Forum Archive Index - February 2001

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

 

Peter,

 

Thanks. No, I am not "trying you out"!

I was reading Ben Dutton's reference to " One sure way to avoid value traps ".( Thank you Ben! ).

 

As you know, it referred to "equity plus debt" and I took it to mean:" Net equity + debt ".

And that in turn convinced me to deduct intang. from the market cap.!

 

However, adding the "long term liab". to the quoted " Total equity", ( per share ) will get me close to to your $ 3.09 !  

 

Suggest we now use in addition to the current P/E , (a) symbol(s) to denote the P/E based on "the enterprise value": Say P/E( v ) or P/E (ev).

  

Some may perhaps think that it could be confusing or would rather prefer to use the words "enterprise value" instead. I prefer a 'short' version. The concept would be frequently used, I think. 

 

Perhaps, Ben Dutton may want to organize this or define it; he brought the article to our notice in the first place!

 

THL received $ 12.8 mill. from the previous Britz people and their interim announcement was Feb. 29, last year.

 

Cheers,

 

Gerry