Because they have over $100 mill of tangible equity let alone the 350 stores and a quality brand etc.
This impairment will hit short term profit but be good for cashflow longer term etc.
15c would bring the Market Cap to around $40mill
Yes, it is possible that it could touch that - but I would not be putting money on it that is for sure - it would be valuing the whole business like a spec stock (it already is)
(PS - same reason as with SRX, there was a quality business there and the market just bid it back up - the rationale for the comparison was only that it started at $15 after the news of the failed trials and didn't drop back)
DSH Price at posting:
28.0¢ Sentiment: Buy Disclosure: Held
