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Automotive computer chips are a prime example….there are thousands of cars sitting in lots waiting for chips so they can be sold….that is why the Feds are trying to pass the CHIP initiative to build domestic capability.
We didn’t even make our own surgical masks or ventilators or pharmaceuticals anything electronic, …..on an on. We even harvest salmon in Alaska and ship it to China for processing/packaging and the can then send it back so we can buy it….
Think Russian natural gas supplied to Europe and make the leap.
Redundant to protect against interruption of supply…labor problems, natural disaster, power brownouts/rationing etc. Peace of mind for the whale’s future.
Unstable political environment is the problem….Taiwan/South China Sea situations will only get worse.
Given the direction of current political events, I don’t think a major US company wants to bet the farm on a Chinese supply in 5 years. The climate could be very different. We need domestic manufacturing capability.
I’m going to make the assumption that sometime in the next 18 months, an event will happen to invigorate the LQMT stock price. This leads me to try and predict the behavior of the shareholder base….
FYI keeps looking for a string of 10-20 million share days as an indicator that we have “arrived”. Assuming the best, where will that 50-100 million shares come from. From what I see, the shares are tightly held and most of the current shareholders are not interested in a 50% return or even a 1x, 2x or 5x …they are looking for the home run.
Let’s say it goes from $0.10 to $0.20….a few may sell to recover their initial cost so they can let the rest “ride”. FOMO is powerful.
As it goes from $0.20-$0.50, the price movement will attract some of the “fast money” associated with Robinhood/Reddit. Long time holders may sell another 20% of their holding but still have half their original amount. Even JB will only sell a fraction of his holdings to reduce his cost basis to zero.
From here, I have no idea….it will depend upon the nature of the opportunity and the 5 year prospects.
100% conjecture.
The only benefit I see from our relationship with Apple is the endorsement of the technology…monetary return seen quite remote. The endorsement is worth a bunch in credibility with the rest of the world.
That being said, automotive applications seem a better fit that probably offers a better opportunity. An aside…I developed a product that was not commercialized in 1974 but the customer contacted us in 1985 and was “ready to go”.
There may be hope for things like the tire gauge application…things become more economically attractive and maybe the requirements morph into our wheelhouse.
Another application that comes to mind was the “rivet replacement” for airplane construction…patents issued, prototypes built but abandoned for some unknown reason. Time to revisit?
There was another interesting patent that I thought had potential. It was a flat tile like shape with snap together edges that allowed a large surface to be constructed from small pieces…..I thought Legos immediately and the possibility of making large structures from standardized pieces. If you need a better example…think snap together flooring but instead of a floor, the final product is a car door. Original concept was to put pieces together resulting in a tamperproof joint.
Tesla is probably the most receptive to new technologies and I would rank Ford second. Redundant domestic manufacturing capability is a must.
You think I’m a pumper?…not so…I’ve been here since 2014 and probably one of the most patient folks around. 600 posts in 8 years doesn’t make a very good pumper. I just look for balance.
The March 22 people are spot on….don’t focus on the date focus on the direction…timing is the most difficult thing to get right but direction is what counts.
The price thing is just like real estate….there are buyers and sellers and the $0.10 price tag is where they meet. As the future becomes more clearly defined, it will adjust.
I guess I can do it….Another week has passed and LQMT has performed admirably. Price performance rocketed from the $0.08 on 7/1 close to $0.10 on 7/8 a stellar 25% move eclipsing the S&P by 10x. Volume also moved up nicely from an average daily volume of 685k for the previous week to jump to 1223k in the recent 4 day week. Interesting with a 500 million share float, that the volume is low…the shareholders aren’t budging and the buyers are waiting for confirmation which isn’t coming.
Things in the works…
Apple scuttlebutt abounds but most folks “in the know” are being tight lipped and not incurring the wrath of the Fruit company.
LiquidMetal Golf just passed its 6 month anniversary and I expect things are happening. Twins Corporation has 3000 retail outlets throughout the world but initial plans are to release in Japan first. Last time we played this game LiquidMetal drivers went for $400-500 and irons sets approached $1000. The numbers could add up fast.
Ahmed is out “burning the bushes” and trying to capture the finders’ fee he negotiated. Can’t help thinking he had some hot prospects tucked away before he made his move.
