Forum Archive Index - May 2001

["secondstep70" <secondstep70@hotmail.com>]

Frucor is back to issue price. They certainly aren't a company in trouble (compared to AIRNZ) Since they issued , they have implemented a successful distribution in Australia and a partial distribution in the UK. Their full year profit should  be higher than the previous year(even though they have lost 10 million in the UK). I think these are major positives.

 

Unfortunately, the investment community has lost confidence in management given the poor results in the UK. They stuffed up by advertising before they had decent distribution.

 

I don't see the shareprice increasing until we get positive indicators from UK summer sales, since the progress in the UK seems to be all that drives the shareprice.

 

My concern is what if the UK fails. How much is the company worth then? Surely it is worth at least $1 given last years 11c earnings/share. That's p/e ratio less than 10.

 

I'm holding until I hear positive news.

 

 

----- Original Message -----

From: Philip Robinson

To: sharechat@sharechat.co.nz

Sent: Thursday, May 24, 2001 5:12 PM

Subject: [sharechat] Frucor

Frucor down 4c to 150 with 5 million turnover.....not good...I am holding though...its just a minor dip...or that is what I tell myself