Why do you see this as speculative stock?Profitable, sound...

Why do you see this as speculative stock?

Profitable, sound growth (without the clinical results of the big trial), excellent reports from various centers around the world, a large part of the stock is owned by institutions and reasonably stable holdings. Good volume recently.

The only Q is the price - is it worth a PE of 33?

If you extrapolate the current profits figures, based on a dose sales increase of 25% PA then what would you see as the profit number say in 2015?

Many companies with a sold 25% PA increase in sales would trade at or above a PE of 30. So if you think they can make the 25% PA then it is a punt on the trial results.

However if you believe 25% is achievable then the trial results would be a big bonus. maybe :-)

At 25% compound they hit 30,000 doses PA in 7 years. What will be interesting is the 2nd quarter dose numbers, in Jan 2013. If SRX massaged the 1st quarter numbers to get an easy ride at the AGM then the emperor will be naked. If they can continue with numbers like the last quarter (37%) then watch the share price then.

Be lucky.

PS at 37% growth they hit 30,000 in year 5.
What price the shares.