IDOM (7599) Shares Oversold on 1Q Results - BUY Here

Director, Pearl Hill Advisors

Nicholas Tanner

Director

Pearl Hill Advisors

Equity Bottom-Up

<p><strong>After two downward revisions last year, the company is determined to avoid a repeat. This year’s operating forecast of Y5.5bn is very conservative. They assume flat new car sales, conservative in light of the MMC scandal and 10% fall last year. They assume still high advertising and promotional costs but they will fall if new car sales are up. Also retail sales (as opposed to auction sales) will be up, costs of promoting its two new businesses will fall by Y1bn and losses in Australia should be</strong>…</p>

After two downward revisions last year, the company is determined to avoid a repeat. This year’s operating forecast of Y5.5bn is very conservative. They assume flat new car sales, conservative in light of the MMC scandal and 10% fall last year. They assume still high advertising and promotional costs but they will fall if new car sales are up. Also retail sales (as opposed to auction sales) will be up, costs of promoting its two new businesses will fall by Y1bn and losses in Australia should be…

Conservative Forecasts, Sell off Overdone, Now Is the Time to Buy

IDOM Inc

Conservative Forecasts, Sell off Overdone, Now Is the Time to Buy