ELD - Elders Limited

[Albi]

ELD is stuck on .230/235. Since last few days in the morning sp looks nomal but after 2:00 pm sellers increase and buyers are reduced and again at 3:45 buyers are increased. Does any one know about this trend?

 

[Scrud]

13% drop this arvo... M&G selling out? last minute cash out for SPP before contract date to get cash for next friday b/pay? whos selling?

 

[Albi]

Uffffffffffffff so much down. I checked at 2pm. it was arround .230 as it is usually but now at .20 and at .20c someone is selling arround 20 m shares. Does any body know, will it go down more or come back again. new.

 

[Dreadweave]

Uffffffffffffff so much down. I checked at 2pm. it was arround .230 as it is usually but now at .20 and at .20c someone is selling arround 20 m shares. Does any body know, will it go down more or come back again. new.

Dunno whats going on here, Im tempted to jump in and try pick up some at 0.2 tomorrow morning, but having no idea what has happened im not too sure.

edit: Seems there was an elders general meeting today, I cant seem to find any info on it though.

 

[skyQuake]

Dunno whats going on here, Im tempted to jump in and try pick up some at 0.2 tomorrow morning, but having no idea what has happened im not too sure.

edit: Seems there was an elders general meeting today, I cant seem to find any info on it though.

Approval of conditional placement and SPP, don't know what that was a key reason to sell though. Picking bottoms may be quite dangerous here.

 

[Garpal Gumnut]

Approval of conditional placement and SPP, don't know what that was a key reason to sell though. Picking bottoms may be quite dangerous here.

Mate I tried to work this company out many years ago and couldn't.

Its all a bit incestuous.

I would stay well away as stronger operators are buying and selling constantly.

Its like a one legged line dancer , you just never know what he's going to do.

gg

 

[skc]

Approval of conditional placement and SPP, don't know what that was a key reason to sell though. Picking bottoms may be quite dangerous here.

Mate I tried to work this company out many years ago and couldn't.

Its all a bit incestuous.

I would stay well away as stronger operators are buying and selling constantly.

Its like a one legged line dancer , you just never know what he's going to do.

gg

No doubt you guys are talking this down so you can get your allocation above the $20K SPP... although I must admit the chart looks bullish only if you turn it upside down.

 

[Garpal Gumnut]

No doubt you guys are talking this down so you can get your allocation above the $20K SPP... although I must admit the chart looks bullish only if you turn it upside down.

Mate, I haven't even looked at the chart.

You might be better sticking to hotcopper.

That is an honest opinion.

I haven't looked at elders for yonks but will have a look at the chart and let you know my opinion.

Nobody "talks down" stocks on asf.

Comb your mullet and observe.

gg

 

[skc]

Mate, I haven't even looked at the chart.

You might be better sticking to hotcopper.

That is an honest opinion.

I haven't looked at elders for yonks but will have a look at the chart and let you know my opinion.

Nobody "talks down" stocks on asf.

Comb your mullet and observe.

gg

It was actually a joke I was running with Skyquake on BLY... perhaps I shouldn't have included you.

I don't even have a hotcopper account, but my mullet is always well gelled.

 

[Garpal Gumnut]

No doubt you guys are talking this down so you can get your allocation above the $20K SPP... although I must admit the chart looks bullish only if you turn it upside down.

skc

I do like your tag

trading like a dog.

very apt.

2 charts for you , one longer term and one recently.

I have not seen a dog chart such as this for a long long time.

However there are many blue bloods associated with elders and it could be a bear trap, though I would not put my hard earned in to it on that assumption.

I have only been in the Melbourne Club by shinning down the Diggers Club, but thats now closed.

 

[Realist]

I have not seen a dog chart such as this for a long long time.

Well Garpal, I'll give you a tip. I'm buying Elders!!

Why? Because fundamentally it should/will be worth 15 times next years earnings which you'd think/hope will be around $50M NPAT - The market cap will need to quardupule in the meantime....

Charts Schmfarts.....

See you back at this thread this time next year....

 

[Garpal Gumnut]

Well Garpal, I'll give you a tip. I'm buying Elders!!

Why? Because fundamentally it should/will be worth 15 times next years earnings which you'd think/hope will be around $50M NPAT - The market cap will need to quardupule in the meantime....

Charts Schmfarts.....

See you back at this thread this time next year....

Good onya mate.

There are buyers and sellers and its a zero sum game

I wish you the best.

But what do you do if its delisted ??

gg

 

[skyQuake]

Are you kidding me? 15 times earnings? On What basis? They stripped the good parts as best as they could and left a shell of what was once a good business.

I'm have the option of purchasing it at 15c thru the SPP and I am heisitant. New lows on a massive downtrend? Not my cup of tea.

