Medical Facilities Corporation (symbol DR.TO)

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Jo Anne
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Re: Medical Facilities Corporation (symbol DR.TO)

Post by Jo Anne » 22 Jul 2016 23:41

Descartes wrote:Has hit an all-time high today. Up 44% on the year. One more data point in the massive flight to CDN dividend stocks this year.
Yes. I have 700 shares of DR, and I'm quite pleased with it. Almost as good as the return I'm getting on Richards Packaging (which I paid about $9/share for).

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Re: Medical Facilities Corporation (symbol DR.TO)

Post by j831robert » 23 Jul 2016 21:16

My wife's TFSA currently holds 1500 shares of DR as a result of DRIPs along with slightly more units of Pembina Pipelines (also DRIP'd) which have resulted in a TFSA approaching $100K and, subject to Mr Market her mandatory annual withdrawal from her RRIF will cover whatever the maximum permitted addition is to her TFSA next January with additional units of DR. 'Nuff said ?

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nomad
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Re: Medical Facilities Corporation (symbol DR.TO)

Post by nomad » 11 Aug 2016 15:13

DR.TO down $1.55 or over 7% on the day, anyone know why?
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Descartes
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Re: Medical Facilities Corporation (symbol DR.TO)

Post by Descartes » 11 Aug 2016 16:51

nomad wrote:DR.TO down $1.55 or over 7% on the day, anyone know why?
Second Quarter report with the payout ratio bouncing back up to the 80 percentile which is bad news to the panicky income seekers:
  • Revenue from continuing operations of $76.7 million, up 4.2% as compared with $73.6 million in Q2 2015, due in large part to higher surgical case volume of 4.7% compared to the prior year.

    Income from operations from continuing operations of $13.8 million, down 13.9% as compared with $16.0 million in Q2 2015. While volumes and revenue were up over prior year, a shift in payor mix and increased expenses due to case type contributed to lower income and margins.

    Cash available for distribution1 of Cdn$10.5 million, down 12.9% as compared with Cdn$12.1 million in Q2 2015.

    Payout ratio1 of 82.8% as compared with 72.8% in Q2 2015
"A dividend is a dictate of management. A capital gain is a whim of the market."

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Re: Medical Facilities Corporation (symbol DR.TO)

Post by 2 yen » 12 Aug 2016 08:14

Descartes wrote:
nomad wrote:DR.TO down $1.55 or over 7% on the day, anyone know why?
Second Quarter report with the payout ratio bouncing back up to the 80 percentile which is bad news to the panicky income seekers:
  • Revenue from continuing operations of $76.7 million, up 4.2% as compared with $73.6 million in Q2 2015, due in large part to higher surgical case volume of 4.7% compared to the prior year.

    Income from operations from continuing operations of $13.8 million, down 13.9% as compared with $16.0 million in Q2 2015. While volumes and revenue were up over prior year, a shift in payor mix and increased expenses due to case type contributed to lower income and margins.

    Cash available for distribution1 of Cdn$10.5 million, down 12.9% as compared with Cdn$12.1 million in Q2 2015.

    Payout ratio1 of 82.8% as compared with 72.8% in Q2 2015
Will likely stay with this one if they can establish a bit of trend of growing, BUT not suffering from massive cost rises. This may be a bit of wishful thinking in the U.S. medical space as it does, at times, appear to be out of control.

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Re: Medical Facilities Corporation (symbol DR.TO)

Post by brad911 » 21 Dec 2016 16:08

Came up in a screen today....still worth doing some more in depth research on?
Triage Investing Blog - A Source for Value & Dividend Investing and Business Fundamentals

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Descartes
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Re: Medical Facilities Corporation (symbol DR.TO)

Post by Descartes » 21 Dec 2016 16:28

It depends on what you're looking for.
It is not a dividend grower - only one token increase in the 6 years I've owned it. But they are a steady payer.
Earns their money solely in USD, which I like, and services the decrepid, obese, aging Americans ..which I feel is a growth industry.
"A dividend is a dictate of management. A capital gain is a whim of the market."

