Post by Will Kirby on Sept 8, 2008 21:36:06 GMT -5
Real life, verbatim, message from someone I want to keep anonymous. Evaluate /validate the
suggestion, and jot down your conclusions;
I seem to have discovered a stock that seems to be way oversold. The company is LG Displays with the
ticker LPL. Yes it is the company who makes LCD tvs, computer monitors, notebooks monitors, cell
phones, etc....
Basic fundamentals I'm trying to comprehend (too good to be true?):
All from Scottrade.com
Cash per share: 4.80 (stock trading at 10.93)
Price/Tangible Book Value: 1.00
Current Ratio: 2.05
Quick Ratio: 1.72
LT Debt/Equity: 0.31
Total Debt/Equity: 0.46
30 analysts covering LPL expect:
2008: $ 6 earnings per share
2009: $ 4.08 earnings per share
2012: $ 5.78 earnings per share (current 1.89x p/e multiple!)
Trailing Twelve Month Price/Earnings multiple: 3.7x !!!!!!!!
Should I bet my house that I dont have on this stock? I believe the company has an extremely high
competitive moat with their tv's and cell phones. My mom just purchased the LG Dare (revolutionary
100% touch screen phone) and loves it. I purchased an LG plasma tv at the Berkshire shareholder
meeting and love it. I have heard nothing but good things about their products and with LG's creative
marketing campaign I think this company has more growth in HDTV's and mobile phones.
What do you think? I know they are experiencing some inventory problems as consumers are starting to
buy smaller tv's but I do not see that as a continuing trend. With cash per share at 4.80 while trading at
10.93 I'm doing some serious thinking......
I look forward to your comments.
suggestion, and jot down your conclusions;
I seem to have discovered a stock that seems to be way oversold. The company is LG Displays with the
ticker LPL. Yes it is the company who makes LCD tvs, computer monitors, notebooks monitors, cell
phones, etc....
Basic fundamentals I'm trying to comprehend (too good to be true?):
All from Scottrade.com
Cash per share: 4.80 (stock trading at 10.93)
Price/Tangible Book Value: 1.00
Current Ratio: 2.05
Quick Ratio: 1.72
LT Debt/Equity: 0.31
Total Debt/Equity: 0.46
30 analysts covering LPL expect:
2008: $ 6 earnings per share
2009: $ 4.08 earnings per share
2012: $ 5.78 earnings per share (current 1.89x p/e multiple!)
Trailing Twelve Month Price/Earnings multiple: 3.7x !!!!!!!!
Should I bet my house that I dont have on this stock? I believe the company has an extremely high
competitive moat with their tv's and cell phones. My mom just purchased the LG Dare (revolutionary
100% touch screen phone) and loves it. I purchased an LG plasma tv at the Berkshire shareholder
meeting and love it. I have heard nothing but good things about their products and with LG's creative
marketing campaign I think this company has more growth in HDTV's and mobile phones.
What do you think? I know they are experiencing some inventory problems as consumers are starting to
buy smaller tv's but I do not see that as a continuing trend. With cash per share at 4.80 while trading at
10.93 I'm doing some serious thinking......
I look forward to your comments.