US retail sales have started to boom. This is one of the reasons the Dow spiked yesterday. Hope this continues. Once there is a scramble to buy US commercial property, this will encourage Australian property prices which are already increasing in value.
CNP's property portfolio valuations can increase by over a billion in the next six monthsm, just as the valuations fell quickly.
Keeping my fingers crossed. There is hope. CNP SP may be $1 by Christmas or atleast half way up. Then the upward trend will continue, insolvency risk will evaporate as cash flows increase and banks will be comfortable.
When the SP touches $2 CNP capitalisation will be 3 billion and it can make share placement of say $1 billion at $2 a share, to pay off banks not willing to extend. It can also sell properties at profit. The best things is that they have very good assets.
CNP Price at posting:
15.0¢ Sentiment: Buy Disclosure: Held
