VIL 0.00% 1.6¢ verus investments limited

facts will speak for itself

  1. 3,351 Posts.
    It always tend to surprise me (i.e. even with my years of investing experience), how emotional vices get played out in the stock market. The recent minor downtrend today for the share price is obviously linked to short term traders taking their money of the table as they are now well equipped with the subjective dates of the next announcement (and thereupon the next major re-rating). Plain and simple.

    Many have probably made some money and are either willing to free-ride or reap the cash-flow for other plays with a shorter time horizon.

    What we will see next is a mix of long term traders accumulating their existing holdings on these downdips, new investors (where it be long term or short term) getting into this play before the re-rating and short term traders coming back in. This is extremely similar to what many observed with BCC downtrending to 10 cents on good news and now moving back to 13.5 cents before results.

    Mr Market will re-rate VIL accordingly when production testing results are released. Facts of what we know for certain:

    1) There are 3 different payzones to be tested
    2) Hydrocarbon and gas has been discovered but not knowing the commercial significance
    3) Increasing of land positions around the area
    4) Management indicating that this is the BEST POSSIBLE OUTCOME for shareholders
    5) Production testing to commence and results out in a few weeks

    Patient investors and all who get in will be rewarded. Re-rating will definitely not be 4 cents....

 
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