[QUOTE=Balance;703334]You are assuming that FBU is going to never get above $7 again?
The new CEO bought them as early as couple of weeks in the company.It was a on-market trade...Hence the surprise... and it went up considerably after that...
May be $7 would be the right price to enter(just like Trilogy at $2.10 eh)
You are assuming that FBU is going to never get above $7 again?
The new CEO bought them as early as couple of weeks in the company.It was a on-market trade...Hence the surprise... and it went up considerably after that...
May be $7 would be the right price to enter(just like Trilogy at $2.10 eh)
Wish I knew, Carrom74.
What I can say is that the market gets too worked up over bad (or good) news often and ignores the fundamental value which can emerge from corporate restructuring.
As mentioned, saw that with Fletcher Group in the early 1990s and again, in the early 2000s.
Excluding B+I - FBU is set to report earnings for the year of around 680m-780m, not bad at all for a market cap of ~5,400m.
This is half the event some are making of it, sell off incoming, covenants will be renegotiated and all will be forgotten in 12 months time... ( little bit of satire maybe? )
I don't think I would be keen on jumping in just yet though.
Lesson ...wisdom of the crowd not always a good thing ......or punters don’t take into account what could go wrong (risks) when making assessments ....or whatever
“ At the top of every bubble, everyone is convinced it's not yet a bubble.”
The $7.50-$8.00 option ...but everybody will say that $7.77 isn’t really the closing price because there was no opening price .....but clever interpret the question what will be shown as the price at the close of the NZX on feb 12th
Last edited by winner69; 12-02-2018 at 08:59 AM.
“ At the top of every bubble, everyone is convinced it's not yet a bubble.”
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