Member Info for CJ39

Will the share price now rocket?

Exapt - certainly agree about the fact nothing has changed with WMH. Thank goodness for the share placement now. WMH is being managed brilliantly, focused on growth, removing inefficiencies, making tough decisions. Bookmakers will never lose their clientele, they will always make profit margins. The future clearly now is online and digital. WMH just need to keep trying to gain new customers and offer odds on all markets that people want to be bet on and offer competitive odds.

Warren, I’m just saying I don’t believe this crazy decline from 163p to 107p is because of the California sports betting deal being shelved.
I’m feeling relieved here. Had the price settled at 120 I would have been concerned that the fair SP is deemed to be at that level. Now I feel reassured knowing that this decline is something else. I still have 100% confidence in WMH and only wish I had available funds to pump more money in.
The rest of what you said Warren I agree with.

I don’t agree with that whatsoever Warren.
Has anyone else noticed all of the trades for 1122 shares and 3113 shares. Clearly coded for something.

107p now, I am speechless. Of course I’m gutted by this but the lower it goes I actually feel better because it’s clearly not an accurate share price. I would like to see the Dunn brothers purchase a load of shares now to reassure the market that this is a brilliant buy in price.

On the positive note, if this is manipulation of the share price by the Market Makers then the share price should rise sharply once they have completed their agenda. This is going to keep dropping until they’ve finished. It is clear that they want to create panic and people to feel doom and gloom about this share price. We will learn a lot looking back from this experience.

You can see from the daily trade figures that sells exceed buys by 33%. They want people to sell this shares for losses.

I think we can all agree now that the share price fall is not about how WMH is doing, it is being driven down by the market makers to fulfil an agenda that they have. 109p and still falling. I believe they are taking this down and down to get people who bought in higher to panic sell at losses so that they will make profits to counter losses they endured on the huge rise from 28p to 163p. This share price is not even remotely fair or accurate now, it’s blatant manipulation of the share price. They will keep forcing this down until their agenda is completed.

Yes, we are getting used to it now, it hasn’t stopped falling for 4 weeks. The MMs are pushing it down and keeping it down for some reason. Are you going to invest at these crazy low prices?

Thanks pmoran, you’re right. I was thinking of doing the same when I bought in at 65p. I bought a new car last April using all my savings to buy it outright, I was thinking had only this happened a year earlier I would have stuck that extra £10k in, made a nice extra £15k profit and get a really brilliant car. But yeah it would be distressing to take out a big loan and things to go pear shaped. Financial insecurity and debt troubles to cause a lot of anxiety, it’s not worth the risk as you say.

Yes totally agree there Morbox, we know this share well enough to know that trend/momentum is key here. It’s like turning a ship tanker around, it seems to take ages. I expected a retrace/decline in share price when we were in the 150s, but never ever did I think it would drop to these levels. Once we get momentum the other way this will rise quickly and to good levels.

That’s a shame Morbox. I think everyone thought 130p was as low as this would go given where we are at and the news. 112p is bewildering. We were higher than this in the first week of April, just two weeks into lockdown with huge uncertainty.

Since the peak of 163p on June 5th the following has happened:
The return of Premier league football, championship, as well as the Spanish leagues, Italy and almost every top division league in Europe apart from Holland, Belgium and France is now running.
Covid deaths have decreased week on week.
Corona virus vaccine has now started testing on people, with a potential roll out within 3 months.
We are out of lockdown.
WMH announced that the VAT refund which originally was thought to be £125–150m is more likely to be £200m.
WMH announced a trading update which was far better than originally expected, revenue for first 23 weeks of the accounting year down just 33%, but with a much reduced cost of sales.
Share placement carried out to raise an additional £234m in capital to make WMH financially stronger and able to grow the company.

The negatives:
Fear of a second coronavirus spike. My counter argument is that a vaccine is just months away and the first spike when all was unknown only halted football and horse racing 10 weeks. Punters were still betting, on things as daft as table tennis and football resumed in countries like Belarus, which punters switched to.
American sport other than PGA golf has not resumed. Counter argument - it will return soon and as we saw in the UK people in America who like to bet will still bet but switch from their usual sports.
The markets are struggling but not to the extent of WMH’s drop in share price. Counter argument - they are struggling but they will pick up and the markets have not effected Flutter who have reached record highs in recent weeks. In addition to this sports betting is done by the same groups of people and it’s addictive, people don’t usually go from betting regularly to stopping.
California didn’t manage to get a vote through to the public to vote on whether sports betting should be legalised. Counter argument- it was always a long shot given it had to pass two votes and get 2/3 of the vote. It is a shame but WMH hold licences in 9 states in America and will compete for many more -there are 40 other states and Europe. The opportunities for growth are there still.
Betting shops are open but not many people in towns. Counter argument - if you’ve ever been in a bookies regularly you always get the same characters in there and you’ll get young lads picking up betting sheets. These people will still be in the bookies.
I am sure there are other things that have happened that I have missed.

