I am not saying "I told you so" because the green uptick candle finishing on the high of the day (very very good and good volume too) came in a bit earlier than I thought (I expected Thursday or Friday this week).
So the next couple of days will be very intersting. I am still anticipating a +10% candle shortly consolidating SP in the $3.20-3.50 range.
But this is just the optimist in me that new investors and accumulators will continue to suffer from short, medium term memory loss and lazyness to research.
IMHO, GXY will continue trailing rather than leading other lithium producers and wannabes as long as the sector is bullish.
Let me explain with the next 327 words why I think GXY will trail other, less asset fortunate lithium companies for some time:
I see an overall issue institutional and sophisticated investors might have with GXY managment based on past corporate blunders (A40, Pesos hedging) and mediocre performances when compared to other managements in charge of less exciting assets but demonstrating consistently how to promote and deliver.
What happened to the Galaxy-Lepidico (LPD) spodumene tailings story and investment, Mt Cattlin production perfomance promises (plant efficiency), JB, SDV (development and resource upgrade)?.
In the end, you can have the best assests (SDV and JB) amongst your peers but if our old management (Simon Hay excluded) lack the ability to execute e.g. asset development in a timely manner, negotiate the best deals, diversify your customer base away from a Chinese monopoly, update investros in a clear and timely fashion, etc, our corporate reputation might stay tainted for some time. Lets not forget, GXY had a very colourful recent corporate past, including an almosst bankruptcy, a General Mining (GMM) take over, a sale of part of SDV (mybe the best part after the resource update from POSCO?).
And TBH, the best corporate actions and deals GXY did were done in lithium bull markets! Tough one, right?
I am hopeful that Simon will manage to lift GXY's corporate game and ultimately set GXY SP free to run on its own accord. At the moment I feel we are just another lithium miner whose gains are colateral of the entire sector. Our current SP in no way reflects the huge potential and value of our assets in the emerging lithium bull market.
Stop the coporate blunders!
It is time to lead the sector, GXY.
It is time to let GXY fly.
It is time to show the investor world that managment can deliver and surprise to the upside consistently. Only then will we see the true value of our assets and SP.
PS. for some reason my disclosure and sentiment is wrong:
STRONG HOLDER SINCE BEFORE GMM acquisition
BULLISH BUY
because the green uptick candle finishing on the high of the day (very very good and good volume too) came in a bit earlier than I thought (I expected Thursday or Friday this week).
