Yeah nice forsight there mate, you have had quality posts across a lot of stocks I follow.
Its amazing how many stocks right now you can just copy and paste the same story, management raising and paying themselves great salaries, whilst share price constantly declines, they raise again, until there are so many SOI , then they consolidate and name change, and do the whole story again, and people forget about this history.
Really we need to remember the history MGT, and you have some great posts on this, used to be called Royal Resources (ASX:ROY) and back in 2011 they were all excited about their Razorback Magnetite Project etc etc. By 2014 it still hadn't got out of the ground. Fast forward to 2021, and a decade later, renamed MGT and under new management, it was the next hot resource stock, and this will go in cycles, they still have got nothing out of the ground here.
Sad reality witha lot of stocks on the ASX at this end of the market, really does pay to look at management of a company deeply, thats the main thing at this end of the market, need quality, often time these companies are a great vehicle for management, directors and CEOs along the way, who get paid great salaries and free shares, but horrible for shareholders who fall in love with the story and then lose all their value.
It happens in cycles, these magnetite stocks were the hot stocks for a time, but doesnt take much of a global slow down to make the projects not viable. The time will come again, and hype will be back, just a question of when , for me the global outlook not looking the best at all, could be years.
As always big winners will be the management, they are paid the whole time, watch them change the name entice a new group of investors who dont know their past. Sadly happens all the time on the ASX, rinse and repeat the cycle.
Im heavy in both of these stocks MGT and HIO, taken a brutal hit these last weeks, but can only blame myself.
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