SRX Valuation

Macquarie has EPS estimates of 61.5c in FY15 and 94.4c in FY16.

The thing I've noticed is that most of the broker reports I've seen have quite similar earnings predictions, so the valuation comes down to the multiple each is willing to pay.

This article http://www.smh.com.au/business/sirt...-conference-presentation-20150601-ghe8fy.html quotes UBS as assessing that Sirtex currently penetrates 7-8% of the market addressable prior to SIRFLOX results and that the trial has now increased SRX's addressable market by 4-16 times.

On this basis a PE of 30 seems conservative.

I also think that valuing SRX on dose sales growth only, ignores the significant potential of a mid-cap biomed company with no debt, serious cash generation and demonstrated clinical trial expertise.  Somehow I suspect that our next valuation challenge with SRX will be based on a takeover in one direction or the other ....