Company A has $65m in cash and trades close to cash backing. Company A makes a decent discovery, which coincidently is valued at $65m. Subsequently, the share price for company A doubles in value, presenting a 100% return.
Company B on the other hand, has very little in cash but trades ~$1m in capitalisation. Company B makes a similar discovery to A and it too adds $65m in value to capitalisation.
Simply, company A returns the punter 100%, while company B returns the punter 6,500% for the same discovery!
Personally, the risk/reward goes to company B and that's (just one reason) why I know I'm punting in the right place - but thanks for pointing out a different stock which has NO relevance to this thread.
Cheers
SD
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Last
1.6¢ |
Change
-0.001(5.88%) |
Mkt cap ! $60.04M |
Open | High | Low | Value | Volume |
1.6¢ | 1.6¢ | 1.6¢ | $3.589K | 224.3K |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
18 | 3427901 | 1.6¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
1.7¢ | 3447661 | 14 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
18 | 3427901 | 0.016 |
26 | 6914950 | 0.015 |
14 | 3691354 | 0.014 |
12 | 8153503 | 0.013 |
4 | 2085304 | 0.012 |
Price($) | Vol. | No. |
---|---|---|
0.017 | 3447661 | 14 |
0.018 | 3946272 | 15 |
0.019 | 3669582 | 14 |
0.020 | 2183716 | 11 |
0.021 | 2052380 | 5 |
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