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Friday, July 26, 2013
Monday, July 15, 2013
Share Price Alert: Xero Ltd 5
I wasn't sure Id be back so soon but here I am gassing about Xero Ltd [XRO.NZX]which is at $16.70 today, almost 50% higher than its share prices since we last visited this share in March 21 and short of its all time high of $18.90 reached a week or so ago.
This is higher than the $1.12 price it was trading at back in July 2007 and way higher than its 2007 IPO price of a dollar.
What is the share trading at ridiculous prices like this then?
Well the reason is quite visible US buying, not by international standards but quite high in New Zealand for such a thinly traded stock. Most of the last $5, and more I suspect, rise, can be put down to these insiders buying in the hope of making money off some fully news related stock - it has a mention at least a few times a week of something "hot" going on down at Xero headquarters and is undergoing a correction of sorts as we speak due to a few of these folk making enough moola.
It isnt massive buying though, almost 5 million or so most days - not yet hot.
Lets get this straight the rise in the share price has nothing at all to do with reality, the company has yet to make a profit, according to some it will be $200 million a year or more, but I have yet to be convinced that they will make a cent. These enterprises are highly speculative and the chance of them making a profit are close to zero.
The reason why the share price is so high, apart from a few Americans getting fatter, is speculation pure and simple and investors expect to see a profit, when it doesn't come the only way is down.
I value this share at $2.50.
Xero Ltd @ Share Investor
Share Price Alert: Xero Ltd 4
Share Price Alert: Xero Ltd 3
Xero: To those I haven't warned before
Do you still Love Xero?
Share Price Alert: Xero Ltd 2
Share Price Alert:Xero Ltd
Xero Ltd: 2011 HY Loss looking promising
From Xero to Hero?
Stock of the Day: Xero Ltd
Rod Drury ready for the long-haul with Xero
Share Investor Interview: Xero's Rod Drury
Xero Ltd: Download full Company Analysis
Rod Drury on Xero and Growing Business
Xero set for surprise to the Market?
Love Xero?
Share Investor's 2010 Stock Picks
Stock of the Week: Xero Ltd
Discuss Xero @ Share Investor Forum
Download Xero Company Report
Listen to Rod Drury Interview
Recommended Amazon Reading
 | Xero For Dummies (For Dummies (Business & Personal Finance)) by Heather Smith Buy new: $26.68 / Used from: $12.37 Usually ships in 24 hours |
c Shareinvestor 2013
Sunday, July 14, 2013
Share Investor: Taking a Break
The Share Investor name hasn't gone away, its just taking a well earnt break, all is well and everything is fine, just nothing much interests me much, except I have taken a massive cut in the portfolio, 20%, and that's to do with personal things.
Soon as I return, I will let you know.
Keep in mind that Fisher & Paykel Healthcare Ltd [FPH.NZ] is still in play (see previous post) and that commentators about what I have and how I measure it are entitled to your opinions, I will continue to measure the portfolio the way I want and publish the details - periodically.
Keep cool heads and safe and sound and lets be careful out there.
Share Investor
Darren
Recommended Amazon Reading
The Intelligent Investor: The Definitive Book on Value Investing. A Book of Practical Counsel (Revised Edition) by Benjamin Graham
Buy new: $14.95 / Used from: $6.99
Usually ships in 24 hours
c Share Investor 2013
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