Member Info for JAMESY1980

Disappointing day. Feels to me like ARB is now crazily undervalued. I understand the funding concerns, but even with a relatively pessimistic view on the company the hodl should be worth between 50 and 100% of the current company cap by the end of 2022 assuming crappy returns like Jan continue and Helios produces naff all.

I can’t see a rights issue or placing simply because of the current SP and how recent the Nasdaq placing was at $15, but whatever way the machines are funded, the payback time seems to be relatively quick.

I notice that Sphere 3d dropped 5% today even with bitcoin surging which shows that credible pragmatic growth is worth something, but not as much as I would like it to be. Once reality sets in, some info on filling Helios with machines is announced and we have a better couple of months production under our belt I see a significant rerate..

Surely the efficiency dip is due to the fall in bitcoin and hence margin?

https://decrypt.co/91432/texas-governor-greg-abbott-inviting-bitcoin-miners-stabilize-electrical-grid

Another article on the potential energy benefits to the area. Apologies if posted previously.

Mwhite, Agree this is great PR, and would say that the principle and impact applies well beyond Texas. I’m sure some greenies will wade in and try to counter the argument, but I think flexible demand for renewable energy can support that industries growth.

Poor Texan’s struggling with 1 degrees C!

Pretty much nothing new or noteworthy, but link in case you are interested:
https://www.fool.co.uk/2022/02/04/why-the-argo-blockchain-share-price-fell-23-in-january/

Bitcoin was around $42k when ARBK listed at $15 and immediately jumped to well over $16. Sentiment appears to be returning, We’ve had a few good months of mining added to the hodl and Texas is 4 months closer so why is the rise tailing off on the Nasdaq at $10.5ish? I know there general US tech sentiment issues, but even that is improving significantly today. I’d have liked something closer to $12.

Thanks Argobull, should have emphasised the ‘all’ but you clarified it. Unlike many industries where being the biggest allows scale and monopolisation benefits crypto mining is designed to be spread proportionally. It does seem like efficiency will become more important in the future but we are relatively well placed in that respect. I’ll keep an eye on Sphere SP as it is an interesting move but I see more risk in their growth strategy than ARB and as we know mining investors are not always the most patient.

Chuz, you talk like it is a winner takes all market when it is very specifically the opposite. Like many here I have a positive long view on bitcoin I’m not sure i’d be happy if ARB produced a plan of expansion that leveraged their current cap as much as Sphere have, but as I said it strengthens my long term view on crypto.

Not opposed to a buyout at a healthy premium when Bitcoin pushes past $100k and the big boys are swimming in cash.

Am I the only one thinking that this Sphere 3d article makes ARB Mcap seem even cheaper? Nearly $2b investment in machines that it sounds wont be fully online until well into 2023! Clearly increases worldwide hash-rate are not welcome, but that is one statement of confidence that they will see a return on their capital. Our wee half billion $ company with its hodl, diversification work and more pragmatic growth plans could do just fine hanging on the leaders coattails IMO.

Chapel - whilst an RI is a possibility, I have bought in here and topped up today as I believe that JOUL will find a way out without an RI. Whilst TED are an interesting comparison, I seem to recall that they were in hot water with their accounting practices and tanking, well before being hit with the logistics costs and inflationary landscape. I am hopeful that banks will be more flexible with JOUL as I agree with you that they are a good business and they are being hit with external issues somewhat beyond their control. When viewed in comparison with revenue, debt is not rediculous so some cost cutting and balance sheet movements will hopefully get us through this spell. Good luck.

Ticking up on very little volume again and again. Whilst I would prefer to see some volume, any positive movement is welcome after the past three months.

Hoping for some form of good news soon. Feels like a long time since we have had any update of note. There was an operational update in Jan 21 and Full year results were published early April.

As Danno has been sharing, there do also appear to be growing media reports questioning uk/europe energy strategy which could have significant implications for Igas on a number of fronts.

Pokerchips - CARD is a good comparison. Althoiugh they are very different in terms of product and market point JOUL currently face many similar challenges to those CARD had a few months back, but they do seem to be winning. In Joules favour is that their debt to revenue ratio is much better, their challenge is coming up with a plan to increase revenues and or reduce costs to improve EBITDA, as I would expect waiting on logistics costs settling down will not be enough. I believe that banks are being more lenient on companies who have been affected by Covid and the direct knock on effects, particularly where they were profitable or in Joules case 'growing' before the pandemic. Good luck

Cap to sales of around 1/3 makes this seem cheap very to me regardless of the ‘21 earnings. I find it hard to see a scenario where they cant find a way to turn revenue north of £200m in a relatively premium product into a much healthier EBIDA in 2022.

I really like their clothes got a few shirts and gilets all very nice fit and quality.

I just took a punt at £0.662. I like the brand and hope that wider logistics issues will ease and provide some relief. Not normally a fan of retail, but I've ended up with quite a few stocks as the challenges are providing value and I believe they will be resolved. I'm also trying to move away from heavily leveraged companies to limit direct exposure to interest rate rises.

Interesting info, thanks Jayblu.

Two things jumped out for me: “Argo have always thought crypto is more than bitcoin” and “We have a few tricks up our sleeve for 2022 which we have not released yet”.

I like PW, I find him an engaging communicator.

IP- Assuming you are referring to the SIP share issue, not sure we should deprive staff of this incentive and around 0.1% increase in share volume is hardly perceptible. What about concentrating on the fact shares are only issued on hitting production targets, so could be viewed as positive affirmation?

What are they looking for? Shares in CINE?

Sounds a bit like they aren’t expecting a ruling in their (CP) favour?

Danno, I am 100% for being self efficient in an energy sense and therefore behind fracking. I believe the seismology risks are being exaggerated and exploited by the NIMBYs. My point was that I’m viewing it as an unlikely upside (with huge potential) rather than pivotal on success of my investment in Igas as I think there is a sound business model sans fracking.

I try not to think too much about what lifting the moratorium on fracking would do to Igas as my thoughts are that there is value here without it. Fracking return combined with the suggestion increased gas prices could last for years, Igas's improved efficiency on traditional production and all of it's diversification initiatives the upside could be frightening. What about putting the end to end gas production, blue hydrogen, carbon storage all together in one company?

Risehall. Its good to hear from someone who knows exactly where Bitcoin is going as many folk much smarter than I (and I suspect you) have struggled to rationalise it. I can find as many predictions of $100k as I can $10k. I just guess and hope…