EGG enero group limited

Assuming the company can't pay dividends till 2018 (5 years),...

  1. 431 Posts.
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    Assuming the company can't pay dividends till 2018 (5 years), and based on a growth rate of 5% and minimal new business acquisitions then the potential cash on hand would be as follows:

    Opening cash per AGM date 17m + 2013 cash flow 10m + 2014 cash 12m + 2015 cash 13m + 2016 cash 14m + 2017 cash 15m + 2018 cash 16m = 97m.

    This figures are based on EBITA less say 30% to take into other cash items that will effect cash flow...conservative adjustment) to try and get this figure near cash flow.

    Therefore based on this, the cash would represent about $1.14 per share in 2018. Assuming the market value the Business based on 1 x multiple which they appear to be doing for some strange reason (should be 7) then add another 25m to the value. Therefore $1.43.

    Based on the current share price of 38 cents, then potentially over a six year period the share price will be 375% higher which equates to a return of 62% p.a.

    Based on cash alone, assume the buisiness is worth nil this is a 300% increase. This equates to 50% return each year (eventually when things catch up).

    All we need now is for the market to catch up....



 
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Last
82.0¢
Change
0.005(0.61%)
Mkt cap ! $73.94M
Open High Low Value Volume
82.0¢ 82.0¢ 81.5¢ $6.685K 8.201K

Buyers (Bids)

No. Vol. Price($)
2 9605 81.5¢
 

Sellers (Offers)

Price($) Vol. No.
82.0¢ 3946 1
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Last trade - 12.54pm 02/04/2025 (20 minute delay) ?
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