Cause ?1 Nov 2013 13:10
SP has had a significant rise in the weeks leading up to this Trading Update and Dividend Declaration.
Remember the old saying, "Buy the rumour, sell the fact".
News today has been good, they have concluded further acquisitions.
They have also made one off payments on some existing deals, which will save money year
after year, on annual royalty payments no longer due.
I cannot tell whether there are more sells than buys or vice versa.
Assuming you are not thinking of buying on extended settlement and can buy outright.
All you have to ask yourself is are these undervalued, neutral or overvalued at today,s prices,
lower than yesterday.
If it helps - I bought quite a few at 3.2 pence years ago.
At the time they were little known and I felt I had taken a significant risk.
For or all I could tell I might find in the years ahead I had lost the lot.
Since then I've had a few dividend payments and the sp is a lot higher.
I've been buying at ever higher prices and still have that core holding.