Middle of the River9 Mar 2021 11:29
I feel we where oversold on the positive results RNS and also possibly overbought pre news. Because simply a companies market cap can’t be based on potential alone. Take a look at any oil explorer who’s price shoots up to £10 because they own rights to 60 billion barrels of oil only to find they can’t afford a makita let alone finance a rig and share falls to 10p. I don’t know the base value of BRH with its current portfolio, does anyone have a true figure? Sentiment created a buzz around the covid test but value won’t be set until concrete sell of Parytec or income from product sales. Speculation is not value. There are companies listing in the billions like Deliveroo who are loss making. It’s crazy. So when we talk about what we are worth it’s almost just speculation. But that’s what these stocks are for right? So what are we worth now, factually? I struggle to find a valid number of I’m honest so can’t say, so many variables. So based on mcap and shares in issue, and a proven product that appears to have multiple ground breaking services for a global market. I think trading around 80-120p pre news seems fair on that alone! Frankly if this product can do half of what it claims and we do in deed get it onto production and we don’t get diluted to fund ( which is why I think a buy out is better, unless they see billions on global demand.. ) I’m in the plausible £2 - £12 in the next 12 months. Be very happy with 2-3 pounds a share. All fails and the floor currently is 20-40p. But I think £1 and above in the next few weeks much more likely, which is why I’m holding and topping up on dips. Could see 2-3 pounds short term. I’m game for those odds currently. Watching like a hawk though for sneaky goings on, but so far all good.