Originally Posted by
Beagle
To be clear I am saying the share price and technical analysis is as ugly as a flea infested and mange affected pig dog. This is an undisputed fact, it just looks plain ugly. Fundamentally it looks sound but Mr Market is telling us something is wrong.
The fact that they changed the timing of their new bond issue, (which at the investor presentation was suggested would be after the maturity of the current bonds) and brought it forward suggests they need the money from that new issue to repay the 50% of bondholders who didn't convert to shares back. This is another little clue that all is not going completely to plan.
My preference is to invest in high growth companies where TA and FA are in alignment and to hold a basket of high yield dependable shares as well. Since that earlier post I have realised that because of all the new shares issued last year and this year EPS growth for FY19 will probably only be in the region of 4%. For me that puts TRA into more of a yield case investment than a growth one and yield is no good if the SP keeps going down is it !
The directors fee increase also looks like the aforementioned animal. If things were going well why do shareholders (who must surely all be in the red) keep hitting any decent sized bid over and over and over and over again ?