Bullish Sign? - Bounced off 200 EMA, page-2161

Sabine

On Ausdril, I recall reading years ago an article on the risks that are inherent in specialised drilling companies, so I have avoided them. I now cannot be sure what it is that I read, but it was probably that drilling is more cyclical than most mining services, and that may encourage too much debt funding in boom years (high rig utilisation), and disasters in the low-rig-utilisation years because of debt burden.

Commenting on stock that I have never held is something that I avoid, because I rarely know enough to support an opinion, but especially for you, I write this post to give me an excuse to change the well-known dictum, "Timeo Danaos et dona ferentes" to "Timeo sociatas et terebras ferentes" (I fear firms bearing drills). On doing business with Adani, Timeo Indiani et promissa ferentes. Some pedant who knows Latin well may find fault with my attempt to write the language using the Internet as a resourse.

Getting back to drilling companies, a quick glance at posts at the BLY subforum suggest the SP is now 1c, and flicking back it was about $1.50 in 2012 or 2013. I have no interest in Ausdrill, but a flick back to 2012 finds an SP of $3+, which dropped to a few cents two years later. It is now about $2, so it could have a saving-grace story, and many current holders would be well pleased with the recovery.

At least with NWH we can blame Samsung for NWH's near-death experience.