The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
RNS from May 2019. FM certainly stated structural deficit to the market when the price of V was $45ish and falling.
https://www.lse.co.uk/rns/BMN/comment-on-share-price-movement-g5sngcn9qin1his.html
We were promised a separate update for BE which has yet to appear. This was on the back of a drought of BE news. Also unclear what is going on with MUST/Enerox apart from the litigation. Is the litigation going to stall this action? My understanding is that this has to complete in a limited amount of time, no prospectus has yet been issued by MUST. Do the company have a plan B if this should fail, and what exactly would it mean for the company if it did fail?
I can see why the bonus cannot be directly linked to the share price performance, there are many factors which can affect it which are completely out of control of the company/BoD. These factors could send the sp up or down.
That said I have tried to find out what the bonus scheme is and drawn a blank. You would expect it to be linked to production in some way , that largely does come under the companys direct control but in that case they clearly would not have managed to secure the bonus.
I do agree that this is unlikely to have any noticeable impact on the sp, but it will be seen as impacting sentiment amongst existing shareholders. The pressure will be on the company to deliver increased production and lowering costs, as well as ensuring other targets ( e.g. electrolyte plant ) are kept on target. How or if this could be linked to bonus incentives is unclear, but no bonus scheme should just be an ad nauseum process.
This is the reason you will not see any director buys as they are given them. I think there have inly been two occasions when shares have been bought by them. Nicely timed after the agm. These things do not sit well especially after a downturn in the sp
Cc - Which ii do you think is selling down? We hardly have any left, possibly Duferco may have a few but I had the big selling earlier this year down to them . Of the other ii’s none have yet reported any changes in holdings, really only leaves OT or Acadia, although not beyond the bounds of possibility that they have not (yet) informed the company. We seem to have large uneven sells on a regular basis which I would mostly put down to pi’s.
I believe the market is mostly waiting for the q3 and q4 results to see if targets have been met and costs have reduced. It may also indicate if any further maintenance is necessary (hopefully none) as the high maintenance has certainly cost dearly up to now.
That really should have little or no impact. In terms of other companies, most companies being shorted are still under the after effects of covid but even that is not as great as it was. At 9% Sainsburys are well ahead.
Cannot find any hard evidence to point to shorting We were last on the short tracker over two years ago. Possibly still some under 0.5% but should not make much difference. Someone posted not too long ago that the stock on loan figure had no significant change.
I think the answer kies in the high proportion of pi’s who hold well over 700 million shares. Someone has confirmed on this thread that have bailed out in one large go and I suspect a lot of others have also done so, others probably top slicing.
Welcome back Jamiejojo. Wondered where you’d gone. Your previous post to todays was to state you knew production was going very well. That was the day before the RNS of 30th which downgraded production for the year ( and increased costs). I would suggest having a word with your ‘source’.
I think this is being lined up for a sale, only reason practically nothing has been coming out aside from indifferent news. Whether this would be acceptable is another matter, the vast majority of shares are in PI hands
The 50MW Lithium battery at the Oxford superhub went live in June. The 2MW Vanadium battery being supplied by IES is due to be added later this year. There are several other components to the overall project including EV charging and ground source heat. Gsh has been around for years but probably impractical for a lot of places.
I think the problem of trying to apply the ‘transferring money from the impatient to the patient’ is the context of what Buffet meant and how it applies. People sell for many reasons, some forced, there are no firm rules about how long you give a share in anticipation of selling at a gain.
However Buffets principle does not apply to every share and even he has broken his own ‘rule’ and it has come to bite back, most notably with Tesco shares a few years ago when he sold at a huge loss amounting to hundreds of millions.
I would say that Buffets principle does not apply here, I doubt he has ever invested in any AIM stocks. He has always been critical of gold investments and never dipped his toe in green (renewable) investments.
Its for the individual to decide when the time is right to sell (and buy) some cling on the hope that a share will recover, some manage to exit at a sizeable profit. Some decisions are made based on luck, some on greed. I’ll admit I regret not selling this in the 40s but at the time I didn’t need the money (still don’t) but the vast majority of my investments are in managed funds (Fundsmith, Baillie Gifford, Fidelity etc) and these have returned rewarding returns over the years. I have not sold any BMN yet but have a fairly substantive holding here. The more immediate challenges I see are around SA politics , high maintenance plants (and therefore higher costs); some less than effective higher management/ directors , list is not exhaustive and some elements outside the control of the company. Obviously everything underpinned by the price of V. I’ll be reviewing the situation on a much more frequent basis than I have in the past in future.
Always said that the promoting of the £1 party here around late 2018 that was the curse, like other bb’s who never had their £1 party. In fact we never had time to have the original 30p party. < insert face emoji of whatever type>