Wednesday, May 4, 2011

Share Price Alert: Kathmandu Holdings Ltd

Kathmandu Holdings Ltd [KMD.NZX] has had what looks like a positive trading update out yesterday, the second positive one since another positive one out in January.

The share price has of course responded in kind and since that January news has risen from $1.85 to close up 15c to $2.60 today on the latest news -a 40% rise.

KMD shares have risen off an all-time low of $1.55 reached last December and yesterdays closing price is an all-time high only gotten close to back in April 2010, just a few short months after listing.

Although today's release looks like an overwhelmingly positive one, as I have said before the figures used as a comparison are Proforma ones which do not paint an accurate enough picture for the investor to make wise decision to buy KMD stock at current prices.

All is not what it seems and the market really has gotten carried away with itself here.

Be patient if you like this company, it is worth buying but at a share price well under 2 bucks. Until investors can make an accurate comparison year to year without the pro form influence and the uncertainty that brings then you must discount the value of the company until accurate comparisons can be made.

Buy under $1.80.

Share Price Alert Series

Freightways Ltd 3
Goodman Fielder Ltd 2
Freightways Ltd 2
Telecom New Zealand Ltd 2
Ryman Healthcare Ltd
Charlies Group Ltd
Fletcher Building Ltd 2
Contact Energy Ltd
Steel & Tube Ltd
Telecom New Zealand Ltd
New Zealand Stock Exchange Ltd
Mainfreight Ltd 2
The Warehouse Group Ltd
Pumpkin Patch Ltd 2
Hallenstein Glasson Holdings Ltd 2
Fletcher Building Ltd
Restaurant Brands Ltd
Mainfreight Ltd
Tourism Holdings
Goodman Fielder Ltd
Pumpkin Patch Ltd
Hallenstein Glasson Holdings Ltd
NZ Refining Ltd
Freightways Ltd
Xero Ltd

Kathmandu @ Share Investor

Kathmandu Holdings: Profit Upgrade lacks accurate comparison
Kathmandu Holdings Ltd: The First Year
Kathmandu Holdings Ltd: 2010 full year profit analysis
Chart of the Day: Kathmandu Holdings Ltd
Kathmandu Holdings: Market Update Misleads
Kathmandu's 2011 Results Under Pressure from Jan Cameron
Kathmandu IPO: Prospectus Analysis
Kathmandu IPO: Jan Cameron lands a blow to IPO
Kathmandu IPO: What is it worth?
Kathmandu IPO: Retail Interest High
Kathmandu IPO: A tough mountain to climb
Kathmandu No.1 but IPO should get the Bullet
Download the detailed Kathmandu Value Cruncher Report - Requires free registration at Share Investor Forum to download
Download Kathmandu IPO Prospectus
KMD Investor Presentation to Macquarie

Discuss Kathmandu @ Share Investor Forum
Download KMD Company Reports

c Share Investor 2011

No comments:

Post a Comment

Comment on Share Investor Stuff