Return on shareholder equity is a very standard metric for...

Return on shareholder equity is a very standard metric for assessing how much money a company makes against the net money that has been put into the company (assets minus liabilities).

If a company has a 100% return on equity, that by itself tells you nothing about the share price. Return on equity by itself tells you about the quality of the company. So you need to compare the current share price against shareholder equity, and use that ratio to adjust the return on equity. That is your effective simple return against equity, assuming all earnings are paid out as dividend, no growth.

Example, use a return on equity of 100%. Assume share price is 20 times shareholder equity. So you adjust 100% / 20 = 5%. Generally as an investor I am most comfortable when that calculation gives me a number higher than 10%. Below 10%, you would want other factors (like growth) to compensate for the poor simple return against equity.

Without significant growth of NBN, I think SSM is fairly valued here. I took Flannigan's exit to mean that NBN isn't likely to use SSM either at all, or soon. Maybe I misread the signal. Time will tell. I am very bummed to take a tax hit and leave early.