MNB 1.56% 6.3¢ minbos resources limited

"PS. I can only imagine CHUK going in to Pulitzer/ Marketing...

  1. 14,147 Posts.
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    "PS. I can only imagine CHUK going in to Pulitzer/ Marketing overdrive mode"

    Ha ha.
    No need to go into overdrive as I think very few agree with your opinion on management but your post certainly deserves a reply that you clearly expect so here you go;

    You talk about the broder market being well aware of management's past performance. First of all, the broader market has no idea that Minbos even exists. Of those that do, I expect most are very happy with the developments of the last two years and the sp being up something like six fold in the last two years as well as outperforming its sector of small cap resources during this bear market, shows most investors disagree with you. The sp strength over the last two years shows the market's view. The recent dip from 14.5 - 15c back to 11.5 is clearly a result of short term trading following the recent cr and means nothing about the market view on the stock. When it recovers to the mid to high teens it also won't be because of any change of sentiment, it will be because the traders have finished selling again or they got overrun by the buyers. Short term volatility is all about traders and broader market sentiment. The strong long term trend reflects management's progress on both the phosphate and green ammonia projects.


    "The market is well aware of our management ! Retail may fall for it but not the big boys"

    The chairman of the world's largest anode poducer should qualify as a big boy? He and two other cornerstone investors just invested, effectively fully funding the phosphate project pending a few formalities to formalise the debt component. The cash component of $15mill between the three new investors is secured.
    You are correct that the big boys are not falling for it. That's because there is nothing to fall for.
    Maybe they know a great investment when they see it.

    You keep going on about management not delivering in the past. You might forget that they held the phosphate project for many years as part of a JV where the other partner was the manager and at a time of very low - multi decade low - phosphate prices. Any management team will struggle to raise cash to progress any resource project that investors have no interest in because of the cycle in the commodity price - especially one as bad as it was over the last decade for phosphate. Ever since Minbos won the tender to take back this project -with a much larger 85% share and as manager - the sp has performed extremely well.
    What you keep claiming is just plain wrong.

    S&P500 showing the bear market of the last 6 months.

    https://hotcopper.com.au/data/attachments/4511/4511305-90a1b8d24275ce2637b15aea3ea3cd42.jpg

    Minbos chart showing the rise of the last two years after minbos took over as manager of the phosphate project. It also shows how well the sp held up until the last week's dip brought on by the cr. That will pass just as the last two did. Especially considering this one has raised enough cash to get the phosphate into production. Month by month volatility aside, the moving averages show an overall strongly rising trend and a sp roughly flat over the last six months despite the bear market in the US. On the subject of the US market, they just had another very bad inflation reading up at 9% in the US and talk about that leading to a full 1% interest rate hike. Despite that grim news, the market jumped 2% Friday night. Makes me wonder if the market has dropped far enough to price it all in.
    If it has, then once this near term cr selling is done, we should be well due for another big rally.


    https://hotcopper.com.au/data/attachments/4511/4511308-3a7ddaeff1c9a8d5b9208a6195bc9398.jpg








    Last edited by chuk: 17/07/22
 
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