'eps' forecast FY2018: Post Capital September 2017 Raising
Quote:
Originally Posted by
Beagle
Can someone please crunch the numbers on EPS for FY18 taking into account the new shares issued at the half way point of the year, i.e weighted average EPS this year and calculate this at the mid point of the forecast range and compare to last year's EPS to calculate EPS profit growth forecasted for FY18.
No. Shares on issue EOFY2017 |
|
74,523,527 |
No. Shares Sept 2017 Placement |
$25m / $3.02 = |
8,278,146 |
No. Shares Sept 2017 SPP |
$5m / $3.02 = |
1,655,629 |
Post capital raising total No. Shares |
|
84,457,302 {A} |
Guidance for FY2018 is for NPBT of $29m - $31m
Guidance for FY2018 is for NPAT is NPBT x 0.72 = $20.9m - $22.2m {B}
Forecast 'eps' based on the number of shares at the end of the financial year is therefore {B}/{A} which translates to a range of:
24.7c to 26.3c per share
I know this doesn't take into account the 'weighted average number of shares' that Beagle asked for, but I have my reasons for not doing so.
The equivalent figure for FY2017 was:
$17.609m / 74,523,527 = 23.6cps
Using the end of year share measure, the projected NPAT 'eps' gain for FY2018 is: 4.7% to 11.4%. If we use Percy's yardstick of 'fair value' being when the PE reflects the growth, this means the 'fair value' projected share price for FY2018 is between:
4.7 x 23.6 = $1.11 (minimum)
11.4 x 23.6 = $2.69 (maximum)
I am not feeling much excitement looking at share price target figures like that.
{Further adjustment from (my post 1478) to come.}
SNOOPY