Hi new ipo just released! largest ipo of the year
Business: Retirement homes, aged care. 3000 places.
about $525m mkt cap
FY15 PE ratio- 19
yield - 5.4% FF(fully franked)
FY 15 growth - ~18%
Growth - development & acquisition in highly fragmented market. 3000 to 5000 places in a few years.
Considering success of ipos in healthcare or technology recently, might be worth a punt.
risks - very highly regulated & potential changes to regulation can hurt this coy. Owner cashing out a large portion of shares. 75% of income comes from government subsidies. High p/e at 19 times implies growth.
positive - very high dividend yield for healthcare stock. Solid growth prospects. Very strong demographics(aging population). Very high premium for healthcare stocks like CSL and RHC.