buy commbank or bly? hmmmmmmm, page-7

Hmmm, let me see:

BLY 6 months ago = 0.13
BLY today = 0.28. Gain = 115%
BLY upside potential (EOY '09) = 0.45.
Further gain on taday's price = 96%
Total gain @ EOY since 6 months ago = 246%

CBA 6 months ago = 33.00,
CBA today = 52.00. Gain = 58%
CBA upside potential (EOY '09) = 60.00 (absolute tops).
Further gain on taday's price = 15%
Total gain @ EOY since 6 months ago = 82%

Yes 6 months ago being in BLY was very risky business indeed, and therefore the high return (of 115%) was required to justify the high risk compared to an equivalent investment in CBA (with a gain of 58%). But today that picture has changed, because BLY has been de-risked. So 6 months ago a sensible approach would have been to have money in both (not necessarily the same amount), but given the potential gain today, my money is on BLY not CBA.

So not a dumb comparison imo, a very good & worthwhile one to compare the risk/returns of two very different company & trade/investment profiles, in order to weigh up the merits of trading/investing in each/both.

Cheers, Sharks.