RE:Stock Price Far Worse Than FundamentalsIt's funny that everyone on this board seems to have bought AIM shares at or near the low. We either have a lot of crystal ballers here or bullshitterss. I am convinced it's the latter. All the retail bought for $1.48 and and all the professionals bought for $3 and above ... YEAH SURE!!!!
islandbrook wrote: First, note that AC termination does not begin to March 2020. For the next 2
and 3/4 years it is business as usual.
The company has projected free cash flow of $220 million prior dividends for 2017. Assume flat in 2018 and 2019 which is conservative in view of the $70 million cost cutting.
That provides a $715 million free cash flow.
Assume an arbitrary residual $0.75 per share in value after the AC pullout. That totals approximately $5.50 in value creation in 2-3/4 years.
This allows no value for cost cutting or the possibilty of growth through signing new clients.
To me it is clearly a case of stock market over-kill. Very happy with my position at $1.48 in AIM.