colonization and takeover, page-5

Yeah, true....maybe out of this we need to stress test the EPS cause management comment is usually pretty sketchy for SHV...

Broker Consensus earnings before that announcement were generally around 45 cents to 50 something....then there was the profit downgrade which referred to 'underlying earnings' which would seem to be a reference to continuing operations...

Earnings for the half 11 underlying down about 20% translating to EPS of 18 cents (last year was 25 cents for half)

Usually SHV halves are weighted nearly 50/50..don't quote me......so doubling first half EPS is not outragious to get to 36 cents EPS....

Then there is the newly acquired mature orchards (offset by their debt cost)...who knows what they earn.......BUT....consider....SHV last year only had currently about 3 500 acres of mature orchards...which makes up the bulk of their earnings from the 'inhouse' orchards earnings which are reported....

But 40 cents should be conservative, but management of SHV usually gives the market speccy guidance.......hence the market hating the stock and making it below investment grade!