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Recommendations: 1
Sept 2009 March 2007 (12/06) Price 22.54 53.14 Total Debt 31,063 22,808 Debt Due in 5 Years 17,500 2,308 Total Interest Expense 1,770 1,100 Interest Coverage Ratio 1.1X 2.0X Debt to Capital 82% 71% Pension Assets 983 75 Pension Obligations 1,156 100 Common Stock O/S 571.91 339.32 Preferred Stock 1,144 689 Market Cap 12.9B 21.2B Annual Revenues 11,000 est 6,500 est EPS 0.75 est 1.95 est Revs per share 19.20 est 17.27 Cash Flow Share 3.20 est 4.43 Book Value per Share 10.40 est 13.51 Operating Margin 36.0% est 54.8% Depreciation 1,400 est 600 Net Profit 430 est 1,170 Tax Rate 8.0 % est 24.2% Working Capital (2,000) est 1,500 Shareholder Equity 7,000 est 6,084 Return on Total Capital 3.5% est 6.5% Return on Share Equity 6.0% est 19.2% Retained to Common Equity 2.5% est 17.2% All Dividends to Net Profit 69% est 21% Analyst S. Abdou S. Abdou 5 Year Price Projection High 50 70 5 Year Price Projection Low 35 50 Institutional Holders Shares 318,487 208,013
You might be able to see table better at this link http://www.rbcpa.com/companies/BAM_notes.html
I think this shows the potential of greater leverage. Greater maturities in 5 years. Greater Maturities to Capital. Increased Debt Levels. Lower coverage ratios. Greater Debt to Capital. Greater underfunded pension. Greater preferred stock. Increased share count. Reduced eps, eventhough Sales have doubled. Sales have doubled, yet revenues per share went up only around 10%. Declining Book Value and Cash Flow per share. Decrease in tax rate, which leads to higher NI. Yet, that could be a sign that higher NI is not sustainable. Negative Working Capital now. Lower returns on equity and capital. Higher ratio of Dividends to Profits. Increased Institutional Holders. Fitch IDR was BBB+ in 3/07, now BBB.
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