Time for some Historic facts.Brookside Energy fundamentals and...

Time for some Historic facts.
Brookside Energy fundamentals and historic share price are Historic facts.
Stonehorse Energy fundamentals and historic share price are Historic facts.

They both are party to the below historic facts.
1) Both profit from shared working interest in oil and gas well.
2) Have Generated growing and profits growing over the last 5 years on average with SHE share price falling less.
3) Both have seen the share price fall.
4) They both have large cash holdings relative to Market cap,(also good for dividends that drive a share price rally).

What is the similarity between them apart from the share price fall and growing fundamentals ?
Well it certainly is not the board of directors as they are different.
Umm, let me think, they both produce oil and gas !.


Maybe a BOT with no understanding of the company would attempt to discredit these facts but the fact can e easily checked by any one using public information such as announcements or looking at the previous value graphs.

Remember , Their is no econometric law saying short term the share price has to follow the fundamentals.

But their are research papers that along and independent back testing that show :
A) Statistically 95% of under priced companies reach 95% of their fair value within 5 years
B) Their is no correlation between how undervalued a company is and how long it takes to reach fair value.
C) The more the company is undervalued the more it needs to rise to reach 95% of its fair value and the bigger the profits.

Most people don't have the stomach to take advantage of this as they cannot tolerate the deep falls in share price and so sell out crystallizing loss's often encouraged by group think and fear.

According to the papers for this to work it is necessary to hold a large selection of companies as some of these will become delisted ,yet these will be more than compensated for by the multi bagger returns of the profitable ones due to the asymmetry that a company can only fall by 100% ,but a company can grow 1000 of % and more!).


When the papers were published no weight was given to the contents of the announcements, a human investor digesting announcements would be able to filter out the more risky companies thus improving the odds further. So to improve the odds a human can read the announcements and read for example production volumes with SHE.

Their are 2 famous billionaires who have explained the above methods and have made lots of money.

After applying the above methods i have held companies that have fallen 75% and sat stagnant for a 2 years and then seen the share price rise many times the initial purchase price.

Any way before the annual report if SHE falls even further with lots of people in tears i will buy up SHE .

Caveat.:
I want to thank the local bot (you know who) for causing some to sell out crystallizing their loss's and driving down the share price.. so that later on other like me can buy buy up large volumes of SHE, as i dont want to be looking back in 5 years time ,think Jeez i wish i had brought SHE up when it was low.