Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Good points Rivaldo + Allianz have spotted the value and quietly picked up 7.5%. Shame this hasn't hit most people's radar screen yet but at least it gives an opportunity to increase my holding whilst it is slowly ticking up
Still moving up but low volumes ... buy at 17 and sell at 16.6
A buy in at 16.95 ... let's hope it's through the 16.49 barrier ... so little stock out there and still no RNS update on Wednesday's1% buy (although labelled as an uncrossing trade - hard to believe at 20x daily volume). Hopefully NTQ is finally getting noticed and its cash position and strong management will be reflected in the share price
Up again today despite low volume ... its hard to work out what is happening in the background ... its still hard to get shares but yesterday's 325k shares seems to have been unwound later in the day so may not have been a real trade. We've had 3 days now of good sp gains on the back of solid sp progress since results in June (and with at least 1 big 600k buy) - you would have thought that would have got the share noticed by the wider market ...
Qd22 - have you seen another 0.5% of the company changing hands has been reported this morning at 15p (yesterday's 1% was defined as an uncrossing trade but a tad odd at 20 times the normal daily volume) ... I am trying to buy more but there are virtually no shares available ... potentially we have a major buyer in at 15p
Ironically I got my nickname from doing the same as you multiple times - ie spotting an undervalued share ... buying some .. then buying more/doubling up when the sp dropped ... then doubling up again when sp dropped even further!!!! I did it 3 or 4 times without learning (on FCCN, OVG, RIA and NTQ!!) On most occasions I sat and held and got a tidy return when the market eventually recognised the value in the company. For example I have sat on OVG since 2013 and the market has only spotted in the last few weeks that the assets were 5x the market cap (its almost trebled since). Hopefully the wider market will spot NTQ although IMO I think we will only go 2-3x from here!
Qd22, I think the steady rise since Mid June is a response to the results - showing that the business has been successfully right-sized (even a small increase in cash) for the current market (the CEO was quoted as saying"the business is secure"). Although there are small operational loses, the cash balance is $15m, ie significantly exceeding the market cap hence potentially investors are recognising value. The interesting news today is a large purchase of c1% of the company - has this undervalued asset been spotted by a purchaser or a new institutional investor?
Welcome all newcomers to the OVG board ... a quick summary (IMO) from the last 4 years (a few of us have been holding and waiting for the market to spot the value in OVG On the plus side (values prior to today's rise) you have assets 5 times the market cap: 1 POLY shares worth 3x the market cap 2 Cash, cash equivalents and other investments approaching 2x the market cap 3 Cumulative tax losses worth more than the market cap (ie to a purchaser or when OVG in profit) On the down side: 1. Russian focus (and all the geopolitical risk) 2. Inactive management who aren't big on communication 3. A loan to a 3rd party that went wrong and a legal case ongoing to recoup the debt (part already recovered) DYOR but it seems a no brainer to me ... I'm holding for the SP to hit the 20's
The rise continues ... SP's broken 8p for first time since late 2014 ... POLY shares still looking good above £11 ... come on Management ... what's your verdict Daisan?
Hopefully people are now spotting the huge discount to asset value ... We need management to get in gear next
With a £4m market cap and 10% of the shares held by the company in treasury this becomes even more crazy / suspicious / bargain ... The rise in their Poly shares value this year is on a par with the market cap!!! The legal case is more pessimistic than last year but its still only a small amount versus net assets. I'm either glass half full (fill my boots ... I have a fair few shares already) or glass half empty (chasing shadows, eg the agm resolutions give them power to do anything to affect the PI ... Issuing new shares, diluting us, etc?) Its almost worth a trip to Dublin for the AGM and chat to management
Cumulative tax losses from last 4 years are more than the market cap so a profitable mining purchaser would get the assets for nothing at the current share price
Hi Risk Manager - whats the activity been on ISDX this week? It's been frustratingly quiet again on LSE. I have been side tracked by HNR . .. at least there is a steady RNS communication flow from management there. How do we wake up OVG mgt and get some comms?
Thanks for the response JPTrader. The board got agreement to a share buy back (item 17) of the AGM in September 15. It might have been a generic option that they do every year with no intention of being implemented but SPD has a bit of form on share buy backs (eg the company first started buying its own shares when the price dropped 70% in late 2007 after 3 profit warnings ... they only IPO'd in February 2007!!). It's an efficient way of MA increasing his stake / buying back the company without paying a bid premium and leaving a public minority stake so he can monetise part of his stake when he wants to raise a couple of hundred million (I have that problem every year or two - not!!). To be fair he's a brilliant retailer and canny operator who doesn't appear to worry too much what the market thinks ... I guess he doesn't need to and it actually helps a buy back if people like GS ding SPD and push the share price down. I bought at just over £3.50 with the hope of getting back to c.£4 ... but if SPD starts buying its own shares back then I will belt in for the ride back to £7 or £8. Having said all that most people I know sell shares when I buy them and buy them when I sell them !!!!
HI JPTrader and sm298ex, I'm new to SPD this week but bought in as the reaction to GS seems overdone. A year or so back there was a share buy back underway ... is that finished or on hold (any chance management will take advantage of the low share price)? Thanks Slow
It's a hot board today indeed ... if next week the share price makes it to double figures too then I'll only be too happy to welcome you back onboard
I hear you - I bought in in 2013 and topped up in 2015 and have watched it stagnate with my cash tied up. Its hard to work out what management are planning but they have good options so hopefully we will see some action. Clearly it doesn't affect what the company does but its interesting that there are 5 of us now who are posting on this share ... OVG board is lucky to get 10 posts in a year before now. Hopefully this is a sign that the wider market is waking up to the opportunity ... hence have put my money where my mouth is and bought another 50k shares this morning
what are you talking about - we've had 6 trades already this month ... its flying!! More seriously, I was hoping the £15k at 6p was the BoD buying up more shares but a one-off purchase is unlikely. This is a crazy share - a pile of cash and lots of cheap opportunities out there. I bought in during 2013 and am still waiting for something to happen
Candy: are you still in? I am holding ... been in since May2013 ... so seen the good times as well as the bad!! It seems there is no interest in the share but as you say at least management haven't lost faith. Shame about the odd PI seller pushing the price down but hopefully when we get news people will realise how undervalued the share is
Rivaldo - indeed it is .. everyone seems confident in this share. Feels like a slow rise back to 30 by end of the month and then hopefully on and upwards in December Lennie - Oh yes, I have the deluxe box set put to one side ready for collection on 22nd