Call it educated guessing. With a sort of education in Maths and Stats and Physics I do get a kind of feel for the way numbers move but the main thing is others are educated in the ways of companies and finance and what they have said about the SGH cash flow rang true and logical to me.
In retrospect I don't care that short term the Quindell purchase was overstretching somewhat (to put it nicely) as long as the situation normalises in the medium term.
The banks must have been in two minds as to whether to pull the plug earlier in the year and it was an overly risky play that put a lot of investors off side with the leadership. If the cash flow is going in the right direction now though it seems foolish to change the CEO et al even if people want to see AG punished somehow.
Some of the people baying for AG's blood may well wish the company harm for their own self-interested purposes apart from those who were hurt badly from the SP crash.
I wish SGH well for my self-interested purposes of making a bit of money and because they are a great Melbourne institution.
Anyway this is one gamble that looks like paying off. Will be a bit more careful about the falling knives in future. My so-called Maths prowess and a warm fuzzy feeling didn't help when the price went into free-fall helped by the ruthless shorters so this served as a salutory lesson in how the market can be mangled by wolf packs and robots.
At 43c I'm ahead in my recent investments in total, and at 51c will be ahead with average SGH SP in particular.
$20 SP / $1 div in 2030
u mark my words
P.S. Factoid :
Maurice Blackburn's mother was a MacCrae, her aunt Georgiana MacCrae was a Gordon so Blackburn and Gordon may be related. Funny small world isn't? Her diary "Georgiana's Journal" is a bit of Australiana. In it she described how she was 9 months pregnant and Maurice's grandfather, a ship's captain, came for cakes and tea. He kept on having just one more cup of tea and she was too polite to say anything so when he left she rushed into the next room and had one of her babies.
They were different in those days.
SGH Price at posting:
42.8¢ Sentiment: Buy Disclosure: Held
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