Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
http://www.thetimes.co.uk/tto/business/industries/retailing/article4660382.ece
you may recall I was interested around 6.80ish but expressed concerns about the boss and his maverick style...put options, call options, and fractured relationships with suppliers (adidas). Once again, there is news flow on the back of the 'deal' with his potential son-in-law.....the profit warning is simply compounded by all this negativity and makes shareholders weary. No wonder the stock has been dumped hard today. GL
me going short after the last trading update after being burned long. I have now closed my short after recouping 84% of my losses. Good luck all, but I do fear there is no investment case here (though there is always a pop here and there when shorts are heavy in). Hats off to Matthew Earl....I read his analysis before taking a position at 110p and discarded it. I think he was fairly accurate in hindsight.
https://www.youtube.com/watch?v=CX3-6Q0sDqY&feature=youtu.be
Think you'll be ok with that average. Looks to be pricing in the end of the world currently. You need to have confidence that they'll use the proceeds from the disposals wisely, so a large part of the investment case is around confidence in managment.
Sorry but that is a ludicrous suggestion - "...will be back up at £12 again in the next few weeks". It has to move 33% to do that. If you look at the earnings miss guidance, this has been disproportionately savaged which can only mean the investment community has little faith in BOD.
600p just provides me that little bit of a margin of safety because this share is quite volatile. So many times I have thought I missed the boat when it trends up into the 8s but it always seems to drift back down and we've seen low 6s previously off high 7s and low 8s. Don't get me wrong 600p is very cheap as I think this is going a lot higher over time as there is no real competition and barriers to entry are so high because of low pricing. I do reiterate however that this stock will always trade at some sort of discount because of the slightly Maverick personnel steering the ship. It may be that MA does make money on puts and calls here and there but I think it's much more of an appealing stock if he simply concentrates on bringing the best out of SPD.
Yep short Glen. RE 140 odd posts - there is much disagreement over there but in a nutshell when operational leverage combines with financial leverage it normally doesn't end well for investors. I've been trying to get that point across. Anyway back to SPD, Mike is undoubtedly a clever man, but it worries me a little when I read about his hedge fund like trades in Tesco, Debenhams etc. I think this stock will always trade at a discount because investors will worry about waking up one morning and either finding an existing 'trade' has gone wrong or he has taken on a new 'trade' which people think is simply crazy. Enjoy your break.
hmm callled this one fairly accurately. It was 718p when I posted comments on it having a big range and now looks to close 690p. There's no real margin of safety at these levels. I'll get interested in and around 600p
MrEMC2 that's the million dollar question, but I would prob close out 40p which would break me even on my horrible call purchasing at 100p. My honest belief is that bods claim that they have enough money to get them to profitability is a laughable one. I do see another cash call, the loss of confidence and further downside. The language in the trading statement was almost childlike "To meet our growth plans we need to increase the pace of bringing suppliers onto the Network, sign-up more new buyers to join the network, secure further buyer renewals at enhanced pricing and new suppliers to Early Payment". Talk about stating the b...... obvious.
but notice there's a big range when it sells off. It's all about the timing here because 600p-800p is not unthinkable. I think this goes a lot higher over time for the sole reason they have no competition in the space. So as long as the mgmt executes the bottom line must soak up that advantage.
No need for a rights issue and big returns after restructuring. Seems very oversold at these levels considering the new guy is supposed to be one of the best bankers of his generation. http://www.bloomberg.com/news/articles/2015-10-08/standard-chartered-can-fill-gap-without-new-cash-goldman-says