LPI

Date announced 11th Jan 2011
Quarter 31/12/2010 Qtr 4 FYE 31/12/2010

STOCK LPI C0DE  8621 

Price $ 14.18
Curr. ttm-PE  22.50
Curr. DY 3.61%

LFY Div 51.25 DPO ratio 81%
ROE 12.0% PBT Margin 25.8% PAT Margin 19.9%

Rec. qRev 190745 q-q % chg -12% y-y% chq 24%
Rec qPbt 49135 q-q % chg 4% y-y% chq 6%
Rec. qEps 16.77 q-q % chg 0% y-y% chq 6%
ttm-Eps 63.03 q-q % chg 1% y-y% chq 10%

Using VERY CONSERVATIVE ESTIMATES:
EPS GR 10%
Avg.H PE 15.00
Avg. L PE 12.00

Forecast High Pr 15.23 Forecast Low Pr 8.95 Recent Severe Low Pr 8.95

Current price is at Upper 1/3 of valuation zone.
RISK: Upside 17% Downside 83%
One Year Appreciation Potential 1% Avg. yield 6%
Avg. Total Annual Potential Return (over next 5 years) 7%

CPE/SPE 1.67
P/NTA 2.69
NTA 5.27
SPE 13.50
Rational Pr 8.51



Decision: 
Already Owned: Buy, Hold, Sell, Filed;
Review (future acq): Filed
Discard: Filed

Guide:
Valuation zones Lower 1/3 Buy, Mid. 1/3 Maybe, Upper 1/3 Sell.

Aim:
To Buy a bargain: Buy at Lower 1/3 of Valuation Zone
To Minimise risk of Loss: Buy when risk is low i.e UPSIDE GAIN > 75% OR DOWNSIDE RISK <25%
To Double every 5 years: Seek for POTENTIAL RETURN of > 15%/yr.
To Prevent Loss: Sell immediately when fundamentals deteriorate
To Maximise Gain & Reduce Loss: Sell when CPE/SPE > 1.5, when in Upper 1/3 of Valuation Zone & Returns < 15%/yr


2009 Sales 431,018,000
Employees: 543
Market Cap: 3,120,668,400
Shares Outstanding: 221,324,000
Closely Held Shares: 107,659,500