The Brains Trust, page-12499

@dunjo,
Woun't go mad about LPE......Sorry.
A cut throat business....Electricity retailing.
Low profit margin.....20% gross margin is bad.....Needs much larger scale (if you look at say EML that has gross margins of around 80% , you can appreciate that a small increment in sales results in much larger increase to the bottom line with a fixed cost of running the business)......This is why outfits with high quality of earnings command a premium.....LPE will always trade a low earnings multiples.....Perhaps not above 10......In its current shape it looks more than fairly valued.