latest price target from rbs, page-18

investor007 - it is a piece of luck that I did close out at the lows. I was expecting a dead cat rebound - but not quite so pronounced a bounceback. I'm still working out whether another short stint is in order or not for me. I am willing to live with the risk of a further rebound if it genuinely is at about 14 - 15 times forecast earnings with a stock overhang. My gut feeling says that they should be on a reduced PE. Have not had time to check my numbers properly, and have had another few longs and shorts that I have applied myself to as a distraction from GNC.

I agree with what you are saying overall - but not feeling confident that competition will diminish for GNC, or that they will be able to maintain margins (averaged over a ten year cycle). They will rely on the ag situation volatility IMO. I also feel that the asset values are out of touch with the returns acheived on the GNC side, and should be written down eventually.

So I am still very negative at present at 5.76. Another factor the other way was that there was a hump in the SP before the announcement that suggested somebody was interested in mopping some GNC up. Wonder if the Ann changed that

cheers

MM