Just my Friday night musings before a scotch.
I am sure most are feeling a bit disappointed about the share price (not so much the long term holders as, although we have some shares at $1.65, most accumulated at low prices). We have had great anouncements of late and yet the price is going backwards.
With most of the good news already out, what is going to make us go higher over the next 12-18mths? Other than exceptional drill results at KV (likely not out for a few months) and resource expansion, I don't see a lot of company specific anouncements to shift the needle. Permits are not in the bag but are said to be straight forward so I don't see this as shifting the needle. I'm not holding out for a takeover. Buldania unexpected discovery..low odds.
It does seem like the perfect opportnunity, with market sentiment pretty awful to be honest, for the market movers to push LTR down as far as they can, while accumulating for the big uptick that will happen close to production. I believe the next 12-18 months will test the resolve of shareholders, especially if we end up having this severe recession somecare now predicting.
An easing of trade tensions with China, continued opening of supply chains, end of pandemic, end of war in Ukraine and softening of inflation would help our price, but none of this is within our control.
I guess the decision for everyone is either;
am I more worried about preserving my capital or,
am I prepared to risk short term pain to try and make more money over time?
If you are more interested in preserving your capital you may already be out. Otherwise, everyday the pressure builds.
If your invested and believe in the LTR story and fundamentals, you may have to accept the price may not reflect true value until we are close to or already in production and the world problems above are behind us.
If you are long, like me, I believe the only way to deal with the current events is to be patient and purchase low (if you can afford), say thank you for the cheap shares. For me, it's always been about how many shares I could accumulate, not my average, as I am still aiming for those dividends one day and plan to pass on the shares to my kids.
The market movers have very deep pockets and are patient. A mate of mine rang me this evening to say he bought more LTR today. I told him I rang my sister this morning and told her to sell if she hasn't the stomach to see the price pushed a lot lower and not prepared to wait 2 to 3 years or more (I haven't rung her to see what she did).
Congratulations to those that followed the money and sold around $2 or in the high $1s. If you sat on your cash you are in a great position.
Fortunately, I have income and not reliant on these shares but I feel for anyone who needs to sell. The market movers rely on this, it's how they survive. Parasites on retail money imo.
Sorry, not my usual postive post. Hopefully that's a bottoming signal.
The company couldn't have executed any better to date. Three great offtake partners to build a very strong company. Great resource and management. Fully funded to production with most of the money raised at $1.65. It doesn't get any better imo.
Unfortunaely, the world is in a bit of shit atm, and the vultures see opportunity. Won't last forever. True value will be realised eventually. I have always said this is a long term investment. Patience will be rewarded imo. We went from under 2c to over $2 very quickly. I think our next big run up will start at a much higher base and exceed previous highs.
Have a good weekend everyone.
G
(20min delay)