topper's finally got some new material, page-17

re: sirtex buyer Quanto,

Answering further your valuation questions. Please note that you should research all figures yourself.!!!

SRX is an easy stock to analyse. The fundamentals are pretty basic. It is so easy to work out these fundamentals that when the next quarter committments test is released we could see a few people kicking themselves, saying "I shoulda."

SRX could be (after next quarter looking at 2 mil cash flow positive) ie 8mil pa. on 55mil shares. At a 5% yield this will value co. at $150m or around $3 per share. That value would be consistent for a company with little growth prospects.

A 2% yield might be acceptable for such a developing company and this would value the company at $400mil. or $7.27 per share. (Cochlear yields 2%).

There are so many different ways to come up with a valuation it kind of becomes irrelavent and market price is what its worth. But saying that, I to think that it is a very good punt.