OTCPK:OGFGF - Post by User
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Investorgatoron Aug 19, 2015 11:53am
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ORG >>> Deep Value or Priced Efficiently?
ORG >>> Deep Value or Priced Efficiently?According to the “efficient markets theory”, the prices of stocks, bonds, and other securities fully reflect all available information at any point in time.
In other words, no one should waste valuable time researching thousands of companies to find a deal, because someone else has already done it. This “someone else” is likely much smarter, and has more resources to deploy. Someone else will always isolate the mispricing first and capture the arbitrage before you, so why bother?
If we rely on theory alone, you’re time reading this will have been wasted.
3 Stocks Trading Below Cash on Hand
But if… just maybe… that all knowing someone occasionally gets lazy, leaving a mispricing or two for us, all the effort will pay off handsomely in the end.
Each name was highlighted because it checks three boxes I prefer to have checked on any potential investment/speculation:
- The people factor, each has a strong team in place, coupled with a track-record of success.
- Share buybacks in place, the corporation and insiders are, and have been repurchasing stock… much of it at higher prices.
- Little to no analyst coverage, I interpret this to mean very few influential investors are telling the story and there is plenty of buying potential on the sidelines.
Read more at https://www.stockhouse.com/companies/bullboard/v.smd/strategic-metals-ltd#WRQzJ9AguiysbEKk.99