Singing our farewell to Enad Global 7 - or is it a goodbye ?
Update on Enad Global 7 outlook
In early November, we detected a change in pattern of estimated revenue for Enad Global 7 (see graph), and wrote this article as we added it into our Active Picks list. As see in the below graph, their stock has more than doubled since then, with Singing Monsters still doing very well and maintaining its trend.
Doubling our money is plenty good enough
We honestly did not expect that fast a response from the market. My Singing Monster is still doing very well, keeping its US$100k which is fantastic for them. But going from US$130 millions market cap to US$260 millions, we feel like that increase has now been taken into account by the market.
We very much like our odds at SEK 15 a share, but we decided to let the monster sing from a distance and suggest selling at SEK 30.70.
Conclusion
US$85k a day increase isn’t worth doubling the stock value in our perspective. There might be other catalyst at force we are missing, like the success on Steam, other new games incoming, etc. but after a glance at their earnings report, there was no major highlight for us to stay.
Sometimes, you miss the big picture and get lucky. Or maybe it was indeed this My Monster Singing sudden revival success that got the stock into rocket mode, we will probably never know. If it is, the Swedish investors are certainly along the most aware eand responsive, sharing their Krone (.. ah, yours truly doubles as comedian) with the Koreans, if even.
We are happy with our gains and close the blinds to monster-free nights. If you disagree, let us know. In the end, to each their own, do your own due diligence and take your decision! GLTA. We move on, and move it to our Closed Pick list.
Below is our usual buy and sell graph. That’s because we are petty, and nothing is making us look better than a good old double your money in 2 months situation:
