rewind, it was a broker analysis post placement so i presume it includes reduced financing cost but i can't say categorically. also even though they have reduced interest costs, in the future this will come at cost of a reduced dividend yield with nearly twice as many shares on offer.
having said that i dont think a PE of 8 to 10 is unreasonable for PBG at the present time and it certainly has trader/investor support. its just i dont think its a bargain and with the restructuring that they are undertaking plenty go wrong. it will be interesting to see what investors do when they receive their 60c shares will they go the same way as BSL & OST or will they continue to receive strong investor support.
PBG Price at posting:
81.5¢ Sentiment: None Disclosure: Not Held
