05-22-2019, 10:41 AM
(05-22-2019, 05:46 AM)philipcarl3 Wrote: You should focus more on doing thorough research and less on the portfolio of others.
This isn't without risk, I would say even considerable risk, Philip. If I speak out it's because I'm worried about people like you, nothing else as SHU only has a small stake with a low cost base.
I really hope you have other stuff in portfolio and are not leveraged to the hilt. The short count increased to 17M, almost double from just a couple of months ago. Clearly some people think not all is well here, and they're putting serious money on it. Are you absolutely convinced you know more than they do?
Now, they might be wrong, I might be wrong. But when I see calculations like you did here above I fear that the prospect of imminent riches might lead to taking on too much risk, by not diversifying or not considering any counter arguments.
Conversion rates are no longer 100% and they are coming down, although not anywhere near with the speed that Hendrik Alex suggests, but it's coming down nevertheless.
I'm not having a go at you, but I feel compelled to speak out as I've seen quite a few people bet the bank on small companies and getting destroyed in the process.
Whether you like it or not, this is a controversial company and although too much is being made of that (IMHO), it's not entirely conjured up. I would advice anyone against betting the bank on such companies.
Just my 2ct.