The Market

I would like to make one last post on DML and after this, I will retire.
We all seem to agree that Discovery Metals is highly under-valued at its current price level. It is hard to believe that a few years ago the company had a market cap in excess of $800M and today it stands around $28M and investors ask why?
All of the smarties can come up with charting theories, production figures and the price of copper etc but there is one very important factor that must be accounted for and that factor is “The Market”.
The Market itself is almost like a living organism – it is a barometer for everything which happens every minute throughout the world and when events take place, it adjusts share prices that will be affected by those events. Sometimes it also has an ability to see into the future.
The Market is a very unforgiving beast and when companies do things that it doesn’t like, it places a large X alongside their name and then punishes their share price. Unfortunately DML has a very tarnished name and has accumulated a number of X’s over the past few years. Therefore no matter what good news the company delivers, it will never have the desired effect on the share price.
So will DML ever return to their former glory? The answer is no, it is highly unlikely.
To provide an analogy, it would be like Rolf Harris applying for a job as a Music Teacher at Saint Hilda’s Secondary Girls School – we all know that Rolf could probably do the job but let’s face it – he does have some awful  form……….
Good luck and goodbye.
Allgood1