Thanks Robert, that is great info and will definitely help me on...

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jarvoid

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22/02/16

13:21

Post #: 17082258
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Originally posted by robert.dinh ↑

Aim for projected yearly return on capital - they should be able to give investor a proper guidance now and that should offer a more realistic picture of return, look at the cost of capital, debt specifically, how is it looking, checkout straight away for any debt restructure and write down, if not that is the two biggest positive.

1) Any changes in interest rate higher/lower

2) If there is how much for write down because that will be the negative material effect on book value of equity thus share price too.

3) If more severe a debt restructuring occur, how much does this effect equity how much debt is converted to equity and how much equity is thrown away, that would change share price too. In a lighter version of debt restructuring, how much is the extension of debt principle repayment has been stretched to the future.

Now after you are comfortable with risk:

1) Look at projection of revenue as now you have more accurate data to predict a year end of 16 and FY 17.

2) Readjust and figure out the current earning power to see if it deteriorates or increases if earning power is better than last year and higher than reproduction value, share price should adjust itself to match the current earning power value, if earning power is lesser, by how much then question is - Is reproduction value higher than share price, if higher wait and sell at that point if not get out of there as soon as possible.

Have fun

Robert

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Thanks Robert, that is great info and will definitely help me on the day.

Surely, instos will have all their powder ready to go, knowing exactly what numbers they are looking for and where, and as soon as the announcement comes out if they like what they see will be piling in for under a dollar if they can. And if the instos start jumping in things are going to get a bit crazy round here I'd imagine.

SGH Price at posting: 73.5¢ Sentiment: Buy Disclosure: Held
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0 Great analysis

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