It seems to me no matter what demand there is there seems to be ample shares available to keep the shareprice down. Yes its a new day and a new year,so the potential excuse for suppression of the shareprice because of co's ensuring they get their yearly tax loss is gone.Remember you could have sold yesterday to get your tax writeoff and bought again today to keep your shares as well. Some people have to sell,no matter what,OTHERS MAY BE ACCUMMULATING KNOWING that ultimately the company will sort itself out and if it returns to any index,then there will be a buying frenzy by all those mutual funds that include/follow the index/sharemarket. Loaded up and packing for bear,can't carry anymore,I'm all shared out,so bargain buys are for those with remaining cash.pity it never got to 2cents mind.At that i'd find more.
Eitherway the annual report will show a rosier picture than the last one.$288m Ebitda guideance confirmed only days ago-can't get better than that for a warning to protect shareholders from fear selling at rumours.(40m cash off loans me guess + $200m improvement in shareholders equity from bbi deal after writedowns.To me that's the same as a 20 cent divvy (straight to shareholders equity-that's us)without the tax on a 5c share.If we weren't worth liquidating a year ago,why would we be now with most business issues settled and price rises already covering increased costs and even better as time passes.I figure hold and happily wait for the gold.Remember every share you hold is a vote for either yes or no for whatever eventuates. The last announcement had a new statement at the bottom.i.e. Alinta is a vertically integrated power company retailing electricity and gas in a number of Australian states,something to that effect.That tells me there is a new direction and emphasis towards retailing.That's where the money and No risk is at the moment.You don't need power stations to retail,but if you do,it guarantees your income and makes it very stable and highly profitable
Buy in gloom sell in boom.Buy in haste and repent at leisure.
AEJ Price at posting:
5.0¢ Sentiment: Buy Disclosure: Held