NWH - NRW Holdings

[nomore4s]

Couldn't find a thread for this one.

Anyone else holding this?

Has broken out of its base and is looking pretty strong atm. Currently up about 9% for the day and well up from its lows at under 15c.

 

[nomore4s]

No one is interested obviously, I will happily keep riding this one higher by myself:

In a trading halt pending an annoucement re a "significant contract", will be interesting considering the amount the price has already risen over the last few weeks.

 

[snowfree]

Just came across this one. The fundermantals look pretty healthy, although the dividend is cut to only 1c for the 1st half.

Considering getting a parcel, but the market seems to be pushing it down a bit...

 

[titus]

You guys still in NWH? Or have you taken your profits and run? Fundamentals are still good but I don't know if there's much puff left as the charts have gone off. Any views?

 

[travwj]

Dunno if anyone is really following this one, but in a trading halt again. For a significant contract negotiation announcment. Recently broke through resistance at about $2 mark. Interesting to see how this goes as it has come a long way in the last year.

Cheers

Trav

 

[nomore4s]

Dunno if anyone is really following this one, but in a trading halt again. For a significant contract negotiation announcment. Recently broke through resistance at about $2 mark. Interesting to see how this goes as it has come a long way in the last year.

Cheers

Trav

I still hold Trav, but sold a small portion of my holdings off and am "free carried" now so am happy just to sit back and see where it leads now, certainly no reason to sell atm.

 

[Absolutely]

Dunno if anyone is really following this one, but in a trading halt again. For a significant contract negotiation announcment. Recently broke through resistance at about $2 mark. Interesting to see how this goes as it has come a long way in the last year.

Cheers

Trav

Probably civil works for Karara mine. Decent project and it was between them and Macmahon. We will see.

 

[travwj]

Just wondering if anyone would know, or has an idea why the sp has dropped over the last couple of weeks. I understand the market as a whole has been heading down, but even over the last couple of days with the market going up the sp of NWH keeps heading south.

Any info or explanations would be great.

Trav

 

[skc]

Just wondering if anyone would know, or has an idea why the sp has dropped over the last couple of weeks. I understand the market as a whole has been heading down, but even over the last couple of days with the market going up the sp of NWH keeps heading south.

Any info or explanations would be great.

Trav

The engineering sector has been spooked a bit since WOR came out with a profit downgrade so some weakness may persist until NWH reports or provide an update.

On the other hand, it's not really doing that poorly compared with the XAO.
Not sure you can find a better correlated charts.

 

[Fifty101]

NWH - NRW Holdings Ltd

Noticed these guys didn't have a thread that i could see as yet. Mining and resource service provider - operating in WA, QLD, NT and West Africa. Market cap around 575M. Steadily improving NPAT, ROE up close to 30% for last couple of years or so, Current price of $2.06 provides 8.74% div (100% franked and looking to remain stable). Still going through their reports in a bit more depth - anyone have anything to do with them, anything to offer?

BTW - great site - plenty of great info. I live reasonably remote, so has been good being able to see a bit of feedback on companies I'm looking at.

 

[Country Lad]

Re: NWH - NRW Holdings Ltd

Welcome to the forum fifty101.

There is an existing thread on NWH here. Easiest way to find them is to enter the code into the search bar top up in the right hand.

Cheers
Country Lad

 

[Fifty101]

Re: NWH - NRW Holdings Ltd

Welcome to the forum fifty101.

There is an existing thread on NWH here. Easiest way to find them is to enter the code into the search bar top up in the right hand.

Cheers
Country Lad

Thanks mate, i thought of that after posting Great avatar by the way!

 

[tinhat]

Inverse head and shoulders turn around?

 

[Pioupiou]

Inverse head and shoulders turn around?

I took that to mean that NWH has a good-looking bottom, and the gluteophile in me occasioned me to buy this morning at $2.00.

Actually, I am not a chartist - I justified NWH on FA grounds, plus a bit of upside-versus-downside gambling, and a dash of fond hoping.

The FA side is that EPS will drop to about 31 cents in FY13, which requires a drop of EPS in 2H13 to about 13 or 14 cents, but Mr Market has accommodated this in the circa $2.00 SP. The gamble is that things will remain at the 30-cent-EPS-16-cent-DPS level for a few years, which with franking credits yields an 11+% return - good in the current low-yield environment. The fond hoping is that things will turn out well in time (the next three years), and the SP will rise. Of course, I could be wrong.

