Stock markets are unforgiving and trying to pick winners is a gamble. Looks like NCZ has a positive future ahead but this by no means equates to the market pricing NCZ even close to fairly, unfortunately. Rather, the stock is riskier to own than an equivalent passive market index. With a high price volatility, minimal track record (3 years + good track record would be desirable) and a 12 month negative price return - it is likely to attract systematic short/long sellers who have the skill to profit from volatility. For systematic value investors it would probably be screened/scrubbed out. These are the factors effecting price, not company specific heresay.
In the long term once a track record of performance is established then the future looks brighter as a value play. Until then expect high volatility and a price that is no where near fundamental value - just like the hundreds of other stocks that are out there on the market that face the same problem. The market sets prices not forecasts, opinions, production reports etc etc. The martlet will also stay irrational longer than most will stay solvent!
NCZ Price at posting:
81.5¢ Sentiment: None Disclosure: Not Held
