Originally posted by Handy777
But it's also often just standard practice to flip them straight away if the price is above what you paid.
Especially after a recent 50% run.
Combine that with a few stop losses being hit and general panic and you actually have an okay buying opportunity.
Hold for 5+ years and you shouldn't be too concerned with today's action.
In my experience, it's the shorters who have the real inside info and they are the lowest % for the last 12 months.
What if this company will not exist in 5 years? The market cap is now 163.82M. If you take the 40M in the bank out, it's 123M worth of papers and goodwill without much tangible assets. There is no product for sale. There is a vague promise of a product to be made and unsubstantiated claim of a special method/solution to produce a stable product, however there is no patent filed for it. If it blows the 40m in cash in the next 2.5 years, there is nothing left of it. Every month without any real news seem to see the share price drop a lot. The speculative run last time from 46 to 77c on no news is not likely to happen again. Some punters might feel like taking a position now and set a stop loss at 5%-10%. I fear that such stop loss will be taken out within the next few days as it is likely to test the low of 46c soon. The chart shows that every time we had a sudden heavy dump like this, dropping a further 10%-15% is the norm!