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Re: Medical Facilities Corporation (symbol DR.TO)

Post by 2 yen » 21 Dec 2016 17:00

Descartes wrote:It depends on what you're looking for.
It is not a dividend grower - only one token increase in the 6 years I've owned it. But they are a steady payer.
Earns their money solely in USD, which I like, and services the decrepid, obese, aging Americans ..which I feel is a growth industry.
I've actually reduced my exposure because of the lack of dividend growth. Usually I'd stick with it, but they seem to struggle to get the payout ratio down (sorry, don't know the number right now). On a positive note, they have recently acquired a new hospital, I believe, and have hired a very experienced team member who knows this industry inside out and has worked for much larger medical companies in his prior work. I agree that this should be a growth sector, just as seniors' residences is proving to be in Canada. I will keep a chunk of this stock, but have cut my exposure in half for the time being.

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Re: Medical Facilities Corporation (symbol DR.TO)

Post by nisser » 10 Aug 2017 10:56

Yesterday this hit the 52 week low. I have no idea why. I didn't know why it hit nearly 24$ earlier this year either as essentially nothing has changed. I bought quite a bit more in the 14$ range and more today as well. 10% div yield, well covered.

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Re: Medical Facilities Corporation (symbol DR.TO)

Post by Descartes » 10 Aug 2017 12:07

They lost their CEO mid-June in what appears to have been a squabble with the board.
No further information on this was forthcoming.

That CEO was looked on favourably and he was acquired after a long search to replace the previous CEO who had retired.
They've failed to find a replacement so far and put a board member in place as the interim.

I suspect, although I have no statistics to back it, that the stock became a target of opportunistic shorts since then particularly leading into the Q2 results which were announced this morning (in the hopes of some really bad news, I guess).

The Q2 numbers today were good, however, dropping the payout ratio 10% back into the 70s, and the stock is rebounding 16+% as, I presume, some of the shorts cover and the weak hands ask for another deal.

Still down 30+% yoy but I'm still holding.
"A dividend is a dictate of management. A capital gain is a whim of the market."

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Re: Medical Facilities Corporation (symbol DR.TO)

Post by nisser » 11 Aug 2017 19:31

Up 30% in <48 hours.

Shorts are funny.

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Re: Medical Facilities Corporation (symbol DR.TO)

Post by Londoncalling » 12 Aug 2017 15:44

Well done Nisser

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Re: Medical Facilities Corporation (symbol DR.TO)

Post by deaddog » 13 Aug 2017 10:54

nisser wrote:
11 Aug 2017 19:31
Up 30% in <48 hours.

Shorts are funny.
Gotta love a short squeeze.

Shorts are more likely to take losses quickly. If you don't the results can be devastating.
I recommend to beginning traders to trade the short side. Learn that taking small losses is a necessary part of the equation of trading success. you are more likely to take a loss quickly if there is no limit to how much you can lose.
Most of our so-called reasoning consists of finding arguments for going on believing as we already do.( J.H. Robinson)

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Descartes
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Re: Medical Facilities Corporation (symbol DR.TO)

Post by Descartes » 14 Aug 2017 06:47

nisser wrote:
11 Aug 2017 19:31
Up 30% in <48 hours.

Shorts are funny.
Until you get bit on the ass.
I'm long, as you would tell if you read this thread, but I don't like the way management kept silent about the reasons the CEO left.
The reason could just as easily have been something significant financially.
In point of fact, we were lucky. ..especially you who didn't even know what was causing the price to fluctuate. :roll:
"A dividend is a dictate of management. A capital gain is a whim of the market."

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Re: Medical Facilities Corporation (symbol DR.TO)

Post by nisser » 14 Aug 2017 16:46

With how short-sighted some CEOs can be, I could also think of good outcomes with boards disagreeing and checking in the CEO :)

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