News: WTC Australia shares gain as U.S. infrastructure bill raises recovery hopes, page-16

I talked to a guy in WTC to get some idea about how well the business is but, of course, the general idea is just that business is good as usual. Covid has some impact on how staff work and that demands adjustments. There have also been rumours of being a target for takeover but it's just rumour. I am very hesitant to get back in and ride this earning call out. I have seen great earning calls with US companies as I have recently decided to go back to playing the US market for fun. So, the great earning calls from big US companies are making many people feel good. However, with the world markets running at all-time high levels despite the terrible covid situation, I think all this is just due to the liquidity. It's the printing of money that is causing all this. Professional fund managers have their fingers on the sell button if things go wrong. We, retail investors, face the risk of holding the bag when the markets tumble.

What is the reward vs risk ratio here? If it is 10% upside vs 20% downside, then I would not risk it. If it is 10% upside vs 5% downside I still would not take it. Personally, I don't see a 20% upside.

The fun thing is that WTC is a slow starter on the earning call. I listened to two of their calls. A couple of years ago, I listened and decided to buy more shares while listening to Richard White and the share jumped 10% after that. Last time, as Richard White talked, the share price gained from 32 to 34 then quickly dived around 10% down a few hours later then it went south relentlessly as the short sellers beat it up for another few weeks.

I told another guy to buy WTC when it was 25.8 a while ago and he finally dumped it at 36.20 last Thursday.

One thing I just don't get is why, for the last many weeks, every time the US market dropped, WTC went up a bit and every time the US market went up sharply, WTC went down. Last Friday, the US market went up sharply after a whole week of selling, WTC might go down on Monday and that would be a chance for anyone who wants to game this earning call to jump in. One can probably get in around 34.x on Monday.

Best of luck! I will stay out this time.