Forum Archive Index - August 2001

["G Stolwyk" <stolwyk@wave.co.nz>]

1. Statistics:

 

Shares: 248. 1 mill..   NPAT: $ A 154.09.   E/S: 62.1 cents. 

 

Price: $ 3.85.  Historic P/E: 6.2. ( Up to June 30, 2001 )   

 

Forecasts: None available: declared profit is way above the previous forecasts. Rest assured that a new forecast will lower the P/E to a possible 5 or so ( Current number of shares: 279 mill.).

 

2. Comments: CLI, site:< www.challengergroup.com> is innovative and proactive, desirable qualities lacking in many managements.

 

It is No.1 in Annuities in Australia and there is a wall of money becoming available for investment in that catagory.

 

They will still need to prove themselves in England; my understanding is that the level of payouts from existing firms over there is not that high. CLI should do better than that, I think!

 

I asked my broker friend, why CLI was not mentioned by Brokers. Answer: CLI sells many products from their own offices, leaving little in the ways of fees to the brokers! 

 

Gerry

Holds CLI bought @ $ A 4.03

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Disclaimer: Readers are not asked to buy, hold or sell CLI or other securities. To do so, will be entirely at their own risk.