Sell only if u have a need for the cash at the moment. Otherwise, when the bear moves out, it is likely to move up with the other counters, at that point is when u can evaluate a sell decision. Selling in a bear is not wise, since at that time the fair value of even a bad stock isnt evident. Carbacid as a company isnt struggling and its influence in carbonated drinks should ensure it continues to thrive/survive. Hope u make sense out of all this, seeing as im 37% down on KQ and applying similar philosophy

i advise you to close your eyes and avoid checking the prices daily movements as they'll give you a heart attack. Carbacid is a good investment...hold on dearly.

Thanks guys, I'm wiser.

Sleep for two more weeks and wake up after Mashujaa day as a shujaa or Martyr!! You may have some few coins to make roughly 70cents per share this October

Boss, have a reality check

We're in a general bear market and this will persist for some time, good results may see a dead cat bounce but nothing more. Nonetheless, this is a solid company note that nowadays 2/3rds of sales are in export markets so weakening currency could boost earnings for the foreseeable future especially with Ethiopia's growing beer market.

the long wait is like eternity. what could be the issue? Fingers crossed! price is being heavily attracted to the force of gravity.

As a Ben Graham disciple, you should be ashamed of thinking this! There's nothing like 'over-capitalized' considering the current cost of borrowing. Why borrow at 25% when they can invest excess cash at 23%?
If they have excess cash, they can distribute it as a dividend but asking Carbacid to borrow at 25% (or higher) is crazy.

BTW, stock buybacks are not allowed in Kenya. Even if there was a stock buyback, it should only be done when the price is lower than the intrinsic value.

A firm's ROE is irrelevant when the PRICE is much higher than the NAV/share. The NAV = Equity = Shareholders' Funds.

The net margin of 50% is bolstered by income from deposits/bonds/bills. Nevertheless, I want to hear you out on how you came to a NET MARGIN (also define what the NM is) of 50%. Furthermore, please use actual numbers so we compare apples to apples.

History is history. Until we go back to long-term rates of 12-15% [you said 12% then you said 14-15%] we should look at 25% to be prudent. What Graham called the Margin of Error.

What I said [& I am happy to refer to Security Analysis] is what Warren Buffett calls 'excess cash' which is yielding less by remaining with the firm than it would for the shareholders.

If shareholders can get 22% (less 3.3% w/holding tax) from CBK then it makes little sense for Carbacid to buy 22% bonds, pay 6.6% tax on the interest then shareholders pay 5% on the dividend.

Buying back shares using debt is Financial Engineering. It may may sense in a STABLE market but not when things are volatile. Carbacid shares trade at a substantial premium to NAV.