2022 BRN Discussion, page-10255

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SellNowBuyLater

205 Posts.

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24/11/22

17:53

Post #: 64972280
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Originally posted by SellNowBuyLater: ↑

1. The customer's receipts
If you have a closer look at the cash flow statement of BRN, you will notice that a low number of receipts barely drags down the SP this much.
People might assume that BRN will have to raise capital next quarter to maintain a relatively healthy cash position (maybe 10m~15m for capital raise), but the cost for capital raising in Q4 2022 can be quite different from that of Q4 2021. This might be one of the reasons for the recent dip.
2. Operating cash
However, the operating expenses in Q3 might contribute to the sales in Q4, and the 3.8m of operating cash outflow might indicate better Q4 performance. (Just guessing, cause high operating expenses never result in high sales numbers.)
3.How low this stock can go?
Looks like 0.50 is possible, but the timing next month can do the magic reversal.
While today is the last day of October, most of the US institutes will sell their loss-making holdings for tax purposes before November.
This might explain why the stock has been oversold for the past two trading days.
In the first two weeks of November, there will be the FOMC meeting, Mid-term election, CPI data, and NFP coming out, holding BRN can be potentially riskier. If it can hold 0.64 this time, we might see an epic reversal in the coming weeks.

4. The real headwind
If you put the chart of BRN and META together, I think you could find some correlation.

The market is not buying the idea of metaverse at the moment but from a technical perspective, BRN has a relatively smaller market cap, it could still be driven up by some news or announcement without profitability validation.

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“In the first two weeks of November, there will be the FOMC meeting, Mid-term election, CPI data, and NFP coming out, holding BRN can be potentially riskier. If it can hold 0.64 this time, we might see an epic reversal in the coming weeks.”
Did anyone reload below 0.645 for the first two weeks of November?

BRN Price at posting: 75.5¢ Sentiment: Hold Disclosure: Held
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