Ann: FY19 Earnings and Guidance Update, page-3

"These guys love to sandbag! I wish the sell side analysts covering the stock realised this."

I think about it a bit differently; the less analysts understand the businesses they follow, the more scope exists for mis-pricing and therefore, the more chance of buying opportunities.


"I guess the market will still have lingering concerns of a near certain Labor Govt next year. But once again, the business has traded through such times before. "

This is an overstated risk, I feel, because, on its own, it overlooks NIB's ability to respond. Sure, a Labor government might move to cap rate increases, but all that the private health sector will do in order to protect margins is to reduce benefits being offered.

And if customers then decide its not worth it to have private health insurance, one of the unintended consequences of the government's capping rates will be increased pressure on the public health system.

Capping of health premiums will be a classic case of government policy that treats the symptoms, rather than addresses the causes, of soaring health costs.