WFL (ASX) SK 2 Info

Originally posted by makattack ↑

So, pretty accurate I would say, given that the SP has not shifted

Well the SP has shifted from a 2 month average of around 9c to a multi year high of 13c and multi year closing high of 11c after announcement but the bottom line is you thought this was over-priced at $75mill marketcap and all the way up to the current marketcap of $150mill+. Your main argument has always been that they need to show revenues to sustain the marketcap. Well since you started this line of thought and started selling out, the share price has doubled and we're no closer to knowing what revenues will be. So I would say you have been pretty inaccurate.

The market has been clearly underwhelmed by Tuesday's announcement, compared to the predictions of 20c+ (or your own prediction of 15c on opening)

I never said it would be 15c on opening. I've continually stated that is my next target price. I believe it will get there sooner than later but I didn't say or expect that on opening after the halt. I find it hard to predict what short-term traders will do but I admit I did expect it to settle a little higher than the 10-11c range it is trying to find now but I'm certainly not losing sleep over it being 10c or 12c. I do know that if I'd started selling out when you started showing your concerns that I'd have 20-30, maybe 40% less than I have now.

I know you believe in this long-term, but you don't currently hold. As a long-term investor who believes strongly in a company's future, I would never leave myself open to having no exposure. You just can't predict the market, it's a volatile beast.

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Mak,

" Your main argument has always been that they need to show revenues to sustain the marketcap. Well since you started this line of thought and started selling out, the share price has doubled and we're no closer to knowing what revenues will be. So I would say you have been pretty inaccurate."

Incorrect. My argument has always been that they need to show "projected" revenues (at the very least) like most other growth companies do. How can we justify the current MC, which is based on future growth, when there is no guidance? The calculations presented by posters on HC are clearly biased, uncritical and inaccurate and often based on false or imagined premises. Obviously current revenues are irrelevant otherwise the SP would be less than 1c! I have never argued from a current revenue perspective as it would be meaningless.

FYI, I started selling out, as you say, at 10.5c. I started voicing my concerns about the SP being over-inflated once it hit 6c. Once it hit 10.5c I had to go with my reasoned instincts - in fact one of the main reasons for selling was the blatant ramping here on HC. What some might see as collective belief in the stock, I interpreted as unreasoned, emotional speculation. I have encountered nothing to change that opinion since the 6c level. If anything, the quality of the posts and the ramping activity has become worse. There are very few posters worth taking seriously - although it is perversely entertaining to read some of the more outrageous posts.

One thing I can say with absolute conviction that I firmly agree with you about is: "You just can't predict the market, it's a volatile beast."......and that beast can bite! Cheers.