based on these numbers, what should the sp be?They also state...

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Phantom77

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13/12/21

23:18

Post #: 58268387
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Originally posted by noomxx: ↑

no this is a fundamental downgrade, not limited to BI insurance.

Notice the 'medium' target of 12-13% ROE.

This is the 'target' and that won't be achieved in the short term, its a 'medium term target'.

So then look at the BV per share of IAG: its around $2.53.

So its a simple exercise in multiplying the ROE% by the book value which gives a 'medium term target' EPS of $0.30 - $0.33

This is a big downgrade from their previous 15% which would imply a 'medium term target' EPS of $0.38.

Remember 'medium term target' which means several years.

Hence markets disappointment, hence downgrading of the stock price.

Most importantly, share price is unlikely to rise much given this is managements own 'goal' for the medium term. Hence why be in the stock, hence selling.

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based on these numbers, what should the sp be?

They also state that the stock is cheap trading on 13x fy23......so does that mean a long hold if you want to see you money back.

IAG Price at posting: $4.24 Sentiment: Hold Disclosure: Held
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(20min delay)
Last $9.00		Change -0.095(1.05%)		Mkt cap ! $21.33B

Open	High	Low	Value	Volume
$9.03	$9.12	$9.00	$8.160M	903.3K

Buyers (Bids)

No.	Vol.	Price($)
29	16539	$8.99

Sellers (Offers)

Price($)	Vol.	No.
$9.00	10214	26

View Market Depth

No.	Vol.	Price($)
19	5636	9.010
27	18094	9.000
14	13322	8.990
12	31839	8.980
9	10817	8.970

Price($)	Vol.	No.
9.020	16407	27
9.030	11954	16
9.040	32234	17
9.050	10094	9
9.060	8029	7

Last trade - 14.40pm 26/06/2025 (20 minute delay)

IAG (ASX) Chart

based on these numbers, what should the sp be?They also state...

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based on these numbers, what should the sp be?They also state...

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