NPAT is king in investing as we all know. I think FY15 will be around half of FY14 including using up the remaining tax credits which they tapped into heavily for the big FY14 npat. they will be lucky to hit the target 30m run rate by dec 15. we wont know until this time next year anyway with release of 1H16 results. we wont get a good handle on us revenue growth until at least 1H17 results. In the meantime revenue growth in oz has slowed, expenses will grow further with expansion. a big concern for me is that the sp has continued to trend down over the last few months as the market has shot up. There will likely be a correction in the market and i cannot see nea trending up against a market correction. I think it will continue to tread water into the 40s towards FY15 results. Im out for these reasons for the time being. will review when it bottoms and starts trending up in 2H16 with us revenue speculation.
NEA Price at posting:
54.5¢ Sentiment: None Disclosure: Not Held
