RAK Rakon

[Schrodinger]

Robinson thought patterns.

Until they are thrown to the wolves, this company will continue to be NZX driftwood and a great reminder of absolute wealth destruction.

I probably shouldn't care but what advantage do they have over the competition? With such narrow margins this is a luke warn investment at best. If you compare this to say FPH who have healthy margins and therefore have strong and defensible IP & advantages over the market.

This is why with manufacturing gross/net margins are the most important or first thing you should focus on to get an understanding of the market situation.

[cdonald]

How exposed is Rakon to the USD? Will the revaluing of the NZD/USD have much impact?

[stoploss]

most of RAK sales are in USD......... SO YES VERY EXPOSED...... and a lower kiwi will have a positive impact.
Now all we need to do is get rid of the Robinsons and we will have a great company.

wouldn't surprise me if they hedged the Kiwi @ 80 cents !!!!!

[cdonald]

rakon got some volume going thru today. Cant see any mention of what is driving it in news etc... interesting

[Balance]

Stock is on the move - sp going up on big volumes.

Must be fascinating movements on the shareholders' list!

[Balance]

known to be a bit leaky.... good announcement coming me thinks

Maybe the Robinsons are selling out to another player?

Interesting that there was a crossing of 250,000 shares today at 38c.

The buyer(s) has not been shy of paying up for volume.

[xafalcon]

This will please the directors, upward movement of SP get's them closer to their next directors fee increase........

But I have heard too many empty statements from this company regarding how rosy the future looks to take any positive news from them at face value.

That is, unless there is news about departing Robinsons, which I would view as the most positive move this company could possibly make towards restoring shareholder value lost over the past 6 years

[Frostwind]

I've been buying and accumulated a decent line at an average price of around 38c.

[BFG]

known to be a bit leaky.... good announcement coming me thinks

Yup, seen this happen a few times. Looks like someone window dressed up to 40 since no one was in the way.

It has been extremely quiet lately from these guys. FY is not due until May so I do not know what this buyer is doing pumping the price. NTA is a measly 30 cents per share (which we all know is optimistic to begin with!) and there is huge expectations of profitability built into the SP @ 40 cents.

If they don't make profitability this year with a falling dollar then the market is going to savage them imho. A loss is still a loss, no matter how low the currency is, and these guys only know how to destroy shareholder wealth, not build it!

[Frostwind]

Yup, seen this happen a few times. Looks like someone window dressed up to 40 since no one was in the way.

It has been extremely quiet lately from these guys. FY is not due until May so I do not know what this buyer is doing pumping the price. NTA is a measly 30 cents per share (which we all know is optimistic to begin with!) and there is huge expectations of profitability built into the SP @ 40 cents.

If they don't make profitability this year with a falling dollar then the market is going to savage them imho. A loss is still a loss, no matter how low the currency is, and these guys only know how to destroy shareholder wealth, not build it!

Net Equity is 77m according to the Interim report, which is about 40.3c per share. They are forecast to make a profit of 10-15m including 4m loss in 1st Half, so the second half will make 14-19M alone, if we use P/E 15 as a base line for a company that's making a profit of 28-38M per year, it should be worth 420M to 570M which is around $2.5 a piece, buying it now is a steal

Please prove me wrong if my facts are wrong, or if you disagree, I'm always open to it