RE: Reddit Poly20 Mar 2022 19:04
https://www.investopedia.com/thmb/X0qUJkjjXbS-lbUcIDvf80g6WOQ=/660x0/filters:no_upscale():max_bytes(150000):strip_icc():format(webp)/screengrab-5bfd84ddc9e77c0026f399c7
We are witnessing what I believe to be a 1929 event unfolding before our eyes with POYYF and opportunity is knocking. Amazingly, POYYF is one of two Russia related stocks that is currently still tradeable with my broker Schwab.
As many of you know in 1929 everything fell apart. Panic swept the nation and the stock market. My great-grandfather was hit hard by it all as an orange farmer because he had mortgaged two years of his crop to vastly expand his orchards and sadly due to a really strong cold snap, his crop failed that year. The banks would not extend any more credit to him. And as everything fell apart, they demanded immediate repayment of his debts. He couldn't pay them, so he had to sell his newly acquired orange farms AND his original farm leaving my great-grandmother a small farm house with only 1-2 acres around it. He lost thousands of acres of farmland and he lost it mentally. He was a mental wreck the rest of his life. My great-grandmother worked hard. She gardened, took on boarders, and saved what she could. She was forward thinking and with what little money she could scrap together, while my great-grandfather was a complete drunk, she bought some oil and gas rights in Texas for rock bottom prices.
Fast forward to when my grandfather received those oil and gas rights. At one point they were producing $40,000 a month in dividends for him. He lived a comfortable life and acquired a lot of wealth, but long story short he left the wealth to his 2nd wife (not my grandmother) and she is leaving it to her 60 year old nieces who are childless. This steams the heck out of me and it makes me hungry for my own 1929 opportunity. Well, when opportunity knocks you better open the door.
I have secured 70,000 shares of POYYF and it is in my estimation one of the best opportunities ever for long term investors, but also for dividend investors. The market has priced POYYF as if it is about to declare bankruptcy, be nationalized, or has has been cooking the books on the scale of Enron. None of those things are at play right now nor do I expect them to be. The stock starting dropping as it became clear that Putin was intent on invading Ukraine. After the invasion, the stock dropped tremendously.
r/POYYF - 1929 Moment with POYYF: Why I am Retiring Early with POYYF
The stock continued to slide and bottomed around $1.51 a few days ago when all of the Non-Russians on the board resigned. This is not exclusive to the company. Many companies with a presence in Russia saw the departure of all the non-Russians on their board. This again, was a market over-reaction. No gold mine ever deserves to trade at or below 1 PE. That is a preposterous price! It is a 1929 price!
SimplyWallStreet assigns the fair value of the company conservatively at $9.32, even though it has traded arou
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