good move, page-17

a series of posts on ERG .....



Posts on ERG from a year ago


Dr spok

Valuation is the key. Here is what I posted in july for those that missed it.

"Do people realise that this company is essentially trading at 50% of net working capital less debt. So even if they blow another $60m in cash, you should not lose your equity. The way i look at is that making a 10% cost blowout on an estimated cost of $250m is not as basd as 10% on $150m. As the $150 shrinks so do the risks. You get your money back x2 and then get the company for free. I will take that bet any day."

Michaelirish

Very insightful.
I read the post and learned quite a bit from it.

Did you take the bet?

Dr spok

Yes. In a very big way. These opportunities don't come very often, so when they do, it requires gritting your teeth and having a massive swing.


Michaelirish

Good luck

I have a very strong position

Good to hear. You seem to know quite a lot about this stock. You probably have a pretty good idea of how undervalued it is.

Dr spok

I think the days of needing luck in this stock are over.

And then Sabretoothed

U most know ERG pretty well from $50 to 20c lol