I rememebr looking at this one many many years ago but sat by...

I rememebr looking at this one many many years ago but sat by the sidelines. Have always had it on my watchlist but seemed to disregard for some reason. It is now on my radar. Madmacs (poor bugger) called the H&S on this one and has fallen from grace. MM target was 1.40, which may be reached should the market contuinue to worsen, howver, COF will go back to resistance at 2.65 first before heading lower. Please are to look at MM's chart some weeks ago and you will see why. Have a look at the lower trendline at 1.94, the price in which the sp bounced not long ago.

I'm in today on the belief it will head back to 2.60 in the next few months, maybe weeks. I dont discount further declines, however, a straight fall to 1.40 from here is too agressive, more like an MFS, ABS or CNP in which this company is not.

On the funnymentals, PE is now 14 (low but not too low) with gearing at 26%. Full year EBITA is suggetsed at $70m. Unsure of depn rates and expected interest expenses, but I bet my left one the result will be better than last year and/or annualised YTD.

This is my opinion only. Good luck to holders, some are sitting on big paper losses with 2.60 a possible point to exit.

BTW, huntleys have a BUY to 2.80 and accumulate to 3.60 (dated 28/02/08)