BEN - Bendigo Bank

[GumbyLearner]

Got into these guys last week.

Looking great value at present.

The majority of their cash is deposits in local branches. Unlike the majors they are looking into agriculture/regions and the future. Nice!

 

[oldblue]

Loans to Great Southern investors, courtesy of the merger with Adelaide Bank, are a bit of a drag on BEN at present.

http://www.theaustralian.news.com.au/business/story/0,28124,25849603-36418,00.html

 

[GumbyLearner]

I'm looking forward to another great month for BEN. Excellent announcement from the 60% stake in ELD Rural Bank operation last week. Should be another great month coming!

 

[oldblue]

Great Southern problems weighing on BEN.

http://www.theaustralian.news.com.au/business/story/0,28124,25879821-643,00.html

 

[oldblue]

Not great news.

A 57% drop in profits and a capital raising.

http://www.theaustralian.news.com.au/business/story/0,28124,25907601-20501,00.html

 

[qldfrog]

Well with capital raising at $6.75 a share maybe good opportunity to acquire at bargain price?
I have a few BEN and will increase my number of shares:
BEN imho is a safe bet either will be bought back or will carry along away from what I expect might be big write off from the big 4 banks
my un educated opinion only...

 

[oldblue]

I'm not sure who would buy out BEN. The majors have been told to leave the regional banks alone, unless they get into serious trouble that is, when I guess it would be approved!
So that leaves the likes of Bank of Q or SUN. Possible, but neither of them are in a strong position at present.

BEN's bad debt charge was up almost 400%, indicating that they're not immune to the problems of the big four. At the same time, they don't have the credit ratings and funding advantages of the majors. I prefer the latter whose SP's have shown good gains recently.

 

[ricee007]

I'm not sure who would buy out BEN. The majors have been told to leave the regional banks alone, unless they get into serious trouble that is, when I guess it would be approved!
So that leaves the likes of Bank of Q or SUN. Possible, but neither of them are in a strong position at present.

BEN's bad debt charge was up almost 400%, indicating that they're not immune to the problems of the big four. At the same time, they don't have the credit ratings and funding advantages of the majors. I prefer the latter whose SP's have shown good gains recently.

Orrrrrrrrrrr, POSSIBLY, the Majors have shown the former will possibly shortly show gains? (Or, there is a reason that BEN hasn't!).

I'm considering BEN in a week or two once I believe the SPP has been sold, if I see upwards pressure on the SP.

 

[Anthony Hosemans]

I took up my entitlment recently and didn't think I would get any extra if I applied for any additional. All shareholders who applied for additional shares are getting the first 1000 shares they applied for at the issue price. I,m kicking myself as I missed out on the opportunity to make some easy money, because of my short sightedness. Kooka.

 

[LeftRightOut]

So how does one explain the action in the past few days? Technical break out only? It certainly had nice technical signals screaming off the chart (triangle formed perfectly, also forming up on 200DMA support, 50DMA crossing 200DMA)

Any fundamental reasons anyone has. I don't own any, but have been watching ot for a little while.

 

[shinobi346]

I thought this was going to be a stinker this time around due to the banker taking off with a few cool million but their nice profit in other areas has seen it through.

 

[tayser]

Been reading the following article in the Age today: http://www.theage.com.au/business/franchise-bank-model-turns-sour-20110513-1em6w.html

Regardless of the content - I was just thinking, as these branches are listed on the BSX - does that mean anyone can just buy into a branch?

For instance, I'm not living in Kew East, but they're listed: http://www.bsx.com.au/markets_pricesresearch_tra.asp?security=56

A single investor could theoretically buy a whole branch?!?

 

[JTLP]

Been reading the following article in the Age today: http://www.theage.com.au/business/franchise-bank-model-turns-sour-20110513-1em6w.html

Regardless of the content - I was just thinking, as these branches are listed on the BSX - does that mean anyone can just buy into a branch?

For instance, I'm not living in Kew East, but they're listed: http://www.bsx.com.au/markets_pricesresearch_tra.asp?security=56

A single investor could theoretically buy a whole branch?!?

No - when you open your site link it states you can buy up to 10%. Why would you want to anyway after reading that article...yuck.

 

[xyzedarteerf]

missed out of topping up yesterday...7.55. Closed at 8.07 still good value watching this today.

 

[chops_a_must]

I'm by no means an EW expert, but looking for potential breakouts, this looks good on the 12 month chart.

A clear 1, 2, 3 wave pattern with consolidation happening in w4.

Would like to see this build sideways into a nice pennant.

Cheers.

 

[chops_a_must]

In on Wednesday on confirmation of a pennant. Maybe a little early, but it looks good to me.

Sitting on long term resistance, which has now proven to be support. Volume is building, and not too much resistance on the longer term until about $12- 12.50. Which roughly lines up with the price target from W1.

 

[chops_a_must]

As expected, this has broken out, and is continuing to show strength, even on down days.

Still on a low p/e, high yield, so in the environment, it looks good.

 

[jjbinks]

it does seem like good value for a fairly safe company.

but why is it s undervalued?

is it due to competition from big banks. (big banks have relatively lower cost?)

 

[Knobby22]

It has trouble growing as fast as the big banks due to its size and its Adelaide Bank component has some less quality loans that could go bad if the economy collapses. So Bendigo Bank is riskier.

 

[Garpal Gumnut]

Quite an increase in volume in BEN this calendar year.

BEN could surprise on the upside.

gg