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Online Share Trading

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Spar - Good buy?

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Not applicable
Worth investing at current levels?
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13 REPLIES 13
Rams
Super Contributor
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Not applicable
If you could elaborate on yes so I can know why you would invest in in at the moment?
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Not applicable
the forum works better if you give you reasons why you want to invest and we'll help you along if we see mistakes in your reasoning.
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Rams
Super Contributor
post your analysis , then i post mine
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Blik
Super Contributor
I did a little PE analysis a while back and based on my needs, I thought SPP was a good buy at a PE less than about 14 or 15, and expensive above 16 or 17. That was a year or so ago, and maybe my benchmark needs to change now. For me, SPP is a bit high at just under 20, but then the share price has been climbing steadily. Maybe if you are willing to wait for earnings to grow into the price, then maybe a buy...that is if you believe they will continue to grow earnings. I like SPP model, and the recent results look fine.
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Rams
Super Contributor
but PE lowest of the retailers in that sector, its like buying SHP at a cheaper price...PE now at 19.
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AJT
Super Contributor
I hold, but not adding at these levels, but solid company - ROE around 37%, which is slightly down from the past few years. Their expansion plans worry me a bit, i know they have gone into hardware and liquour, but feel they need to look into other African markets - IMO...
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Not applicable
not sure if you misunderstood, the comment was posted for RichTrend (and any other new comers to the forum).
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Rams
Super Contributor
yes, my comment was also for RichTrend...we saying the same thing
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Rams
Super Contributor
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Blik
Super Contributor
Ja Rams - but both a touch too high for me now, I'll wait a little. Am patient. Have been buying SPP in chunks for ages. It's part of my long term dividend retirement plan.
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Rams
Super Contributor
PEG more than 1...so maybe thats why they goin into liquor and stuff, but it shows they doing something about expansion, but is exapnsion growth, how does one define growth in the PEG ratio
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Not applicable
Mainly because of article in financial mail, this was one of their recommendations as a good dividend income share. I combined this with looking at the charts and decided to put down a bit on this share. Still looking for some more medium to long term investments. Sasol looking nice, but waiting for a pull back
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