I hate to rain on your parade but...
Quote:
Originally Posted by
Beagle
For years we've wondered why QAN has traded on a higher PE, hard to believe neither you, I or anyone else picked up the fact that they haven't been paying much tax isn't it !
If you normalize their profit for the Aussie tax rate that solves that riddle and the PE's are ostensibly very similar...
There are many reasons why Qantas and AIR trade on different PE's but the tax situation is not 'the one'
Accounts:
https://stocknessmonster.com/announc...asx-2A1066290/
read (at least) page 16
note the $250M tax expense
note the $607M statutory profit
check that the latter number is used in determining the EPS (and thus the PE).
Go read prior year's accounts and find same.
Best Wishes
Paper Tiger
Disc: I had a very nice lunch.