PEN peninsula energy limited

Today, page-64

  1. 2,500 Posts.
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    Tomas...One simple lesson always check the book value of the share you want to buy on Yahoo finance ...Now if you know what the book value is ,then thats what it's worth without all the rest of the bits and pieces which give you the intrinsic value... Ensuring that you are buying below book value means you are say buying a $1 for 70c....Now if the market price slides even lower you know you've bought really cheap and the price will come back up again unless the company is going broke...always check that preferably there is A)little or no debt...B)cash in the bank... C)plenty resources easily mined in the ground ..No worries .Then you Buy and Hold until at least twice book.

    Now in some cases you look at book value and the market price is much lower than the book value the price can sometimes be actually lower than cash in the bank!!!! I assure you you'll find plenty companies selling at a price below book value that offer great upside potential ...with a market price less than book value there is little to low risk..There is always risk but you want to minimise risk as much as you can!!!

    Good luck Tomas... I trained with Polish troops in my early years in the OTC. At University some of my friends were Polish...Mind you I never became a fan of "Pure Polish Spirit" it is a bit too a strong for a whisky drinker!!!!
    All the Best to A ll
 
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