Our latest Investing Matters Podcast episode with QuotedData's Edward Marten has just been released. Listen here.
Yes, typical AIM/small cap...
Good news : spike the price and then...
No news : just keep dropping the price until holders lose the will/netve to hole.
Then repeat.
Just keep holding until fundamental news lands, assuming you believe it's coming.
But please, everyone, stop with the 'good time to top' like it's some sort of idle threat against MM's, just boring.
London in the process of killing itself...
https://www.telegraph.co.uk/business/2024/03/05/currys-investor-hits-out-absurd-london-stock-exchange/
Crazyfox, I hear what you're saying, but that's where the magic happens...
Traditionally, share prices are based on estimated future returns (20:1 ball park), not the asset worth of a business. That's why..
A. When someone offers to buy a company we (usually) see the share price rocket. It's the moment we see the true worth of a business realised.
B. This is why nearly all AIM & small caps (no divi) see their share price arbitrarily valued very loosely on the underlying assets, but mostly on demand for it's shares (and at the whim of the brokers).
In EUA's case, there is NO WAY to accurately value it's assets or what a potential buyer is willing to pay, especially given the massive risk currently associated with them.
Ergo, and potential buyer of the business would need to put a value on the assets, not just the mcap.
Hope this was sensible enough for you, but I suspect you already knew this?
"Anticipated Expenditure"
Google, can salaries be classed as 'expenditure'?
"Allowable expenses include your basic office costs such as stationery and the bills you pay on your business phone. Travel costs and staff salaries are also included"
So yes, salaries, oh, and travel costs. What's the weather like in Cayman this time of year?
350%, I meant 😅
You really do get to the point with these AIM 'businesses' where it becomes a bit farcical, and actually makes me laugh (or I'd cry).
They're traps you never get back out of with your shirt on.
And to think some criticise other for day trading this junk?!
You can see how share consolidation also serves to temper expectations, as a 2p share price would have some screaming 4-5p, easily.
Another leg up to 40p from here is 'only' another half penny in old money.
Not knocking it, just saying.