Hey guys,
Looking at the SP due to the recent sales figures and sentiments the SP has drifted further lower and made Acrux even more UNDERVALUED.
Lets just look at FUNDAMENTALS:
1.
http://markets.ft.com/research/Markets/Tearsheets/Business-profile?s=ACR:ASX
- In this link it is clear that ACR is profitable! This is a BIG positive for a company in the health sector as majority are capital intensive and are not profitable yet...
- Majority are in the red for overall income. This makes me feel a little comfortable with ACR.
2.
http://markets.ft.com/research/Markets/Tearsheets/Business-profile?s=ACR:ASX (scroll down to pie chart)
- ACR is owned ~ 40% by institutional investors - THIS SHOULD BE THE BIGGEST CONFIDENCE BOOSTER!
- I am aware that Ellerston Capital pulled out recently, but I have a strong feeling that this is to slightly mainpulate the SP lower and buy back in
- Instituions like these hedge funds NEED to be profitable and they won't just buy any stock - ALWAYS remember that!
3.
http://markets.ft.com/research/Markets/Tearsheets/Financials?s=ACR:ASX
Financials are positive, be good to get 2015 in there.
4.
http://www.investsmart.com.au/shares/asx-acr/acrux-limited
Recommended by this broker to BUY - Updated date was 29/07/2015 -> THIS IS AFTER THE DISAPPOINTING SALES
5.
http://markets.ft.com/research/Markets/Tearsheets/Forecasts?s=ACR:ASX
Slight mixed bag for the brokers for financial times, but standard deviations much higher towards the upper limits. At todays prices it is clearly screaming BUY and with a dividend yield of 11.76% it is worth the long term investment.
6. I have mentioned all the positives and realise there will be negatives - I don't really know too much about the management.
I bought this stock higher than todays price and am confident with the business model as the testosterone industry will only get BIGGER! This is partly due to the ageing population as we are all aware of. The FDA announcement a while back was annoying but there is just going to be growing demand for such products (
http://time.com/3062889/manopause-aging-insecurity-and-the-2-billion-testosterone-industry/)
I am sick and tired of sentiment driving a stock to the ground and want to talk more in terms of fundamentals! Just remember that you would want to always buy a stock that is undervalued than overvalued. I think we are near the bottom of this drift.
So many medicals and health space companies just drain investors cash to strike a deal finally and produce a buck, we have Eli Lilly as a partner and are exploring further products. Axiron is just the main arm - I am keen to see how the lawsuit against Lupin pans out. I feel that if ACR is successful might just be the uplift we need.
LAST NOTE: DO NOT FALL INTO THE TRAP OF SELLING IT OFF AT THIS PRICE AND HAVING YOUR SHARES BOUGHT BY SOME HEDGE FUND TO RIDE THE WAVE BACK UP! Stay Strong!
Happy buying.
