I remember some years ago hearing Ray Malone say he wished AMA...

I remember some years ago hearing Ray Malone say he wished AMA would get out of the range of day traders and into the sort of territory where it was treated as a long term buy and hold. The past few months have seen that wish demolished but the rebound is well underway. Last week AMA hit a price which was 5x the bottom. Today it is trading at 4x the bottom. From where it is, it can go up another 2x and only be back where it was before the virus. Unfortunately the day traders are still there and so are the shorters. AMA is now shorted about 5% of the trades which is a record high for this company. It means there are those whose primary intention is to day trade it downwards. They obviously believe shorting is a profitable way of trading but reality always wins longer term. By comparison, BHP is also shorted about 5% of trades. JBH is shorted about 10% of trades. No-one in their right mind would suggest that those two companies are somehow going to be traded out of existence. In other words, look at the fundamentals. Last week's statement was a positive. Work is building, Job Keeper is putting a floor under costs, debt is under control, covenants are fine, they don't need to raise capital, contracts are being renegotiated to a more profitable basis, they are bedding down the Capital Smart acquisition and, as reported in the press, they have no interest in any lowball buyout feelers. Their counterpart in Canada (Boyd) has had nothing like the shorting crash AMA has had to endure. Boyd is rising as rapidly as AMA is rising, but from a higher low point. This trend will continue as cars return to the roads and people start driving into each other again. Markets are forward looking. Four months ago, markets were in fear. Today they are cautious. Tomorrow they will be optimistic. The share price follows sentiment and fundamentals, or more accurately expected sentiment and fundamentals. In AMA's case, the future is bright which is why we have seen a 5x appreciation in the share price in two months. I would expect it to continue that way.