RE: Eddie Stobart7 Jun 2020 10:50
Hi Robert, it sounds to me that you might be interested in this as a recovery stock? I might be wrong. I have noticed that you have also made contributions to Cineworld chat. I hold both although I have top sliced CINE and riding a free there.
My own opinion of this stock is that it is clearly discounted from its highs and therefore on the face of it has some potential to recover although of course this is not guaranteed. The current price appears to be cheap 7 to 8p compared to it's highs. Personally, when I look at stocks like this that have had a big drop, I ignore the highs. IMO this is a distressed Company and not the same Company that it once was and therefore is incapable of achieving such high's unless it totally reinvents itself. The question is then, what potential does it have? I believe that in the short to near term it will be carried along with the 'bounce' that the world economy is beginning to experience. Longer-term if you are willing to hold then you will have to DYOR and look at the fundamentals as the messy situation this business has found itself in is risky. The Company appears to be somewhat unloved although buying back the brand name is a very positive move in the right direction.
My own approach is to have bought in at just over 7p, if it is carried on the crest of the wave of recovery I might see some rewards. Then I may top slice it which will leave me on a free ride for the long term.
Just my opinion DYOR