SP11 May 2021 16:23
As most long term holders know this drop in the share price has happened a number of times over the last few years.
The drop is quite simple. No one is buying! Why? because they are waiting to see just how low it will go before the big boys decide to dip a toe in to the water, at which point others should follow them and a penny plus increase in a day is very likely. Further increases depend on whether more join the moving train, if they do, it can go back up to around 12p. At this point (unless good news arrives in the meantime which could push it even higher than 12p) profit takers will start to pull the share back downwards.
Charts show a few very high points over the last 5 years with a lot of "Ws" in between.
People were talking of a NAV of up to 50p/60p which had buyers flocking in last time but more reality has pushed it back down, however if the next NAV is around 15 -17p a SP of 13 -14p is a possibility. If the NAV is around 6p-7p then 5p is a probability and all those pie in the sky forecasts of massive profits will be up in the sky rather than in our pockets. Remember most I.Ts trade with a 10%+ discount to NAV.
In the meantime we may, unfortunately, see it decline to the lows of 5p - 6.5p.
Around this point bargain seekers should emerge to make short term gains as the SP rises back towards double figures.
But what actually happens is any ones guess, it could suddenly shoot back up on some unexpected good news or drop further to the 4p - 5p mark.
You could sell, thinking it could go to 4p or less and buy it very cheap or buy now because you think it is very cheap at 8p and a decent profit should emerge. But usually which ever you do turns out to be wrong!!!!!!!!!!!!!!!!!!!! sods law
Our advice, for what it is worth after 55 + odd years of investing is:
Ignore what every one tells you and make your own mind up about:
What the NAV of FFWD really is now, along with all the information you have obtained on FFWD.
As for us we will wait until there is sufficient support for it and we are paying below our average cost. To buy at 5p would be attractive to us.
Our own disabilities and ailments increase, with the good lady starting to loose her sight, so FFWD had better put a spurt on if we are to see a decent profit!!!!!!
Take care all, and it is nice to see new names on here on the odd times we look in and they are also not being extremely rude to each other which was the problem a couple of years back.
Will try and look in at the weekend now the Blues have avoided relegation. They are talking about starting the local league again up here in May to complete it. Personally we think they should call it a day until September.