Deep value here

[kwagga]

This seems to be offering very good value at current levels. The fundamentals seems all good. The technicals looks dismal, but it did hit some pretty strong support yeaterday at R28.35. I expect this to move back to it's 61,8% Fib retracement levels. Target R34.

[#2]

that is one helluva head and shoulders pattern that is busted there - although I have to say, fundamentally, I can't understand what the market doesn't like about ABL. Good cash flow, increasing revenue, good margins - awesome dividends. Perhaps the whole stink around unsecured lending is pulling it down, coupled with their furniture exposure, which is heavily dependent on a consumer led growth.

[kwagga]

It's the fear about unsecured lending and it dropped off the TOP40, so big time investment houses dropped it from portfolio's like sweet cakes. Good opportunity if you ask me. Results due in November. I have a four month target on this of R34. Stop loss close below R27.80. This is my festive season pick.

[Russ]

http://www.moneyweb.co.za/moneyweb-financial/time-to-buy-african-bank

[klapka]

Lots of negative media around ABIL and others involved in unsecured lending. This article from Bloomberg is typical. http://www.moneyweb.co.za/moneyweb-financial/unsecured-loan-screws-tighten?sn=2009%20Detail Prices being pulled back as a consequence may present a buying opportunity. I have an eye on Transcap too-first listed report in November. I've started buying.

[fressa]

I dont know ppl, the unsecured lending space seems a bit too risky at the moment. Im staying far away until things settle down a bit.

[kwagga]

Suit yourself fellas, but with a forward PE of under 7, the run up to the next set of results in November is something to look forward to.

[#8]

test

[fressa]

Kwagga, im sure you will hit your target price (and some). i just dont have the stomach for it. already up 2%

[sponono]

the acceleration of volumes in the last two weeks is encouraging. Might even be forming a double bottom with confirmation above R40 and target of R60, that would be lekker

[yyy]

Three game changers to keep in mind: 1) Parliament has been asked to look into the maximum interest rate chargeable (prime * 2.5 + 10%), this formula has no factual basis. 2) Marikana will show that excessive interest rates on unsecured loans and the practice of garnishing orders was the cause of the strike, (unfortunately we still need to protect people from their own stupidity if they have access to credit as they will believe the mine is taking the money), And, 3) if garnishing orders are in place the cedit risk is lower and the interest rate charged should reflect this. Marikana has change the game for unsecured debt in South Africa, garnishing orders will be band, the formula will be amended as it discriminates against the poor. The result is higher bad debts and/or a lower growth in unsecured lending.

[Major]

Agree. Have held for 7 years, love the dividend, and am buying more on the current weakness.

[kwagga]

So where has the Msc been all this time ? It's been years since your last post.

[Major]

I now spend more time out of SA than in, so only check online once in a while - and rarely trade. Great for buy and hold discipline! Never worry about short term movements since I'm never around to act on them!

[#15]

So, experts..... (im new to investing and trading, so im building an investment protfolio before i start trading) when is the best time to buy ABIL??? Do we wait for the next short, as it seems to happen every 2-4/5 days, as the price is now hovering on a support that existed in '09-'10? Or do we wait for the FY results to be published around the 19th Nov and get confirmation from a strong reversal signal?? (which seems to be immenant). Ive got reasonably small capital so I want maximum value....as we all do

[kwagga]

Low flying today after good results, just the way I like it. Nice upside potential here.

[kwagga]

Abil trading right on that support line for the fourth time since October 2012. Upside potential to R33.50 this time around. If it closes below R29.50 today I won't commit to this trade. The trend up remains intact. omo

[kwagga]

Finally, a possitive trading statement, and I guess the kicker this share needs to move it to resistance levels.