Thanks for your insight. I had no idea that growing earnings was seen as a positive thing.
I paid roughly 10 bucks for this.
Dividends - 48 cents....that 5% for me (I don't get franking credits atm)
Capital growth - Lets assume 10%* growth will occur. I pay no CGT on that.
Who says a 5% + 10% = 15% return is not a bargain for a company with this level of risk?
Considering the stale returns on cash, I think people will be comfortable or even forced to take on assets that yield this highly at this risk level....we are not talking cyclical stuff here.
*I am talking about earnings growing at 10% but price should roughly reflect that....if it doesn't you can patiently wait until the fluctuations get you back to your buying PE ratio....hopefully
PP - Like the cut of your jib. I don't calculate growth into a valuation. I guess I just colour it in there into qualitative stuff....hopefully I don't use too much emotion
CCP Price at posting:
$11.95 Sentiment: Buy Disclosure: Held
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