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My two cents hopefully is that your thesis is not solely based on them being a Taipan.
Not all Taipans are successful all the time. And the intention to build a controlling stake doesn't always mean it will.
What happens if it does not end up as a majority stake? What else is driving their business? How would u evaluate each of the moving parts?
"Criticism is the fertilizer of learning." - Sir John Templeton
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this lao sai really powerful..
been buying since XR.. no eyes see
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I think there's nothing much the taipans can do also. From $54 to $32 in 2013 Aug, $22 drop and only recovered after a few months later..
Relentless selling everyday..and the short volume everyday is 80% of total volume. The rouge traders are shortselling everyday
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Hi buddies, is there any reason why will there be short selling for this counter?
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i dont think retailers like us who buy maybe 200-1k shares will dare to short.. because anytime JC&C can U-turn.
It's those big ang mo funds shorting in view of Astra's potential weak reporting and weakening IDR..
We can only stay inside and get whipped by them.. sigh..
P/E of 11 post rights of 395million shares issue.
How low more can she become?
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Anyway today staging a come back.. almost $1 reversal from low of $29.33.. those who caught it already in the $$
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Its computer driven algo trading...
Once the computer long the rights, it will just sell the mother shares with borrowed scripts which will be return once the rights are subscribed.
U can see the fairly constant trading spread between the rights and the mother shares.
There are plenty of big bank backed traders that are using their computer trading systems to get this riskless arbitrage.
On ASX, such a phenomenon seldom exists as rights are non renounceable.
Rights trading last day on Thursday.
J C&C steep decline started when rights were first announced and when actual rights trading started, all hell break loose. Trading volume is also extraordinarily high.
Many companies with rights issues have experienced such selloff before.
Basically, its human against computers and in a relentless decline, negative sentiment and hence all sorts of justifications emerges and hence feed through to the vicious cycle.
Don't believe too much in my conspiracy theories. Do check against Astra and JC
&C share price over last 5 yrs via bloomberg.
Trading Vested
GG