sp and future, page-2

Kagara's sp would appear to have been hit much harder than it's peers. (I group PNA, OZL, WSA as KZL's peers - if others can show different companies which have suffered as much as KZL, I am happy to be educated).

Why?

There could be a number of reasons.

1. KZL may be being marked down because it has not done what it said it would in the timeframe it said it would. (Mungana float being delayed. While there were good reasons for this, the market is not very forgiving currently)
2. LME Zinc prices have come off the boil a fair bit.
3. Investors are becoming a little fearful and are either moving to cash or to the blue chips, rather than mid chips.
4. The market is currently not believing that there is any value in Ad Bay (sp does not reflect it) and so they are not seeing where the long term revenue stream is coming from.

I am not saying that any of the above are true or not, all I am doing is listing what investors could be thinking or perceiving, and in this market perception is reality, and people act accordingly.

So Dan Ash, I may not be supporting your prediction, but I cannot see much upside in the sp for an extended period of time.

HT1