Q: Pretty nice earnings, but with other issues noted on previous questions what fair value would you place on the shares at this point?
5i Research Answer:
We typically do not like giving price targets or estimates on fair value, as it can not only complicate things but also the timeframe for price targets can make a huge difference. LAS.A is up 31% year-to-date and 28% on a one-year basis. It is trading below its 10-year historical valuation averages, and recent momentum has been quite positive. It trades at 10X forward earnings, and with a 10-year average of 15X, we could see it begin trending closer to a 12X valuation if management continues to execute.