Stable low images

 

Some stocks are durably ignored, ill-loved, even hated, but without frenzy.

These outcasts keep tiny images, specially in depressed or even temperate periods.

Here is an indicative table.

 

Depressive market

(mkt average img. = 0,6)

0,4 to 0,6

Neutral market

(mkt average img. = 1)

0,6 (0,7) 0,8

Buoyant market

(mkt average img. = 1,7)

0,8 to 1,3

Declining firms have sad-looking fundamentals
      (prolonged sales and margins weakness). 

 

This is often coupled with a sullen image, much more than an understandable large
risk premium. They are priced like scrap.

An exaggeration if there are some fine remains and the will to jump back.

Forgotten stocks (an antique hunter's paradise).

Even if the market has a big heart, it cannot love every stock at the same time.
It shows no interest for various small, average-size, and even large firms, relatively
thriving or even gifted with great hidden virtues. Why do they stand forgotten on
the sideline? The circumstances are various:

pi-egg.gif Bad reputation stocks, sometimes for good reasons, sometimes for mysterious
      ones, but what can you do about xenophobia?

If the image recover, it can only be very slowly, or under a force 10 positive shock,
a thing you don't see everyday.

pi-separ.gif

     [Conference start] [table]   

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