CANEXUS CORP 6.5 PCT DEBS T.CUS.DB.D

RE:RE:RE:RE:RE:disproportional reaction

[pm1231]

Prediction

1) Short term - steady price climb until next Q1 2014 call in May 2014 - most if not all the bad news was priced into the SP over the last 2 weeks and most of what lies ahead prior to next call are positive news catalysts that will likely drive the current SP higher.

a) Ex - Dividend is approaching next week - should be some run up associated with that

b) Likely announcement of another NATO contract in the next month or two (they were in "final stages" of negotiations with another client per last call) so anticipate some news release on that prior to Q1 2014 call. 

c) Announcement of new clients/full capacity contracted at NATO - 50/50 potential they may announce this at or prior to Q1 2014 call (since they were negotiating remaining capacity with other clients and already 60-70% contracted).

d) Positive guidance towards bringing in a seasoned CEO (won't happend till Q3 of 2014 as per guidance).

Recommendation - Leave stockhouse - take up a hobby and avoid the temptations to entertain more gloomy predictions of insider conspiracies or scenarios that will drive this stock into the gutter.   If you do, chances are you will be pleased where the SP sits prior to next Q1 2014 call (with a dividend in your pocket April 15th).