AST - AusNet Services

[CanOz]

Any guesses as to to why several lots of stock were purchased today? Could it be that fund mgrs want to move into secure infrastructure income?

Inerested in any opinons as this had moved through MA with reasonably high vol.

 

[vishalt]

Re: SPN - SP Ausnet

Anyone interested in this business?

I'm looking to build a small-cap portfolio (without using debt) of good and reliable business. SPN has a pretty network of electricity supply around Victoria and is half-owned by Temasek.

Gives electricity & gas to over 1.1 million customers, 11c dividend and is only going for $1.20. Already had a good positive net profit in its first year of listing.

Invested almost half a billion in future growth projects as well.

I'm looking to jump into this tomorrow.

 

[JTLP]

Re: SPN - SP Ausnet

Woah...

From my understanding they seem to have a pretty significant debt/equity ratio??? Are you saying you are going to build you portfolio with your own cashola; or look for small caps with little debt?

 

[vishalt]

Re: SPN - SP Ausnet

My own cash yeah.

Can I ask how you managed to calculate they have significant debt exposure?

Cheers,

 

[waz]

Re: SPN - SP Ausnet

The got a speding ticket yesterday for falling from a close of $1 to 93 cents.
Now they are at 89c.

Whats funny is that before it closed at $1 it was hovering around 95c. It was just a spike, hardly reason enough to issue a speeding ticket.

Plenty of companies go up and down by 5%+ over two days.

Anyways, no new news about the company.
Im taking advantage of the situation and going long upto $1

 

[johannlo]

Re: SPN - SP Ausnet

Yes looks like a 'safe' conservative pick due to its relatively secure cashflow and high dividend. Could be a good way to hedge your risks depending on what else is in your portfolio

 

[kingbrown]

Re: SPN - SP Ausnet

Yes looks like a 'safe' conservative pick due to its relatively secure cashflow and high dividend. Could be a good way to hedge your risks depending on what else is in your portfolio

Pays to do your homework !!

Better buys about imo
Appears these guys are about to have the crap sued out of them
Accounts for the demise of the sp i guess
If you look at any prior history this will be in the courts for years !


Power company faces class action over Black Saturday

A faulty powerline that is believed to have sparked the fatal Kinglake bushfire is the subject of a class action against power company SP AusNet.

ETU speaks of "dangerously inadequate aging infrastructure", of the "maintenance unaccountability of distribution companies" and of a "drastically reduced workforce to work on live lines".

A prominent SC says if the power distributor is responsible, it could be up for $800 million in damages.




Not hard Just google it !

 

[Joe Blow]

Re: SPN - SP Ausnet

Pays to do your homework !!

Better buys about imo
Appears these guys are about to have the crap sued out of them
Accounts for the demise of the sp i guess
If you look at any prior history this will be in the courts for years !


Power company faces class action over Black Saturday

A faulty powerline that is believed to have sparked the fatal Kinglake bushfire is the subject of a class action against power company SP AusNet.

ETU speaks of "dangerously inadequate aging infrastructure", of the "maintenance unaccountability of distribution companies" and of a "drastically reduced workforce to work on live lines".

A prominent SC says if the power distributor is responsible, it could be up for $800 million in damages.




Not hard Just google it !

Kingbrown,

In future, please link to your source when quoting a news story.

This particular story is a few weeks old now: http://www.abc.net.au/news/stories/2009/04/23/2551251.htm

 

[johannlo]

Re: SPN - SP Ausnet

Yes we all know about that one. The SP has factored it in already hence why its 89c not 1.10.

Cashflow is very consistent (nature of the business). Total debt looks high but they don't seem to have any issues servicing it (HISTORICALLY: this may well change lol) due to their stable cashflow.

I don't hold and don't plan on holding DYOR etc. etc. etc.

 

[supermatt]

Re: SPN - SP Ausnet

hi guys, im only new.. however I recently purchushed shares in SPN and now they are in a trading halt. Im a little worried but all my technical analysis still tells me the signs are good. Any thoughts ?

 

[waz]

Re: SPN - SP Ausnet

The capital raising of $415mil was what was expected and already factored into the price.

Also it looks like half of this is already raised through Singapore Power.

There are no surprises in todays profit announcement. So it is unlikely to fall any further.

A few have mentioned VIC bushfires, I wouldn't worry about it, people are just looking for someone to blame.
Think of the power blackouts in Sydney over the last few months, has anyone got any compensation for that? nope.

 

[supermatt]

Re: SPN - SP Ausnet

Well I'm still spewing, this was my first trade ever and happened to buy them the day before they went into a trading halt. Not happy at all.

 

[laurie]

Re: SPN - SP Ausnet

So is anyone here interested in this stock still giving about 10% return

laurie

 

[kash]

Re: SPN - SP Ausnet

Their divvie is paid in nov and i like this as a income company. I will be buying in october.

 

[laurie]

Re: SPN - SP Ausnet

Their divvie is paid in nov and i like this as a income company. I will be buying in october.

Look like its a good income stock why are you waiting for October!

laurie

 

[laurie]

Re: SPN - SP Ausnet

Had to happen speeding ticket of course the usual response from the company

laurie

 

[notting]

Re: SPN - SP Ausnet

Was trading very conservatively all day then went off at 2:30 is matching up at $1.06.
Somethings happening there.

 

[skc]

Re: SPN - SP Ausnet

Was trading very conservatively all day then went off at 2:30 is matching up at $1.06.
Somethings happening there.

Closed at $1.02. SPN going ex-div in ~3 weeks so may be someone wanted to catch the dividend run-up. Perhaps the fund manager forgot to tell his work experience student not to buy the entire line in one go on the close

 

[notting]

Re: SPN - SP Ausnet

Yeah, still quite unusual later afternoon action. I had a buy in at .97 and missed it by a soooo little. Typical

 

[RazzaDazzla]

Re: SPN - SP Ausnet

SPN had been looking quite resilient. 8% drop this morning. I couldn't see any news or announcements to "explain" this drop.