Let's hope the free kick isn't into my groin. I already bear plenty of scars from this one. I have been a shareholder for five years now so it has been one of those disasters we get from time to time. But there is one thing I would bet money on, and that is that this stock is not at risk of going into receivership any time soon. At worst, we may find that it is still struggling to turn things around but it is not going under in the medium term.
As I pointed out, its debt is small, its balance sheet is strong and the sector where it does most of its business, residential housing, has brightened up.
I must say, I was surprised to see it fall to 14c shortly after I did the first posting. That is a new low for this stock. I hope I am correct in predicting that it is a great time to come on board.
I am not overly concerned about the solid selling today just days prior to the release of the interim report. I doubt it is anything to do with inside information. The capital raising in November was massive and the majority of it was done to outsiders - so called sophisticated investors and institutions. Original investors were watered down enormously. My impression of institutions is that they don't like holding on to losers for long and many of them just dump the lot and move on. That is what I think is happening here.
GPASAS
CAA Price at posting:
14.0¢ Sentiment: Buy Disclosure: Held
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