Australian (ASX) Stock Market Forum

RFF - Rural Funds Group

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While there is negative sentiment to agricultural stocks like RFF, I still think they can move forward in 2020. RFF aims to grow its distribution by 4% each year. That’s a nice growth rate when the FY20 distribution yield is 5.7% at the moment.
Recently they sold a bunch of chooks (poultry assets) to ProTen Investment Management Pty Ltd for $72.0m, and in return used some of the money to fund the acquisition of three WA cattle properties for $22.6m.
 
An article in The Weekend Australian, written by James Kirby, looks at shorting and especially RFF that was on the receiving end of a 'research paper from a Texas outfit called Bonitas
...Big super funds that finance short-selling — especially industry funds that strive to take the higher ground in ethical investing — must surely be wincing at a remarkable story in the courts this week surrounding one of the nastier “short attacks” we have ever seen in Australia.
In principle, shorting keeps the sharemarket healthy. It spots weakness and, at its best, forces companies to clean up their act. But how short funds actually work in practice is another matter altogether: a court judgment this week would seem to confirm our worst fears about shorts and how they operate in practice....
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On Wednesday, Justice David Hammerschlag in the NSW Supreme Court gave Bonitas a beating around the ears that was something to behold. Hammerschlag said the Bonitas report on Rural Funds was “materially misleading” and then he hit them between the eyes with this: “They (Bonitas) never took the trouble to check with or inquire as to any material which they broadcast … I have no difficulty in concluding that they did not care whether what they were saying was false.”
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Meanwhile, Rural Funds’ share price — at $2.05 — has recovered to a point close to where it was the day Bonitas launched its attack. Hammerschlag will announce his decision on damages in the case on 06 March. That decision won’t just be news in our market, it will be read by ever short-selling outfit around the world.
If the Rural Funds exercise ends up costing Bonitas big money in damages, it will change the numbers for anyone considering a short attack on Australian companies. Or, to be precise it will change how shorters behave in our market...
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https://www.theaustralian.com.au/bu...k/news-story/1319d52e887a7e625d5957c52fed5bdc
 
It's been a slow rebuild since the 'attack of the shorters'. But RFF is gradually clawing its way back

upload_2020-2-17_13-50-26.png
 
Dona Ferentes said:
An article in The Weekend Australian, written by James Kirby, looks at shorting and especially RFF that was on the receiving end of a 'research paper from a Texas outfit called Bonitas
https://www.theaustralian.com.au/bu...k/news-story/1319d52e887a7e625d5957c52fed5bdc
Click to expand...

Hope it will send a message to prevent this type of price action on Aussie stocks. It's one thing for a company to decline in price due to it's own problems and that is a risk that we all take as share market investors and traders. Stocks can gap down and nose dive due to poor earnings reports etc but that's part of the risk of holding shares and we need to be prepared to accept this risk when we invest.

What I am not prepared to accept is when stocks get hammered due to some short report who could be partnered with a super/investment fund to profit from the downside while killing the retail investors like us. If shares started behaving like RFF short, I will leave the share market for good and close the Speculative Stock Portfolio that is publicly shared on ASF as well.

I don't think there will be too many brave mum and dad investors left on the share market if these events happened all the time, so I hope justice will be served to send a shock to other shorting schemers (Global and our own AFR stock manipulators who FK mum & dad investors all the time as they did with APT in it's early days).
 
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good timing for my entry in the investor portfolio..when the biggest states and world investors buy farming land, this might be a way for us, the 99% pc to save some of our bacon in the next crash
 
Equity Raising to provide capital for:
1. The development of 1,000 ha of macadamia orchards;
2. To acquire cattle properties to be leased by corporate lessees; and
3. The acquisition of up to 8,338ML of water entitlements for $38.4m which are leased to a private farming company for five years, on AFFO accretive terms.

• Fully underwritten 1 for 8.4 accelerated non-renounceable entitlement offer to raise $100m at an issue price of $2.47.
 
