AIO has good business. With the economic recovery and new contracts since June 09, next year's profit will be good. The cash flow last year was 250k. This year it could be close to half a billion and next year it could be 1 billion if the growth is maintained. The market cap is only 5 billion now.
1 billion cash flow a year compared to 5 billion market cap means that in 5 years we can get our share price back. A the company will still have huge assets. In time, the SP will be multiple times the current price. This is real cash flow as compared to PE ratio which takes accounting earnings into account. Soon someone will realise that this is a cash cow.
The liquidity risk is gone. Business is booming. The SP movement has started. When the SP went from 1.30 to 1.60 after the SPP, it was because Westpack and other institutions were buying big. Since then there was a lull. Someone has started buying.
Goodluck to all holders. Soon AIO will return to be the most talked stock on Hotcopper. Perhaps next week.
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