5EA set to skyrocket, page-512

Small point of order fellow Tinnie ...

The ASX 300 and All Ords are rebalanced every six months in September and March. We have a while to wait for any rebalance and the consequences thereof (good, or bad?).

Each to his own, but I believe this situation will ease over the coming months. Consequently, I'll be holding through this period of share price weakness. I've actually been buying and have used it to top up what for me has always been a long term investment. They have more than enough cash to get into production and I believe the market weakness will pass.

Just have a look at the American Pacific Borates (ABR.AX) 5 year chart, which runs only until 5EA came into existence in March. But note the drop over 6 weeks from 30 April 2021 from $2.41 down to $1.14 on 18 June 2021. This stock has a history of large moves, as long term holders will attest:




I believe there will be a CEO announcement relatively soon. I can't say exactly when, as it's up to the Board, but the CEO replacement process is in train. As I've said before, I'd rather they got this right first time so that we are not subjected to this process again any time soon.

I personally have no idea who it will be. I know Chance Pipitone told me back in early October that they had an excellent internal candidate, which was before the new board members were brought in. So, I could be wrong, but I think @kingpins suggestion is unlikely. I have no idea whether or not AH would want to undertake the role full time, but I very much doubt it. JT ... great guy doing an excellent job on the marketing side right now, but again, I doubt he would have the deep capital markets experience we need (again, I could be wrong). And again, JT was brought into the company after my conversation with Chance. It's all speculation, which I'm not well qualified to undertake.

It all depends on how you want to look at it ... glass half full, or glass half empty? If you believe in the long term fundamentals, you may see this as an opportunity. However, I completely understand those that are unable to hold through periods such as these and are forced to liquidate. It's been a pretty rough ride for sure.

Good luck and best wishes to all.