Hi paperclip
The first 3 reasons you mentioned in your previous post would be the main reasons I believe too which explain the current re rating we are seeing of TOX.
LAst year TOX announced a $3m EBITDA profit forecast, which was exceeded by year's end by 66%.
In Dec 2004, their profit forecast for the first six months of 2005 was exceeded by approx 100% also.
This year sees three new entities contribute their bottom line to the TOX group for the FULL financial year (This includes Delvex). Who knows how much they will smash their forecast by this year?
They deserve to be trading at a much higher PE ratio than present given their aggressive acquisition stategy, their strong organic growth also and their repeatedly ability to surpass profit forecasts.
The consolidation will bring some fresh faces to the share register and will smash any resistance (at 15c, which will equal $1.20) that is not taken care of pre consolidation. IMO she will take off this week and 15c will be smashed.
Cheers
Hi paperclipThe first 3 reasons you mentioned in your previous...
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