Ann: Appendix 4E and Annual Accounts June 2024, page-15

Interesting and very pertinent discussion.

I purchased a small amount of SNL just above $15 around a PE of 24 expecting to add more on a correction that never happened. Even more clownish I have had ARB on a watchlist since $7 and never ever purchased.

My conclusion is that some businesses are just worth owning even if you have to pay what feels like a handsome price. I guess the key to this is being sure that the growth has a considerable runway left. Paying 30 or 35 x earnings for a business growing at 12-15% CAGR over an extended period will likely work out fine unless there is a growth hiccup in the short term.

There isn't many businesses of this pedigree maybe only a handful or two that really fit the criteria on the ASX. Two of their main distinguishing features is that they aren't cyclical and are profitable enough to fund growth without requiring debt.