Lancashire's shares seem to be in the downward spiral
The share price of Lancashire (OTCPK:LCSHF) has been in the downward trend since beginning of 2013 when the acquisition of Cathedral and subsequent dilution was announced. In my previous article I have noted that despite the dilution the acquisition was actually accretive to Lancashire's shareholders and that investors seem to be overly concerned about softening insurance/reinsurance industry. Recently Lancashire's shares saw an even sharper sell-off (down 15% during Apr-May), which was likely triggered by the resignation of its star CEO Richard Brindle.
(click to enlarge)
Source: Lancashire share price from Yahoo Finance
I believe that this sell down provides an even better entry opportunity, as company's financials have improved...
|FREE||SA PRO MEMBERS|
|IDEA GENERATOR||X||Exclusive access to 10 PRO ideas every day|
|INVESTING IDEAS LIBRARY||X||Exclusive access to PRO library of more than 15,000 ideas|
|SECTOR EXPERT NETWORK||X||Exclusive access to all sector experts for direct consultation|
|PERFORMANCE TRACKING||X||Track performance of all PRO stock ideas|
|PROFESSIONAL TOOLS||X||Professional Idea Filters to zero-in based on industry, market cap and more|