||EPS - Basic
||Market Cap (m)
Real-Time news about Asia Resources (London Stock Exchange): 0 recent articles
|andrbea: Share price had been moving positively (up 1p since August)
"The Company is currently investigating projects that will assist in sourcing
more raw product and continues to seek investment opportunities in the gold and related industries"
as a mission statement, sounds good to me against a rising POG.
reckon the one distressed seller has to get out at any cost
no reflection on the company IMO
forced sellers are the reason why many a good company has dropped sharply in recent years: eg fts got hit by forced sellers last year, ... but is today's biggest riser.
As I have often said from the early days of this thread, the progress of ASR has always reminded me of IFTE (IFT) in which I lost some money and that's what stopped me putting my money in here, so I think it's quite useful leaving these threads untouched for future reference. My disaster is going to be ELC, I fear, although I did call it a 'speculative punt'. Anyway, this one is not quite dead yet; it may be rescued or taken over, although I doubt there's much upside in the share price in those circumstances.
|happydays3: AQUILO (AQL)going to 6p!
Fact time. AQL results are due out by 30 June, The results are forecast to be better than the directors have indicated. The share price is now rising from its lows and this is about to bounce up. get in quick before you miss this great chance at making some money. its my opinion but if I were you I would buy some now,
6p is the short term target and longer term my target is 10p. The price has not fallen below 2p for a very long time so the downwards risk is very small.
The share price is up again today and will continue toward the 6p level before resting. Its my opinion but is easy money
|goliard: Share price collapsing, so issuing new shares isn't an option. They either need to be taken over or raise finance from a bank and to get either they need definite orders... which they dont seem to have. Another fantastic Hoodless Brennan tip!|
|bantam175: I'll give you one. ASR have a toehold in asia. IF they can get a few contracts in China, and IF they can do a good job and get repeat business, then they you may see the share price around 10-12p.
IF they do an excellent job and are in the front of the herd seeking business there, they may become a preferred supplier. Share price anyones guess.
While these are big IFs' they are possible and while these are still very speculative they could bring enormous rewards for patience.
Also while these possibilies exist, they should have no problem in raising more cash for interim periods should they need it.
All imho of course. They could go down the pan tomorrow but I doubt it.
You pays your money and you takes your chance.
|jda: The share price is weak but regular large purchases and small sales suggests those in the know are buying and MM's are taking advantage of the small shareholder-as always.This share is still on my buy list (well increase as I already hold)|
What is to disagree about? The facts are that ASR has a gross profit margin around 25% and an administrative overhead stuck at around £1.6m per year so it needs to turn over around £6.4m to break even. In 2004, despite a 323% increase in sales over 2003, it only achieved £4.33m and consequently lost £695k; in the first half of 2005, it achieved sales of £1.97m and lost £390k. Most of these sales are one-off contracts, so they need not only to replicate those each year but also generate substantial additional and sustainable sales. In other words, they need to be announcing new deals every month or so just to stay in business, so I don't understand why Bantam feels that 'any' deals announced will lead the share price to rise significantly. For this company, new deals are a necessity not a luxury! You will note that, but for new fundraising, it would have run out of money by now and without a significant increase in deals it will do so again with the options of further fundraising/dilution, throwing itself into the arms of a better-funded competitor (as IFTE did with Kidde) or.......insolvency. As someone else said above, look at that graph at the top of the thread; it's got to be telling you something and it's not a pretty sight.
|mjcrockett: Flackwell-R, I agree with you the shares are cheap - so long as the current improvements in trading continue through 2005. I believe that it will take a bit of time for ASR to convince the market that it can be relied on to deliver reliable profitability. If it can do this, we will see a considerabe re-rating of the share price.
One of the reasons the share price is cheap is that there are quite a few loan notes in issue. Currypasty refers to these in the previous post. Curry, where do you get your information about the number of loan notes and the recent share issue? I know that there was about £500K's worth issued in December 2003 at 2.5p and that there was a further £800k's worth on the balance sheet.
|unionhall: Thanks for that stacks.
I understand the UK is worth 5m - that's why I suggested ASR gaining a 20% share in a year might be a good target ie 1m pa.
From a standing start does anyone know how likely it is that ASR could gain Euro and Mid-East inspection work ?
Hopefully the interims will give an indication of the future prospects for the inspection business.
The gross margin there will be critical. If they are around the 30% mark then share price growth will be slow. However at 60% or 70% gross margin and gaining good market share the share price increase could be rapid.
Two unknowns which I don't know so have to wait on the sidelines for the moment.|
|byroneck: hectorp... would go along with that. Odds on no contracts are next to zero for the whole month. Its possible none will be confirmed on Monday, but would be very surprised not to see at least one confirmed in Feb.
Tony, your comment re being realistic. The company as it stands is just about profitable for the year, and even with no contracts signed a share price of 5p can easily be justified, for a mere 500k contract in the rest of the year (other than the three we are considering) would give about 400K profit for the year. With a PE of 10 that would be about 5p, and thats without forward prospects included in the price. Its a little like saying a company that is on a loss each year warrants a share price of zero (like OMH!!!)
Tony your perception of it falling back to 3.5p is based on the fact that that is where the share price has come from. The reason it did not start at 5p was due to the "discounted placing".
No contracts on Monday will disappoint and we will see selling by short termers, and impatient placing holders.
I have another 15 grand ready to go from my OMH sale last week, and this will be going straight into ASR if this occurs.
I think I have been very realistic with my vision of ASR over the next 1-4 months ie
challenging 7p on 1 contract
7p support for 2
and 12-13p for all three.
TONY, IF YOU WANT ME TO BE UNREALISTIC HERE GOES
3.6m to date... +
2.3m contract in UK @ finningly
3m contract in Saudi .. control tower systems integration and
the installation of navaids and airfield ground lighting in the Gulf
Further 2.5m contract in Bahrain ...specialist consultancy for a
major airspace planning development and its subsequent means of control
11.4m by Monday.
Then for the rest of the year a further 3m in contratcs. (conservative?)
Lets call that 15m as I am being unrealistic.
9m seen this year. 4m in cost. 40% margin. PE of 12, so 2m profit for the year. Next years already in profit, so price will hold up.
Target share price of 28p.
Now that would be unrealistic and misleading....
Or is it?
Summary... 3.5p may be seen, but not for long. Far too much prospect within the current finacial year.|
Asia Resources share price data is direct from the London Stock Exchange