more director buying, page-4

Director buying big chunks and supporting the price is all very well, but I am pretty frustrated with this share. Seems to me like they opportunistically raised funds on a price spike without a clear strategy for the funds. Normally, funds raised at this stage of a business development would be expected to go towards speeding up roll-out of the existing business model, but it looks to me like they are going towards a diversification - almost as though they have decided they need a better base for the business.

As far as minerals/engineering/IP based companies go, I now prefer AET which is reporting a continuous stream of ever bigger contract wins for their smelter technology, while adding in additional earnings streams that should provide greater earnings stability. The market cap is about 2.5 times EMM, but the NPBT is about 5 times and they should dramatically grow NPAT this year while rolling out new initiatives. EMM meanwhile appears to be making minimal profit in the second half and blaming it on the cost of their new initiatives.