ONE OF THE BEST STOCK IN MY LIST - I MAKE 400% RETURN AND NOW ITS COMING AGAIN.THIS STOCK WAS MY SECOND BIGGEST RETURN AND I THINK THE HYSTORY WILL REPEAT ITSELF SOON.LITTLE DEBT P\B NEAR 0.75 - ITS THE PERFECT TIME TO GO LONG
It is some chance things to go bad,but it is relatively small i dont think dilution will take place.Chines stock market crisis influience could be negative or positive ,but i think it will be positive because investors will change the flow of the capital and they will seek better place to invest their capital.Most of the big money investors are like Warren Buffet - they choose companies with no debt and with assets and working biusness which companies because of the crisis have problems , but such companies did not fall and work even with the problems,they survive crisis without help of the banks and only because manegment was good and the product was valued by the market.This type of investors will take place of the banks and they will help company to grow up - thats how big money are made it.I understand that with small capital i could make good return if i pick companies with no debt or only long term debt and companies with good assets ,companies with price to book value ratio = 2 to 0.5 - and if this companies pay dividend its the perfect combination for me.I dont like high prices stocks - perfect for me is when price go down to 1$ or even 0,5$ - than i can take a risk if the assets has value like machines and other things i can predict what is the biggest loss which means shares go to 0 and i loose all but its my choise and compare to return is worthy - the bad scenario is when the company falls but if you invest 1$ to shares lets say 1000 shares your total risk is 1000$ or 100% but if stock go up to 2$ you have return of 100% if the stock go 10$ you have 1000% return and there is big possibility company which dont fail to make this returns - with no debt its very likely banks or some big investor to take company like that in his portfolio,some investors do it just for the assets and they know even if the company fail with no debt they will take equal money or even more when liquidation end.This is my strategy and thats why i like stocks like that - i have portfolio whit 39 stocks and 20 of them are in loosing positions ,13 stocks have return between 0.40-30% but 5 stocks have return between 40%-86% and AOI have1257% return and this make my portfolio 37.52% return with equal money in all stocks i can wait and even in the bad times this portfolio has 5-8% return,because diversification like that realy work.i have portfolio with DJAI and when is bad time all stocks fall and the return is produce only by dividends - its 30 stocks and all fall down,now thats bad - in the short time active portfolio is way much better,but i hold it because in 10-15 years period the market will return more than my active portfolio.the AOI is my best stock to this date i have 1257% return and i believe its going up.I sugest you to pay attention to UVV - another tobacco corp and i believe this stock will go up - now i have 11% return in this stock ,but it will be more - the P\B ratio is near 1 and the current ratio is near 5 ,the long term debt ratio is near 0.40% and this corp pay dividend which is high for the market - near 4.20% - its very good dividend when the company have no problems with liquidity - the only problem is the price which is between 49-50$ but its worthy.
Is there anything to be concerned about like possible dilution of shares, BK, or anything of this matter? I agree this thing will pop again to $2-$4 no problem in 2-4 weeks. We've seen it happen a number of times already so unless terrible news is there or something bad we do not know, it will surely spike violently at least again in September IMHO.