Kawartha I aslo believe RDF is undervalued and over time the...

Kawartha
I aslo believe RDF is undervalued and over time the price can only go one way. The only question is how long will it take to move to say $5/6/7/8 etc

The recent sell off will have certainly put doubt into the minds of many, and it may take a few months for investors to regain confidence.

The company will report a 3m+ plus result for the past year. On the surface it is not much compared with the market cap.

However the underlying profit growth is probably occurring at such a rapid rate that many investors will find it difficult to believe ,so they may wait another 6 months for more confirmation.

Intersuisse say 12m and 20M for the next 2 years and the 20M (really 28M when compared with 2005 outlook which has no tax) is at full tax rates.

That is some huge profit growth and many will not believe .

My opinion is that Intersuisee have either overstated install rates or understated profit. At this stage I think they have overstated install rates so I think the profit numbers are pretty close.

So the true believers will think the stock is cheap and the unconvinced will consider it expensive. Another 12 months is probably required to convert the unconvinced.

Fortunately I am a true believer and have a very significant holding at very cheap prices.