All I can say is that this drop in share price cannot he as a result of events that have happened but is about market makers manipulating the share price by driving it down for so long and so low. This is not a fair share price whatsoever. What is their game?

All this fear about a second coming of coronavirus is definitely a big reason behind the markets so low. Scientists are working like crazy to develop a vaccine - mainly because it will be worth a fortune. But all this fear yet the lockdown was not a disaster for betting firms. Online casino, games and poker boosted and punters switched their usual betting to other sports and leagues. If we do have a second wave of coronavirus it will drop cost of sales. I don’t fear its impact on WMH.
This share price is incredible. If it goes down much lower I am thinking of getting a £10k loan out to buy £10k worth on credit.

Novice - the shares didn’t just dilute, they raised an additional £234m in capital. A company could have just 10 shares, each with a value of £10,000 - company is worth £100,000. Then an announcement that 2 new shares would be issued creating £20,000 in capital. You would now have 12 shares in the company but the company is worth £120,000 - meaning that your share is still worth £10,000.
If the share placement didn’t happen the share would be worth £1.05 now based on current market cap minus capital raised from share placement divided by number of share pre share placement.

Splice, it sounds like it, but I think that’s the right way to go. Since the £2 limit came in betting shops are not money making machines any more. Clearly WMH are in a period of transition but it’s great to see how forward thinking and proactive the management are. Sadly for people there will be job redundancies but that will be a positive in terms of reducing cost of sales in time.
I’ve loaded up and bought more shares today at 116p, I have no doubts on WMH at all. Each pay day I will keep adding if the share price is far below what I believe it’s worth.

Crocq, that’s not true. How many people made thousands, tens of thousands on WMH shares on the rise back up? For everyone who made a profit someone made a loss of the same amount - and that is the market makers who quote prices every second of the day.

LUFC - I am starting to really believe that this prolonged decline in the share price is simply manipulation of the markets by Market Makers to try and recover losses from all those who made big profits from the rise up from 39p. I always thought at the time that the share price was too high at this moment reaching 160p. I think it was pushed up so high in order to catch people out who were buying at high prices and then panic sell following a prolonged decline.
This has fallen for almost 4 weeks now, way below levels anyone expected or believed was fair. I believe in WMH and this price is unbelievable. It’s pay day today, I’m adding to my holding, I don’t see any reason why WMH will not do well. Remember this - the Dunn brothers bought in at these levels a couple of months ago and that was when things were looking far more uncertain than now. Do they not know this market and how good a price that was? Don’t be afraid of Covid 19 on this market. Vaccines are being tested and we saw that revenue was not down that much - people who like to bet will usually switch to another sport to bet on. I believe WMH did really well during lockdown, I’m very confident that August’s results will be very positive. The key thing is WMH are focused on growth, acquiring Dr Green, securing 9 licences in the US so far and raising the capital to gain more licences when they become available. Don’t lose faith in WMH because of the share price decline, this decline has very little to do with WMH, it’s the MM driving this price down to recover losses. They do not want people to buy right now. They want you to sell. They will then rise the SP sharply so people cannot buy back in cheaply.

300zx, I was expecting you. Fair play. And I was wrong in my prediction but I’m still super confident this will reach £2 a share in the medium to long term.

I do wonder if the share price has been forced down this low by market makers to make profits from people selling out who bought in at higher levels by scaring people into thinking this is in freefall. Clearly lots of people made a lot of money from the huge rise from 28p to 163p and they do need to manipulate the market to recover losses.
Today we saw significant more sells than buys.
I don’t think we should see Covid 19 as such a huge scare factor, we had 10 weeks without sport in Europe but people were still betting on football in obscure leagues and table tennis which resulted a remarkably small drop in revenue. The Covid 19 vaccines are being tested on people now, if these are successful Covid 19 will not stop all sport again. When shops were closed it really cut the cost of sales.
It’s so easy for people to get carried away with the current trend. When this was rising how many people were claiming this would reach 180p, £2, that they were cheap as chips at 150p, that there would be no retrace again. Now we’ve had this prelonged downfall we see people panic selling, losing confidence in the share.
If this is a planned decrease by the market makers the share price will rapidly increase to ensure people miss out on the share price rising again.
Keep positive and have confidence in WMH. I am, the share price fall is not going to change my opinion about how strong a company WMH are and how forward thinking they are.