No real commentary to add for today. I look forward to the NYC investor meetings this week.
In passing, I will remark that for the last couple of months, every week someone has comment "There will be a capital raise this week" . Last week was no exception.
Of course , eventually they will be right!
I'm reminded of a grumpy old fisherman that I walk by every weekend morning on my walk down the river to the harbor mouth. We say hello and then he looks gloomily into the sky , every morning, and remarks "I reckon its going to rain today". He says the same thing every morning and it doesnt rain.
Then , finally when it does rain.......the following morning he is there .....in the rain........"Told you so", he says.
LVT is growing like a weed. It should do a capital raise to continue to fund the growth rather than take its foot off the gas.. Australian investors have positioned themselves underweight in the stock in the hopes that they can top up at a market discount.
When it does do a capital raise, We think there will be a significant "relief rally" . The CR overhang will disappear,
I think (dare I say "hope") there is a risk that Australian institutional investors will be left underweight in the stock, and one of the fastest growing stocks in the ASX. Institutional investors are paid not to underperform.....they are infected with FOMO. It might be interesting.
As you know we will be advocating for US investors.....but at the same time, I am going to point out that the company should take care of a core of Aussie retail investors who despite the volatility and a confused message from the market have been very loyal to the stock . Existing retail shareholders should be allowed to participate.
Unlike the fishermen on this thread........I just dont know when a raise will take place.
LVT Price at posting:
40.5¢ Sentiment: Buy Disclosure: Held
