Keep an eye on this one - AHE

by Michael Gable

AHE is trading on a cheap P/E multiple and recent acquisitions will bring about cost efficiencies and more integrated divisions, all within a very experienced management structure. In terms of the charts, it is trading in a large symmetrical triangle. We can either buy the stock at the bottom of the range or wait for a breakout to the upside. At the moment the stock is in the middle of the range but it has since formed another higher low and we can see that the range is starting to tighten up here. Often with these symmetrical triangles, the stock will break out about 2/3 to 3/4 of the way along. It therefore appears as though this is imminent and any dip in the share price could now be an opportunity for those not wanting to wait for the breakout to occur. Otherwise those already in the stock could do well to continue holding.


Disclaimer: Michael Gable is an Authorised Representative (No. 376892) and Fairmont Equities is a Corporate Authorised Representative (No. 444397) of Novus Capital Limited (AFS Licence No. 238168). The information contained in this report is general information only and is copy write to Fairmont Equities. Fairmont Equities reserves all intellectual property rights. This report should not be interpreted as one that provides personal financial or investment advice. Any examples presented are for illustration purposes only. Past performance is not a reliable indicator of future performance. No person, persons or organisation should invest monies or take action on the reliance of the material contained in this report, but instead should satisfy themselves independently (whether by expert advice or others) of the appropriateness of any such action. Fairmont Equities, it directors and/or officers accept no responsibility for the accuracy, completeness or timeliness of the information contained in the report.

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