PPT - Perpetual Limited

[piggybank]

Closed today above the $50 mark for the first time since Sept/Oct 2008.

 

[peter2]

Over five years since any comment on PPT. A dog with fleas doesn't get any pats.
I've posted monthly and weekly charts of PPT because this is a slow mover. My scanner has identified the current consolidation on the weekly chart and classic chartists may see the head&shoulder pattern. The target for this pattern is $60 which is near the top of the monthly consolidation (which failed). the yearly high is very close at 46. Any BO should make a new yearly high.

Management has clearly done a poor job since the GFC as PPT is no where near its 2007 highs in contrast to the market index. With bullish markets around the world there's no reason that PPT shouldn't get to the pattern target. It will depend on the mgt team and if they've fixed their problems.

 

[notting]

I have been curious to see how its quarterly funds management performance would go since it tanked with the rest of the market into Dec. Since then as we know the markets have performed at record recovery rates especially the S&P.
So what kind of recovery is it? Best to look at a very average ugly old dog that pays a good div, Rather than say Magellan or MQG.

If it was strong and pervasive you'd imagine the PPT, a funds manager, would have great quarterly result post the Dec dip.

NOPE.

CAUTION​

 

[rnr]

Having gaped down on Tuesday, following Monday's news it will be interesting to see where the share price heads to from Friday's close of $37.70 as the price is currently sitting above a range of strong support from $37.50 to $36.00.
Was there perhaps an over-reaction to the FUM 4th Quarter Update released last Monday?

 

[notting]

I think it's called technical damage -

 

[So_Cynical]

PPT - Has achieved the lowest level of FUM since FY13, revenue forecasts flat for the next 3 years..

 

[finicky]

PPT @ 20.74

.. and another 2-3 years further on.
My hankering for the tangible together with bottom grazing stock (such as: GWA, GUD, ABC) has led me to the storied institution of Perpetual Limited (PPT) of which it is said:

"How it started: Perpetual was founded in 1886 by a group that included Sir Edmund Barton, who would go on to become prime minister. It was listed on the stock exchange in 1964." SMH

Four or five months ago the entrenched PPT board knocked back a private equity offer of $33/share.
Another PE company (Baring Asia) has also shown interest. Hmm.. acuity approaching my own - unusual.

Clouding the appeal of PPT is the acquisition of U.S fund managers in 2020/21, then the big takeover of its rival Pendal (ASX_PDL) just recently in Jan 2023. Also departure of a long serving head of equities.
Debt and the share float has risen.

Not Held

VIrtually at long term lows.
All Data Monthly

The Solidity

 

[finicky]

This was a very heavily shorted stock a couple of months ago then it suddenly completely reversed.
Weird.

 

[Dona Ferentes]

This was a very heavily shorted stock a couple of months ago then it suddenly completely reversed.
Weird.

View attachment 154937

After they snared Pendal?

 

[divs4ever]

After they snared Pendal?

not sure but think that is before the PDL deal was complete


nope my mistake

23 January 2023

Completion of Pendal Acquisition
 Creates a global leader in multi-boutique asset management with significant scale, diversified investment strategies, world-class ESG capabilities and a stronger global distribution capability, complemented by high-quality wealth management and trustee businesses  Perpetual’s total assets under management now approximately A$200 billion1
 New executive leadership team in place with work starting today on integration, focused on delivering transaction benefits, including realising A$60 million in targeted run-rate pre-tax expense synergies2 (excluding integration and other one-off costs) Perpetual Limited (Perpetual) (ASXPT) today announces the completion of its acquisition of Pendal Group (Pendal).
Perpetual Chairman Tony D’Aloisio, said: “We are pleased to finalise the transaction that combines two of Australia’s oldest and most respected active asset management businesses. Through this transaction we have created a leading global multi boutique asset manager with significant scale, diversified investment strategies, world-class ESG capabilities and a stronger global distribution capability, complemented by Perpetual’s high-quality wealth management and trustee businesses.


