ASX:BKICapital Markets
BKI Investment (ASX:BKI) Shares Face A Premium Valuation Reckoning
BKI Investment went into this earnings print with the stock at A$1.885 after a steady run over the last quarter, and the market is now wrestling with a simple question. Do ultra high profit margins justify a rich price tag? The headline is clear for you as a shareholder. BKI is still printing very high net margins and positive earnings, yet the stock carries a P/E premium and trades well above one discounted cash flow estimate.
Today’s move looks less like a verdict on near term profit and...