Member Info for Red0rb

'buyout' talk on here is usually about the Li mine, or the Li resource, rather than the whole company. This kind of buyout would swap Lithium in the ground for instant cash, KOD would still exist and still hold the gold assets. You would hope for an (indirect) rise in share price, on assumption it was a good deal!

Small companies with bright futures are often bought out by bigger companies 'that can fund it properly', but I think the way in which Ondo operates has them established on a much more stable foundation and reduces the chance of a buyout approach being successful.

Main reasons being:

1. Cash upfront/in-advance - all sales come pre-funded, growth is organic. Recurring revenue model supports year 2+ and helps forecasting.

2. Global, 'top-ten' contract manufacturer in place, two UK production lines operational - production scale-up is covered by experienced partner, reproduction (expansion) of production lines should be repetitive and can be EU, US, Asia as needed.

3. Clear 'win, win, win, win' product. Customer (insurer), customer's customer, environment & Ondo - signs thus far indicate that all stakeholders are happy, should drive demand.

4. IP moat - Ondo have the fundamental patents which prevent others from doing the same thing in the same way. Ondo also have (fledgling) relationships established with insurers.

i.e. Ondo can afford it, can do it, should do it and no-one else can do it.

Sure, there'll be factors which temper growth, but usually for a small company it's a lack of available capital, and that's not the case here, which I why I think Ondo can hold its own against the big boys (and grow up to be a big boy).

Is this the missing link?

https://www.share-talk.com/exploration-innovation-and-growth-20-small-caps-to-watch-next-year-part-1/

My feeling is that 2025 is gonna be a good year.

Jeeze, really? Sorry but the RNS is only 3 paragraphs long, and the 'why' is explained by the 2nd paragraph.

They are part of the option scheme, and are most definitely a good thing in terms of rewarding (encouraging) the Ondo staff to strive for success. Their reward is tied (as ours is) to future share price rise.

Yes, looks like both have done well this year, well done to all who are in either.

However, Retirement, assuming your %'s are correct, neither has actually 'doubled your money', so neither have been quicker to double your money, so I state that your prediction was 100% wrong.

Again though, good returns from both shares (just no need to compare length/girth)

Bit of fun, but what would we love for Xmas?

Personally I'd love to hear we're commissioning an additional (3rd) production line either here or (even better?) in the US.

12 months of production at 70k pm plus the existing customers gets us to about 1M users within the year.

1M users, roughly £50M recurring revenue, at 20x p/e is the magic 1B market cap!

I have immense faith Craig and the Ondo team will get to this, but I suspect I'm being over optimistic on my timelines ;)

Yer, I can see that (and in no way could I do a better job of hosting/questioning!).

It was 'painful' because it was an unpolished chat, but maybe I should focus on how it was also refreshing and authentic instead.

Thanks for posting! It's a painful video (the host is clearly winging it) but is informative.

Some nuggets like how quick is ROI to the insurer (few months) and how long between a new agreement and the initial rollout (60-90 days). Info that's probably already out there but I hadn't come across yet. Helped me get more of a feel of the mechanics behind the service. Cheers!

You're stating (your) assumptions as if they are facts, Volmer.

Do you KNOW "... the company is going to have to expand to cope with the increased business...This goes beyond what sales cash flow can finance."?

Please provide your workings from the financial and operational information that's been released.

I'm not an insider, but I am experienced in sensor products, I think it's likely that scaled manufacture and shipping will come in at under the 1st year's upfront payment, leaving some for the other vital expansion activities you mentioned.

Agreed!

The recurring revenue model also means the margin should improve from year 2 onwards (adding to the exponential,or at least cumulative) growth on growth.

Year 1 has the one-off cost of manufacture & distribution, and they'll be more plumber call outs (to fix slow leaks which might have been going on for years!)

Someone asked, in the recent Investors Meeting, about monetising the data.

Once the data lake is large enough, you can bet this will be used to enhance the existing products and create entirely new ones, or new services.

The protective moat is having the scalable, proprietary tech out in the field. Who will be able to challenge?

Https://www.share-talk.com/top-12-small-cap-stocks-to-watch-in-2025-part-2-kod-mnrg-neo-ondo-polb-ree/

...for 2025' list (I posted the link a few days back, a good positive read, perhaps a bit too cautious but they have to cover their backsides!)

Ondo already is featured on (at least one) 'hot tip

If you are missing something..., then I am too.

Never been in a share I had more belief in.

1M customers by 2026?

Demand: that only represents 18% of the signed-up insurance customer base (6M I think)

Supply: 40k units per month @ current production is more than enough (with 150+ k already out there)

Feels like 1M is already in the works, I'm hoping (and expecting) more signups and additional replication of production lines... all in good time...

Thanks, Workshy. Feel like I may be doing something right as both my smallcaps make the list!

I'm confident KOD and my other one will both do well.

Thank

Positive review as 'one to watch for 2024'... personally-speaking, I'm doing more than just 'watching', but then I've done my homework...

https://www.share-talk.com/top-12-small-cap-stocks-to-watch-in-2025-part-2-kod-mnrg-neo-ondo-polb-ree/

Not something I like to do, this, but I've never liked a company in this way before so...,

I'd suggest considering Ondo Insurtech.

Tech startup, growing, projecting EBITDA breakeven H2 '25, no dilution/funding required, huge (huge!) market, sells B2B, recurring revenue model, customer makes savings from year 1, simple but proprietary tech without equivalent rivals, solid management, easily scaled (relatively speaking), order backlog...

Also, small cap but listed on the main market (not AIM!).

Read/watch through the last 2 months of news flow, and make your own mind up.

Investing in/holding Ondo is good for the conscience in itself, given Leakbot's impact on water wastage.

"Ondo holds the coveted London Stock Exchange Green Economy Mark awarded to companies who derive the majority of their income from Green activities."

Should align with, say, pension funds' ethical investment strategies, when we're nearer to that 1B market cap.