Comment from Reddit userhttps://www.reddit.com/user/Monkeyg8tor/ 90% Verde Agritech
Verde is up 100% for me and I'm looking for at least a repeat in 2022.
I ditched my balanced portfolio. The returns were fine but too slow. I spent years researching for diamonds in the rough. I wanted a company that had the potential for large growth, but (very importantly) relatively limited downside to losing my investment. Maximum return with as little risk as possible. I went with a small cap company who's market cap was so low even minimal success sustains it and their growth valuation was massive.
Verde is a repeating hold for 1 year periods and reassess. 2022 looks very solid. Ideally this hold is at least a 10 year timeframe with eventually stable quarterly dividends. Likely it gets bought out.
If high inflation hits this is an excellent place to be, if the status quo holds also good. Not sure about deflation. Currently Brazilian real is extremely low, good for Brazilian exporters but painful for Verde. Despite this they are having exceptional growth. Should the real strengthen this will be an exceptional boost.
Food isn't going away so fertilizer isn't going away. However the expected quality of the fertilizer and its impact on the soil and climate are going to be further scrutinized. Verde is golden in this regard. Verde is also in an ideal agricultural location. Prices of fertilizers have also been increasing due to shortages.
I think one of the biggest risks is if Brazil gives government approval to mine the Amazon, larger fertilizer companies could form if Brazil allows mining of the Amazon. Frankly the idea disgusts me and I hope Verde Agritech is instead the go to domestic fertilizer producer.
Nice that last week Verde Agritech was one of the top 5 weekly performers on the TSX.
Continue to feel comfortable being heavily over weighted.