this phase of the project is break even but opens the door for the next 2 along with patented technology sales.
But the market is forward facing, so the question to answer after we start selling product is - when does the market factor in the 10ktp and 100ktp.
Lets say 25% value attribution for 10ktp - 8m value there x 10 p/e = 80m value there, thats double where we are today if you assume the market does not value this beyond demo plant.
lets say 10% value attribution for 100ktp plan - 47m EBITDA x 10 p.e = 470m, thats 5x from here
As the project progresses, value attribution grows and you can see that at 100ktpa with an EBITDA of 474m x p/e of 10 (Conservative) - 4.7b company here in 2029
So lets say you invested 1k now.. You could lose this all, but given where we are , say you can lose 50%, buy your investment can be worth 54k in 2029
Worth the risk? YES if you dont invest more than what you are willing to lose
disclaimer: this is a weak valuation at best, but the point is not dollars and cents, but rather high-level risk vs reward
biggest risk is management, they arent a 500m company with this management
LMG Price at posting:
5.2¢ Sentiment: Buy Disclosure: Held
