MYG 1.19% 83.0¢ mayfield group holdings limited

plenty of upside, page-10

  1. 14,914 Posts.
    I have little doubt this company will make in the long run, they are ticking boxes, but they just have a long way to go and I couldn't help but say somthing when someone here was claiming she'd be a ten bagger by March.

    First they need to get into production. Unfortunately the market rarely rewards great ideas, rather they reward great cashflow and ultimately profit.

    Then they need to repay the debt. The hedging is a great idea as it de-risks the project significantly. But while other stocks will be accruing profit, MYG will spend the first couple of years repaying debt. This is significant and should be considered when making future share price forecasts.

    Again, I think this is a long term buy. I'm not here to downramp, but rather to add a bit of reality.
 
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