TPI transpacific industries group ltd

NEW TRADE - Transpacific Industries (TPI) – This is a quick...

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    NEW TRADE - Transpacific Industries (TPI) – This is a quick trade but one I want to do myself so I’ll tell you. They took 2,800 trucks off the road after a fatal accident with a waste removal truck. The share price fell over and today they tell us they have done their safety checks and are back to normal. There’s 10-20% in it if the fear subsides. They will obviously have some costs involved in the shut down so you can’t take it back to 110c immediately. The Intelligent Investor have a BUY. Stock Doctor have it as a consistently healthy balance sheet. I’m having a trade on the basis its a temporary setback for the business and the share price and this might mark the bottom. The numbers aren't bad - low ROE...but we're not long term investing here: Broker Comments on TPI: Intelligent Investor have a Buy recommendation with a target price of 93c. TPI have announced the resumption of trash services back to normal. This ‘should be good news for Transpacific’s share price’ and those that bought into the uncertainty. CIMB Securities have a Hold recommendation with a target price of 100c. TPI’s result was a slight miss and they have lowered forecasts. But they like the TPI long term story. Credit Suisse have a Neutral recommendation with a target price of 102c. Gave subdued guidance for FY15 and large increase in provision for future landfill remediation. UBS have a Buy recommendation with a target price of 110c. Results were slightly ahead of their expectations. FY15-16 they have reduced revenue estimates. Stock’s performance will be about management executing on its plans. Deutsche Bank have a Buy recommendation with a target price of 110c. Results were a miss operationally and an increase in landfill remediation provisions was a disappointment. Macquarie have an Outperform recommendation with a target price of 118c. Earnings were a miss on expectations. But they say debt reduction and interest savings were the highlights. Dividend is a positive. JP Morgan have a Neutral recommendation with a target price of 104c. Results slightly below. They remain cautious on the group's capital allocation.
 
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Currently unlisted public company.

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