Was looking into GEM the child care centre operator.The first thing I noticed was that the current shares on issue is 272 mln which gives a market cap of about $900 million. Today they have placed another 26 mln shares.The directors only hold in total 4 mln shares or 1.3% of the expanded capital.Once again if the company is so good why don't they own more?In my books I would prefer to see directors holding at least 5%.Based on the half year the price ratio is 40 which looks expensive.Some estimates have it making $34 mln profit this year which puts it still on 30.Net assets are only $218 mln given the market cap.It looks over priced to me but that's not to say it won't go higher.dyor.
- Forums
- ASX - Short Term Trading
- fundamentals month of october
fundamentals month of october
-
- There are more pages in this discussion • 10 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Featured News
The Watchlist
CCO
THE CALMER CO INTERNATIONAL LIMITED
Matthew Kowal / Andy Burger, CCO / Head of E-Commerce
Matthew Kowal / Andy Burger
CCO / Head of E-Commerce
SPONSORED BY The Market Online