The corporate governance issue surrounding CMRL has been a topic of discussion for some time, and similar challenges are not uncommon in the microcap space. While this can raise concerns for some investors, others may prioritize potential growth and strong market positioning.
Previously, I made a similar observation with Associated Alcohol, where governance concerns ultimately impacted the valuation. However, it’s important to remember that each company’s situation is unique.
Cochin Minerals boasts a promising product line and niche market, potentially leading to attractive long-term prospects. However, the ongoing governance concerns remain a factor to consider. Optimizing operational efficiency, as you mentioned with the hypothetical OPM increase, could significantly improve profitability. Ultimately, you must carefully weigh the potential of the business against the identified risks before making your own decisions.
