CDA

0.47%

$12.75 codan limited

I'm sure we can expect a very good injection into their business...

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sausalito

67 Posts.

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22/07/21

17:57

Post #: 54700403
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Originally posted by frontline1999: ↑

There's a lot to be said about a quality business that has earned a prime position in a portfolio. If it has got there on merit and if the business outlook remains favourable, then selling it is akin to a teacher reprimanding their star pupil for making the rest of the class appear dumb.

There are times when we all confuse business performance with the share price and vice versa, but the better we become at separating the two, the better our investment returns become.

Many underestimate the risk of selling a winner and using the proceeds to invest in other compan(ies) that subsequently underperform. Most fund managers fall into this trap. It's not that they are unaware of the risk, but rather that they are too afraid to underperform the benchmarks. They get judged on a quarterly basis (or monthly in some cases), so tend to be afraid of holding large positions (20%+) in a star stock that could underperform the market for large periods of the year. Fortunately, the private investor does not have to appease a myriad of stakeholders and their conflicting demands.

I try to operate my portfolios on meritocracy principles - every purchase is on the basis that the company exhibits the potential to reach the highest level and generate outsized returns. Most don't live up to their promise and my expectations (I'm predominantly on the hunt for multibaggers), so they get cut along the way. Those that do, typically exceed my expectations and account for 95% of the above-average returns.

Not too long now before the company reports. They'll either confirm that the business remains healthy and the growth strategy is on-track, or that things are less positive. Codan has already proven to be a quality growth company, in my opinion, so the odds are stacked in our favour that it will continue to be a star.

There's no certainties in this game, but a star business is the closest thing that I've found that can provide market-beating returns (15% CAGR) over the longterm (10+ years).

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I'm sure we can expect a very good injection into their business report on the sales of their new GPX6000. Long waiting list of people wanting this new detector and extremely well received in the market. Defense always to follow later on.

CDA Price at posting: $17.14 Sentiment: Hold Disclosure: Held
2 Upvote

0 Great analysis

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(20min delay)
Last $12.75		Change -0.060(0.47%)		Mkt cap ! $2.311B

Open	High	Low	Value	Volume
$12.75	$12.85	$12.43	$3.586M	280.9K

Buyers (Bids)

No.	Vol.	Price($)
1	203	$12.71

Sellers (Offers)

Price($)	Vol.	No.
$12.77	2131	3

View Market Depth

No.	Vol.	Price($)
1	7871	12.690
2	12800	12.430
1	75	12.290
1	814	12.260
2	600	12.250

Price($)	Vol.	No.
13.200	2850	2
13.220	3025	1
13.230	2779	1
13.250	1200	2
13.290	78	1

Last trade - 16.10pm 02/08/2024 (20 minute delay)

CDA (ASX) Chart

I'm sure we can expect a very good injection into their business...

Venture to sniff out high-grade REE targets at Jupiter project, WA

GreenX picks up prospective copper project in Germany

Is oil undervalued?

Cost blow-out for Rook I uranium project sees share plummet for NexGen

Uranium prices on the NYMEX are stable, but ASX uranium stocks are sinking on Friday. The answer lies in Kazakhstan

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Week 31 Wrap: JORC rules to get tougher; RBA rate hike chance 50/50; US Fed Sept cut still the quo

Collaboration in a green (steel) future the focus for Magnum and Saudi partners

Westgold sets its sights on top five producer status through merger with Karora

Vmoto sales plummet -50% YoY as weak demand in Europe & China stifles EV scooter sales growth

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

I'm sure we can expect a very good injection into their business...

Top Stories

Venture to sniff out high-grade REE targets at Jupiter project, WA

GreenX picks up prospective copper project in Germany

Is oil undervalued?

Cost blow-out for Rook I uranium project sees share plummet for NexGen

Uranium prices on the NYMEX are stable, but ASX uranium stocks are sinking on Friday. The answer lies in Kazakhstan

Commodity house Trafigura funds Develop Global's copper-zinc Woodlawn play with offtake deal in place

Week 31 Wrap: JORC rules to get tougher; RBA rate hike chance 50/50; US Fed Sept cut still the quo

Collaboration in a green (steel) future the focus for Magnum and Saudi partners

Westgold sets its sights on top five producer status through merger with Karora

Vmoto sales plummet -50% YoY as weak demand in Europe & China stifles EV scooter sales growth

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News