Every Investor Needs an Exit Strategy — Especially with a...

Every Investor Needs an Exit Strategy — Especially with a High-Conviction Play like ESR

With ESR on the cusp of its maiden drill campaign in Timor-Leste, now is an opportune time to speak about something often overlooked: your exit strategy.

While conviction in the upside potential is strong and rightly so, discipline will be the defining trait that separates profit-takers from bag-holders. Personally, I remain entirely aloof about where and how I might exit, but I do have a figure in mind: one that sits at a multiple many times over Thursday’s close of 3.1c.

Having a price target is not about being rigid, but about being prepared.

As for catalysts, there is no shortage. The likely cadence of news flow, drilling commencement, visual results, trading halts, assays from Australian labs is almost certain to fuel upward pressure on the share price. This is especially true in a tighter held stock with newfound momentum.

However, in my view, the true inflection point, the moment we know this is becoming a serious institutional story, will be if and when ESR, with $3 million currently in the bank, raises capital at another premium.

Should that raise be offered to cornerstone holders or known early-movers, the message will be clear: this is moving to a different league. Another premium raise, like the last, would reinforce market confidence and validate the underlying asset.

That said, no two investors are alike. Everyone must carve their own strategy, aligned to their risk profile and conviction level.

There is undeniably an extreme volume of material news ahead.

If those holes hit and the assays confirm what the geological indicators suggest, it may well be wise to stay fully or partially invested. But remember: when the news cycle slows, whether due to seasonal weather, regulatory hold-ups, or study-based lulls — that may be the time to crystallize gains and wait for a cleaner re-entry.

Plan accordingly. The next few weeks could move quickly!