digit index scores behind their names and they are
WHS, BCH and POT (Who saw that one coming, maybe I was wrong). But plenty of
work to go yet.

I was also wanting to ask whether people believe that a point should be
awarded for buybacks and also maybe dividend reinvestment plans. Buffet
certainty liked buybacks and DRPs allow one to reinvest returns and
essentially compound the return at the prevailing rate that the company is
earning it at and some also offer discounts in their DRPs (eg. SKC). But
they do expand s/h equity and therefore lower ROE.

Phil







----- Original Message -----
From: "nick" <acummin@es.co.nz>
To: <sharechat@sharechat.co.nz>
Sent: Saturday, October 14, 2000 6:18 AM
Subject: [sharechat] Good/ bad management (was buffet analysis)


>           To the good list i would like to add
>  Montana -  The management have done a great job in the last couple
> of years, the company is growing nicely and has a clear sense of direction
>
>  Nufarm - The strong management of this company has suprisingly,
> not been reflected in the shareprice. The move to australia was sensible
> and a  good move, it has however led to a short term fall in the
shareprice,
> as nzs exited the shares.  The company is on the right track and has just
> announced a record profit,  eps grows most years and the dividend goes up.
>
>  Guinness peat- cant say much against sir ron, and the rest of the crew
seem
> to
> be doing a great job. They currently have their fingers in all sorts of
> pies. There
> buying up of shares in the london stock exchange shows they are on the
ball.
>
>  Frucor - The company has grown rapidly, they have yet to put a foot
wrong.
> Many are still sceptical about V but nothing succeeds like success, and
> these guys
> have certainly been succesful
>
> *****************************************************************
> > So I call for some suggests as to companies who people believe have
> > extraordinarily good and extraordinarily bad management, now don't all
you
> > Fletcher Challenge shareholders pipe up at once, but I was also looking
> for
> > good companies. Also bear in mind that I am trying to examine all the
> > NZSE40, although many will not make the grade for a number of reasons. I
> > will start with some suggestions that you can see what you think of:
> >
> > Good:
> > Baycorp Holdings Ltd.
> >
> >
> > Bad:
> > On second thoughts maybe people should mail me directly.
> >
> >
> > Phil
> >
> >
> >
>
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