Closed on the psychologically important 70c. Lets see if it can hold that and break up higher than 75c... it's been 3 and a half months since it was last at this level.
Solid and largely expected results for the annual report. Sound growth prospects ahead, looks like a large portion of the increase won't rely on Lorenzo, getting a lot of the current sales by cross selling their other existing products and from recurring contracted revenue. Looks like they expect to pick up some additional NHS sales from the trusts in the areas abandoned by Fujitsu... that would be a sweet cherry on top!
Forecast results based on relatively high AUDGBP forex conversion rate, if the $A falls against the GBP the results will be sweetened even more.
Dividends to resume for 2009, I expect they might pay out $0.025 for the full year, giving a yield on the current price of about 3.5% - OK but not great. Not sure if this will come as a 1c interim + 1.5c final, or just one at the end of next financial year.
Comparison of market capitalisation with Cerner and Eclipsys suggests that the IBA share price should be 2.25x higher than it is (about $1.54), but since when in recent times has the market put a fair value on fundamentals! Anyway, this means there should be plenty of room for recovery in the shareprice once the market turmoil sorts itself out. Could be years away though...
IBA Price at posting:
0.0¢ Sentiment: LT Buy Disclosure: Held
