any views on this company, page-4

Just noticed that the downward share price lately has been confounded by a reduction in the holding of MD Peter Hay.

The depth is very thin and it is easy for the price to be moved.

Peter Hay is retiring next year. He now owns 4.43% of the company and states:

“Having led the company since 1998 I am a committed long-term shareholder in Sedgman, and have no intention of selling any further shares in the foreseeable future.”

Hopefully the sp will stabilise now and move on. I have taken this opportunity to buy SDM shares.

Sedgman has forecast another record profit in fiscal 2008, with an outlook for cash earnings per share growth of 15 to 20 per cent. In fiscal 2007, the company posted a net profit after tax of $20.9 million, up 59 per cent on the previous year’s total and 20 per cent ahead of the
prospectus forecast.

I beleive they forecast a similar 15-20% cash earnings last year and delivered 59%. So hopefully a conservative estimate.

DYOR.