I have not done any DD except skimming through the company.
I saw seeking alpha valuation pages, but it may be easily paid up basis by vested interest. Again, they say IP valuation. This can be used as starting point, but investor needs to deep dive (early dive is better) on fundamentals to ensure they fly very high in future.
Verify, verify, read and read before investing big amount with it.
The main reason for not doing DD that I am not going to buy this stock.
Personally feeling skeptical, may be biased against it, which may be wrong, but I do not regret later.
Their co-founder was named to Biden’s sciences team. We’re in full on bubble mania at this point. The real question is how long will it last?
" Gevo’s first demonstration of the new concept will be Net-Zero 1, a wind-powered facility that will be built at Lake Preston, South Dakota. The company says Net-Zero 1 will have the capacity to produce 45 million gallons of renewable fuel per year, in the form of gasoline or jet fuel, and will process 350 million pounds of feed products in the process.
Gevo says it will need to invest $700 million to create Net-Zero 1. The company, which currently has about $80 million in the bank and is raising $150 million more from a stock offering, says it is “working … with Citigroup to get [the rest of Net-Zero 1] financed.”
So they need to raise about 50% of the value of the company to build the plant.
The company does ATM direct offering to INSTITUTIONAL INVESTORS $350M at $8/share.
Yes it will be diluted but at the same time not a bad idea to offer directly to the Institutional.
The Tutes willing to pay $8/share, I can live with that.
Everybody know we are in a Tulip bubble mania. However, everybody doesn’t know how long will it last. The bubble can burst tomorrow, few months later or few years later.
Since we are in a bubble it seems a prudent stock investor would peel off some for hard assets. Maybe RE, gold, art, collectibles, diamonds or Bitcoin for RH believers. In fact all theses assets are appreciating rapidly.
That’s what I have been doing for years. I view land of the RE as store of value. So most of my SFHs in Austin have large land size, con is higher property tax and short-term lower yield, a tradeoff for higher appreciation and long term value appreciation. Everyone needs a shelter so I can rent out even in a recession, albeit at lower rent. Hence a passive income when cash is the King.
There’s money in it for people skilled at navigating the permit process. Land with approved plans is worth multiple times more than just land. At least in areas with nanny governments that don’t believe in land owner rights. Everywhere else land is just land.
I’ve had it in my long term portfolio for a while. I think it’s bit expensive at this stage though. I like this valuation scatter plot that I sometimes use to make a purchase. Further right, and lower generally have further upside. Anything higher than the mean line, those companies are hot for obvious reasons but any correction/mishap, you’re looking at a massive downside.
I saw this already. Didn’t bother to verify since I don’t intend to trade, and SPWR was held in another account which I don’t bother to monitor. From a macro point of view, Biden Admin is pro Climate Change, so solar stocks should perform well Should recover from any corrections or bear market…
so I can rent out even in a recession, albeit at lower rent. Hence a passive income when cash is the King.
