Timing...

Lynas arguably has the worst timing of any company I have ever invested in. Quite simply it sucks… Negative stories garner attention and generally come at a time that generates maximum negative attention in the local media. Positive stories of which there have been many, seem to be released amid negative global meltdown news or other unrelated negative event. The latest global meltdown coincided perfectly with the fantastic news of the three year extension and Lynas was one of the only stocks up on that terrible day for the global markets…

Why does this matter? The bottom line is that Amanda has her focus way out in front of the noise and controversy surrounding Lynas. She is guiding the company to become the dominant RE producer outside of China and has been making progress all through this lull that seems to pervade the industry. Specifically, the progress in the US continues, C&L is on schedule in Oz and it appears that Malaysia has begun to embrace Lynas as Lynas becomes a large and dynamic part of the Malaysian economy…

At the end of the day, most knowledgable Lynas investors understand that the share price has been muted by uncontrolled external events many times in the past and this latest wrench is a great example. The news of the 3 year license is huge and in most circumstances would have moved the share price to the upside but world events spelled a different story. In spite of this Lynas has continued to grow and appears to be on track with Lynas 2025 objectives with Amanda successfully executing her challenging business plan…

Compare that with the rest of the industry which is developing slowly due to these same uncertain circumstances and it’s pretty clear that when these dark days pass and Lynas will emerge as the industry leader with an even bigger head start on the competition. Perhaps the next QR will have the numbers needed to generate investor excitement but one thing we can count on is that Amanda will be one more quarter ahead of the competition something even timing can’t deny… JMHO…