RE: Re : BXI exciting playGreetings Mike. ( and all you others too) I have recently become aware of this company, and have read all the info on their website, including financials. Maybe the concern has already been discussed at length, and if so, I apologize.
It seems to me there is concern about the 2 big things in any manufacturing process: cost of raw materials, and market for the production. It is my understanding from the website that the cost of canola seed is quite high historically, and that the margin on the products produced has been falling, because of slow market growth (or maybe even decline). I believe this came from the Pescod interview.
Can someone give us reason to believe that there will continue to be a growing margin on the products BXI sells?
I was also unable to find out if BioExx has long term contracts in place for either the purchase of seed or the sale of products, and if so, with whom, and for how long.
I will probably go back and read several weeks of posts here, but there is a lot of "pollution" with flames and such, so my education could be slow.
I have also poked around and found that management is probably the "real deal", as already stated here. The BNN interviews were excellent, but the top guys all seem to have great credentials.
This looks quite a bit more legitimate that the whole Timminco thing, on which I made a bit of a bundle, but which ultimately looks more like a scam.
Finally, (Thank God, they say) I wonder about the trade volume for BXI. Some say it is huge, but at a million or so a day it's not great. Back in July, there were 4-5 million traded daily. Any explanations for that out there?
Ottscar