The Thomson Consensus Estimates approximate my views, except I think NWH will hold the DPS at 16 cents per year for the next few years. The Thomson Consensus Estimates are:

- - - -- 2012 - 2013 - 2014 - 2015
EPS - - 34.7 - 31.0 -- 29.9 - 28.6
DPS - - 18.0 - 16.0 -- 15.6 - 15.2

I looked at BYL too, but my spare cash sits in my SMSF, and NWH suits my SMSF portfolio better. Had I loose personal cash, I flutter on BYL would have been justified, IMO.

 

[tinhat]

I took that to mean that NWH has a good-looking bottom, and the gluteophile in me occasioned me to buy this morning at $2.00.

Actually, I am not a chartist - I justified NWH on FA grounds, plus a bit of upside-versus-downside gambling, and a dash of fond hoping.

The FA side is that EPS will drop to about 31 cents in FY13, which requires a drop of EPS in 2H13 to about 13 or 14 cents, but Mr Market has accommodated this in the circa $2.00 SP. The gamble is that things will remain at the 30-cent-EPS-16-cent-DPS level for a few years, which with franking credits yields an 11+% return - good in the current low-yield environment. The fond hoping is that things will turn out well in time (the next three years), and the SP will rise. Of course, I could be wrong.

The Thomson Consensus Estimates approximate my views, except I think NWH will hold the DPS at 16 cents per year for the next few years. The Thomson Consensus Estimates are:

- - - -- 2012 - 2013 - 2014 - 2015
EPS - - 34.7 - 31.0 -- 29.9 - 28.6
DPS - - 18.0 - 16.0 -- 15.6 - 15.2

I looked at BYL too, but my spare cash sits in my SMSF, and NWH suits my SMSF portfolio better. Had I loose personal cash, I flutter on BYL would have been justified, IMO.

Thanks Pioupiou. I should have mentioned in my previous post that I was looking at the weekly chart.

I bought some BYL recently - I only got half my order filled and it is still sitting with my broker.

NWH is a stock that has always been on my watchlist and which I have never owned. The Thompson Reuters data I have is forecasting dividends of 16c for FY 13 and 14.

I'll put NWH onto my list to research further. It could be a good little income earner to throw into the SMSF.

 

[Pioupiou]

Thanks Pioupiou. I should have mentioned in my previous post that I was looking at the weekly chart.

I bought some BYL recently - I only got half my order filled and it is still sitting with my broker.

NWH is a stock that has always been on my watchlist and which I have never owned. The Thompson Reuters data I have is forecasting dividends of 16c for FY 13 and 14.

I'll put NWH onto my list to research further. It could be a good little income earner to throw into the SMSF.

When you research NWH, you may find it useful to look at MACA (MLD) and BYL to get an idea of the earth-moving business as a whole. I call it earth moving, because that is the essence of these three Perth-based firms (NWH, MLD and BYL), although they also do concreting, and I assume asphalting. Being Perth-based, there is a great deal of similarity between the trio (and obviously, differences). What is interesting, is that BYL is ramping up its employee tally, while NWH has cut back by 25%. MLD may have superior metrics, but then its P/E ratio is 9.5 - much higher than BYL, and higher than NWH.

On holding the dividend, NWH is cashed up with no obvious need to spend the money, and it has already reduced headcount and paid a few million in redundancy payments. It would not be difficult for NWH to keep the DPS at 16 cents for a few years, which period should suffice to allow NWH to adapt to changed circumstances.

I'll sit on my current holding with a view to increasing it over time if the underlying business improves. It's an income play for me, because I have retired and my equity investments are my sole source of income.

 

[Fifty101]

Nice drop in the SP today - low of $1.81, close of $1.835 - very close to a buy price for me. Even with the reduced DPS outlook over the next few years, at this price it's still a very reasonable return. Looks like all the mining related services are following the big players down again. Will see what tommorrow brings......

 

[Fifty101]

Closing price of $1.635 = current yield of 11%. Even dropping to forecast 16c = 9.79% and 15c = 9.17%. Anyone aware of any developments with this one to cause the drop in price apart from the general follow down of the big name miners and mining svcs?

 

[RottenValue]

Viewed by market as being closely linked to the Iron Ore share price as has large contracts with FMG, RIO, etc.

Value is obviously far greater than market price, as always though will depend on when sentiment catches up with reality.

Not a holder but interested.

 

[tinhat]

Small caps tied to iron ore are being hammered; eg GRR (similar PE and similar forward forecast PE), MGX. Reward is related to risk.