Shareholders of OzForex Group Ltd (ASX: OFX) have enjoyed a sharp upswing in the company's share price in recent weeks, with the stock having surged 35% in a little over two weeks.
After dipping as low as $2.03 on 20 November, the stock has today risen 4.2% to be trading at $2.74 – its highest price in five-and-a-half months. It has performed particularly strongly since the money transfer business delivered its first-half financial results, which were highlighted by:
- A 26% rise in statutory net profit, compared to the prior corresponding period (pcp)
- 129,900 active clients, up 26% on the pcp
- Total transaction value of $7.5 billion
Although the stock isn't as cheap as it was just two weeks ago, now still seems like a very reasonable price to buy at. At $2.74, OzForex shares are trading on a forecast P/E ratio of 28.8x FY15 earnings – a justifiable price considering the company's enormous growth potential.
