breakout imminent, page-2

SDM.AX is undervalued compared to its Price of $2.00 per share, has about average safety, and is currently rated a Buy.

Graphs

Sedgman Ltd


Industrials (CapitalGoods)





Detailed Analysis


Company Information

Business: Sedgman Ltd, (SDM.AX) Sedgman Limited provides a range of engineering, project delivery, and operations services to the resources industry in Australia. It operates in two segments, Engineering Services and Operations. The Engineering Services segment engages in the design, construction, and commissioning of a coal handling and preparation plants and related equipment. The Operations segment involves in the operation and ownership of coal handling and preparation plants, and ore crushing and screening plants. The company was founded in 1979 and is headquartered in Milton, Australia.

Capital Appreciation

Value: Value is a measure of a stock's current worth. SDM.AX has a current Value of $3.13 per share. Therefore, it is undervalued compared to its Price of $2.00 per share. Value is computed from forecasted earnings per share, forecasted earnings growth, profitability, interest, and inflation rates. Value increases when earnings, earnings growth rate and profitability increase, and when interest and inflation rates decrease. At some point in time, a stock's Price and Value always will converge.