Its good debate folks. But on the bigger picture, i want to point out the recent events
SP goes from 20c to 45c: 1) markets up on stimulus 2) dairy & wellness industry not affected 3) opening orders from iovate, & followup order from Walmart & Nouriz
SP goes from 45c to 27c: 1) Q results paint larger cash outflow & revenue below expectations (KTD+Omni+Sc = 8.5M wtf!) 2) performance rights & zero cost options (**110M + 30M) appears to dilute Total share by 50% driving low confidence in management 3) 12.5M CR at 31c to buy AusConfec (Bankrupt company) appears to be a not so great use for money at initial review.
in my opinion the fall from 45c to 27c is an over reaction. I do have a significant dip in my holdings, but until further clarity is obtained, I will wait on the side lines. 25c-27c seem to be a good entry with a 35c target. Thinking ahead Next Q will be July - Expecting a 11-12.5 M revenue putting Halo Foods as a 50M revenue business. If the economy is doing well, thats a 100M market cap = 35-40c fair value; Just FYI - thats a big if right there. If we get more new order the fair value goes up with positive news.
** For the majority of the performance right to be issued, the business gas to be doing really well - like 30 to 50% growth in top line. ** the zero cost options, Meh not a big fan but watever.
