A fairly short term perspective from RBS ......... A broker taking a short term view......unheard of.
I can't see where you take profits when you have a company trading at 8x earnings and down to 7x 2012 median analyst forecasts when it has traditionally traded at 13 to 14x earnings over the past 10 years.They've recently gained access to third party debt refinancing, good return in equity, reasonable debt to equity relative to it's income coverage and a market that gas been bearish on it since the earnings revision. Nearing record levels of contracts and I suspect that some of the relief effort flood contracts would surely go to one of Australia's largest domestic works businesses.
I love these contrarian plays......all the market sentiment is against it..... Expectations for the Feb March reporting season are low..... Gee I wonder if we'll see a stock re-rating for DOW sometime in 2011.
DOW Price at posting:
$4.39 Sentiment: LT Buy Disclosure: Held
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