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Even a few of our detractors have now come around
Cairn Energy (CNE) is a company that I have followed for many years, almost for as long as its ongoing saga relating to compensation from the Indian government, but it is starting to look more likely that will actually finally be settled.
Asiamet Resources (ARS) is a company that I’ve been a fan of based upon its assets, which look more attractive than ever at current copper prices, but currently I have some concerns as to where its share price might be heading shorter term.
Any regular reader of this website may have noticed that I have become fairly bullish on the travel sector recently, although mixed with a degree of caution as well as there are still plenty of risks for these businesses.
Even when I think a share has the potential to do well, sometimes I’m completely caught out by just how quickly its market cap increases, and that has certainly been the case with Powerhouse Energy (PHE), which has gone on to become one of my best ever tips.
I’ve just seen one of the most ridiculous RNSs that I’ve ever read appear for a company called Adamas Finance Asia (ADAM) – it has announced that it is buying back shares at a higher price than it has just placed them at!
The Bidstack (BIDS) saga is one which I have watched unfold but have made little comment on myself, other than thinking that the valuation that it reached was bonkers and writing as much in an article on ShareProphets last May.
Buying bombed-out shares in companies that have previously run as successful businesses can be very lucrative if they somehow manage to turn things around, but it also offers a very high chance of losing all your money if you are proven wrong and hold to the bitter end. There are plenty of companies on the stockmarket that have been at death’s door but have managed to survive and have subsequently gone on to do quite well, but there are also a large number of others that went bust and where investors lost all their money, and there is a very fine line between the two if you do decide to take a risk on a company that finds itself in this situation.
Hello, Share Pickers. As a shareholder in Black Rock’s Greater European Fund (BRGE), I take account of what the company’s supremo has to say about the future. And the interestingly-named Larry Fink says climate change worries will cause a "fundamental re-shaping of finance”. And that it’ll come a lot sooner than expected.
This morning yet another AIM cancellation was announced: that of Neil Woodford uber-dog Verseon (VERS). Having failed to raise cash from a placing, failed in its bid to jump on the crypto-currency bandwagon and having failed with its fatally flawed proposal to do a sale-and-leaseback of its headquarters because that would have left the company with no cash, no income and no assets, shareholders voted through its AIM cancellation as from 7am this morning.
At first glance Argo Blockchain (ARB) seems to be very different to the type of companies that I normally cover within the natural resources sector, but the actual economics of the business isn’t all that dissimilar.
A tiny AIM mining company called Great Western Mining (GWMO) suddenly seems to be getting a bit of attention on social media, and as is so often the case with this type of company this just so happens to coincide with a placing.
A letter dropped onto my doormat this morning, from Smith & Williamson to inform me that it has been appointed Special Administrator to Reyker Securities plc. “But I don’t own Reyker” I thought, “what’s this got to do with me?” Then I noticed that on my letter it mentioned Intermediary provider: Ingenious Funds and the penny dropped: Reyker was being used as nominee holder for the Ingenious SEIS 1 fund, which I do hold. Why has Ingenious not written to me?
Cabot Energy (CAB) suddenly seems to have become very popular for such a small AIM oil company, and given the recent news on a forthcoming discounted fundraise, I’m surprised that people are paying a huge premium to that.
Hello, Share Trotters. I believe those who say Britain is facing the biggest constitutional crisis since World War 2. But I don't think shares will suffer much. That’s because the problem has already been factored into the Footsie. Probably by far too much. You can’t get away from the fact that, compared to most of the world, many British shares are cheap.
When the share price of a small company suddenly rises by more than 240% on no apparent news I am always left wondering who on earth is actually buying after such a huge rise. Often those who are end up getting severely stung, especially when the company itself issues a statement saying that it notes the share price rise and clarifies the current situation and that there is no current reason for it, and that is exactly what seems to be playing out with MySale Group (MYSL)...
