YOW 0.00% 2.5¢ yowie group ltd

down....and down, page-4

  1. 383 Posts.
    I'm not replying to buy into CEM's fear mongering.

    Just presenting a different (more optimistic) view. Looking at the chart, it looks like we are seeing the same sort of action trading action that took place in May, September 2014 during periods where there was a lack of news (albeit now on a more irrational scale given the improved position we are now in, exponential growth, walmart, safeway etc). I don't know much about charting, but when you look at MACD, the stock looks even more oversold than it was in those 2014 months I mentioned. Perhaps a rational explanation for the share sell off we are experiencing now then is as follows: like 2014, we have for a few months been in a period of little material news; further, there has been general weakness in the broader sharemarket; finally, and this was a big causative factor in my view, there was the Nov/Dec 15 sell off of a massive amount of converted options, ie oversupply of shares for buyers present. There is also the big unknown at this stage, which is why we are still experiencing ups and downs, and havent hit the permanent upwards trajectory of Bellamys, Capilano etc, is because it is yet to be confirmed that this is really going to take off in America (that kind of trajectory will commence in late 2016 in my view).

    It is interesting to note that after both of those periods when the stock was oversold in May 2014, and particularly in Sep 14, the stock rebounded.

    I am a long termer and not worried by the share price retraction. In my view, the reasons for it are more likely the ones I have raised, and are not related to the fundamentals. Although I take the point that there may have been some investors spooked by changing manufacturers which may have contributed to selling. Again, in my view, that was a sound decision by board and I'm glad they took that course. Although our company has set the stage with key client accounts, distribution etc, the numbers on the scale we are expecting havent come through yet, because marketing, full scale roll out switch hasnt been pulled yet. Until we see that, we will continue to experience these ups and downs.

    That bloke who bought in at 1.20 recently. Unlucky mate, but I think you will see 1.20 again in the not too distant future.

    For those who are new to this forum and are concerned about the kinds of views presented by CEM and others, this is a company which is checking of its to do list in the US in a timely matter where it counts, ie in stores, distribution, and the establishment of an organisational hierarchy. Numbers of yowies sold increase quarter on quarter, and the feedback that I and others have received in person in Walmart, Safeway and other stores in the US is that these are very popular. This is popular with institutional investors and when they sell off from time to time, again that appears to be unrelated to fundamentals, but to be fair I am speculating about that. Anecdotal evidence from brokers/fund managers is that this company is a winner.

    I'll give it a rest now, just want newcomers to be aware the sky isnt falling just because a few armchair generals say it is.
 
watchlist Created with Sketch. Add YOW (ASX) to my watchlist
(20min delay)
Last
2.5¢
Change
0.000(0.00%)
Mkt cap ! $5.734M
Open High Low Value Volume
2.5¢ 2.5¢ 2.5¢ $375 15K

Buyers (Bids)

No. Vol. Price($)
1 1500 2.4¢
 

Sellers (Offers)

Price($) Vol. No.
2.5¢ 5991 1
View Market Depth
Last trade - 13.31pm 06/08/2024 (20 minute delay) ?
YOW (ASX) Chart
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.