Having a scroll through a few stocks this morning, and looking at PE ratio's based on FY2009 forecasts, here's what I found.
WOR- 14.4 MRM- 11.1 NMS- 5.5
For others outside the sector:
BHP- 5.3 RIO- 7.0 WPL- 13.6
So within it's own sector, Neptune is by far the cheapest play based on 2009 forecasts, and you would have to think that forecasts for the resources sector may get trimmed at some stage.
Neptune does not need to rely on strong resources/ oil prices to have a full order book, and the falling aussie dollar will only help the profitability of their overseas operations.
Having said that, they desparately need some news to get some interest back into the stock. I doubt the quarterly report will do it, regardless of how good it is, because it is normally released on the last day when every company on the ASX is scrambling to make the deadline. They need major contract news to get things moving in the right direction.
NMS Price at posting:
16.9¢ Sentiment: Buy Disclosure: Held
