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11/08/20
22:35
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Originally posted by Convel
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Ok, factor in this-
I am cautious when holding stocks at this stage of development and share dilution where I might have to hold for another 2-4 years.
Ive seen too many stocks go through the cash raises for potentially distracting side projects, overheads or all existing project running costs each year use up the money, on-going cash raises, years drag by and management keep collecting their annual salary.
It Happens all too regularly.
So potentially in two or three years the oversupply will turn to under supply, okay, keep in mind that your statement is speculation at best.
i’m not even going to speculate on the price of lithium and here is why.The price of lithium as a catalyst to get this stock up and running in two or three years is not the ignition this stock is simply missing by itself.
To add to your speculative future prediction, a mine that relies on Global Over-supply of their resource to provide economic feasibility whether the mine is producing or not is quite an unstable business.
Elon Musk has publicly spoken about a fundamental target for their business model and production is connected to having access to cheaper lithium prices as cheap as possible in the coming years.
For EV manufacturers to increase production of vehicles and take market share away from ICE vehicles, one of their targets and hurdles is securing access to cheaper lithium prices.
Cheaper lithium prices is not the only hurdle or target for EV manufactures over the coming years to increase sales of electric cars.
See what can happen, GL.
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I’m thinking you sold FMG at 3.0c because it was at that early development stage and too risky for you....given how much IO there was in the market and how the Chinese wanted lower prices