Electra Battery Materials Corp V.ELBM

Macroeconomics 101

[Goatburner]

I have no idea why some of you are so quick to blame management of Electra for a falling stock price during this economic downturn. Management of the Electra is just as vulnerable as everybody else to the overall macroeconomics of the day. Stock prices have plummeted globally. It's unreasonable to blame management for things that are way Beyond their control. If anything, management has done a pretty good job of dealing with widely fluctuating market forces during a very challenging time.
If anything, the management of Electra has done an exceptional job a mitigating the problems this current economic downturn is enduring.

[NorthInvest53]

At this point I have not jumped on the Blame Management Wagon (yet) I do find it interesting that it is coming to the holiday season - it could be someone taking some profit for the holidays - taxes - or someone who just plain needs the money.  Someone in an earlier post gave us a good reminder that this company is essentially a start up - and on its way to producing its product. The

[17Digger]

Goatburner - and who do you think knowingly made this absolutely stupid decision to consolidate shares after seeing studies telling them share prices normally fall heavily afterwards?   They have foolishly driven ELBM shares down from 40 cents Canadian to about 15 cents (so far) because big egos ignored stock market knowledge and relied on cosmetic financial engineering flim flam. 

[NatureBoy]

Spot on, Dig! The market is speaking at the moment and has loudly pronounced that "the Emperor has NO CLOTHES"!!!!? Until ELBM has begun earning revenues and executing successfully on timelines previously determined...no amount of "blame shifting" away from management rebranding and stumbles will erase past performance misteps. Of course the macro environment is challenging

[WernHerr]

NatureBoy@ Among other things, you write "stay away from ELBM until and unless...institutional investors AND insiders begin to put serious $ into this company". In August 2021, investors subscribed to secured convertible notes with a volume of USD 37.5 million. Do you really believe that these were small sausage retailers?

[DonFalo]

Wern, let's just take business 101 for the moment.  Those secured convertible notes represent a loan to ELBM and a lien against any of its assets should terms of the agreement not be honored.  A 37.5 million US loan is not an corporate equity investment like Berkshire buying millions of shares of TSM.  We shareholders own this public company and we are beholden to those entities

[WernHerr]

DonFalo@ If bondholders convert into shares, it is an investment in a company. Why do you want to rule this out generally ? Is there any evidence for this assumption that we do not know? Why should the refinery fail to achieve planned profitability? Are there any starting points, information, etc. that we don't know about? I would be very grateful if you could concrete the reasons for your

[Silverad0]

Im with you digger and then some.  I am convinced the terrible performance of this stock rests with the front office.  Top of the list is the RS and a pet peve of mine is the length of time to get anything done.  I have written in the past about the size of the management team which is rediculous.  The fact that they are a highly educated group of P.Eng's, economists and 4

[Starkicker]

Agreed. I think this management team is in over their heads by a longshot. Looking at the balance sheet, there is VERY little room for more delays when it comes to debt servicing vs. cash flow. It is razor thin. Anybody who thinks this 6-month delay in commssioning the refinery is no big deal  should think again. I don't know what the cash flow burn rate is exactly, but $14M won't

[Silverad0]

Starkicker, I agree with you, they are in way over their heads.  What I would like to know is what do the suits do all day?   10 of them no less.  The business if it reaches full production would not warrant as many suits.  Lawyers accountants and MBA's do great meetings.  However we need things done and that comes from people with real knowledge and real

[Starkicker]

Silverado, all I know is, according to the last reported balance sheet, Electra had liabilities of CA$11.1M due within 12 months, and liabilities of CA$47.1M due beyond 12 months. On the other hand, it has cash of CA$41.8m and CA$1.69m worth of receivables due within a year. So its liabilities outweigh the sum of its cash and (near-term) receivables by CA$14.7m. That is not good  when

[Realitychic]

Still feel this way? Exceptional job is what you said.  Surely you have seen the error of your way?