Total No of shares as of date after conversion: 230,607,283
The net Book Value after this new capital - per share : 32.69
If we think that in a worst case scenario, NTB is making exactly the same profit in 2011 as in 2010 - without a before tax profit growth in 2011;
adjusting for the new lower corporate tax and financial VAT in 2011, the projected EPS for 2011 will be Rs. 6.65 (ON the increased no. of shares)
At Rs.80, the forward PE will be 12.04 and Price to Book Value will be 2.45
These are excellent figures for a growing bank.
The share price came down from 84 to 78 levels, probably because people who had free warrants, excercised at 35/-, are selling it at lower prices. This is opportunity for a mid-term investors to collect.
This type of solid shares will be the target of institutional investors / fund managers who look at medium term horizon.
(This is strictly "No" for speculation-mongers who love WAPO, GREG etc)
Last edited by anu on Fri Mar 11, 2011 8:24 am; edited 1 time in total (Reason for editing : typo)