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The company is certainly undervalued now. Mcap of 25mill with approx 35-40mill of assets. But with sales of 1-2mill or so and the net loss rather out weighing the cash there’s a possibility of running out of money in the next year or so, which in this market is enough to encourage selling.
The company obviously has huge prospects, vastly increasing sales, macro trends in its favour, deals being done across the world and a huge ramp up of production. But the market is giving nothing any benefit of the doubt at the moment and it doesn’t take many sales to push the sp down on AIM.
Worst case scenario? I imagine they would be able to borrow against the assets they have if needed but the market needs to see sales coming in and a swift move to profitability. Personally, I am holding and will buy more if it appears to bottom and/or next March-April before the deadline for the Siemens deal.
Obviously the sp is important, ultimately it’s why we are all here. But if you just look at what the company is doing, the progress they are making and the sales that are coming in then they are moving mountains. The management are clearly frustrated as fellow share holders and obviously wish they could tell us more.
My final two-penneth for what it’s worth? Keep the faith, stay the course and hold. This current market ‘phase’ will pass away. It always does.
Interesting that the update appeared on their website but not as an RNS. You would have thought they would have to copy it here too? I love a good Buffet quote Hardboy, I offer you another I think is relevant here:
"If the Business Does Well, the Stock Eventually Follows"
Hopefully, sooner than later. This is surely a recession proof play that pays a good dividend, lots of earnings in US dollars and ripe for further attention from former growth stock/jam tomorrow investors.
I would option C is the most likely. Neither the bank nor govt want the financial Armageddon that would be high interest rates (anything over 5%) would cause so many problems it would be a meltdown. The nation has been on low interest rates for so long it’s almost become a necessity. I like to think I’m a contrarian investor and the market is trying to price in so much bad news that there is no room for anything good happening at all. Admittedly, there is a lot of difficult and bad news around the world but since everyone believes it’s time to sell, the world’s ending, nuclear war is imminent etc then surely this is the time to start buying?!
Interesting to read in the RNS that interest is being shown in the next gen products:
"In addition to advancing sales of existing products, Invinity has received positive preliminary feedback from prospective customers regarding its next-generation product in development alongside Gamesa Electric."
So they must have something to show and/or demonstrate of the new battery and be confident in their ability to deliver on this product otherwise they wouldn't be showing it off. This lot don't strike me as the smoke and mirrors types. Also, by doing this it may be actively putting off potential customers from buying the current battery who want to wait for the new one thus damaging the bottom line in the near term. Well it's not long until next May and then the two years are up on this project and we will see.
Didn’t I read somewhere on here that there is a share holders lunch tomorrow? Anybody know anything more about it? Or is anyone going? Can we hope that news will be shared either before this or during the lunch? Hope springs eternal!
Yes, that's what I read this morning over my cereal! And for a moment I thought 'wow! That's a side-ways step and a half!' And then the penny dropped with a large clunk!
On another more related note, the new Hardman report makes good reading :)
Return to profit, cruise doing well, insurance up albeit off the back of travel ins and a reduction in debt. I’ll take that.
And if travel insurance is up, then people are back travelling again. Exactly what we need. The company is doing better, and eventually the sp will follow. Although it may well take it’s time!!
There has been a gentle daily decline in the sp since the results. Perhaps as traders look elsewhere for the next thing? Either way, as I've mentioned before, the company is on firm ground now and I think we are due for a bounce. Healthcare is just about the only thing working in this market at the moment and TRX is still a good long term bet.
Agreed, the special divi does not get included in the annual (normal) divi. Have a look at last years end of year results pres which mentions divi of 4p for the year but doesn't include the special from earlier in the year.
Quite a good set of results given the terrible macro picture around the world. I'm going to see this with a cup more than half full and point out that if they can still make a profit and pay a good divi with metal prices this low and a recession over the horizon then this is a good set of assets. They seem to be suffering minimal inflation pressures/increases in AISC etc too.
A positive RNS filled with promise. 'a few weeks' I would imagine means before the end of October at the latest? That they can do all this in the teeth of the current macro environment is impressive. It underlines the value of the asset.
Can I ask you where you met them HighlyGeared? This is one group of Execs that I might actually want to see in person.
I much prefer the quiet cerebral types who know what they're doing and don't over promise. These two are clearly capable business men and I feel confident my investment is being looked after. The alternative to this is a combination of style, flash, smoke and mirrors and we can all name a few of those. Also, if you're in this for the long term, then you don't want the CEO/CFO to be too integral to the company's success, so that if they leave, the whole thing doesn't collapse.