Agree.I promised myself I would not sell but forgot.I had...

Agree.

I promised myself I would not sell but forgot.

I had nothing to sell. I bought some more INL and some ADY.

I just think 64 cents is reaching limits.

For the second half last year, ITD earned 2.2 cents EPS but that was not fully taxed. Only 12% tax was paid last year.

If ITD were fully taxed last half, the EPS would have been 2.3 cents x 70% = 1.61 cents

So this year ITD will be fully taxed at 30% because they have no more tax losses.

ITD earned $18M revenue for the last half and earned $9.9M in revenue for the last quarter. So this year their revenue is up 10% on the previous period.

If ITD profit grows 25% max (last announcement forecast 15% but I doubt that) then the EPS for 2007 could be 4 cents.

At 64 cents, they are trading on a forward 2007 PE ratio of 16, which may be a little high but OK. I just doubt ITD can trade higher. (IBA is currently trading on 16 going forward).

Intersuisse is obviously intimate with ITD and has forecast 3.8 cents EPS with a 59 cents 12 month target (see broker report on ITD website).

So I think 64 cents is quite high. If it goes higher that will be amazing but it may come down to earth in Feb 2007 unless ITD may a nice fat dividend, which they should be able to afford.

But then Intersuisse only forecast 1.5 cents dividend, which does not support a high price. (1.5 cents is only a
40% payout, which is hopeless).

I said I would never sell because ITD could announce major contracts anytime in Malaysia, Singapore or Thailand.

Hopefully, I can buy more in February.

But then over the next 2 years, ADY will outperform ITD.

Good investing.