Member Info for WolfofWarks

The goods are made in China cheap as chips so that national companies can make more margin.

US economy is set up for a huge reopening rebound,

ECB are talking more stimulus as well so it’s not like the US are going it alone.

Once the USD does start strengthening it will make your Argo £ return more valuable.

Strangemartian

Most US IPOs are $bn’s by the time they get there anyway.

They’ve certain criteria you have to meet to be able to list.

Plus factor in we’re not on the Nasdaq either. UK market and FTSE in particular generally more conservative with what they’ll pay with regards to valuation.

My point Sam is that Tesla is one of a kind, it’s had it’s complete market condition land in it’s lap. An anomaly in a reasonably rational market.

Zoom had 2020 free cash flow of $1.5bn. Clearly advanced by the pandemic and stay/work from home. It will be interesting to see how they do this year. The market seems generally bearish on US big tech at the minute.

Well Tesla is the most polarised example you could use. It’s got an insane valuation, PE of 1000+. It’s nuts. It’s also got a colossal potential addressable market. All of its competitors are scrambling to catch it up. It’s made massive inroads into the supply chain in terms of batteries, cobalt, etc. Facilities that are 100% focussed on producing EV while their compeition has to try and break into the new market while servicing the old one.

It’s at the forefront of a change that’s being forced by global governments, ESG, etc. A unique proposition but one that’s got to grow into it’s valuation. And I’m saying that as a Tesla shareholder.

Mick - I can’t work out why a young growing tech company would want to pay a dividend.

There’s not many that do.

Here’s as a rough guide who we would be comparable to at each SP

0.5p £160m
1p £320m Synairgen
2p £640m Novacyt
3p £960m Greatland Gold
5p £1.6bn Dominoes Pizza
10p £3.2bn Marks & Spencer
15p £4.8bn Sainsburys
25p £8bn JD Sports

SYME’s at £160m without monetising a single client or having any funding.

It’s still only got a market cap of £500m though JR.

Can you not fathom how ridiculous your £8bn forecast is?

You’d be looking at 1p, 2p maybe 3p at a push perhaps. Even then the valuation would be dizzying, it would get traded away etc.

Previous positive RNS have done very little for the SP historically and usually pose more questions than answers so this update needs to be the mother of all RNSs.

Quick open the market

I don’t think anyone has a problem with SP predictions if they are realistic and achievable - but the numbers being bandied round here this week are absurd and out of touch with reality.

I see the poster boy for AIM multiples/rockets NCYT has lost nearly half its value recently.

JR - I’ll have some of what you’re smoking. 25p would give us an £8bn market cap. Put Syme up there with:

EasyJet £5bn
Ocado £16bn
Persimmon £10bn
ASOS £5bn
TUI £5bn

All in 9 months ....

Financial services haven’t been properly regulated since they were stripped back in the 80’s. Thatcher started the ball rolling, then Brown and Blair let them run free and contribute to the crunch. While resulted in banks being recapitalised and ringfencing retail holders accounts.

The FCA and whatever the prior incarnation was (FSA?) have all been pretty toothless. Simple fact is you have to let these financials firms run free a bit because when you start layering them with bureaucracy and red tape the cash doesn’t flow and the economy starts becoming affected.

One other thing, if you look at what happened to Greensil if this could be ratcheted up in the next twelve months or so there will be a lot of supply chain related companies either looking for new financiers or never wanting to go near it again. So it’s going to be very interesting and possibly extremely advantageous.

Parm - spot on.

Every word is either twisted to the absolute upside which I think has a high chance of ending up in disappointment.

‘The first contracts showing it is a viable, working business is all that’s needed for the SP to rerate“

Spot on. At this stage AZ needs to prove the concept. First stage - funder signed sealed delivered. Then let’s see which ‘originated clients’ take up the offer and how it all works in practice. Captive bank, etc, can come later.

Some of the language used in these releases is either down to the language barrier or meant to be deliberately ambiguous. For example the use of the word ‘envisage’. To me that states an ambition, something that could be achieved in the future - is that word used so the pristine rampers like Sam, JR, etc, start all the hype up again and all the pain and annoyance of the last month or so are all forgiven.

I’ve purposely kept quiet since re-listing because I’ve found it all a bit nauseating and just want to see something pushed over the line. Doesn’t have to be Big Bang, 10 clients will do.

Sam - serious question. Where is the £6bn coming from?

The captive bank, which is still going through authorisation stage according to Q&A, is supporting €8 up to 2024 (per RNS). In the annual report we were told that initial funding (which was never coming from the bank) was delaying the whole process to such as extent that it was materially affecting whether SYME was a going concern.

So we’ve gone from - flip can we get funding ... to £6bn of monetisation month end update all from the FCA releasing the listing and a puff piece that I’m pretty sure was written near the start if the suspension when the audited accounts were released.

The cleaner, accounts clerk and IT staff are all handling 25 €50m accounts each.

Try and keep your feet on the ground a bit eh?