RockRose Energy (RRE) has been one of the real success stories amongst smaller oil and gas producing companies in recent times and has grown its business at an incredible rate via a number of acquisitions. It has come an awful long way since I first covered it as a buy here back in April 2018 at around the 350p level, and today it relisted following a deal which constituted a reverse takeover of the Marathon UK and Marathon West of Shetland assets for $140 million. Currently it is trading at around the 1,900p level with a market cap of circa £240 million, representing a profit of nearly 450% for anyone who followed my original buy recommendation...
A tiny AIM investment company called Agronomics (ANIC) suddenly seems to have become very popular, but I think you’d have to be mad to be paying the current share price. If we look at it under its previous name of Port Erin Biopharma Investments (PEBI), before the recent change to Agronomics, it immediately becomes apparent that its main area of investments is in the pharmaceutical sector, with several listed and non-listed holdings...
There seems little point in chastising Standard-listed AIQ (AIQ) for its ridiculous share price – it has been so ever since it listed, through two suspensions and two sets of results which show that its assets – a few coppers and no business – are a tiny fraction of the share price. Quite why the shares have been going up again in recent days is beyond me.
Diamond miners have performed very poorly of late, but that doesn’t mean that trend will continue indefinitely - and now could be a good time to buy with a longer term view. Petra Diamonds (PDL) is definitely one in this sector which has caught my eye lately, and is one of several diamond miners which I have kept an eye on over the years...
Over the years I’ve been a fan of Ophir Energy (OPHR), but it is one that I have got completely wrong and during that time it has done nothing other than to disappoint investors, whilst its value has steadily been eroded.
It isn’t unusual for tech stocks to trade at a very large premium to the actual fundamentals in the early days as value is largely based upon the growth potential, but at some point they have to start showing that they are going to be able to justify the valuation being placed upon them.
Hello, Share Buyers. Like me, you probably have a nasty taste in your mouth over the way the insolvency of the broker Beaufort Securities is being handled. Never in my wildest dreams did I believe that ring-fenced share and cash accounts were not secure. And my inquiries of professionals in the Big City shows that most of them were unaware of such loopholes either.
Nu-Oil and Gas (NUOG) seems to be one of those AIM shares which periodically finds favour with private investors, despite never actually having achieved anything of note other than burning through investors cash over the years.
It isn’t hard to see why shopping delivery firm Ocado (OCDO) is one of the most shorted shares on the market, given its current valuation.
Hello, Share Carriers. Even a raging bull like myself has to accept that sooner or later shares will crash to more realistic levels. There was a scare in that unhappy direction a couple of weeks back, but it seems to have been a false alarm. That doesn’t mean that the real thing - a proper crash - doesn’t continue to threaten us. So what should we do to preserve our assets now?
Whenever a relatively small oil and gas company manages to raise a substantial amount of money it gets my attention, especially when you consider what the market has been like for this sector in recent times.
Hello, Share Swipers. New Year resolutions are more important to share shifters like us than most people. They can safeguard our lolly and help us grab more. But financial resolutions are harder to keep because they’re attacked by the destructive impulses of fear and greed.
Hello, Share Pilots. There is so many predictions of a earth-shattering share crash on this lively website, that we must all be feeling nervous. We all remember a few black days, only nine years ago, when it began to look as all shares would be worth hardly anything at all. Picture your mind’s desolation if that were to happen again. Here are a few precautions you might take.
I am still working on a few details for the next part of my main article. However, as a brief interlude let’s play a little game. We will see how many red-flags we can find on JackpotJoy (JPJ).
Valuing small resource companies can be difficult, and often they will appear to be far cheaper than they really are. The bulletin boards, Twitter, etc are full of people extolling the virtues of the companies that they are invested in and pointing out that they should be worth far more than what the share price currently reflects.
If you look at the AIM market it is full of companies that have been promising the earth for years, but have yet to actually achieve much of any real substance.
It amazes me how some of these small AIM companies continue to operate for years even after they look dead and buried, and that certainly seems to be the case with PowerHouse Energy (PHE).
