GPT 0.93% $4.27 gpt group

gpt thoughts

  1. 631 Posts.
    I think the company may have some upside - probably up to the 70c mark or so - but in my view this is speculative, not intrinsic - based on takeover potential.

    I do believe that the recent divestments have been all about dressing GPT up for takeover activity - however with 350 - 400m of earnings pa. and a current market cap of 5.5b - that puts it at roughly 14x earnings - which in my estimate is high.

    I value LPTs based on their earnings capability, not on the ability to sell assets - so I dont put too much energy into NTA - it doesn't really matter what the NTA is - if there are no earnings, it aint worth s*%$t !

    The company isn't due to earn anything from its development pipeline in the short term either...

    So... I would buy $400m of earnings for < $4b when it comes to commercial property, with limited scope for growth in earnings other than systemic increases in rent - which may be 5% or so / year.

    Currently market cap is 5.5bn and with no reason other than speculative I'm leaning towards selling my (considerable) holdings.

    I would love it more than ever if SGP or someone else came riding in under the banner of takeover and paid 78c / share ... but... in my methodologies, this would be speculating, not investing.
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Mkt cap ! $8.317B
Open High Low Value Volume
$4.28 $4.31 $4.22 $41.19M 9.646M

Buyers (Bids)

No. Vol. Price($)
1 2000 $4.25

Sellers (Offers)

Price($) Vol. No.
$4.27 369643 8
View Market Depth
Last trade - 16.10pm 26/02/2021 (20 minute delay) ?
-0.040 ( 1.66 %)
Open High Low Volume
$4.27 $4.31 $4.22 4178029
Last updated 15.59pm 26/02/2021 (live) ?
GPT (ASX) Chart
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