Pipeline 2020+, page-8

My stake in Fluence is still growing, and each time I revisit my research I always come to the same conclusion... I should buy more at these price levels.

At a high level my investment criteria is simple, find a company that has a technology/product that is disruptive or able to meet a significant unmet need, has proven itself operationally, still in its early stages. and ideally a suppressed share price that the market hasn't yet inflated. Fluence is one of companies I have identified that hits that sweet spot.

I have held stocks where the market has jumped the gun and overvalued the business... sometimes the business catches up to that valuation, but most of the time reality kicks in and the market valuation plummets. Whether it be timing or fundamental issues with a micro/small cap business, the valuation the market gives to a particular stock is impossible to predict, but easy to justify. That is where I find a lot of investors make their mistake... they believe, almost rely on, the market valuation.

In my personal experience, using my own investment timeframes, I have managed to do very well from identifying businesses that have exponential growth potential that have market valuations significantly below what I believe it should be.That usually means I buy when others are selling... where the market see panic, I see opportunity.

Ultimately every investor is different, but when it comes to micro/small caps, more often than not the battles are won/loss in the mind... ultimately, the share market is a mind-game and those with the strongest and clearest minds usually do well.. whereas the weak minded tend to be too temperamental to succeed in the long term.

But whatever investment style we follow, what I believe helps all of us is that we share our thoughts, views and research... as I remind myself why I am invested in this stock, I like to remind us all at the same time.. that the bigger picture is looking very bright for Fluence, and we don't need the market to tell us that.

I keep my own little research file that I build on when I have a chance.. what I find useful is my data mapping out Fluence’s pipeline of all their major projects won to date. While mine is visual, I have tried to share in words in my above post what I see in Fluence's pipeline… and to me, it looks like a Fluence are all but set up for a very strong 2020 and 2021 at the very least.

While the SPS business builds, Fluence now has the scale (through the IC project) to become profitable.. while the IC project is low margin, the sheer size of it will cover a lot of overheads that the business incurs. And if the SPS business grows each year, as it should, Fluence will naturally overtime become a sustainable business... and after that, momentum will drive this business to exponential heights that are currently unimaginable.