Why are we again at 10.5p bid?

It doesn't add up...

Good Results + Strong buying pre results + Christmas online buying soon = Price drop

Then again some companies that have debt for equity hanging in the balance, poor results and bankruptcy around the corner and they go up!

Why sell now at a loss?

Wont that be a kick in the teeth when we see 13.5p 14p again!

Best of luck all.

Market expectations are for a fig of 5.6 million. However with the news available, this could be a conservative estimate. That seems to be the thinking from the various threads I have read.

Check out previous posts 549, 556 and 604. i will we redo my calcs later and post my views

Washlander - thanks

Fundamentalist - I look forward to your post

I would also be interested to know on what price people feel this stock will hit before March 2nd and then shortly after it?

I,m with Overgrowth on the price targets, 30p anyday now rising to 1.50 this year, there's going to be enormous interest once we reach 30p and profits even at 4m gives a low p/e for a co. with as much growth potential, assuming the capitalisation val is up to date on here. I'm tempted to top up again

A nice 6% rise today so far, not sure if it will reach 30p before march, but I'm hoping along with the rest of you

good luck all

8.5% UP

Nice finish to the day :-)

Tokyo:

Based upon the following

No of shares 290m (as per Money AM research)
Current share price 25.5p

Profit 4m gives EPS of 1.38p PE of 18.5
Profit 5m gives EPS of 1.73p PE of 14.8
Profit 6m gives EPS of 2.07p PE of 12.3
Profit 7m gives EPS of 2.42p PE of 10.6
Profit 8m gives EPS of 2.76p PE of 9.2

Current consensus forecast for operating profit is 5.5m putting it on a PE of 13.4. Considering this is a growth stock then I would expect a Pe ratio of 20 if not higher.

On a PE Ratio of 20

Profit 4m gives EPS of 1.38p share price 27.6p
Profit 5m gives EPS of 1.73p share price 34.5p
Profit 6m gives EPS of 2.07p share price 41.4p
Profit 7m gives EPS of 2.42p share price 48.3p
Profit 8m gives EPS of 2.76p share price 55.2p

On the current consensus of 5.5m profit and a PE of 20 the share price would be 38p. Pick your view of profit and apply the PE ratio you think is fair and you should get your target price.

You could argue a case that profits will be only 4m and a PE ratio of 10 if future prospects are not as good as expected leading to a share price of 13.8p. On the other hand it is plausible to argue that profits will be 7m and that a PE ratio of 30 if future prospects are great leading to a share price of 72.5p. This puts into perspective the volatility dependent on the results and how the market interprets them.

The PE ratio of 20 can only be justified if the company can prove where future growth will be coming from though a positive forward outlook can be hoped for in the annual results. The other factor to take into account is how much the profit figure may be reduced by exceptional items and goodwill write off as per last years results. This could mean the headline profit figure is lower than the above expectations, hence leading to the share price not climbing further.

This is all IMHO and DYOR if buying in, but assuming the results are as we are all expecting then I could see the share price reaching 28p before the results and 35p after the results. If the results are way beyond expectations then the share price could go as far as 50p, though personally I feel this level is a bit further away.

I currently hold a fair amount of these in my ISA and unless the results are disappointing intend to do so for the medium to long term (my investment club also holds these shares).

Any other views?

Thanks Fundamentalist

Many thanks Fundamentalist for your hard work.

Makes you wonder why we didn't all fill our boots at 9p!

Mustn't be greedy though as any holding in this star has been sparkling of late.

thanks for that fundamentalist!

Dont know about you Orange blob, but some of us did fill our boots at 9p (and 10p and 12p) lol. Seriously - the next few weeks are going to be volatile as different people have different expectations, and there are a lot of people sitting on sizeable paper profits which they may decide to realise just before/after results - if the results aren't good - then 12p here we come again - lets hope not tho. Good luck to all holders.

Fundamentalist

100k at 9p and 100k at 17p but could have afforded more at the time!

Fundamentalist..............
Great piece of info and analysis......... allowing individuals to do what suits
there particular circumstances. A BIG THANK YOU .
Also great to see the number of postings today and contributions from other holders.
Obviously a rise in the share price has cuaght their attentions again.
Looking forward to more points of view.
Good luck to all.

I agree an excellent piece of analysis - many thanks fundamentalist.

I've a fair chunk of RTD bought at various prices but average 10p and I'm hoping to run the profits (suffering a couple of dips on the way) for the next couple of years or more.

OG

Thanks Fundamentalist. :o))

Fundamentalist

very informative!!!!

Thanks very much for all your hard work, much appriecated by all I'm sure

up already today, keep going baby

.... :-)))

27.25p and counting...