You say I don’t give LJ enough credit for the turnaround. When I see a turnaround I’ll give him and this company all the credit they deserve. Until then the only thing he deserves credit for is convincing some investors to tip in another $25 million to pay down DRM’s debt and for jawboning the share price up. That is undeniable and real achievement.
But all I see at the moment in LJ is another major parallel with the BDR story and SJ. Shareholders loudly heralding the prowess of a new manager, together with a rising share price based on no real sustained bottom line results and lots of spending on drilling and talking about “the turnaround” and the great future prospects of the company.
I’d suggest to you if you’ve followed the BDR story that there would be very few shareholders heralding the achievements of Simon Jackson right now. It’s just human psychology to want to believe in fairy tales and white knights riding to the rescue. That’s what we are taught as young children and that’s what stays behind in our subconscious. Unfortunately the market eats up people who believe in fairy tales because it works on reality in the final conclusion. Esh
DRM Price at posting:
38.5¢ Sentiment: None Disclosure: Not Held
