For cyclical stocks, I have noticed that cap raisings are done when the price is low and buybacks are done when the price is high. It takes a lot of managerial skill in a cyclical business to keep the cash on the balance sheet for a rainy day. Having said that - resource companies appear to be much more conservative in this upcycle, having either been burnt last boom/bust cycle or watched others being burnt. With world politics appearing to be more unpredictable, keeping cash on the balance sheet is a good risk management strategy. The question is "how much is too much?" (Mind you - for a board, answering that question is a much better than "when do we do a raising"?)
HT1
Ann: Quarterly Report December 2016, page-25
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Last
$3.08 |
Change
-0.020(0.65%) |
Mkt cap ! $13.95B | |||
| Open | High | Low | Value | Volume |
| $3.08 | $3.10 | $3.06 | $31.85M | 10.35M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 1 | 36000 | $3.07 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $3.08 | 20553 | 6 |
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| S32 (ASX) Chart |