It has been a very tough few days for the market generally but I will be surprised if this stock falls in price now. Trojan had 85 million GPM shares to sell and it had no choice but to sell them since its shareholders have voted to wind up their company. I believe these shares have been overhanging the GPM market for months and hopefully now that they are gone we will see a positive change in the share price. The fact that Troy Harry bought 3 million shares himself in the last week at 19.5 cents each suggests that the current price is a bargain created by the sale of Trojan shares.
The dividend over the last year was 2.5c or a 12.5 percent return at current prices and there seems to be a good chance of it continuing. The NTA is 35.8 cents. I certainly still have these as a buy particularly as the Trojan shares have now gone as anticipated.
I do expect that quite a lot of shareholders bought shares over the last week in the hope of a quick gain so it might take a few weeks to sort out but I will be disappointed if we don't see these somewhere in the mid twenties a couple of months from now. Even at 25c that is a 10 percent yield
GPASAS
GPM Price at posting:
$1.00 Sentiment: Buy Disclosure: Held
