IMO, 3 factors in combination sent price to screaming bargain levels a few days ago......
> toxic view of SPO shares by investors who purchased at $2.00+ and badly hurting (now they can see their losses are reducing so hanging on for the time being at least).
> activity of shorters following the negative news announcement (now shorters are running for cover to lock in any profits, or minimize any loss).
> steep falls in markets generally (that have just turned strongly around).
Not many stocks had this combination of factors at same time to cause such an exaggerated fall in price. Now that the factors have turned around, spec & value bulls have been quick to jump on board.
How far will it go? Who knows. Morningstar recently upgraded recommendation from "accumulate" to "buy" with an intrinsic value of $1.60. So any T/O offer is going to need to be above that imo. Continued price recovery plus interim div will be something I look forward to in the meantime.
SPO Price at posting:
$1.10 Sentiment: Hold Disclosure: Held
