I suspect yesterday was mainly profit taking, part T+x trading and part gamble on the US retail numbers which came out last night.
The upcoming annual results will 'reset' the NTA in the mind of investors as it did at the half-year and we should see a comparable move as people realise the discount at which this stock is trading to NTA. We will also be seeing the first full half of CER/CSF merged numbers which should be a pleasant surprise on the income side.
Investors will also be reminded that CER paid a dividend last half and any indication that they will do so in this and next half will see some renewed interest as well. We live in hope that CER gives us some guidance on what this might be...
The other thing that has been overlooked is CER asset sales as investors have focused on CNP instead. We know that CER have properties for sale (some jointly with CNP) and I'd say it's only a matter of time before we get some announcements regarding these. CER is in much better shape than CNP which means there is less urgency to sell.
For my 2c worth, I wouldn't get too concerned about the daily gyrations in CER share price. We know that the vast majority of stock is held by institutions and as yet, there is no evidence to suggest they are selling down.
CER Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
