TSXV:MRS.H - Post by User
Post by
TheRevenant2016on Dec 08, 2017 10:47am
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Post# 27117275
On value...this is simple enough. MRS 101 Fortune maker?
On value...this is simple enough. MRS 101 Fortune maker?
Any investor thru any market cycle know there are a couple keys practises in successful investing and every investor if around long enuff has lost money on one investment or another ..,.its just not
looking cool to admit such in ones history. I personally have made a couple real boners here and there but have also hit some homeruns that more than made up for the boners.
Those practises of successful investing or understandings by those around one or two or several market cycles of boom bust...bust boom....Black October....the.com phase...the uranium bull ...the sub prime fiasco...the Carey Trade debacle etc etc...now the blockchain cyrpto currency bubble run amuk...are simple enough.
You buy shares in MRS (or any company) today for what the predictive free cash flow in to the near/mid/ and long term future the company will throw off and the premise being that when your buying into the story the stock is still significantly discounted in market value relative to what that free cash flow assessment or guidance will be. Cuz this is the internet based trading going further out than 12mths to 18mths as "long term" is foolhearty cuz things change very quickly in so many sector spaces now cuz of the technological revolution of the past two decades.
And you try to get in cheap as you can. As large as you can with as much exposure as you can reasonable tolerate without having to have a keyboard duct taped to your wrists or a mobile device every where you go. If your feeling like that on this stock or any stock? your over exposed.
And you take into consideration always...to manage for downside risk.
How you mitigate or manage that investment downside risk is an individual practise based on ones experience or tolerance. I go large and early so that the investment position I took on even modest execution should double in value at a miniumum and I can sell half and get my own money out early...and remove all investment risk in the equation as any position left behind after selling half is free and clear. This is actually a professional trading practise for fund money...and they typically when a stock doubles will sell half their position to redeploy managed capital into other investments within the portfolio or raise cash etc etc. and then sell half again should the stock double again etc etc. Inparticular at the end of a quarter and even more so at the end of a year where their fund performance by MorningStar etc etc or their own company postings will pu to hard copy for marketing purposes and disclosure to fund or unit holders tracking their funds performance. (to do that they will be required to lock in some material gains)
Having said that there is an old traders adage that says "cut your losers early and let your winners run" so sometimes there is a dichotomy between investment advice given and investment practises taken.
I know this. You do not always come across a company discounted in value relative to its future guidance of home run blue sky upside potential that can actually be classified as a "portfolio maker".
To have a portoflio making type stock in your account that can change fortunes of an investor all on its own that company you bought into has to be priced cheap...unloved by the market because it is not understood by the investment public in general that the comany is
1) going thru a transitional year and commercialization process was long in the tooth but near completion of product/techology or service.
2) the company was moving from its transitional year into its tranformational year and you need a transformational event for the investment to become a portfolio maker...and if your positioned ahead or on the cusp of the transformational process of the company and they are bringing disruptive technology/servicve or product to market to meet an vast and massive unmet market sector demand or need...this is where the most money will be made going forward AS LONG as corporate execution and meeting demand is expertly managed
3) and that company for it to become a porftolio maker has to be run by honest and capable and experienced management with a history of success in their bio.s
MISSION READY SERVICES INC meets all three criteria. The 4th would be well capitalized to execute its business enterprise/model and on its opportunities at hand or with ready access to it to be able to fund its accelerated growth phase which occurs when?
when a company transitions from their transitional phase into their transformational stage.
Which is where we are right now...where we sit today with MRS.
I am an early stage investor...be it the DD34's...the Siclian....LucasKnight on this thread and others who know who they are and postiion midway to late in the transitional cycle just ahead of the Transformational cycle that MRS has entered into..and for MRS its still early into that cycle.
But I will say this... IF EXECUTION occurs...and it dosen't have to be flawless as their are always unforseen hiccups that occur but cleared up with a proper corporate burp...if EXECUTION occurs and the marketing is successful?
literally fortunes can be made and those same people as investors that have been thru the same market cycles from 98 to the 00 boom bust...and before that black October...fast forward to 08 sub prime...URANIUM MARKET AND FOSSIL FUEL PRICE CRASH....ETC ETC...know this to be true.
So I believe...and have stated so for 1.5yrs and running and am already sitting on a 10-12 bagger being an early stage investor...that MRS 2.0 has its best and brightest period
as a growth stock ahead of it over the next 12m to 18mth cycle.
And I believe for those running this company and those that invest in it now for that next 12 to 18mth cycle-will see their fortunes effective positively and that ROI and will be based on how early you invested in MRS...how large a position was taken...that you sold half on any double and rode the rest free and clear and that is nobodys decision to make but your own if still sitting on the sidelines with no position or having a position and considering adding to ones exposure.
For a lot of us that decision has already been made.
Best of luck to those who still have to make one...but the Economist Magazine which i read vs Ripleys Believe it or Not like JaySmith...harper hater etc etc is quoted as saying of record that:
"FORTUNE GOES TO THE BRAVE"
theRev