Originally Posted by
BlackPeter
B/S - and I am pretty sure you know it. Whats happening with OCA's SP has nothing to do with OCA's performance. Nothing changed there since a month ago, a week ago or since yesterday. Same as with the other 87 NZX stocks who are dropping today.
People are afraid of a bear market and selling out - on this stock as well as on many others. And yes, some merchants of fear enjoy themselves by stirring the angst.
There are only two relevant questions:
a) are we moving into a bear (I think the answer is currently something like 50/50) and
b) how much will a company like OCA be impacted if the market does the Full Monty?
To that question ... I think the answer will be lots. Ryman dropped during the GFC more than 50%, though OCA might be a bit more resiliant (less property andmore care). But consider the alternative - if you keep cash and your bank goes bust you lose 100%.
Bull... , I really think, you should start worrying more about the safety of your cash reserves. If they all go bust it won't be you having the last lough.
But hey - the sun goes up tomorrow, the FED might reduce interest rates instead of rising them (and I think they could defend that) and currently might be just one of these buying opportunities.
Discl: hold OCA, hold lots of them and am still nicely in the black ;);