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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Madharry who wrote (27092)	6/16/2007 5:22:26 AM
From: anializer	Read Replies (1) \| Respond to of 78748

Interesting way to reach a goal. They have said repeatedly that they wanted and expected that EDV would sell above NAV. What a way to accomplish that goal, make sure that NAV is reduced. Sometimes you gotta wonder what management's real goal is, to increase shareholder value, or line their own pockets. In any event, harshly ruling this out as an investment possibly might be somewhat premature. I've seen things like this happen before in other stocks, was dead set against it, and all for naught, as the shares continued to increase in value, tripling within 2 years. The market works in mysterious ways sometimes. Hard to believe that management hasn't thought this merger out well enough beforehand to consider the ramifications and potential impacts. My impression of management from prior conference calls was that they were very astute and knew what they were doing.

To: Madharry who wrote (27092)	6/16/2007 11:53:00 AM
From: Bart Hoenes	Respond to of 78748

EDV.TO - I feel very similar. The benefits seem murky and the cost seems high. It does not seem shareholder centered. However, the market seems to like it (at least for now), so what do I know. But it's difficult for me to quantify the value of EDV financial.

To: Madharry who wrote (27092)	6/16/2007 7:51:45 PM
From: anializer	Respond to of 78748

After finally getting a chance to listen to the CC on EDV.TO, it looks to me like potential reported earnings per share for EDV.TO will go up significantly based on slide 9 even given the dilution which is stretched over 3 years. Not as bad as I thought from what you had mentioned. EPS should help drive valuation more so than book value. BV stays low because of the large payouts to shareholders by Endeavour Financial. I tend to thing EPS is a better driver of stock prices at times then book value. My take is stay the course.