Xcite Energy Ltd (XEL)

blinko

there are II invested in XEL but it is risky, its bascially the city vs XEL and the city is rarely wrong !!!

but lets see how we go,

uptomyeyeballs

Xcite Energy trades on AIM. This will keep a few away, including some institutions who'll view is as high risk and illiquid. It won't fit their profile as an appropriate part of an investment portfolio. This type of stock is best traded by individuals with a different attitude to risk. However, I think that risk has diminished substantially since the early project days, and i'm looking forward to the flow test results and a re-rating that will move this forward again.

uptomyeyeballs

And here's a release from the company to quash the rumours about it's flow test date

http://www.proactiveinvestors.com/companies/news/10262/xcite-energy-to-flow-test-bentley-field-well-in-1st-week-of-december-10262.html

darkpool

i'm still confused why institutions aren't buying this stock.

i wouldn't have thought anyone could describe this as an illiquid stock. The free float is 134m shares - 2.85m of them were sold today. that's over 2% of the company sold in ONE day. I would say that is exceptionally liquid?

Surely the people that should be buying a "high risk" investment are the institutions? After all they have the expertise to analyse this company? I thought Fidelity are the biggest shareholder? If this was a good investment would they not buy more shares?

I have a feeling that the share price is being driven by unsophisticated investors reading these forums and getting overexcited?

Did this company's share price not collapse back in 2008? Is there not a risk the same will happen again?

Shatners_Bassoon

I think you are either taking the !!!! now or have swung full circle and see the real potential here.

blinko

no instutition would invest now, its way to risky, they are long term holders not traders if anything they should be de-risking to protect capital and thenbuying on the other side of results, and again II would have been in from alot earlier

if the flow tests become positive i would expect them to invest, this will give the company a good steady fundamental which everyone can enjoy

similar i expect them to invest in madagascar oil a new company with fundamentals underneath

and as above flow tests 1st week december GLA

we do not know why the SP collapsed i did ask arouund but no one knew,

darkpool

I see real potential that XCITES share price could collapse 90%

cloud_dog

darkpool wrote: »

I see real potential that XCITES share price could collapse 90%

Whilst it is risky and anything is possible...... Does it take you long to investigate and come up with 90%?

darkpool

It was simple. I just had a look at the share price over the last 5 years and saw it had collapsed by 95.6% in 2008.

cloud_dog

darkpool wrote: »

It was simple. I just had a look at the share price over the last 5 years and saw it had collapsed by 95.6% in 2008.

Ah, right.

Soooooo, you're comparing the global financial meltdown with the posibility of not so good flow rate news for XEL and with this infalable logic you've come up with a downside risk of 90%.

Wow - You are a genius :rotfl: