Interesting to see a couple of fundies views on POS (Livewire)....

Interesting to see a couple of fundies views on POS (Livewire). Seems a bit short sighted IMO

Poseidon Nickel (ASX: POS)

John Deniz (HOLD): It's a hold, Ally, and only because of nickel's strong fundamentals and likelihood for much higher nickel prices this year, where the punters are likely to be able to throw darts at any stock and do well. However, we don't rate Poseidon's tied assets at all, and we don't rate their Silver Swan and Golden Swan resource discoveries. They're tiny. They lack any scale potential. And they're also getting very deep, which means they'll be fairly expensive to exploit.

Ally Selby: Over to you, Josh. Twiggy Forrest actually owns a 10% stake in this stock. Could that give investors confidence? Is it a buy, hold or sell?

Josh Clark (SELL): Yeah, it potentially could. I think Twiggy owns some cows, so I wouldn't recommend that everyone runs out and buys cows. Back to Poseidon. My view is not dissimilar to John's, albeit maybe I've got a bit less conviction around the nickel price. So my understanding of the asset is that that ground has been picked over for over a decade now and no one's been able to get it to work successfully in the past. So that speaks to some of the challenges that they'll have to get it up and running, or at least in a commercial sense.

The other thing that sticks out I think is the grades appear to be a bit lower than peers. So that obviously adds sensitivity to the nickel price risk, whether it's to the upside or the downside. And probably the other point to make, I think, is it just means higher throughput through the mill and they are older, refurbished mills. So there are a few things that can go wrong there, so Poseidon is a sell for me.