In the coming month, on Aug 25, $Grab Holdings(GRAB)$will do it earnings call. For me, it's a make or break, because I've been holding on to this stock since Mar this year.
It's also a milestone I will look at to see whether I should hold on to this stock or sell it. I have been diligently accumulating it in small amounts.
Performance
Its stock price has been slowly increasing, back from a low of $2.26 (this year) to now of $2.90. The stock has had its fair share of protractors, who rightfully have pointed out that the company has yet to make profit and is still leaking cash.
For me, I have literally seen them make changes to their business model in order to deal with the decrease in driver supply. They decreased the waiting time from 5 to 3 min recently which I thought increased efficiency. In addition, they have come up with new cash flow services, such as GrabMaps.
More importantly, incentives have gone down. I am not sure if ridership has decreased as well. However, in terms of performance, I expect much lesser losses and more importantly, to break even by this year, despite their forecast of Q1 next year. With the easing of measures, I do not see why not and it's an opportune time to show investors what the company can do.
Share Price
If the company is able to do this, I believe the share price will rise to $3.30-3.50 by Nov. That's only for break even. If it starts making a profit, well, I am looking at $5.00.
Conclusion
Now, this is all speculation, but it would feel good to have identified a company at its initial growth stage. This is after its fall from grace from highs of $17. This fall has no doubt left lasting effects on the company as well as SPACs as a whole, which took away a lot of focus from its potential. I could be wrong but... What do you think?
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