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clock Created with Sketch. 13/11/14
18:23
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Originally posted by TeTeTe
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This is my last post on this stock. So I will leave you guys be. Good luck with it and I hope it goes to $100. Anyhow. How can you come up with a value greater than $7, when their revenue is still at zero. Unless i am missing something. How can a company that is yet to make money be trading at 3 times the book value alone and a negative ROE. I can understand if they are and have bene making record profits year after year and have a proven track record, to carry such a premium. But when something is not proven and yet to make money, how do they warrant trading where they are now. I could be wrong and they go to $7 ore more. But right now while nothing is yet a gurantee, and just a maybe, i will stick with my bearish view based on my charts and fundamentals. The support are on my chart seems to be around $1.90. If it hits there might take a short term long position to see what happens. Anyhow when they start generating money from those proven resources in the ground you talk about. Then i might change my bearish view to a bullish one. I like to buy companies that have a proven track record and short those that do not. Cheers.
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go back in history to Sandfire and follow there shareprice from discovery to production,it might give you an idea what good companies and business is all about
