| SENEA. That's a pretty good summary, and a good reason for you (and others) to pass on the company. For me, I've followed the company sporadically for several years, and while the stock may be fairly valued (maybe fairly-valued at best), I'm willing to bet the downside to the stock is limited because the company does have a history of coming through the commodity/farm cycle, and I can foresee a small upside again to the stock in better times. Also, while price/stated book value is .7, in past years price/stated bv has often been .9 with stated bv sometimes increasing. I'll bet I might see that .9 again. Otoh, to your point: price/sales is flat, revenue is a very slow grower, and there's no indication that investors get anything for their investment (no dividends). Also, I acknowledge the polite nature of posters here: I realize a case could made that my purchase is just silly in that, if I'm only expecting a few point gain, and I'm willing to hold for a while (12+ mo) to get it, but I'm only willing to make a small bet on the company -- it's seems foolish to bother at all or waste time for peanuts, when there might be much better opportunities in other stocks elsewhere. |
