A new thread for a new days trading. Lets have a meaningful discussion on where we think AZZ is heading and why. I called it this morning (along with many others); so lets discuss.
The speeding ticket has been responded to. I spoke with the company before it was given (in anticipation of it coming). The company has made many recent announcements regarding the sales process and communicated with analysts "AZZ has no intention to issue any more stock via a raise until the process is finalised".
SO we now have a CLEAR market in which to consider this stock's value.
The company has made reference to industry transactions and cited US$ 10,000 to $12,000 per acre being the target. The market didn't believe them. Well there has been 2 major transactions in the oil window in the last 48 hours that proves up their story; by multi national and multi billion dollar corporations...and before them many others.
AZZ has 23,000 acres...with good title and a sales process that is as rigourous as it gets - Tudor Pickering Holt wouldn't waste their time or their reputation if they didn't believe a transaction was capable of being completed.
Market cap Monday close is A$163 million - underlying asset value capable of being turned into cash via sales process which is already well advance is circa A$230 million - another appreciation in share price is justified ON THE FACTS!! But you have to hold it till the sale completes.
AZZ Price at posting:
54.5¢ Sentiment: Buy Disclosure: Held