RFF report sorta ok.
The cap raising that DF referred to above has so far been consumed only to about 40%, so one assumes there will be further acquistions in the future.
I have been shifting away a bit from gold into food /agriculture companies, so this one fits the bill, but also hold it for the divvy.
However, with so many more shares in the pool, its getting a bit diluted.
jury still out on this one,
Mick
 
mullokintyre said:
RFF report sorta ok.
The cap raising that DF referred to above has so far been consumed only to about 40%, so one assumes there will be further acquistions in the future.
I have been shifting away a bit from gold into food /agriculture companies, so this one fits the bill, but also hold it for the divvy.
However, with so many more shares in the pool, its getting a bit diluted.
jury still out on this one,
Mick
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my av. SP on this one is $1.58

the big lure for me was the quarterly divs. and an active DRP ( so i have asset growth , until i need to exit the DRP for div. income )

i always worry about over-expansion in a land of limited middle-management of quality

assuming the company resists any take-overs , a likely candidate for a 'bottom drawer stock '

DYOR
 
RFF hit a 52 week high of 2.87.
Its one I bought for two reasons - the dividends that the dividend king above mentioned, but also a plan to rotate into food for the long haul.
Its up 12% since I bought in, plus had a divvy cheque.
Will still hold on for the long haul.
Mick
 
RFF still powering on.
Had lunch with a water broker yesterday.
learned that as of December 15th, the transfer of water between the Murray Valley and Goulburn system will cease.
Has already seen some of the big players buying up tracts of agricultural land in the Goulburn irrigation area to plant almonds etc.
Might be something that will give RFF a boost.
Mick
 
RFF announced a buy of a Queensland cattle property for a cool 69Mill.
The cattle portfolio i starting t get some serious size.
They expect beef revenue to contribute 41% of 2022 total revenue.
This acquisition will push the total closer to 45%.
Still holding.
Mick
 
mullokintyre said:
RFF announced a buy of a Queensland cattle property for a cool 69Mill.
The cattle portfolio i starting t get some serious size.
They expect beef revenue to contribute 41% of 2022 total revenue.
This acquisition will push the total closer to 45%.
Still holding.
Mick
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Heavily in rff as well, the reset we are living thru is pushing inflation, oil and next food price by creating shortages.abd with shortages cone higher prices
 
RFF took a tumble today, down another 5%.
Its been heading generally downward for a few months after hitting the 52 week high of 3.22.
Lincoln have dropped it out of their Income stock group, bit I suspect that will be returned once they start selling some of the huge numbers of cattle they bought when taking over the big cattle stations.
Hoping it will slip below 2.50 and I will get a chunk .
Mick
 
would be hoping for something closer to $1.50 , but meanwhile i participate in the DRP some no particular rush here ( to add extra using cash )
 
mullokintyre said:
RFF took a tumble today, down another 5%.
Its been heading generally downward for a few months after hitting the 52 week high of 3.22.
Lincoln have dropped it out of their Income stock group, bit I suspect that will be returned once they start selling some of the huge numbers of cattle they bought when taking over the big cattle stations.
Hoping it will slip below 2.50 and I will get a chunk .
Mick
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Hopefully the end of an A-B-C retracement and if so, then upwards from here!
 
rnr said:
Hopefully the end of an A-B-C retracement and if so, then upwards from here!
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My great disappointment.
Sold a 1/3 yesterday.going down and down for 2 months
It actually matched the spy curve when i checked yesterday..and the opposite of why i bought rff for..so my part sale.
As it was a substantial investment,this and the systems currently are my red numbers. Heavy in %... thankfully,PM/options plays doing well to more than balance.
Why an Australian rural land asset would follow a SPY fall is beyond me.....
 
qldfrog said:
My great disappointment.
Sold a 1/3 yesterday.going down and down for 2 months
It actually matched the spy curve when i checked yesterday..and the opposite of why i bought rff for..so my part sale.
As it was a substantial investment,this and the systems currently are my red numbers. Heavy in %... thankfully,PM/options plays doing well to more than balance.
Why an Australian rural land asset would follow a SPY fall is beyond me.....
Click to expand...
I think its symptomatic of the types of investors/traders/gamblers that inhabit the investment space right now.
Maybe too much leverage, too much short term thinking, too much liquidity looking for quick returns.
Who knows, but when they stop falling and a bottom appears, i will buy back in.
Mick
 

Rural Funds Group (ASX: RFF) Trading Below Book Value​

https://thebull.com.au/author/bob-kohut/
thebull.com.au

Rural Funds Group (ASX: RFF) Trading Below Book Value

The share price of listed agricultural real estate investment trust (REIT) Rural Funds Group (ASX: RFF) is down 21.99% year to date, trading below book value.
thebull.com.au thebull.com.au

i hold RFF

would be hoping for something closer to $1.50 , but meanwhile i participate in the DRP so no particular rush here ( to add extra using cash )

currently i have a slight preference for D2O ( which i also hold )

but for new buyers RFF pays 3 monthly divs which might be a deciding factor in your choices
 
Rural Funds Group announced unfranked ordinary distribution of A$0.029325 per security for quarter ending 31 December 2023, with record date of 29 December 2023 and with payment date of 31 January 2024.

The Company's distribution reinvestment plan will apply to this distribution

i hold RFF
 

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