RE:Read then Reread on the LoopThanks for the write up @Paperboi222 and hello all. Took a nice break from everything for a few days and came back to comment on the same video which is really a must watch for any investor in Loop.
Some thoughts from me about Loop and the markets in general:
Macro:
- I've spoken to a few friends of mine who are on the institutional side and have told them to look into Loop. The feedback has been strong about the business model, prospects and they see the NT&T deal as the one to get excited about which mirrors Rob's comments - they aren't allowed to invest in individual equities personally as per their contracts but they were bullish and said when the company uplists to the TSX and Nasdaq it would be a no brainer for some of their institutional strategies
- I asked them about the prospects of any significant downward market correction overall in 2021 and they said that the only thing that would make that happen is if the new virus strain is resistant to the vaccine - all evidence so far suggests that the vaccine should work even against more virulent strains. They are very bullish on equities in 2021 overall
- They see emerging and non-traditional equity markets including Canada as having significant upside as traditional markets like the US get overbought
- They see this being a significant 3-year upswing period for small cap companies as many investors rotate into dividend and undervalued value stocks but look for a little positive risk from emerging players with higher ceilings
re. Loop and Rob's interview:
- I see this as the last day quite honestly to buy at these prices. I am going to break my own rules and add to my position with another significant buy today
- Every small cap runs in a series of pretty predictable cycles:
- Dev in dark - relatively flat while the company works through R&D, secures financing and establishes itself - 20-30% upside
- Major initial announcement, market validation and rapid meltup - after an initial catalyst and then goes into process of securing partnerships, distribution, PR, intention to uplist etc - 2x-10x upside
- Show me the money phase - investors get antsy about the financials after they get impatient while the company executes on its initial sales and closing deals, institutions start to get involved, short activity ramps up and weak hands get shaken - 30-50% downside
- Binary growth phase - it either works or it doesn't work - they either go stratospheric or die on the vine
We are at the end of Phase 3 and have seen the 50% downside from the high happen in a very short period which has shaken out a lot of people. Rob even mentioned this explicitly in the interview.
The question for you now is, do you think there is a greater chance of stratospheric growth or dying on the vine?
I know where my money is.
GLTA and a very Happy New Year to you!
HT