Australia's largest stock trading and investment forum Australia's #1 stock forum

RPM

Click for more information

2.99%

6.9¢ rpm automotive group limited

Ann: Change of Director's Interest Notice, page-9

First 9 Last

Share
Profile

Follow
alonso

16,442 Posts.

137

13/04/23

13:36

Post #: 67256387
Share

Originally posted by GKeden: ↑

Hello. This is an interesting company. It is undervalued based on earnings per share. The problem is the negative cashflow, which was apparent during the previous financial year, if the financial reports were read. The negative cashflow improved greatly in the last half-year financial report. There must have been a large seller because the underwriter of the capital raising did not re-announce becoming a substantial holder again. The underwriter must have been a major seller. This type of negative cashflow vs positive net profit comes from too much inventory. Covid would have caused supply problems and a probable over-purchase of inventory to secure supply. Unlike perishable or fashionable goods, the excess inventory can probably be sold rather than written-off. The company is in an interesting phase. The loans also add pressure to the operating profit however the company is profitable in an accruals accounting basis. Its a matter of balancing the inventory.

Expand

Your post is instructive.
My feeling is that management has a duty, maybe not a legal one but one in it's own interest, in the present circumstances to advise shareholders of the reasons it sees behind the fairly dramatic fall in share price.

RPM Price at posting: 9.3¢ Sentiment: Hold Disclosure: Held
3 Upvote

0 Great analysis

Reply

Top Stories

SPR

Spartan sniffs 126g/t gold ahead of resource upgrades at WA's Dalgaranga

MSB

Mesoblast resubmits US FDA application for approval of Ryoncil in children with graft vs host disease; shares dip -4%

OCC

Orthocell shares jump on record revenues from sales of collagen bone repair devices globally

SRL

Scandium a priority metal for Sunrise as it plans feasibility update at Syerston

PL3

Patagonia looks to raise $2.15M for South American exploration and development

First 9 Last

Add RPM (ASX) to my watchlist

(20min delay)
Last 6.9¢		Change 0.002(2.99%)		Mkt cap ! $17.40M

Open	High	Low	Value	Volume
6.8¢	6.9¢	6.8¢	$79.17K	1.156M

Buyers (Bids)

No.	Vol.	Price($)
1	268731	6.8¢

Sellers (Offers)

Price($)	Vol.	No.
6.9¢	136821	1

View Market Depth

No.	Vol.	Price($)
1	268731	0.068
2	76525	0.067
3	465000	0.066
1	218000	0.065
2	221402	0.064

Price($)	Vol.	No.
0.069	136821	1
0.070	239702	3
0.071	369999	1
0.073	27778	1
0.074	140000	2

Last trade - 15.06pm 09/07/2024 (20 minute delay)

RPM (ASX) Chart