long haul, page-15

nexdollar

Are you kidding or what??

how can u really seriously say that the repudiated China contract "is inherent in the shareprice"?!!


NBS is currently trading around 11c - which equates to a MCap of around $55m - still a very high Cap price all things considered.


NBS is a company that has effectively got no material income stream - having lost its spearhead contracts in malaysia and china - with no real indication from the company as to when (if ever) these contracts will come back online.

It is also struggling with major issues around credibility due to its failure to deliver on countless occassions, as well as the way the company has conducted itself generally as alluded to in your last posting and previously well canvassed on this forum.

And as for Cambodia ......???

My view is NBS has substantial downside from here as you would expect of a risky tech stock with no material income and a serious cash burn of circa $8-10m+/pa.

NBS without new deals (or reactivation of existing ones) is likely to run itself critically short of cash at some point in the next 12 - 24 months.

The above scenario does not justify even half of its current Market Cap - remember there are many relatively lower risk listed companies with proven income streams who are capitalised at far lower levels than NBS (and pay dividends).... and without tech risk, deal execution/implementation risk, sovereign risk, patent/product risk,debtor risk,poor investor relations ..... the list goes on and on....!!

Forget that NBS has seen far higher levels last year - the difference back then is chalk and cheese relative to the NBS fundamentals today.

Only a born optimist would conclude that NBS, with all its inherent problems represents good buying at current levels - and is more realistically a 5c SP proposition IMO given the huge challenges it now faces.