Milagro asked me: "I have been holding and accumulating Ventra for several months. Recent weakness is either a great opportunity or worrisome. What do you think?" Best Regards, Milagro
I am merely a conduit for a good freind of mine who owns over 60,000 shares of Ventra. Unfortunately he's not "plugged in". I sent him your question, and here's what he had to say:
Usually the Company (Ventra Group) has some encouraging news in the way of "companies which they have bought out" or "sales contract announcements" during the months of September, October, and November. This has happened during the last three years. This year, everything is quiet. If the company felt it was necessary to reveal, prior to the third quarters earnings; the impending poor results for the third and possibility the fourth quarter; why not announce the future prospects for the current fiscal year which started October 1st, 1999. After all 2 months have gone by and I am certain there must be some indication. Without optimism, the stock has been drifting lower. There must be some value here, after all 4,600,000 shares were picked up at $4.00 per share earlier this year. There is only thing which gives me some assurance that there is very little downside risk. That is; Linimar and Magna have been sliding at the same time and I am sure the bottom is close. Ventra's 1999 year ending earnings should be out by December 10th and perhaps qualifying statements may be included to indicate that the company is on its way back to uninterrupted continuous growth in earnings quarter by quarter. |
