RE:RE:RE:Macro chat You make some good points. I think I may be significantly invested in ygr because they are focussed on the micro issues and because as you say on some traditional measure they are the cheapest. Nuttal would laugh only because they have such low liquidity. I recall him commenting favourably on ygr years ago but dismissed them as too illiquid. No investor can buy or sell a meaningful position without significantly influencing the price.
When you get down to it though the answer to the low price is easy. This sector has a huge number of names with very few investors who like the sector. Even though YGR's fundamentals are very good, there is no compelling reason to buy them today. They are likely to be range bound until they announce their ROC plan. If you look at the competition in the sector, many are paying dividends. IPO for example has poorer fundamentals but they pay an 8% dividend. The valuations are consistently higher for dividend payers so today's holder simply has to be patient.
When we hit the debt target and announce a dividend, we will rerate higher. In the meantime there is no rush to buy this name and with tax loss selling there is an abundance of sellers until year end. This time next year will hopefully be a dramatically different story.