The AUD /USD will be a tailwind , I think this half it will...

The AUD /USD will be a tailwind , I think this half it will provide a moderate benefit as judging the the chart it did start off high near 80 at the start of the year and drifted lower towards the end. Given the the large sale in the US was done at the end of last FY that may also benefit the ultimate impact on final NPAT. However the FY19 year has started of with a low dollar which has drifted even lower so it the USD/AUD averages these levels the currency impact will be strong. I also think some of the sales delays due to regulatory approvals will also flow through this FY so a decent earnings recovery is on the cards . This will have to impacts, one SP will lift because of higher earnings and two , the PE which is well below peers will expand. People often forget that increase earnings can result in major rerates as the SP responds to the earnings but the confidence of increasing earnings is also rewarded with a higher PE . Let’s say for example profit goes from 34 to 45 ( not much ) and PE expands from 11.5 to 13 ( also not much ) Then the SP will go from 1.17 to 174 . It’s something people forget . In the same way that SP dropped my more than % profit downgrade the same happens on the way up .
Their is no reason why EPS can not increase 25-50% this year and no reason why the market can’t apply a higher PE given it is currently well below the market average