Look with due respect your numbers are off. But in any case, if we were going strictly by numbers and profit margins a good portion of stocks listed would be highly overvalued. I wont go into every single one of them but there are many examples of PE ratio at very high rates such as 250X
The concept here is growth stock vs value stock. I dont believe TNT is a value stock in its current format and I am not promoting it as such. However it is a tech stock with not a lot of competition in terms of its size, offering and market demand.
Imagine these recent acquisitions mean that the company has many folds more potential to win contracts and make announcements, what do you think that will do to the SP.
My thoughts are that before year end we will be looking in the vicinity of 55c to 70c, potentially even higher and I have positioned myself as such.
I had correctly predicted the SP pick up of TNT, probably a bit early, about 5 weeks ago on the STT board and I believe there is more to go as we have not even reached a 100% yet from the low consolidations of the past few weeks.
Obviously you need to do your own research and if you feel this is it in terms of SP growth then perhaps it might be time to change your sentiment and move on.
TNT Price at posting:
40.5¢ Sentiment: Buy Disclosure: Held
