Z-Obee – Over Value

The recent crash of Z-Obee price was not to my surprise because the it is predictable base on the following two observations:

  • Parabolic Curve
  • PE = 35 (base on current price of $0.36). If base on the high of $0.61, the PE is 57 which is extremely over value. At present PE of 35, the stock is still over value.

I hope this post can help people to avoid get burnt badly when chasing over value stocks especially the chart pattern is showing Parabolic Curve.

This Post Has 2 Comments

  1. Ahmet

    As you have noticed by now the stock price started rising again even though the fundementals did not change. How are you going to explain that? Thanks

  2. Marubozu

    You cannot use logical thinking to explain the human emotion. The stock market is full of emotion but not logical and that’s the reasons why people make money and also lose money in the stock market.

    Just one example, I will not buy Z-Obee because I think it is over value base on my analysis but you may be very interested because you feel it is very cheap. I avoid Z-Obee because I feel it is high risk at this level but you may think otherwise. Same stock price value but have different opinions. No right and no wrong.

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