You are totally correct in one aspect. The sp movements suggest that something is leaking out into the market place. The fact that the last CR was at a price of 70c suggests that many have been prepared to sell at half of that. It could be that the SI's that bought ( they had a two fold deal some at 80c (I think) and balance at 70c) decided after the profit downgrade to get out. They are far less emotional about equity than the Retail investor.
We may be heading into a recession and that could be the cause the smart money exiting. It cannot be LCE as they would have had to give notice and have not done so. They have also stated they are unhappy with the state of play in their NAV announcements but I dont trust the process from them. To hold whilst a large block is unhappy doesn't help the company or the sp.
Do however concur if they get the process right it could be a good buy if you could understand the aged plant risk and what changes in management will preclude the disasters of the past.
only hold a small amount of stock to be on the register.
PSH Price at posting:
32.5¢ Sentiment: None Disclosure: Held
