Thursday, June 01, 2006

Tomorrow leading online o/night overnight accomodation Internet site lists on the ASX following its IPO. So what is well it is essentially a broker between consumers and accomodation providers. It details what accomodation is available when, for what locale, and for what price. This is displayed through a price matrix of accomodation / price. So what about the financials?
  • some comparisons have been made to SEEK which listed on the ASX last year at approximately $2.00 and is currently trading at $4.60 and a price earnings (PE) ratio of 42! (wow, only found this out tonight - it must have some exponential earning per share in the pipeline, although this would be nothing compared to the PE of Google)
  • has a 35% of market share of o/night accomodation in Australia; with some capital behind it, brand flooding may occur such that its market share is substantially increased (and typically with e-commerce, branding is 'winner takes all' - for example, Amazon, SEEK, eBay, Google, etc.)
  • is offering a 4.5% dividend yield; not bad returns even before any capital gain is factored into the equation!
So, WTF (yes I know v.funny) lists at 12.00pm - if you have some spare investment monies lying around, it might be worth an investment; this is the preliminary commentary on the IPO pre-listing:'s (WTF.AU)

A$172 million IPO has closed heavily oversubscribed with the shares priced at A$2.00 - the top-end of the indicative range. The general public has missed out with institutions scaled back to as little as one fifteenth of their requested allocations.

1 comment:

Part Time Jobs in Brisbane said...

I enjoyed reading your post. Very informative.
Part Time Jobs in Brisbane