Member Info for Jatw

Spread over several trades....but if your time horizon is a couple of years this is prob heading up overall so it matters less and you may as well get in.....don’t regret it, but do it

On 21 April last year I wrote that the buy back programme would support the SP and it has delivered a 45% rise.
The current indication is that there will continue to be buy back activity for the next 12-18months.
While further price gains will be more modest, this is a v safe investment for the short to medium term.

Davey thought sections 5 and 6 were interesting...I don’t recall this assessment of market detail before, but my memory may be failing me....is there anything you consider ‘new’?

Thinking about the PE investments, it is probably worth them paying a premium....with daily US volume of $6m value buying a $100m stake would take some time and would push up the SP. Barings have a bargain. I really think the share price is depressed by the need to raise funds for the next couple of years.....I see Barings also offers private credit so maybe it won’t all be raised in new equity. Some further disposals of the OTC businesses may be enough.

I like sections 5 and 6 demonstrating the opportunities available.....
I don’t recall this level of analysis in earlier versions?
Davey do you think these are new sections and would you highlight anything else as new?

This would appear to be an opportunistic investment for Barings as Hutchmed does not at first appear to meet their target market.
However diversification into a liquid investment is helpful in balancing their unlisted investments.....presumably their exit strategy is to sell in a 5-10year time horizon.....and one positive is they are focused on Asia. Hutchmed needs more Asian investors.

Another $100m private equity investment...at $30.50.

That is $267m of funding so far this year....and sets up the second $100m GA investment (assuming they have the money after greensil).

PE now holds close to 10%.....all seemingly patient capital, but they will want a return which may spur on management....or give them some ideas to work on.

No need to panic. I continue to buy.

The emperors new clothes come to mind. Literally nothing to see here.

Smartalec.....for a small stock with limited research in progress that could be classed as inside information.
How quickly it comes out depends on the calibre of the team writing it up and the peer review. If the results are marginal no one will rush to publish.

I expect it will be dependent on the particular journal used you could start with somewhere like the dental update journal they are currently listing their March edition as current.

I view this as a nice to have, it will generate some free advertising and some extra sales, but at this stage of the pandemic with cases falling it may not change the dial for the company.

Another major disposal today.....focusing the group more on UK wealth management.
City should like this move as margins are better and clients more sticky when you advise and manage assets.

To clarify DB sales = take on of defined benefit risks from pension schemes, mostly longevity related in return for many hundreds of millions of pounds.

Peter and kdogg....these things are unknowable until they start marketing the new companies.
In theory you will get shares in two companies. In aggregate they should start at the same value as your GSK holding. What is most likely is that GSK shares continue to exist and the other new company is created with shares in proportion to the number of shares you hold. The simplest is a 1:1 ratio but the value may not be the same.
If GSK were trading at £12, after the split you might have 1 GSK at £8.00 and one newco at £4.00, but you might get two newco at£2.00 each.
The share prices will then start to move according to their desirability in the market.

UKI2
You are in danger of becoming a buy and holder if you stay much longer.

The upgrades keep coming, but it feels like many are just updating to the current price.

The upward movement in the SP seems to be back after the results profit taking.

I have worked for a couple of successful companies and none of the CEOs looked at the share price or cared overly about it.....but it did have an upward trend which kept the staff happy and the directors motivated......
There are plenty of frustrated shareholders of HCM....but they are still shareholders because of the potential upside that appears to be present here.
We would all just like a bit of positive market movement that for whatever reason is not forthcoming, whether it is the shareholder base, being Chinese or finding new ways to spend lots of cash we don’t really know.

Matt....you highlight the problems with equity markets and public v private ownership for developing businesses. Hutchmed might be better off in a private equity world / wrapped within the CKHH conglomerate and allowed to grow in privacy....but then we would not have direct ownership. CKHH has a view that it lists some of its investments partly to share the load of ownership, partly price discovery and partly to directly incentivise senior management.

Pharma is highly regulated and there are high barriers to entry for a reason.
I see there is another fake it until you make it by a US bio testing company.
I would rather have a capable management team creating value steadily than the spurious valuations put on many SPAC deals and snake oil salesmen.

I expect sulanda approval in the US will be a seminal moment for Hutchmed (I still don’t understand this name, CK Med would have been more on brand for the CK group).

Cedric I am not sure what you for simply wall st subscription, but the free content that gets posted on yahoo finance and elsewhere is bilge. If you follow a company and know what the company has been doing you will not see it in their ‘analysis’.
If you wait a few weeks you will see exactly the same article with a different company name and some different numbers and the same it could do this or that.

Best to ask on here or other BOards are available.

Target price £10.00
Still heading upwards in my view.

Q1 trading update with AGM in May Hopefully good DB sales, some limited derisking LTM activity.
Mid August HY results.....
It is a long time between updates to keep the market interested.
Buy the sag in late April and June.

Someone is listening....Peel Hunt ups target to 21

They really need to do something with all that cash.