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Gold/Mining/Energy : GPW Group West Systems Ltd. (Year 2000 Software Company)

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To: Sam who wrote (468)4/21/1998 9:43:00 AM
From: Gary H  Read Replies (1) of 1443
 
To all, Got my copy of Thomson Kernaghan recommendation on GPW.

Afew note from within;

VALUATION
Key Assumptions
1)The Co. will make 1 to 2 acquisitions in the next 12 months.
2)The Co. will be able to hire additional human resources.
3)Y2K conversion activity is expected to increase in the small to medium size Co. in the next 12 months.
4)It is Co.'s intent to list on the TSE or NASDAQ in the next 12 months.
5) The outsourcing tend will continue.

Basedon a 27.15 P/E multiple X fiscal 1999 E.P.S of .43 we recommend a buy rating with a 12 month target of $12.00/share.

P/E 1998 78.89
1999 16.51

Cheers,
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