--------- 4t c - JPM - Patts 2015 NPAT $257m $216m $578m PE10 SP = $2.00 $1.70 $4.40 SP Gain == >3x = 2.8x = 7.3x in 2.5 years.
Annual 10% return = 2x in 7.5 years
Therefore if I invest in 3 similiar companies, the same $ amount and 2 went bust, the after tax return is still better than the opportunity /cost of capital of 10%.
Why is the market pricing LYC at such high risk ??? Or the market read the 4-traders consensus as rubbish ??? I think the market have to re price LYC very soon - b4 April, June, August 2013 ??? -SP jumps at every milestone.
LYC Price at posting:
58.7¢ Sentiment: Buy Disclosure: Held
