Spider
Like with many stocks, there is a share value and a share price, and they get out of balance. Unless leopards change their spots, Management would have announced anything that was meaningfully negative affecting CCP as a business, so I would be surprised if there were something serious afoot of which we are unaware. I suspect staffing is still difficult, but as so much of it can now be done by work-at-home employees, I do not think that pproblem would be much more than business as usual.
Om microeconomic issues, this is an area better known than understood, so it is the source of many red herrings. Being a poverty stock, to a degree CCP can perform in a counter-intuitive way. For example, an expectation that the Fedral Reserve Bankis going to raise the bank rate, and banks would follow suit, may disincline a company from borrowing to invest in new plant, new venrures, et cetera. The cash-strapped man with a poor, or non-existing, credit history, would not be deterred from having a gearbox replaced so that he can get to his place of work, even if it cots an effective rate of interest that is high, because the loss of his job would be even more costly.
Liquidity can be a problem with CCP. If an insto wants out, its selling can depress the SP, but after a few months the SP tends to creep back.
Timing when to buy is always a problem. I have been wrong a number of times with CCP, and not bought when I was interested in buying, and when I sold to meet a short-term need to pay myself mandated pension at the end of a tax year, and intending to get back in again, only to see the later price significantly higher than my selling price. When the SP dropped to about $6 a few years ago, I delayed buying for a few days, because I was busy building a patio, and I only got in at $11+ two days later. When the SP was above $35, I sold all the CCP I had in my own name, but did not sell any CCP held in my SMSF portfolio. Timing to get in or out is not easy.
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