OTCPK:MGMXD - Post by User
Post by
materialsgirlon Aug 08, 2016 10:36am
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Post# 25119179
Alterra project construction management
Alterra project construction managementAlterra states that they completed all 6 or 7 projects on time and on budget. This is a rare achievement unless they intentionally budget extremely conservatively.
They are very good at building infrastructure but they seem weak at extracting value from the properties subsequent to construction. Either their pricing contracts have prices that are too low or their final production costs are too high or a bit of both.
Yes, the share price performance has been abysmal over the long term. The recent burst upwards merely takes us up to one-third the level of 6 or 7 years ago.
What gives and what does this mean?
Accumulated losses are still massive although this type of investment is all about cash flow rather than profits. In a sense, it is a bit like a REIT when looking at profitability.
What about the future?
There are many possibilities of course.
If the ship turns around and the Iceland properties are sold or improve then we could see a new all time high again by 2020. That would be about $2 CAD.
Don't hold your breath but it may happen
mat