Alliance Mineral Assets Limited – What really matters in a Stock?

Alliance Mineral Asset Limited engages in developing and exploiting tantalum mineral resources in Australia. It holds interests in the Bald Hill tantalite mine covering an area of 59,000 hectares located in the Eastern Goldfields province of the Archaean Yilgran block. The company was formerly known as HRM Resources Australia Limited and changed its name to Alliance Mineral Assets Limited in March 2014. Alliance Mineral Assets Limited was incorporated in 2010 and is based in Osborne Park, Australia. – SGX.com

1)  IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED.

  • Price to book ratio : 7.54 (700% Above fair value)
  • Price to earning ratio : 0 ( Above industry standard – 22.68)

2)  LEARN ABOUT THEIR NUMBERS

  • Debt To Equity : .6%
  • Growth Performance : –not given-
  • Dividend Yield : never pay
  • Current Ratio : 1.41
  • Book Value per share : 0.0339
  • Cash Flow per share :  -0.0076
  • Poor management ability ( Positive dividend growth  | Negative net profit margin  | overall Negative cashflow within its business  )

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3) Technical Analysis

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Price action shows that market is in a bearish trend with previous low has just been broken a live market order with put you in a 1:1.6 RR. Market seems to have a very bearish momentum with strong sell off.

4) Would I be vested into this?

nope! very clear that something that is wrong with its management team.

“+1 Knowledge point”

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