morely,What a great analysis! Thank you for sharing your...

morely,

What a great analysis! Thank you for sharing your knowledge and experience with us.

Personally, i agree with your risk analysis. However, i think your argument is far from being balanced.

You have dedicated less than two short lines of your post to discuss the potential reward of holding AJA when you said:
"The leverage in it would make for a great rebound, particularly with the built in discount to NTA."

On the other hand, you used the rest of your relatively long post to explain and discuss the potential risk!

To be honest with you, if i use your way of analysing shares, i wont be buying/trading ANY share in the market!

IMO, Risk assessment should NOT be done without taking the following into consideration:

1- The current share price: As you know, AJA is currently trading at more than 50% discount to its NTA, so the risks that you have mentioned are ALREADY factored in the share price. In other words, when you buy AJA at 34c, you are buying it almost risk-free!

2- The potential reward: risk and reward are two sides of the same coin so we should not be discussing one and turning a blind eye on the other. While its likely that some of your concerns might occur in the future, Its also very likely that non of them will happen! Global markets have just started recovering, and i think its quite reasonable to assume that the worst is already behind us. Consequently, i think the potential reward is a way bigger than the potential risk in this particular instance.

Once again, thanks for sharing your opinion with us.
Regards,