Forum Topics FDV FDV Bull Case

Pinned straw:

Added 3 months ago

This is one of those names that has been left for dead, and was subject to a sharp sell-off early in the trading session today. It is probably safe to attribute the severe drawdown to a popular research service and long-time backer of the company finally capitulating.

Sure enough, the shares are already up significantly from the intra-day low, and closed down only 3.57%. I blinked and missed it, but perhaps that is the capitulatory bottom that was needed for an attractive looking trade, especially with profitability metrics inflecting (EBITDA positivity only, but still), and the business looking to be up for sale too with the recent Strategic Review.

Bushmanpat
Added 3 months ago

It's an interesting one. The share price has gone from 37c to 27c in a month with no news, just global macro trends and "forecasts"

I wonder how much the said analyst let the decision be governed by the performance of the funds he manages, i.e. shorter term horizons.

I'm still working out my investing style, but it tends to be slothful and very long term. When I first bought into FDV, I made a note to give it 5 years and it's only been 2.5. The company is definitely not making progress at the rate the market was expecting, but it is making progress in probably the worst of conditions.

19

Goldfish
Added 2 months ago

This has been a painful one for me. Held for several years, has (obviously) not worked out.

Every so often, I try to review whether I should just cut my losses and sell. But it always seems that the investment case is not completely broken, just much slower than hoped.

Not much to lose at the current valuation. I feel like there is still the chance of a turnaround or takeover. And little chance of losing 100% of your money

So I am being patient and holding

21