@skc, its always the stuff that screws up that you get full allocations for... I think I'll dip my toe into this one for a punt, but certainly not the full amount!

 

[Realist]

But what do you do if its delisted ??

Who said it's gonna get delisted?

I don't know and don't really care.

It's a successful and profitable company that had made healthy profits year after year until last years minor disaster which has bought the share price down enough to get me interested. They sold the insurance part to QBE, got rid of a few people, refocused, and we'll see hopefully a return to profit, which will increase the value of the company - and the share price.

 

[Garpal Gumnut]

Well Garpal, I'll give you a tip. I'm buying Elders!!

Why? Because fundamentally it should/will be worth 15 times next years earnings which you'd think/hope will be around $50M NPAT - The market cap will need to quardupule in the meantime....


Charts Schmfarts.....

See you back at this thread this time next year....

If you believe that Charts Schmfarts.....

Get yer moniker on HIH chart as it descended to nothing.

gg

 

[skc]

I'm have the option of purchasing it at 15c thru the SPP and I am heisitant. New lows on a massive downtrend? Not my cup of tea.

@skc, its always the stuff that screws up that you get full allocations for... I think I'll dip my toe into this one for a punt, but certainly not the full amount!

I was expecting ELD to do a VBA... fall down close to the offer price just to scare some people off, before being re-rated as a going concern rather than a near bankrupt entity. The fact that QBE bought in was supposed to be a big thumbs up.

I was not hesitant at all on the SPP until today's price action (and your post. Damn you Skyquake !!). Surely the vote was not unexpected so don't really understand the high volume sell down. I think I will spend the weekend reading the announcements and the prospectus further.

And yes, it's a massive downtrend alright. But for a quick profit... the potential may be still there.

Will it quadruple? Who knows? So many stocks have done that so why not ELD? I'd say more stocks have gone up 4x from the bottom than those that have been delisted. So at least statistics are on your side and you get a positive expectancy

FWIW charts are no good at picking bottom until after they form.

 

[skyQuake]

I was expecting ELD to do a VBA... fall down close to the offer price just to scare some people off, before being re-rated as a going concern rather than a near bankrupt entity. The fact that QBE bought in was supposed to be a big thumbs up.

I was not hesitant at all on the SPP until today's price action (and your post. Damn you Skyquake !!). Surely the vote was not unexpected so don't really understand the high volume sell down. I think I will spend the weekend reading the announcements and the prospectus further.

And yes, it's a massive downtrend alright. But for a quick profit... the potential may be still there.

Will it quadruple? Who knows? So many stocks have done that so why not ELD? I'd say more stocks have gone up 4x from the bottom than those that have been delisted. So at least statistics are on your side and you get a positive expectancy

FWIW charts are no good at picking bottom until after they form.

Actually now that I thought about it, I'm gonna see if I can get some borrow on the stock; If I can then I'm gonna apply for lots. I assume that big seller + all the other factors would have scared ppl (lol like me) into reducing their application or cancelling; giving the SPP a potentially better allocation.
Won't be holding long term, too many other corporate actions out there!

 

[Scrud]

another 5% drop and 20m shares traded this morning.... my guess is m&g selling out there stake as they didnt participate in any offer and are getting diluted from 15% to somthing crazy like 3%... might start buying back

 

[skc]

Well Garpal, I'll give you a tip. I'm buying Elders!!

Why? Because fundamentally it should/will be worth 15 times next years earnings which you'd think/hope will be around $50M NPAT - The market cap will need to quardupule in the meantime....

Charts Schmfarts.....

See you back at this thread this time next year....

You do realise the implication of the capital raising? It will significantly increase the capitalisation of teh company.

ELD has ~820m shares now. Raising $550m at 15c creates 3.67B new shares. So total no. of shares become ~4.5B shares.

So at 15x earnings of 50M NPAT, that's market cap of 750m. And what's the share price? 750m market cap / 4.5B shares = 16.7c.

So the new share issue was actually priced at multiple of ~13-14.

The ELD shares are still trading above the theoretical ex-rights (placement) price.

Actually now that I thought about it, I'm gonna see if I can get some borrow on the stock; If I can then I'm gonna apply for lots. I assume that big seller + all the other factors would have scared ppl (lol like me) into reducing their application or cancelling; giving the SPP a potentially better allocation.
Won't be holding long term, too many other corporate actions out there!

I've already gone in with the house mortgaged and sold my car, yahct and private jet to fund this... I find it difficult to come up with a risk management strategy when it comes to capital raisings.

Now how do I reverse that BPay payment again?

 

[skyQuake]

Lucky i shorted before that iceberg came in at 19!
That'll be quite the hurdle. Yesterday's seller is back now in disguise