..You can see First Solar (FSLR) stock made 9x fold in just over a year from 2007-08 but since then has never revisited that all time high in Apr 2008.
..and that despite its revenue today being many times higher than it was in 2007-08 and being profitable today as opposed to being in a loss then.
FSLR holders who held on since 2007-08 after having made 900% felt they should be in the position to gain even more by holding for longer, because solar was just getting started and that the world was going to get greener.
They were right, solar did become mainstream growing leaps and bounds, but unfortunately FSLR did not, rather went on to plunge and crash on the onset of GFC to reach a bottom 4 years after its peak at just 4% of its all time high price (96% crash!)....hodlers from 2007-08 eventually recovered after that, but it was a terrible long wait and 16 years later from that peak, it remains -38% below that peak price.
THIS IS WHAT I AM TRYING TO CONVEY TO YOU.
STOCKS IN MANIA SECTORS FRONT-RUN THEIR POTENTIAL.
We saw that with Cisco (Internet), we saw that with First Solar (Solar), now we see that with Tesla (EV) (and lithium stocks) and we will soon see that with NVIDIA (AI).
and I'd argue that ALB's 460% rally run in just under 3 years from 2020-23 has front-run that potential and mean reversion is still in progress. And could stay in the lower ranges for quite some time.
