AJX may become capital constrained as it ramps up production, page-8

This is agonising - why does any raising have to be massive? It surely does not?

You can't sustain an argument that includes stress from rapidly increasing customer base and an untenable stress on resources from taking them whilst ignoring the attendant increase in income. What about the incredibly capital lean structure of the company (tolling model, etc) - its likely that servicing customers won't cost much at all, and that all the costs are in the initial courting and winning followed by solid gross profit (hence the initially ugly COGS).


As for overall profitability, Amazon did fine for more than a decade without profit. I'd take exponential growth (in market share and therefore capitalisation) over book keeping to favour the bottom line.

Why would Moelis allow AJX to publish their report stating it was independent when really it had been paid for!? They're an enormous company that would be facing devastating consequences in doing so, for what a current minnow? That just isn't plausible or logical. Far more likely Moelis have finished their buying and are now happy for broad dissemination of their opinion to facilitate profit for their new position, this is obviously mutually beneficial for any growth/start-up company given an uncertain macro picture - shareholders look for SP appreciation and a higher SP provides a buffer against headwinds or unexpected stumbling blocks IF capital is required.

It's interesting that your posting ramps up after market, when the threads are quieter and thus your opinions don't get drowned out by the usual commentary and more active posting. Indeed I shouldn't even be giving you oxygen by replying.

You state the company is winning customers so obviously accept that information - do you doubt their revenue projections? Or the profit margins they've indicated? If not how can you logically sustain your argument for a long and difficult road ahead?

It seems clear to me that you're trying create doubt, or a narrative that near term weakness is likely, but cannot make a cogent argument that the company is going to be anything other than powering along in 12 months? If that isn't the very definition of opportunistic down ramping I don't know what is.