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@dealer55,
Alas, have been here before with AIM. I once was in an AIM stock that climbed near 1000% held it thinking of more jam tomorrow only to see it walked down by MMs. Fact is in the absence of fundamentals based on more improved production all that's is left is jam tomorrow or promises of jam tomorrow with another RNS, etc. So, what's left is the funds raised in the placing some minor production. Dilution follows, then consolidation and usually retail shareholders get taken to the cleaners. Best thing is to trade it and not hold. Take profits when they arrive. More spikes will happen followed by falling blades. Eventually, EDL might come good but the company has a long way to go and many hurdles to get through. Buy and hold strategy won't work here. In the long run your left holding the pennies.
Del Boy:
Don't worry, Rodney. This time next year, we'll be millionaires!
Rodney:
This time last WEEK we were millionaires!
lol
By the time they are done they would get the initial outlay back and more to boot.......
@kelladee,
I'm looking to get back in but in no hurry. What I don't want to contribute to is some "loan sharks" pocket at these levels. Obviously, there was a big seller out there this morning which capped the momentum.
@LG,
Don't you ever kick yourself for not going short?
Meant support.. lol
Resistance Support same thing really from opposites sides of the mirror. lol Bleeding terminology lol
@aerial,
This broke .10 level. Next resistance is 0.09. If it breaks that its (just did) heading down to about 0.06 on intra-day. LG ought to realise that this AIM has got a long way to go and he ought to trade it to recover his losses. This stock is excellent to trade. It's being walked down.
Yesterdays RNS was a welcomed relief but caution as it came on the back of heavy dilution. Only put in what you can afford to lose comfortably.
Interesting analysis by SimplyWall.st
Sums the fundamentals as:
Very undervalued with solid track record.
Greater than 50% discount on valuation.
share price is below the future cash flow value, and at a moderate discount (> 20%).
share price is below the future cash flow value, and at a substantial discount (> 40%).
good value based on expected growth next year.
year on year earnings growth rate has been positive over the past 5 years.
1-year earnings growth exceeds its 5-year average (92% vs 12.1%)
able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
cash and other short term assets cover its long term commitments.
The level of debt compared to net worth has been reduced over the past 5 years (70.7% vs 44.7% today).
Debt is well covered by operating cash flow (66.1%, greater than 20% of total debt).
Interest payments on debt are well covered by earnings (EBIT is 3.1x coverage).
Source: https://simplywall.st/stocks/gb/materials/aim-shg/shanta-gold-shares#information
@larrygrayson,
I've still got an eye on EDL and plan to get back in post consolidation. My target to get out was 0.16 but sold far too early. Pleased though to walk away with a doubler.
Problem you have is that your stuck in negativity and miss out on trading opportunities. You could have averaged to near damn 0.002 when the price was on the floor. You could have looked at the RNS releases a bit more positively and read the clear indications it was primed to rise.
But your losses are clouding your judgement. The whole point about the stock market is to make money and not let your emotions get the better of you. I'm equally guilty though as I took profits way to early possibly due to reading the negativity here and letting it get the better of me...
However, there is always another opportunity and EDL will present them going forwards.
Good luck and try snap out of it. You can't win being negative all the time.
@mick-b,
Agree could have got out a lot higher but pleased to walk away with a doubler after being down over 80%.
@mick-b,
Agree puts a dampener on things.
Reminds me of the negativity with EDL that mines coal in Tanzania. I got positive with EDL last week. Averaged away my losses and then today after seeing the upwards move sold too quickly. Doubled my money though and I guess a win is a win. But, now it's 400% up on the day.
I like SHG. Let's hope the politics keeps out of it.
Professor Joseph Piotroski didn't include politics in his F-Score.
@mick-b
Amazing when you think about it for a small cap. It seems to have, pardon the pun, a bit of a Midas touch about it.
There seems to be a cup and handle on the 1 year chart which seems to indicate this is going higher than 12p.
Let's see.... Anyway, the stock looks promising...
Good luck all and lose your pants....
SHG has a lot going for it. I like the fact that it is on target to meet its gold production. It's reducing debt. Seems to be having a good year so far. Let's hope it stays that way.... you can never tell... though it's a speculative small cap super stock really when you analyse it. Surprised its not heading for 12p a lot sooner with all the positive noise.
Closed my position with EDL today due mainly to worries about dilution. Hope it continues rising for investors particularly those who are still in the red and didn't average down there.
110% rise is too much to ignore so I closed out with good profit.
Will revisit EDL and check it out after consolidation. It's got a lot of things going for it once it sorts out its finances.
Cheers.
Anyone who did the research over the weekend on the technicals would have realised that at the minimum 8 technical signals pointed to trend reversal. That was an amazing alignment. So, let's see what happens...
@aerial that's pretty clear. The company has resources, is able to mine those resources, has clients, is well located to distribute the resources it has and will soon have the financing it needs to turn the corner and deliver shareholder value. The BoD is aware it needs to deliver shareholder value to remove itself from a "sucker stock" status and not face the position it encountered recently with shareholders.
AIM is such a casino really so who really knows.
@kelladee that's just a formality. It will get through easily.