Forum Archive Index - February 2001

["G Stolwyk" <stolwyk@wave.co.nz>]

 

Peter,

 

( THL: < www.thlnz.co.nz > )

 

I feel that intang. assets @ $46.4 mill. are already offset by debt @ $104.6 mill. ( Refer to page 13 of annual report ).

( I have included $7.8 mill. def. tax as well; however, you can exclude this item if you so desire)

 

I feel that we don't want to double count items. Let us therefore deduct intang. from market cap.

 

We are now over half way in the trading year. Let us assume that the prospective profit is going to be $20 mill. 

Current price $1.78. Total shares 92 mill. Cash is say: $3.1 mill.

 

Using the enterprise value, the P/E = 11.0. Suggest, you check my figures and let me know!

 

I feel, that:

1. Any valuation or statement made on this forum has a potential effect on the market, hence care is needed when making a statement! 

2. If a $20 mill profit will be made, then a price over $2 is justified. 

 

Gerry

( Holds a small parcel )