What's spooking graphite stocks, page-3

I was thinking the same thing today and believe it may stem from a change in sentiment on that "household name", Telsa.

- Numerous SP target downgrades to sub $200
- High cash burn
- Likely capital raising prior to Q4 2017
- Doubts on model 3 timeline

Although Telsa is not the be all and end all, most AU graphite explorers have marketed their product as supply for the "booming" EV market. So any issues with Telsa and the likes are going effect graphite explorers who are looking to partner with them.

You would have to think the temporary cash flow shortfall will be dealt with (debt / raising), model 3 production will eventually crank up, and coupled with the strong demand in grid storage, should dissolve the negative sentiment.

On the plus side, the current gigafactory 1 has increased planned output from 50 GWH to 150 GWH due to internal efficiencies (aka 3 x graphite requirement), plus 3 more gigafactories planned.

Ta.