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TOTAL S.A. Message Board

  • snogreen snogreen Aug 1, 2011 5:23 PM Flag

    Try this

    Want to make moneyTotal??? Do the math. Total has a market cap of about $119 billion. It earned $17 billion or so last year. Will earn more this year.

    The earnings will cover debt service. what does that leave?

    If TOTAL eliminated the $6 billion dividend...and sold all it's Sanofi Avnetis shares (close to $4 billion worth. That frees up about $10 billion!! Add that onto about $28 billion of cash on and already..... that ads up to $38 BILLION of cash on hand, dividends cash and Sanogii shares.

    So why woudl TOT have a $119 billion market cap.....if they have access to up tp $38 billion of cash? Basicallay using TOT's own cash, eliminating teh dividend.and selling Sanofi shares....TOT coudl buy back about 35% of teh! Using other cash flow...and all dividend coudl basically take TOT private in about 8 years or less. But even if they bought back 50% of TOT with easy cash.......down to 1 billion shares outstanding.with about $18 billion earnings...that is about $16 a share in earnings? I would give teh improved TOT a 9 times PE reatio? 9 times $16 p/s is a price target of $144. And that is conservative,

    So woul the does at TOT rather see teh stock go down and down.....with a 5.5% dividend (double taxed).or woudl you like to see TOTAL elimiante alkl the waste and buy back 50% of shares..and see each share worth perhaops $150? You make a lot more this way that you ever woudl in a dividend.

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