Undervalued Stocks = Low P/E to Growth Ratios Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Undervalued Stocks = Low P/E to Growth Ratios

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: stockvalinvestor who wrote (249)	10/10/1997 12:32:00 AM
From: Keith	of 297

Kenneth, Thought I would move over to this thread. I think you can estimate from this data: SOLOMON PAGE (SOLP) Quarter ----------- 9/95 12/95 3/96 6/96 9/96 12/96 3/97 6/97 Revenues(millions)* 2.10 3.00 3.50 5.10 5.60 5.50 6.30 7.80 Net Income *** -0.80 -0.10 0.10 0.40 0.40 0.30 0.30 0.50 Shares Outstanding* 5.14 5.14 5.14 5.14 5.14 5.13 5.13 5.13 (millions) Earnings per sh.****-0.16 -0.03 0.02 0.07 0.08 0.07 0.05 0.07 * Due to a change in accounting methods, Earnings per share was officially given as .07 which assumes approx. 9 million shares ( includes all stock options and outstanding warrants). Earnings per share would have been .097 if only todays outstanding shares (5.13 million) were counted. Warrants expire in 10/99, 2 years away! If we compare six months from 1/96 to 6/96, to the first six months of 97 (1/97 to 6/97), the earnings growth rate is (.30 + .50)/(.10 + .40) = 1.60 or 60% earnings growth per year (assuming 5.13 million shares) And the PE = 3.18 / (.07 + .05 + .07 + .08) = 11.8 It seems the PE is low enough to make it attractive , never mind the earnings growth! Keith

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next