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bhatss13

Discussion in 'Introductions' started by bhatss13, 16th Sep, 2007.

  1. bhatss13

    bhatss13 New Member

    Joined:
    14th Aug, 2007
    Posts:
    1
    Location:
    Perth WA
    Hi.
    I bought few share in Allco finance when it was trading at around $10.80. I researched thoroughly before buying. They have good results for the last financial year, but still trading at $7.90 without much exposure to sub-prime crisis. Can anyone explain why this kind of things happen?

    Thanks
     
  2. Tropo

    Tropo Well-Known Member

    Joined:
    17th Aug, 2005
    Posts:
    3,394
    Location:
    NSW
    Did you check AFG chart before you bought it ?:eek:.
    It was in the down trend at $10.80 and it is still going down.;)
     

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    Last edited by a moderator: 16th Sep, 2007
  3. unthreaded

    unthreaded Active Member

    Joined:
    21st Feb, 2007
    Posts:
    36
    Location:
    Bunbury, WA
    In general, this is the nature of markets. In the case of AFG, it may be related to fear of exposure to subprime problems regardless of actual exposure. Also Return on equity has fallen from 18% to 11% over the past year. Its not just raw profit figures that determines market sentiment. Then again it may be something else.