will be looking to cash out in the near future ( i held PDL 'free-carried ' ) i have better laces for that cash
We welcome the talented Pendal teams to Perpetual and look forward to supporting Rob and the executive team as they execute and deliver on our global growth plans to create shareholder value.” Perpetual Managing Director and CEO Rob Adams said: “Today is the beginning of an exciting new chapter for both businesses, and collectively our people, our clients and our shareholders. The Perpetual and Pendal businesses are stronger together and are better positioned to invest in and drive our future growth through the expansion of investment capabilities, while benefiting from a step change in scale, ESG capability and our significantly enhanced global operating model.” “Pleasingly, the client consent process has proven to be very successful with Pendal achieving consents from over 98%3 of Pendal clients, by client revenue, for those clients whose consent was required to the change of control4.”
As announced separately, the Board appointments of two Pendal directors have taken effect and the new executive committee previously announced on 30 November 2022 is in place with work today now underway on integration following months of planning and preparation.

 

[finicky]

PPT @ 23.20, down almost 7% at luncheon.
Reported full year
NPAT cut off at the knees but underlying profit up 10%.
To do with Pendal acquisition.
Still got a 65c dividend (40% franked) to come in Sept.
Can't gauge the chart yet but might be a buy for the more long sighted?

Not held

 

[finicky]

I get an FY23 underlying EPS of $1.42 for PPT.
Based on underlying NPAT of $163m and approximately 115m shares quoted after 55m newly issued shares to acquire Pendal (see Appx 2A, 23 Jan)
This equates to an FY23 P/E of 16.4 based on current share price.
But to soften this there is an imminent final dividend of 0.65 and moreover this result benefits from only 5 months of contribution from the acquired Pendal business. Further, the predicted synergies have not kicked in yet?

Not Held

 

[finicky]

PPT @ 20.30
Pretty much back to historical lows: e.g. the GFC and Covid.
Not Held

All Data Monthly

 

[finicky]

PPT @ 20.71

Feel inhibited about spending cash lately after CHN disappointment but PPT is showing a few signs it might have hit the brakes at historical support of $20 - see previous LT chart. Might be readying for a rally? Momentum divergence on the weekly and a high volume hammer-like candle made a couple weeks back off said $20 support. The question in the market might be how the massive Pendal acquisition is faring, where PPT doubled its share float to get the deal. Still comes as a current buy recc from Greg Canavan.

Not Held

WEEKLY

 

[divs4ever]

PPT @ 20.71

Feel inhibited about spending cash lately after CHN disappointment but PPT is showing a few signs it might have hit the brakes at historical support of $20 - see previous LT chart. Might be readying for a rally? Momentum divergence on the weekly and a high volume hammer-like candle made a couple weeks back off said $20 support. The question in the market might be how the massive Pendal acquisition is faring, where PPT doubled its share float to get the deal. Still comes as a current buy recc from Greg Canavan.

Not Held

WEEKLYView attachment 163091

not for me , they buy their growth and hoover up some of my gems in the process (TRU - the Trust Company and PDL - Pendal )

 

[finicky]

Just belatedly noticed that SOL has been adding some PPT back @ 22.15. Owns 4.3%
Almost bought some myself today on the hunch that support will hold around $20 and gambling that the Pendal acquisition will work out ok.

Not Held

 

[finicky]

First Quarter update.
Good response.

Not Held

DAILY

 

[finicky]

Hoping for a pullback here at local resistance of ~$21.5, thence a chance of picking up a first buy @ around $20. Hope it doesn't break through.

Not Held

DAILY

 

[finicky]

SOL has been adding and is now an initial substantial shareholder. I assume these guys do good research and probably have access to management? Another assumption: probably have a decent grasp of how the the Pendal Group acquisition is integrating?

Not Held

 

[finicky]

and I notice a name change.. still PTL

Wha .. different company?
"Branded home, hygiene and e-commerce product developer Pental Limited"