Eruma Share Discussion Threads

[topinfo] 20/11/2012 10:58

Try buying them at touch. Zilch

[mellifluous] 20/11/2012 10:55

Any punters who listen to p and d crowd deserve to lose their money.

[mellifluous] 20/11/2012 10:53

He is still trying to ramp this elsewhere but this looks headed to zero now.

[34simon] 20/11/2012 10:43

Where is Topinfo !

[drunken sailor] 17/11/2012 20:49

I normally post on iii, but as the thread there is pretty dead I thought I would give you a one off here. I held ERU a very long time ago. I got out with a small profit and therefore do not feel bitter in anyway, however I keep any eye on things mainly to see how the 50:50 chance of them going bust I gave them does pan out and also there can be a lot to be gained from getting back into a stock that is genuinely turning round.

I read the posts about reading the balance sheet. Do not just read the balance sheet, look at the P&L and the cash flow as well. It is easy to make one or sometimes 2 of them appear better than they really are, but you cannot fool all 3. Also do not just look at the latest but look at the trend across many previous reports.

I have done this and it is crystal clear that ERU had been digging a bigger and bigger financial hole for itself for many years. However the second half of last year and the latest interims did give some hope that things were finally turning round. However it takes a lot longer to fill a hole in than it takes to dig it. Until the last release, I was cautiously optimistic, just not optimistic enough to get back in. One of the causes for that optimism was they did seem to be able to raise funds at a premium to their current price and that shows a lot of investor confidence. However the latest release has put pay to that. Racking up CCJs is another desperately bad sign that all confidence has gone from suppliers as well as investors. It is really hard to build confidence and so easy to destroy it. Will they survive this disaster? - I give them only a 25% chance. If they survive there will be a short term recovery in the SP, but I doubt it will get them back to where they were. They would still need to regularly raise new cash and with the share price consigned to the toilet due to lost confidence that will just get harder and harder. Do they still have a long term future? I give that only a 10% chance. Traders may be able to make a few quid if they are lucky, but I see this as a dead stock for investors and I will not be getting back in, though I will continue to watch because I think there is a lot to learn from the lessons here.

So what went wrong? The security blinds are a good product, possibly the best in the world, however they serve a very niche market. You need to be very worried about the threat of bomb attack to want them as they only solve one of the many issues that a bomb attack causes (flying glass shredding everyone) they do not stop the building collapsing etc. There is a very cheap and not nearly so good way of reducing the flying glass problem and that is to put film on the windows. They have managed to get a few sales, but not enough and not regularly enough. The lighting is also good, but nothing that you can't get from a number of suppliers, who probably have a bigger share of the market over which to spread their overheads. My analysis of the lighting sector over a number of reports was they were probably buying the work as it was better to have some income rather than none, it was never going to deliver the sort of margins needed to achieve a bottom line profit.

Overall I think if this does go down the tubes, either in the short term or the long term, it is a real shame as the security blinds are a world beating British product, maybe if a larger company with other related products bought that bit they would still get sold. However as far as shareholders are concerned, if this does go into administration then the debt is so big there will be nothing left from a sell off to pay anything back.

Sorry to be so negative, but my advice is not to try to catch this falling knife, it will almost certainly slice your hand open. If you hold then you probably need to think about reducing your exposure, but hopefully nobody is in so deep that they can't afford to take the almost inevitable losses.

[topinfo] 16/11/2012 15:27

Learn to make up some new usernames, everyone knows you two operate from the same bedsit!

[mellifluous] 16/11/2012 15:08

Topinfo learn to read a balance sheet you plonker

[mellifluous] 16/11/2012 15:07

TOPINFO
10 Oct'12 - 13:02 - 156864 of 157108

TBP-Okay ta

To be honest m8 I have decided to get on with my own trading and stop sharing what I buy and posting news for a while. I get a load of stick on any thread I appear and now on here too by certain posters. I know what to buy and when and how to make decent money. I share stuff and post news not to ramp up the sp, but to try and make others on here some decent money too.

Today has been an experiment for me because I have just gone ahead and bought stuff without posting anything at all and I have done very well, in fact much better than spending time on here trying to help others too. Im sick to the back teeth of having to answer to certain people and to be honest its unjustified and un-warranted IMO.

Yes I bought PIP and look what just happened to the share price and I didnt post once.

I will continue to monitor thread and moderate it but apart from that right now Im going to concentrate on my own stuff and help myself to try and make money.

I will be back at some point but will still be here monitoring the thread all day long but just wont post anything. That way I get no stick on here or on other threads.

Cheers.

[topinfo] 16/11/2012 15:07

Why will it go into admin? You are deluded

[topinfo] 16/11/2012 15:06

I have not sold any. Do you think I would even bother with 5k shares? lol

[tday] 16/11/2012 15:06

TOPINFO. Lesson 1 for plonkers. Stop being one. Nobody is being fooled by your pathetic attempt at ramping.

Clearly you have absolutely no idea what is going on. Why should there be a big rise in the sp, just because there have been a few more BB posts here recently?

I have no more idea than you, but my money - no pun intended - would be on Eruma soon going into Administration - a pre pack deal possibly.

[mellifluous] 16/11/2012 15:05

Was his the 5000 share sell (£105) or the 7500 share sell (£157) ?

[34simon] 16/11/2012 15:02

He has just sold, who is he kidding !

[mellifluous] 16/11/2012 14:58

Popular with shorts.

This could be Suspended and go to zero as those Interim Results suggest it is potentially technically insolvent ?

[topinfo] 16/11/2012 14:55

This thread is really popular now. Must mean a big rise coming up with so many appearing on here suddenly! :)

[34simon] 16/11/2012 14:53

LOL

That is topinfo out again :-))

[topinfo] 16/11/2012 14:52

You two talking to yourselves again, lol.

Buying down here is a nil brainer IMO. They have already received £136k of the placing money and at 9.5p. Once they sort the rest out one way or another the share price will fly back up to where it fell from IMO. The company has a strong product and last T/U was very good.

[34simon] 16/11/2012 14:37

Well the last time I read those words "technically insolvent" was on the CMCP thread, I knew that myself because I attended the AGM and I sat in disbelief
as a certain Topinfo took over the thread and started a pump and dump, sure enough the stock was delisted a short time later, deja vu ?

[mellifluous] 16/11/2012 14:31

What a disaster this company is.

Looking at last Interims they had over £1m of current liabilities !!! Trade payables.

This Company is technically insolvent right ?

Suspension any minute ? Insiders/those who can read a balance sheet selling out at any cost ?