Seems some people are looking at P/E ratios of the past.
but at Sky Business channel today at about 6.50pm they were specifically talking about ABS.
The analysts on the show (your money your call) said that they are now on about P/E = 7x on 2009 forecasted earnings. Based on todays announced deal are very cheap compared to ASX average of about 13x.
The deal also means that while being super cheap, a lot of the dangers are now alleviated (though not all of them yet.)
They said this was the reason for heavy brokers buyng today!
Note - the P/E of 7x is based on 2009 forecasted earnings, that is expected to be significantly higher than 2008 or 2007!
ABS
a.b.c. learning centres limited
