Imimobile surpassed the expectations and the defined target price. Annual results already published, summer is coming and it is time to relax and stay free from the invetments. Although annual results were better than predicted, there is no surprise element at the moment in the shares. It is time to sell and fix the profit.Imimobile.com sold. After two months it is obvious that the decision and timing to sell was right. Shares were sold for a £1.57 price, while price at this moment dropped to £1.48. Lets analize what happened.
Income: Price £1.574001 per share x 403 shares = £634.322403 in total – £7.5 commission = total received to the account £626.82
Service Fee: There was a service fee to bestinvest.co.uk every month for holding Imimobile shares: 0.01+0.16+0.16+0.19+0.19= £0.71
Profit: £626.82 income – £0.71 service fee – £499.44 initial purchase = £126.67
Investment Return: £126.67 profit / £499.44 initial purchase = 25.4%
Annual Interest Return: because the shares were kept 125 days, from 31 March to 3 August, not the whole year, the interest in annual terms, given assumption that it would continue accumulating all remaining year in the same tempo, is ((25.4% investment return + 1 )^(365 days / 125 days) -1) = 94.1%
Reasons to sell Imimobile:
Share price around £1.58 at that time climbed over the target of £1.37
+ Share price climbed over £1.50 level, which was reached in December 2014 and suddenly is stopped and even started slowly go down.
+ Annual results came on 23 June and for the upcoming long period there was no expectations of new events or results.
+ Summer time is usually inactive and is the best time to go out of shares
+ Annual results were good or better, as predicted (see the table), except net loss, future oriented, but not surprising
|Imimobile (IMO||Full year, Mar31 2014||FORECAST Full year, Mar31 2015||ACTUAL Full year, Mar31 2015|
First selling is made, first profit is made, happy, searching for the new opportunities to invest.
Investment Portfolio: £1000 initial amount – £499.44 initial purchase + £626.82 income = £1126.67
Portfolio Return: £126.67 profit / £1000 initial amount = 12.7%
Annual Portfolio Return: ((12.7% investment return + 1 )^(365 days / 125 days) -1) = 41.7%