Orbis wont save you if the stock really is a dud.They wont keep...

Orbis wont save you if the stock really is a dud.

They wont keep buying if the company crumbles before its eyes.

Most fund managers seem to be "dropping this like it's hot".

PIE Funds in NZ (running a very high risk/high beta portfolio) have sold out. Latest newsletter:

NBS – I have chosen to exit Nexbis despite
the company performing well and trading on
a low earnings multiple because I’m worried
about their cash position. They still have a large
debtor position from two “lumpy” contracts
and if the market gets wind that the cash isn’t
coming in the stock will plummet. Therefore,
I’d rather be cautious. If the cash is received
then we can look at them again, but in this
environment, if there is any doubt, we are out.
I’d much rather invest in something I have full
confidence in."



Might be worth a look again if it gets under 20c.