CSL - CSL Limited

[Knobby22]

I agreeAnn. It did run too hard.
The extra growth recently was caused by the flu pandemic that meant CSL was able to turn around the flu business they bought quicker than planned however the downside is that there will now be less growth this year.
Could easily get to $150 but doubt it will go any lower. If it did I would be backing up the truck.

 

[Zaxon]

The latest dividend

 

[Ann]

CSL listed on Wednesday June 8th 1994 and the initial price was 0.76c it closed today at $194.44

 

[Zaxon]

CSL listed on Wednesday June 8th 1994 and the initial price was 0.76c it closed today at $194.44

It's currently my longest held stock. That graph is an excellent illustration of why.

 

[Smurf1976]

CSL listed on Wednesday June 8th 1994 and the initial price was 0.76c it closed today at $194.44

If only you could have told me this in 1994.

 

[peter2]

An outstanding break-out opportunity. It deserves to be posted here.

 

[Zaxon]

An outstanding break-out opportunity. It deserves to be posted here.

Well, that's bloody good news...pun intended.

If we look at the 1 year chart, we see it peaked September last year, and has been flat now for a while. In needs to get some growth happening.

 

[Knobby22]

The latest results were good, so many different profit centres but all getting good growth. The movement into China looks to very profitable but not without risk due to their way of stealing.

The most exciting element for me is the stage 3 drug treating heart disease. If this works, the upside could be fantastic.

My biggest holding by far.
CCP is next.

 

[kenny]

How much of the current gains are due to the timely favourable currency movements?

 

[Knobby22]

How much of the current gains are due to the timely favourable currency movements?

Very little, much of the business takes place internationally, they work out profit in $US these days.
Helps the dividend though, but no franking.

 

[rcm617]

Keeps on powering on. Apparently there is a severe shortage of immunoglobulins which are being used more frequently and which is presumably pushing up prices. CSL is second worldwide by number of collection centres and growing faster than any other company with another 30 opened this year and 40 planned for FY20.

 

[Knobby22]

Read in the Age today that the heart attack therapy presently recruiting for phase 3 could be expected to provide revenues by 50% which is massive.

I note it is Dutchies pick for the yearly comp. I doubt though we will see the results of the trial till 2021.

 

[dutchie]

Read in the Age today that the heart attack therapy presently recruiting for phase 3 could be expected to provide revenues by 50% which is massive.

I note it is Dutchies pick for the yearly comp. I doubt though we will see the results of the trial till 2021.

A great Australian success story. CSL is not afraid to borrow money (current low interest rates help) to grow the company. It has great revenue sources which will only grow. Its ROE is excellent (40+%).

 

[Dona Ferentes]

A great Australian success story. CSL is not afraid to borrow money (current low interest rates help) to grow the company. It has great revenue sources which will only grow. Its ROE is excellent (40+%).

more than that; the company is not afraid to spend cash on research, rather than paying it as dividends. Of course, this has to go well, and the pathway to commercialisation is complex and lengthy:
After more than 20 years in development, the moment of truth is fast approaching for CSL112. CSL revealed this month that 7,000 heart attack patients have now taken part out of a eventual pool of 17,000 subjects for its phase-three trial, which it launched in 2018 and estimates will cost up to $800 million.

https://www.smh.com.au/business/com...-800m-heart-attack-trial-20191210-p53iog.html

 

[Dona Ferentes]

CSL does not fit the mould of the typical company in the top 200 which pays out 60 to 70 per cent of earnings in dividends. CSL's dividend yield is about 1.5 per cent and its payout ratio is less than 50 per cent.

"We are not a high divvy stock not because we don't want to pay a high dividend," CEO Paul Perreault says. "We want to reward the shareholders, but we also want to balance that against the capital demands because we're a highly capital-intensive company.

"When you look at the size of our facilities and what we have to do, these are massive biologic manufacturing facilities with a lot of stainless steel and filtrators, lyophilisers, pasteurisers and other big, heavy equipment. "We also want to make sure that the R&D investment and the expansion of the translational medicine through our commercial activities is all being invested in."

 

[Dona Ferentes]

CSL listed on Wednesday June 8th 1994 and the initial price was 0.76c .

ever the pedant, it listed for $2.30, and then had a 3 for 1 share split a dozen or so years later.

When it listed as a small-cap, it had revenue of $193m. It recorded revenue of $US8.5bn in 2019.
- now 90% of revenue generated offshore,
- more than 25,000 employees,
- sales in nearly 70 countries,
- has returned $US7bn ($10.3bn) in cash to shareholders via share buybacks since listing.
- R&D spend of $832mill in 2019.

and, now, nearly 2020, what do you get for $800mill being spent on the CSL112 trial?
"The trial is underway in 46 countries at around 900 hospitals, including 25 in Australia, where test subjects are administered either CSL112 or a placebo via intravenous infusion within 48 hours of being admitted with a heart attack. They receive the infusion once a week for the next three weeks and are monitored for the next 90 days to compare the instances of secondary heart attacks.

There's a reason CSL is willing to spend close to a billion dollars on a project it might never bring to market: the potential rewards are enormous. CSL estimates that there around 1.2 million heart attack discharges every year across the US, France, Germany, Italy, Spain and the UK every year, meaning there is a potential pool of 200,000 to 270,000 patients annually for CSL112 in those markets alone."

 

[frugal.rock]

View attachment 88875

Never a bad idea to have exceptionally strong trending stocks like this in your portfolio. Seeing a trend like this puts people off, thinking they have missed the boat. Who knows it could go to $300 next year.
Disclosure: I hold

Recent high of $299.42 on Friday I believe, it's seemingly untouchable.
Up 50% since June or so...wow.
If it continues like this, $400 is on the card's before the end of the year... why do I find the proposition of buying this scary?
F.Rock

 

[dutchie]

CSL trying to crack $300 (299.90 so far).
Possible pullback before it has another crack.

 

[Dona Ferentes]

Three handle

but maybe not for long!

 

[Dona Ferentes]

CSL's core immunoglobulin portfolio has led the healthcare giant to another strong result, with profits jumping 7.5 per cent to $US1.25 billion ($1.86 billion) in the first half.

On a constant currency basis the company's net profit growth climbed into the double digits, hitting 11.3 per cent, while its revenue was also up 11 per cent on a constant currency (9 per cent in a statutory basis), reaching $US4.91 billion for the six months ended December 31 - ahead of consensus estimates.

Chief executive Paul Perreault said the immunoglobulin business had performed exceptionally well, underpinned by its Privgen and Hizentra therapies, in which sales were up 28 per cent and 37 per cent respectively.

"Underpinning this growth has been continued strong patient demand together with an expanded label claim for both Privgen and Hizentra to now include CIDP (Chronic Inflammatory Demyelinating Polyneuropathy, a debilitating neurological disorder," he said.

"Our results reflect the focused execution of our strategy, robust demand for our differentiated medicines and a deep, inherent passion for meeting the evolving needs of our patients."

And US95c dividend