Hello Adam,
That is the thing, Credit Corp had a high ROE, consistent dividend payer over quite a few years, increasing equity all without raising new capital.
All in all this is a company that from it's yearly accounts say that it is a growth company and it is going in the right direction.
Now, despite the two profit warnings, it is still going to generate a profit albeit smaller than their forecast (50% smaller).
Now you would think that if a company has forecast a profit of $24M and is trading at a price of over $10 then if it halves the profit then it should be trading at about $5.00, for it to trade at $0.90 seems to be an over-reaction unless there are other things to come out of the woodwork over the next few weeks.
They half yearly report is due out tomorrow.
I am looking into getting more ETF's up and running. We have a selection of around 10 now on our local market.
Regards
Neil
