The company looks stable and they've gotten themselves out of...

The company looks stable and they've gotten themselves out of the mess they got themselves into, albeit at an almost inconceivable level of dilution.

But met coal prices are still terrible, Peabody has been talking about shutting more met coal mines in Qld.

And we're so diluted that even if things go well, it's hard to see the stock recovering to more than about 6c IMO.

I expect a share consolidation soon too.

All in all, COK has been all but run into the ground. Some of the big mistakes are only really evident with hindsight so it's not fair to be too hard on the directors, especially since the Koreans left them hanging.

But when you look at the state of the company and the number of shares on offer, this is not an unreasonable price to be trading at. Don't be fooled by the 3c figure. This is not the same company it was before the deal was announced, and what was worth 7 or 8c pre-consolidation is not worth that now IMO.

In the long term I think there is scope for a 100% profit from these levels as they move to mining and assuming met coal prices recover. But anybody counting on getting back to 20c+ is going to be sorely disappointed I think. The only way we'll see 20c again is after the consolidation.