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Re: None

Saturday, 03/03/2018 9:33:32 AM

Saturday, March 03, 2018 9:33:32 AM

Post# of 232819
Regardless of inflation due to a tariff, labor cost, taxes, fees, R&D, insurance and on and on. Whatever the reasons, when the costs of raw materials go up the cost of goods go up. Some product costs will remain the same by reducing the product content like a 16oz bag of chips that sold for $1.99 is now a 10oz bag for $1.99.
Other ways are to reduce labor costs or find a more efficient method to produce the same product. In the case of LQMT. Without a sale, without existing order renewals there is zero impact on product cost, only the cash burn rate increases, the debt increases if the actual cost for raw materials increase. Without massive sales I would not be too concerned about inflation regardless of the cause. Another way of seeing this is to look at the more obvious concern. A company without sales will always be in debt no matter what the excuses are, period!!!

Good luck to all
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