I still think that EIDSY is overvalued even at current levels.
When you factor in the 5 for 1 stock split (in my opinion a silly mistake by the management, cause they haven't factored in such a drop, why not a "normal" 2 for 1 split like everybody else does...no they wanted a hefty 5 for 1 split) my price target of 3 equals a price of 15 $ pre split.
I follow this stock for a long time and I jumped on board on the success of the first Tomb Raider title. Now, I have no position in EIDSY (not long or short) and I've the patience to wait for a new entry point.
Regarding the poor sales numbers of TR 4 from last Xmas (which is in my opinion from the content a near 100 % clone of the sucessful movie "The Mummy"), you can see that the marketing power of Lara Croft is loosing steam! If EIDSY produces just another TR 5 game later this year with no real innovations in game play and content, numbers will look even worse than now.
The TR series is the main asset for EIDSY, without this game no one of us would've even heared about EIDSY. Now I ask every EIDSY investor, what comes next? So far they've produced a bunch of mediocre games with poor sales (OK, "Commandos" was a success, but better forget about the rest) and with all their staff, they've now quite a problem on the cost control side of their business.
This time the sale of their valuable 15 % stake in Opticom saved their balance sheet, but what should they sell next year?
Their all time low was 1 5/8, so I think that even when you factor in the Opticom-money this stock is not worth more than 3 a share. It may take a while to get at this level, but always remember: It's still a long time until next Xmas and in the meantime EIDSY will see a shrinking revenue stream and a constant cost base remaining at high levels.
Regards
Kai
P.S.: Zu Ihrer Frage Bob: Ja, ich bin Deutscher; als gebuertiger Kieler wohne ich dort und arbeite zur Zeit in Hamburg (bin also ein waschechter Norddeutscher). Wie ich Ihrem Profil entnehme, haben Sie in der sch”nen Stadt Heidelberg studiert.
In diesem Sinne wuensche ich Ihnen ebenfalls alles Gute und weiterhin eine glueckliche Hand bei Ihren Boersengeschaeften! |
