sentiment returning28 Dec 2020 11:26
yes, its all down to sentiment. we have seen for some companies in AIM, sp been lingering down for long time despite valuation should be much higher. look at JLP for example. was round 2p-3p for many years and only few mths back it started getting the attention and sentiment and now sp already 5 bags. there are other companies too.
same here, yes, NAV been high and sentiment still poor but the reality is IIP should be valued at much higher as they have massive infrastructure projects in India that worth multiple times current mcap. if any of the projects being sold, we will generate massive surplus cash.
why sp been low? well, because low sentiment and people are avoiding this. for a start, we should rise back to pre-covid sp which is around 4p for starter.
and then from there, we should hopefully rise back to close to NAV value. we need positive sentiments . though the fact that certain derampers are appearing indicates that they "care" about this company and hopefully that is a good sign that positive sentiment will return soon.
2021 is when economy will be back up in India. so expect massive recovery in here.