Trematon Capital Inv (JSE: TMT) share price, discussion & sentiment

Been digging into the latest filings, nav discount is real but holdings solid

@k_maphosa exactly, nav discount is brutal but the assets are there. management's got to prove they can actually do deals and not just sit on cash

TMT sitting at R1.22 is pretty cheap for a financial holding company, especially when you look at what's in the basket. The issue is they need to actually grow the portfolio and show earnings, not just sit there collecting dividend drips. If they can string together a few decent acquisitions and the underlying assets start performing, this could run pretty hard from here. Just gotta be patient cause right now it feels like the market's sleeping on it.

@k_maphosa yeah that's the thing hey, management execution is everything with these holding cos. nav discount is real but you're spot on about the portfolio having some decent bits in it

@k_maphosa which holdings are you actually counting on, or is it all just dead money sitting there

TMT still sitting under book value which is odd given the rand weakness and how much harder it is to build a diversified fintech portfolio now. Rate cycle probably peaked but inflation staying stubborn means earnings multiples stay compressed. Long-term view hasn't changed, these holding companies always look cheap until they don't.

TMT sitting at R1.22 is pretty cheap for a financial holding play. NAV's been tricky to pin down but if they can actually deploy capital into decent businesses instead of sitting on cash, this could run. Thin float helps too ngl.

nav per share keeps getting hammered but the portfolio's actually not bad if you dig into the holdings. question is whether management can actually add value or if this is just a cash shell waiting to happen.

@jse_tttrading spot on about the holding company discount, that's the thing hey. rate cuts should start helping financials from here and tmts got that rand tailwind on foreign stuff working for them. if management actually deploys at decent valuations instead of sitting on cash, this price won't hold. glta

Yeah @jse_tttrading spot on. The holding company discount on TMT is mental, you're basically getting the underlying assets for nothing. Rand taking a kicking helps though, foreign exposure in the portfolio actually works in your favour when the currency tanks like this. Question is whether management can actually find decent deals to deploy capital into without overpaying, but at R1.20 the margin of safety is there.

Trematon sitting at R1.20 is lekker value if they can actually grow the portfolio without diluting shareholders to death. Problem is these holding cos are slow to move, but the financials sector is finally getting some oxygen again so timing could work. Long term story if management doesn't stuff it up.

@jse_tttrading what's the deployment track record looking like though, they actually moving on anything?

Could read as cheap at R1.20 if you actually dig into what they're holding. The issue is most people don't know what's in the portfolio because disclosure is thin, but that's the bet isn't it, that management knows what they're doing with these financial services plays.

Holding company discount is brutal but that's where the money is made. Financials getting crushed means asset prices are cheap for TMT to pick up, and with rand this weak the foreign stuff becomes a hedge. If management actually deploys properly through this cycle instead of sitting on cash, we'll laugh at R1.20 in a few years.

TMT sitting at R1.20 is pretty reasonable for a holding company honestly. You're basically getting a bag of financial assets at a discount to what they're actually worth if you dig into the underlying stakes. The issue is just that holding companies trade at that tax on liquidity and investor attention, but long as they keep acquiring decent businesses and not burning cash it should compound over time. Beats parking money in a savings account.

Long-term view hasn't changed on TMT. Financials sector is getting hammered by rate cycle but holding company discount is real, rand weakness actually helps on foreign asset exposure. If they can deploy capital properly through the cycle, valuations like this won't last.

TMT down 8.33% today but I'm not losing sleep over it. After 20 years of investing, these daily swings mean nothing if the dividend yield and underlying asset quality remain intact. Let's see what the actual earnings tell us before any panic selling.

TMT up 3.77% to R115 today. At these levels the discount to NAV is shrinking — how much upside is left before it trades at parity?