Earnings report expected on 8/8 which is still 4 weeks away. It will be interesting to watch the frenzy and even more fun if TC has some positive updates on these items…don’t expect him to spill the beans on Apple though…just too risky. I would be happy if he could just say something like “we are working more closely with Apple”.
Our European affiliate has been very quiet…too quiet. Perhaps time to re-evaluate. Europe is somewhat distracted recently..an understatement.
By the way, I may be the oldest person on this board…anybody else north of 80? Still long and strong!
So what was the price change this week?….I missed it in your note.
That makes sense….it certainly wouldn’t be ready for a September roll out if they are just funding it.
Info …Luxshare has a market cap of 231B ¥ vs. Eontec at 6B ¥ so Luxshare is 40x larger. Eontec would barely qualify as a Division.
Remember Luxshare and Eontec share a director on both Boards.
See message 192308.
in “Red October”. Fred Thompson said “the Russkies don’t take a dump without a plan”…….I see lots of parallels with the Asian approach to business…each piece seems to be a crucial part of some distant objective. Everything is a clue.
Luxshare filed for $2.1 BILLION dollars of financing 4 months ago with the intention of getting the money from 35 investors …not the public market. Purpose of the money is to create new production lines for “personal electronic devices” and “connectors for EVs”.
Pure coincidence that $2.1 billion divided by 35 is about $73 million which is close to the mystery $65 million raised by Li in the last several months
Smoke weavers at work!.
The $100 million in revenue is too far for me to focus upon. I think a suitable target is profitability….any positive number and I don’t care about the revenue to achieve it. Royalty businesses can get very high profit levels on sales…upwards of 85%…similar to software so sales of 5-10 million could drive a positive bottom line.
One step at a time.
Ahmed’s real estate holdings extend as far as Saudi Arabia and I have to assume he has some “deep pocket” associates. It would be interesting if he could get them to bankroll a manufacturing facility in the US.
$100 million in revenue isn’t necessary to support a price of $1 ….only the prospect of $100 million. There are many $1 billion market cap companies that get there on a “hope and a prayer”..
We need domestic manufacturing at scale x2 to entice a major buyer. Aren’t the Feds trying to promote more domestic sourcing? We could use a $100 million handout like the solar company got. We need someone to write a proposal…tie it to the revitalizing of American manufacturing ….leapfrog to the cutting edge of technology…Elon understands it with his MegaMachines.
Someone (maybe JB) dumped 2 million shares into an environment where 200k or less is normal….sell at any cost.
Indigestion will resolve itself…take a few TUMS.
As a fly fisher person, I often look at the $400 fly reels in the Orvis catalog where they brag about starting with a billet of aluminum alloy and CNC machining it to make a fly reel. Subtractive manufacturing where they remove 95% of the metal to create an intricate part. They value stiffness, flatness and light weight…it looks like a natural.
Any new from Ahmed yet?
Funny nobody mentioned the market activity today….1.6 million shares isn’t too much ($140k) but much higher than we have seen recently. Interesting that about a million changed hands from 3:45-> 4:00pm. ..with a price jump.
Big question…Ahmed has carved himself a large piece of anything good that could possibly happen. Is he lined up to be a key player in whatever is unfolding? The silence is deafening.
If there are 1000 shareholders, it shows that there are a significant number of investors, with enough interest to buy and hold the stock because they believe in the technology. 500 million shares are being held quite tightly.
Low trading volume isn’t an indicator of low interest, it points more to the lack of information flowing from the company. A serious trader would have to move 100k chunks to just to get enough cash flow to make it profitable…none of that is happening
So 500 million shares for 200 shareholders means an average holding of 2.5 million shares per shareholder….I don’t buy your 200 number especially since my shares are held in “street name” and my broker could have 100 others just like me
If an average holding is 500k shares….that’s 1000 shareholders
If there were significant short term shareholders, there would be more volume.
The translation is a bit rough…one place it talks of ¥300 million and another it has ¥300 billion but I’m sure it’s million which works out to almost $50 million in real money. Not all is the research facility so I’m sure we will see more manufacturing capacity with lots of “other” projects funded….all cash is fungible.
