Considering this years significant falls in sp it is likely that the market has taken into account the declines in profit.
It looks to me that the present sp offers good value moving forward for some capital appreciation and the ongoing dividends. The anticipated dividends will still offer an attractive ratio payment against the present sp, and when all the markets panic selling is over, soon! the sp will more than likely stabilise well above the $1 mark.
Although the buck stops with the MD, who has been steering this ship for well over a year now, and personally hasn’t been impressive, so far! Maybe the MD should take a pay cut of 35 - 40% as well? Lets not forget this company has a board of directors, and a chairman who has been onboard since 1984, maybe they should do more?
CND Price at posting:
67.8¢ Sentiment: Buy Disclosure: Held
