It looks good value to me trading on an underlying EV/E multiple of around 10, paying a 4.2% dividend plus an aggressive buyback programme. Also, they are achieving strong underlying organic profit growth with EPS increasing from about 2.4 cents in 2014 to 7.1 cents last year and further growth expected this year if you look past the Nest and iMoney investments. iMoney looks to be an astute purchase and good to see they have the discipline to cease investing in Nest given disappointing sales to date. There is the potential for a long growth runway through cross-selling an expanding range of services in Australia and through iMoney in SE Asia.
ISU Price at posting:
$1.30 Sentiment: Buy Disclosure: Held
