Ask yrself this. Since the orig TO some 2 months ago we've had numerous updates from company and Fevviro. The TO offer still stands at $1.35 and it seems very few shareholders are willing to accept it.
So TO remains at 1.35 with usual T&O's.
SP fallen from TO price to just above $1.00 over past month.
BUT BRS keep telling shareholders to NOT ACCEPT the TO as things are going great guns within company and revenue, earnings, ROCE, and esp EPS is set to rise.... whilst debt is reduced by around 60m per annum!
So mkt sees gloom and doom. BRS board say things have never been better... well the best in yrs!
Someone has to be right.
BRS has brought fwd the report date by 10 days. Its ardly a sign they feel it will dissapoint shareholders. If anything i think the tone will be bouyant and outlook strong and confident. Of course the refugee contract is not signed and sealed and a full 12 months extension has been granted. BRS is not a shoe-in but def has the advantage over other bidding party.
So does the above summary justify a SP of $1.03 when FY16 eps on track for 14.8c and a PE of just 6.96?? Most of FY17 revenue already locked-in. Nothing is without risk, but these are odds I'm happy to take in spades. Roll-on Monday 8.00am. Lowish/mod risk v High/very high return here on offer. dyor. Comments, for and against, welcome. BUY.
BRS Price at posting:
$1.04 Sentiment: Buy Disclosure: Held
