NAV - 22
Annualized EPS - 13.14
PER - 12.77
Sector PER - 26
One of the few companies who declares four interim dividends per year
Already declared 12.25 per share for the financial year 2010
So Dividend P/O ratio - 93% ( Can be consider as cash cow )
For me this is a highly undervalued share . What is you ideas about this ?
Also MD Kishu Gomes recently spoke about the growth of the lubricant sector. ( Please follow this link ( http://www.tops.lk/article28825-lubricant-industry-sees-growth.html)
Lubricant industry sees growth
The lubricant industry recorded a four percent volume growth for the first nine months this year.
This is encouraging and we could expect further growth by the end of this year. Overall the lubricant business is doing better," Chevron Lubricant Lanka Managing
Director Kishu Gomes told Daily News Business.
The lubricant market is dominated by a few players. The Government plans to further open up the industry allowing more players enter the business. The Government should ensure that more business is generated in the current market to be shared by new players, Gomes said.
Out of 14 lubricant industrialists, only two players locally blend the products and Chevron Lubricant Lanka is one of them. If more players entered as traders there will be no benefit to the Government. However, if the new players invest, manufacture and introduce technology then there will be value creation". "We use local material and services from the country and we export to other countries," he said.
"The Government needs to have a strategic plan to turnaround ailing Government entities. It needs a proper vision and strategy to run these institutions as profit centres. The Government needs different thinking, planning and management that is align with the plan executed".
"With those elements in place the Government will be able to manage these institutions without being a burden to the public. Proper management is necessary as it will generate revenue, provide better service to people, and a better deal to channel partners," Gomes said.