OTCPK:MGMXD - Post by User
Comment by
BoldForbeson Nov 28, 2016 12:25pm
105 Views
Post# 25522228
RE:Reinvest or not
RE:Reinvest or notNewstock44,
The MGMXF shares I hold I was informed are not subject to a reinvestment plan, so I am forced to take my funds.
I wonder if the stock will be close to the $5 CAD mark for a while:
1. $0.05 / $5.00 = 1% yield (under $5 = yeild > 1%
2. Utility sector not performing well
3. Confusion in market place regarding renewable energy
4. Market stating "show me" growth and cash flow to Company
My counter arguement for not being around $5 for awhile would go something like this:
It appears as if the Company is performing, is growing and is going to meet forecast (exceed if you count in new projects coming online). Match this with the $6 private placement and I expect the institutional investors to support their placement price so they can save face with their shareholder with the quarterly reports coming up (down 18% since then).
I have learned over the years not to get in the way of a Bull Market, even if the economic information and valuations don't make any sense and don't try to catch a falling knife...
Enjoy your Holiday Season,
Bold Forbes