So whats the point going long this stock when it's losing market share, tons of competition that keeps getting greater with each passing year along with hatred towards this stock from wallstreet in general. It's overvalued at these levels which is sad. New symbol should be "RIP". That would be more fitting. Management can't control their own expenses which is ridiculous and their profit margins are pitiful. With a much lower market cap it will be extremely hard for them to buy other exchanges for more growth. Not to mention they way overpaid for Euronext to begin with. No amount of time will save them or their shareholders from this mess.
Read you and read nyxeuros and i think he presents the better case. By the way, earnings are projected at $5.00 in 2009. Figure on a $2.00 div (based on what mgt. said they intend to do). Bears had it good up to now, but i think time is on the side of those who are long.
By the way last I checked earnings are projected at 3.85 for 2009 not 5 iwinher. No way will NYX earn that by next year. Maybe just maybe if alot of things go right they earn 5 by end of 2010 but I doubt it. Slashing fees isn't a good thing either unless volume is threw the roof. But I have seen time and time again here people posting record breaking volume numbers and we tank bigtime come earnings. It will take another huge bullmarket and management to do a million things right just to get back to that 76 level we were at in Q2. This will take many, many years here if we are lucky. What a shame this stock has been for old longs but down here you almost can't go too wrong at these levels. How does NYSE goto 112 but NYSE EURONEXT AMEX goto 38? Thats crazy.
good point g but as you also know PEs are based on expectations for future growth and the interest rate and market environment. Hard for me to think NYX can sustain recent growth and interest rates will stay low. We are lucky to have Hess to take the guesswork out of it all.