Abdi’s Carlyle is “Carlyle Development Group” which is in Real Estate Development.
Broken record….waste of air
My impression is that Board members oversee internal operation to ensure that the corporation behaves in a legal and ethical manner. I don’t see them operating as an arm of the Marketing effort. They could also provide guidance in their particular area of expertise.
The conflict of interest comes into play when the company pays a “finders fee” to a Board member. Lots of opportunity for criticism on that one.
Abdi is the second largest shareholder…he controls, through ownership 1.8% of the company.
Abdi has about 14 million shares, bought and paid for and held by Carlyle. He has full control of them. He also has about 800k shares in his name and something less than 2 million shares in options…plus the 2 million just granted. Conclusion is he has significant skin in the game….the internet lists his net worth at $2.3 million so LQMT is a significant portion of his net worth if the number is even close.
So why would Abdi leave the Board when he has participated since 2009? Only possible rationale is to avoid a conflict of interest. I expect that he wants to become LQMT’s “super deal maker” and he has a few prospects to chase. I see this as a positive….he is an engineer with intimate knowledge of the technology and its attributes.
It’s 10:30 and the market cap has shrunk by $6+ million on $20k of selling pressure….I hope the math works both ways!!
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GlassiMetal…nice website but total revenue under $500k for the year and 5 listed employees. They can’t be profitable unless they sleep on the floor and don’t take a salary.
Do not rely on Apple as the key road to success. Their modus operandi is to encourage potential suppliers to get leverage on existing suppliers with no intention of actually using them. As a former GTAT investor (who made $$), I saw this in spades. Focus on automotive, focus on medical, focus on anything else but don’t depend on Apple. If something should materialize….consider it gravy.
There is a very key element necessary if LQMT is to ever expand in the US. Lugee Li/Eontec/Yihou have to be willing to share their technology with potential partners in the US. This is a big question and if there is a “hidden agenda” to not share the technology…any expansion plans are doomed before they even start.
This is a big unknown that even has political implications
So I’m a numbers person and I want to assess the probability of LQMT announcing a “significant event” sometime in 2022… I would define a significant event as..
The sales of several million dollars of golf/sporting equipment through our Japanese partner.
Expansion of our sales base to Tesla in the US with the announcement of Tesla getting a non exclusive license and sharing plans to build a captive manufacturing facility in Texas.
Signing an agreement with one of the EV ventures licensing them to manufacture BMG parts.
Agreement with Foxconn to invest in building a manufacturing facility in the US (Wisconsin?) to support Apple and automotive sales opportunities.
Land a medical specialty partner (part of J&J?) willing to exploit the advantages of BMG for medical applications.
So you get my drift…I see some of these as being viable possibilities and one or more could actually happen in 2022.
The density of aluminum alloys are typically 2.7 whereas magnesium alloys are 1.8. This is a 33% reduction n weight that translates directly into performance and miles per charge.
Also important…nobody has to convince Tesla about the advantages of moulding vs. machining so that is a great place to start and I’m sure that any other EV start-up is “all over” Tesla’s technology to shortcut their development time to market.
I was disappointed in the report but refuse to dwell on it…I was intrigued by the comment about LQMT’s future emphasis on promoting Eontec’s non-BMG magnesium alloy sales to automotive..particularly in light of the “EV “ reference elsewhere. This is a natural fit and could be a “bridge” technology to familiarize potential customer to the benefits of moulding parts verses machining parts. We know that the magnesium alloys are suitable since they have the strength and are lighter than aluminum Lots of EV emphasis in the US and Europe.
I was disappointed in the report but refuse to dwell on it…I was intrigued by the comment about LQMT’s future emphasis on promoting Eontec’s non-BMG magnesium alloy sales to automotive..particularly in light of the “EV “ reference elsewhere. This is a natural fit and could be a “bridge” technology to familiarize potential customer to the benefits of moulding parts verses machining parts. We know that the magnesium alloys are suitable since they have the strength and are lighter than aluminum Lots of EV emphasis in the US and Europe.
Hate to say it but the revenue figure of $811k is the ANNUAL figure and below 2020.
So when do we get discovered by Reddit and wild speculation sets in to take us to $5? I’m guessing Thursday, March 31 for the initial surge.