Zoo Digital Share Discussion Threads

[diamante] 24/11/2006 12:26

Rob - nice to see you much more reasobale today. Don't take this the wrong way. Your mistake, in my opinion, is that you live in the past. You invested at 6p, now its 16p. Well done. But it doesn't matter at all what price ytou got in at - the only important thing is what it is worth today, and the prospects for the future, and those are the same whether you initially paid 1p or £50 - it just doesn't matter. Imagine you have sold them and have the cash, then see if you would buy them today - but take all your emotion out of it. You owe goo or zoo nothing, and zoo or goo owes you nothing. It's just today and the future and nothing else.

[siwel100] 24/11/2006 12:20

R0B008....The word "potentially" is a common one amongst oilers, most of the wee ones never live up to hopes. Perhaps GOO will come good for you.Certainly that spike looks a bit iffy.

[diamante] 24/11/2006 12:18

Any conversion below 48.75 will be the opposite of dilutative, whatever that is. It will, however, put a dampers on prices way above that, which Is why I think Cash's $5 is optimistic, on a fully diluted basis (but not if the loans are bought back before conversion).

[siwel100] 24/11/2006 12:11

Uzbekking...Its currently valued to go bust which considering the fundraising, income from sales and one off iDvd royalties in the Spring is a daft situation. The other side of the coin is that when the loan is converted it will be because the company is profitable and succesful and the loan will drop from the balance sheet as a debt. Buying today means you are buying at less than the value of the loan let alone the rest of the fundraising and the other income....silly situation really but prices have a habit of going to extremes, currently this one is extremely low. Look at how many other stocks are priced of many multiples of this one and they dont have any products or income, just ideas and hopes.....but revaluations always happen, just needs patience.

[diamante] 24/11/2006 12:08

Uz, yes, the loan is a concern. Fully diluted, the case isn't as compelling as with the current issue, but nevertheless, it is still compelling enough for me.

I haven't seen the deatils of the loan, or the constraints on conversion. The fully diluted case may never come about, if Zoo negotiated the terms correctly. The best case is if Zoo have the option of buying out the loan before convesrion (at a premium of course) - a further loan would be much easier with a higher shareprice, enabling them to do that.

But I agree - the prudent course of action is to calculate likely predictions on a worst case fully diluted basis, (then there can only be upside)

[uzbekking44] 24/11/2006 11:58

Got a few this morning. A very modest holding but I have come to the conclusion that there is the potential for more upside than any downside short term.

I am concerned about the loan being converted into shares at some date forcing yet another dilution.

[jacobjohn7] 24/11/2006 11:49

we have breakout!

[diamante] 24/11/2006 10:54

I intended to join in the buying today, but I've just one account where I can buy AIM stocks, and the £4k gilt coupon, due today, hasn't been credited. Unless the price runs away wildly today, I'll have another slice on Monday (if it's credited then).

Nob Nob Nob. I haven't seen such an opportunity since the crazy Tech splurge days. My target is £2.50 next Christmas, I posted the rational before. But the nature of the profit on software sales, and the repeatability of those sales, and the ratio of the magnitude of each deal relative to the market cap means £2.50 (3.3p old money) will be blown away on something like just 3 further sales. Meanwhile, I think we can reasonable expect a growing number of millions of 25ps bread and butter to protect the downside for several years to come.

[siwel100] 24/11/2006 10:45

With only 5.9m shares issued and most of those either tied up with Directors or holders that werent shifted during the pre restructure fall, its not suprising this one moves on fresh air. On the least whiff of positive news pre results or with the announcement of maiden profits at results, this one is likely to be substantially rerated with investors looking to buy for the long term.The current low valuation is more a result of lack of confidence in management than any thing else. What is easy to forget is that there actually was a management change at the top and this has led to the fundamental restructure and streamlining.

[jacobjohn7] 24/11/2006 10:39

a few products in here at early stages...

[jacobjohn7] 24/11/2006 10:34

and all still under recent mega cheap placing price... everyones chance to go one better than the directors/institutions.

[jacobjohn7] 24/11/2006 10:29

someones just bought equivalent to 750,000 shares old money at 41p.

wow, and 10k at 41.61 .... someone knows something, it would seem! Should see more mark up today.

[cashmagnet] 24/11/2006 10:24

yes i do think £5

[jacobjohn7] 24/11/2006 10:22

2 big ones through at 41p... and up. get em while there cheap.

[jacobjohn7] 24/11/2006 10:11

you dont have to tell me that, but its good for any potential investors out there... boy o boy I wish i had more money for this point in time, with this company after its metamorphosis. Best situation historically, and at the lowest price historically, with more money in bank than market cap, and a highly visible revenue stream amongst the more lucrative not so visible streams.

[siwel100] 24/11/2006 09:50

jacobjohn....cashmagnet mentioned £5 but probably doesnt believe it himself. In fact its not unrealistic over the next 18-36 months. An easy jump to 80p+ is pretty straightforward through simple illiquidity and lack of any real trading below that level but with a shift to maiden profit at next results and then further TAS news flow and the possibility of Studio and further software products, its not beyond the realms of real possibility. The company wont have to do anything spectacular, just perform as a profitable niche software company. A £1.5m profit on an undemanding p/e would do it.
£5 new money would still only be 5.75p old money. There is a huge amount of headroom on this one.

[jacobjohn7] 24/11/2006 09:39

IMAGINE what will happen to this if we got extra TAS news.. could be one heck of a ride for those in at the 30's or 40's or 50's... could well see a sudden mark up to near a £1 at start of play with any news.

[jacobjohn7] 24/11/2006 09:32

oooh look what my nibbles just done.

[jacobjohn7] 24/11/2006 09:31

gonna have a nibble, whilst we are still in the 30's... cant see anyone getting any for much under 38p ongoing.

[diamante] 23/11/2006 13:39

Don't stop at a million Rob, go for £10m - you know you can do it. £100m would be better though for a man of your shrewed investment abilities.