management continues to deliver the numbers, but are morons when it comes to delivering the exchange listing! The company is very poor at ir and pr and actually appear clueless when it comes to being a public company. The Asian mentality is much different that western culture with respect to the stock market and long term strategy. The pr firm cgc that they hired is a loser- i told them that months ago and actually their law firm trying to list them on exchange is worthless as well! This is the whole problem with china and asian companies in general. That being said- the stock is extremely cheap and investors are getting bored- it was obvious that with a press release of 14 million dollars did not bring in any buying- it was only natural that the average idiot investor would look both ways and decide to get out- actually the release brought selling not buying because people are looking for listing on exchange not an award fro fried rice.. i actually can understand investors "get me out attitude"- eventually this stock with fly, but until management thinks like American this stock will think like Asian! Very poor Management team- they just yes you to death! I assume addtional weakness until earnings, which is due within 1 months or so- we could see $5.00- Still remains the cheapest stock around- management has no dynamics!
The Chinese small cap space is getting decimated by a lot of fraudulent companies and allegations. Stocks like CTXFD is suffering even though there is no direct allegations or connections to the fraud. I think AWRCF is also indirectly suffering because it is incorrectly associated with the space. The recent huge price decline in AWRCF happened at the same time when that space was getting killed. AWRCF is a Taiwanese company where the laws are much different than China and AWRCF has existed and has been publicly traded for a long time. Most importantly, it is legal for foreigners to own stakes in Taiwanese companies.
AWRCF is not some shady company that appeared out of nowhere in a complicated reverse merger process designed to skirt Chinese laws on foreign ownership in certain industries that is plaguing the Chinese small cap sector right now. There is legitimate concern in those companies because shareholders have contracts that lets them have the profit stream, but no control or rights to the actual company. And it it seems like some of those companies are simply ignoring these contractual obligations and there is not much shareholders can do about it. This has nothing to do with AWRCF however, so this panic is creating a value opportunity.
They have to get national listing to be taken seriously. I hope they will list in nasdaq or amex before 2011 is over. If not, they probably will never listed nationally and the stock probably will not go to its potential or true worth, unless they start paying dividend or doing stock buyback, then probably people will care again. having said that they probably should pay debt first before doing stock buyback or dividend.
Agree. So the implication is that we need to think like Asian investors, not get bothered by short term swings and see it as a huge value buy. Warren B. sees investments in this way too, so not a bad plan.
I think this is the most undervalued stock in my portfolio.