Replies to post #355 on China Armco Metals Inc. (CNAM)

[viking86]

GeoInvesting report: I just had a PM discussion with Maj (head of GI). Some of the figures quoted in that report are erroneous:

Short-term debt was $7.5 million vs $4.1 million in cash.
Current assets to current liabilities was weak at 1.45
Debt to equity ratio was 57.1% (short-term and long-term debt)

Acc. to 10Q Balance sheet:

ST debt = 2.19M
Debt-to-Equity ratio= (2.19+8.04)/27.13= 37.7%

http://yahoo.brand.edgar-online.com/displayfilinginfo.aspx?FilingID=7265131-10376-15978&type=sect&dcn=0001448788-10-000111


I agree though with most of the other points of the report. I think CNAM's financials are not the strongest right now b/c of the big investments in future growth they are doing this year. You've got to be a believer in their LT huge prospects if you want to be invested here. Unless you are very good with trading the ups and downs, which I am not.