Biosensors vs Techcomp

Techcomp boss is buying 800,000 shares at $0.44 This signal that the market undervalued the company and its real value is not yet reflected in its share price. Fundamentally the company is great.... but faces liquidity problem.

Its a paradox. Boss mopping up undervalued shares as its intrinsic value not fully reflected due to illiquidity, serves to reduce liquidity even more by its very act.

Privatization coming? Who knows, maybe he is mopping up shares cheaply with a possible plan to privatize it? Anyway, speculation aside, just found a story about the boss at www.nextinsight.net/content/view/345/79/

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As far back as he can remember, Richard has always had high goals. “I don’t know why - maybe I was naïve – but when I was young, I strongly believed I would become a successful scientist and win a Nobel Prize,” said Richard in an interview with NextInsight in Singapore. He added: “Other jobs looked too easy. And there are thousands of people doing those jobs. There are very few who can win the Nobel Prize.” Richard was inspired after attending a public lecture by Professor Yang Chen Ning, winner of a Nobel Prize for physics.

Tomorrow, I will break my piggy bank and buy more Techcomp shares. Sooner or later, the analysts will start to cover this stock and that is when the share price will soar. At its peak, I believe there are 5 research houses covering this stock. I have feedbacks from friends who attended the briefing that the management is cautiously optimistic that they can turnaround the loss-making European company. They also mentioned that they are exploring more M&A in Europe to build up their network in the region. When the network is established, the Company will start to sell its proprietary brand testing equipment to the European markets. I will be patiently waiting for them to build up this network.

Was just looking at the stock picks by readers at www.nextinsight.net/content/view/2078/79/ Seems that Techcomp is the best pick shared by readers, cos the stock is 45 cents, up 50% from the 30 cents when the price was recorded for the article. Techcomp does face stock liquidity problems - very difficult to buy meaningful amounts. :(

I just added 200 lots last week. The managment deliver on their promises and I would definately look to buy more before the and XB.