short term trader. The secondary (expected momentarily) is probably going to be at $1.50 and the brokers must show their clients *some* gain. But dont stay too long - just trade it for a short term profit.
The yearend BK is pure speculation on my part. Probably not til after Q1 2015. All depends on whether they get enuf cash to fund $15,000,000 outflow each MONTH. Also, they cant go all the way thru available cash because they MUST make the debt payments or creditors will throw them into BK
I've been negative on MCP since $7 last year because (1) the Chinese control the market, (2) REE prices are NOT going up and (3) MCP is bringing on new capacity in a market that doesn't need it.
I predict that (1) that Mt Pass mine will be closed within 1 year (2) the company will collapse by year end and (3) all common shareholders will lose everything.
Its never too late to sell a bad investment. 90% loss requires a 900% gain.
Long term (before yearend) BK for the company.
Would you pay $2 when you can buy it for less?
Of course! But he is a "believer" and you will not convince him with facts and figures, only fantasy. Drip, drip, drip until there is nothing left.
Book value means nothing for a company that cant sell their output into a market dominated by a source of cheap labor and mining other ores and has REE as a byproduct. MCP is *way* overvalued and the coming secondary (*IF* they are able to raise the cash at all) will be priced at $1.25/share or less.
Sentiment: Strong Sell
Yeah, and all these cheapo scooters and motorcycles (American domestic) will be customers for the megafactory batteries. Outlook is really bright.
While I cant give the URL (Yahoo wont let me) look up that subject and you'll find that at least two companies now make them. Wouldn't they be a perfect fit for the new megafactory and wont Elon be looking to merge them into his operation? And isn't Asia a natural market? Really bright outlook for TSLA, eh?