GREY:ISYRF - Post by User
Comment by
natioson Aug 11, 2016 8:21am
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Post# 25129849
RE:PRICE PER SHARE
RE:PRICE PER SHAREThink your conclusion makes sense - perhaps differ a bit on valuation approach.
ITC now has US$0.09 in EPS - or CAD$0.12 over past three quarters - pro forma call it US$0.12/CAD$0.16 for the year.
Use a conservative 10x multiple (for growth that is 50%/60%/70%) and add the net cash of over $0.50. That gets you well over $1.78 - more like $2.25.
Anyway stocks at 5x EPS, growth is off the charts, and they have a warchest of cash. Not many of these out there currently.