After seeing BLA share price making a huge gain today I decided to search for latest brokers' target prices and I found 3 brokers with target prices all above $5.
Ord Minnette target price = $5.75
Morgans target price = $5.55
Shaw and Partners tp = $5.10
And the AFR reported a short squeeze due to a recall of shares. This gives me confidence that major institutions/short-lenders have bought up BLA shares over the last few days and decided to recall all their shares. Also, I believe the update today from BLA management about its asset valuation and this line of "
Blue Sky further advises that as a result of the above mentioned revaluations, there is no material
impact on its FEAUM announced on 7 May 2018." has given investors some sort of comfort that at least things are where it is and management are coming clean on their businesses and accounts.
At target price of $5.75 by Ord Minnette compared to current sp of 2.89, this is almost 100% upside potential.
http://www.copyright link/street-talk/short-squeeze-sees-blue-sky-shares-pop-20180515-h1032h
For me this is a good reward/risk ratio and I will start buying tomorrow. I understand it is not without risk but it looks like a low risk and high reward from where it is now for me. DYOR.
