STTCOMP PLS, FA LONG
SP: $0.367c
MC: $479m (@36.7)
52 week high: $0.740
52 week low: $0.312
A few catalysts here for this growing Aussie flagship lithium producer.
A quick mention that PLS 2017 upgraded to 50c / share by Maq bank, according to Joe L on Twitter. That's interesting given Maq's stance on lithium prices and demand (which they haven't predicted all that well in the past, but let's give them another shot...)
Current movement: The SP is floundering below 40c ATM, which is understandable, but in the wider scheme of things, a little ridiculous. With a successful $100m bond issue last week, and then today an ANN about a $80m SPP raise.. Ok. They got money. The sophs were all over the SPP, which whilst being perhaps a little unfair to the retail little guy, ensures that they have the cash they need to progress the whole project. You have to get the money from somewhere right?
The drive of the SP back to 35c is opportunistic, but I don't expect many will want to give up there shares too easily, and more retail, insto, or others will step in to fill any gaps.
Interesting times ahead for PLS. I suspect the SP will take off now that there is so much money in the bank. There is little stopping them progressing to full production, and with stable management and a history of smart decision making... I predict that 50c will be regarded as stupidly cheap in 6 months time.
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