Well I've taken a dollop of ABL at R16. Based on her metrics she is cheap - as a trade she is cheap. Now the nail-biting commences. Very ugly market -methinks the penny has dropped and the world has finally woken up to the state of SA Inc.
Well, as an investor, I would be looking for extreme price or extreme momentum. Right now, you are staring at a micro lending business that has been around for almost 20 years, a furniture retail store that is a household name, and a company that is still profitable in weak domestic market conditions. I would say they fall into the extreme price category?
It occurs to me, that with labour wage negotiations season about to commence, strike actions are highly probable, especially considering the likely unreasonable demands. hundreds of thousands of 'emerging market' employees sitting around without wages until settlements are reached would have a massive impact on the unsecured lending space ....
Rams, you fool. What do you think I am doing? One of these days you will come to realize there is more to investing than Alsi futures contracts and day trading. There are thousands of styles and philosophies. And oversold stocks with doomsday scenarios priced in are part of my philosophy. Now if you want to try to understand that, instead of bland sweeping statements pointing to the magic of charts and fundamentals you clearly haven't studied yet, by all means ask away.