I’m putting my crystal ball on the table here and thinking that a potential "takeover" could be reason why we are seeing BRM defy the market and its peers to rise unexplainably ATM.
Here's my rational
If the money coming in is smart money .. and let's assume that all the foolish money has been well and truly flushed out of the market by now!.. then you have to assume that anyone willing to stump up that much cash in such an unprecedented market is expecting solid gains .. and I'm not thinking $1.20 or even $2… more like $3+. Why would you take such a huge risk to only double your money when there are bargains left, right and centre?
They only way I can foresee that the BRM SP would hit $3 in the short-term is with a takeover. Rail, port or great detrital results, in my view, just aren't going to get it there. The acquirer seems very happy to keep paying 90c+ a share. You wouldn't do that unless you thought you would still triple your money in the medium term …
Pure speculation of course, but it is very hard to explain when we have had so little news on anything to do with the project. Thoughts?
BRM Price at posting:
93.0¢ Sentiment: Buy Disclosure: Held
