hmmm, pity, I was trying to find McDunk's comments on TEL earlier this year
But the thread seems to have been archived.
However from memory, TEL was about $2.15 and McDunk laid down that TEL are a permanent no hoper loser and that everybody should sell now (about Feb 2011 I recall, maybe a month or 2 earlier) if they hadn't already.
I demurred, pointing out that as he was totally unable to understand comparative advantage and specialisation and exchange in free trade for example and by his own admission had never ever tried to read an economics textbook in his life there might be more to the case than he realised.
Other people disagreed with me and said that although an economic backwoodsman he had a brilliant career as a share investor who got it right.
Today TEL closed at $2.43.5
However McDunk was not alone, more highly placed business commentators than he, were saying the same thing so I carefully saved one in my clippings file so as to be able to later expose the egg on the face.
Ladies and Gentlemen, I give you Tim Hunter, deputy editor of Fairfax's Auckland Business Bureau, quoting extensively from Greoff Zame of Craig's Investment Partners.
A few choice quotes (Dec 10 or thereabouts, The Press, when TEL were 2.15).
"No wonder some of the country's smartest investors (McDunk?) consider Telecom uninvestable while so much uncertainty hangs over its future." One major piece stated was required legislation (passed its second reading recently without incident) and shareholder approval to split into 2 companies - well I'll be voting my 100k+ in favour :-)
"Zame put a 12 month price target on them of $2.12".
"Any share price rally would be short term, winning would be a Pyrrhic victory". Hmm, nice, appreciate the ref, remember doing old Pyrrhus of Epirus in battle against the Romans in 2ndary school Latin. Fond memories.
But short term....presumably 1year is medium term, how much longer, how many more months before a rally is a rally is a rally?
"Hence we see a trading range of around $1.50 to $2 as being the floor for Telecom..."
Hmm, anyone selling TEL at $1.50 please offer them to me before Mr Bernard Whimp....or maybe Mr Hunter or Mr Zame or even McDunk are Bernard Whimp?
And so Gentlemen, I rest my case....