RE:RE:Negatives keep piling up - why is this not down more?I appreciate all the posts from the bulls and bears. You can't take these BBs too personally but you have to take the information and different perspectives that are offered by ALL and make your own decisions rather than criticize other peoples bear or bull positions. I managed to get out of Nortel back in the day unscathed and bottom fished ITP sub $1 and I was thinking cxr could be an ITP but I'm not quite sure any longer. I think VRX is probably a better bet than CXR for a similar type of comeback play although it could go lower still.
Here's my list of pros/cons for CXR - pretty easy to see why I can't hold overnight - feel free to add to either side
pros
- small float - potential for large price moves upwards
- raised cash quite easily when needed
- pipeline of products coming online month after month
- interesting new investors - cohen
- asset sales potential
- new leader Oberman
cons
- revenues declining drastically
- 28% shares short (vrx comparatively has only 8%)
- bonds trading @ 35% (vrx never dropped below 70% through the turmoil)
- FA consultations
- massive debt (vrx similar)
- book value primarily good will
- UK legislation
- downward pricing pressures on products
- price action - lower lows and lower highs continue
- insider sales - no insider buying