Well, if anyone saw front page news today, seems the credit crisis barrels are leaking their toxic waste into the generally crystal clear blue-chip waters with $50bn knocked off the market...oops, that's RL!
Sorry, in SL news today, another delisting (REZ) following on from the announcement that (KJL) was permanently halted. Rezzations had not released an announcement for over 60 days.
The Rock insurance detailed their plans to begin honouring the covered shares of Kejo Land Group. Delicious Demar wrote that her hope had diminished that Kejo Merlin would honour his commitments on the land sales, which would result in a substantial (715k) loss for DDE for the month.
The market was lead down as sentiment followed and only a few bucked the trend.
Let's take a looksy at the woes today: (AMS-40.0%), (DDE-8.3%), (HCL-1.0%), (HOT-13.4%), (PFW13.8%) and (FKH-41.1%)
- A.M. Sportsbets (AMS) with speculation this will go the way of ol' yella having not kept up it's end of the listing bargain, traders are never-the-less having some fun while it lasts dropping yesterdays gains to close at $L0.06.
- Delicious Demar Enterprises (DDE) negativity abound with investors dropping smaller than expected gains after the SPO and some carriers possibly cautious about the impact of the (KJL) failed transfer, began the day heading towards the SPO price and at one point hitting $L2.24! The positions aren't overly convincing and last check it was sitting on $L2.75
- Hope Capital Ltd. (HCL) obviously moving with the market in general saw some lows today of $L0.94 before clawing back to $L0.96
- Kush Islands (HOT) was quick to respond to pricing problems and details of the CEO changeover but that didn't completely quell the markets desire for red today as the stock closed down at $L2.00
- Parks Fireworks (PFW) began the long road back to $L1.00 in flying fashion today shrugging off the markets tantrum and posting good gains at $L0.74
- Flying Kitten Holdings (FKH) suffered a major blow today, the heavily weighted stock seeing a fair chunk taken off it's high price, even with major shareholders increasing their holdings the losses couldn't be slowed finishing on $L5.00 even
Recommendations - My itchy brain was right to be cautious yesterday but there are a few positions now that warrant a look-in:
- (AMS) proceed with caution - With no 'visible' assets spread amongst the market, it doesn't seem plausible for a WTF conversion
- (DDE) has already stated the possibility of a substantial loss and is factored into the financial plans, no reason to run to the hills as such. BUY @ < $L2.75
- (HOT) some news hit the stands soon after our report yesterday that helped calm the nerves, but no address directly of the sell-off by Rockwell? ("you can't please everybody...")
- (HCL) all major shareholders increasing their positions the second this takes a slide is noise enough for me to want to keep my finger on this pulse. BUY, and BUY some more < $L1.00
- (PFW) I am putting this one down to a SPEC BUY as the price should keep growing, but if the traders jumped in on the lows, they won't wait for a comfortable position before they let them go again
- (FKH) as above, SPEC BUY at this low as the trend here is to skyrocket before tumbling again. No explanation but price fixing in my eyes! Take a look at the NTA, but don't forget to look at the last announcements...
Take the power back!
(getting excited about seeing RATM..again)
SW