Sunday, July 29, 2018 9:57:51 AM
Politics have always been relevant to this company. Previous 10Qs mentioned the previous administrations policies of stricter diesel emission regulations and tax cuts for energy conserving technologies as policies that could have a direct positive effect on the marketability of the MG product. Those tax cuts were expired before CoolTech could get a product out. Now there are incentives and subsidies for coal powered generation and action was recently taken to follow up on threats of preventing states from having stricter clean air requirements than the federal government. This company directly targeted California as an early adopter of their thermal IP products (i.e. not MG) based on these stricter policies. Politics was also 'injected' by the company when it crowed after the election about a promised trillion dollar investment in infrastructure that was promised by the stripper paying winner in his first year in office. They even justified paying someone thousands of dollars monthly to sell their vehicle (that payment continues) to pitch their MG technology to US contractors based on this promised investment. They are still paying that guy monthly in cash. He didn't want the companies stock. And lastly if you don't think the politics of how the administration was and is characterizing Mexican citizens wasn't addressed prior to the demonstration in terms of how to distance themselves, if not outright completely disagree with these characterizations then you are naive. Given how the company fully embraced the winner of the election after he had spoken very negatively about the Mexican populace as a whole we are lucky that the Mexican farmers Union even gave them the time of day.
So, in summary I believe you are completely wrong, and naive or poorly informed in stating politics are not relevant nor affect business in the U.S. Also the stock market reflects what the market believes will happen in the future as much as it reflects what is going on now. So discussing how what hasn't happened may affect this company is extremely relevant to understanding the current and possible future price of this or any other stock. Because the fundamental theory of the market is that the current price reflects those possibilities. Meaning the current price is likely lower because those tariffs are looming over us than it would be otherwise. I highly suggest you brush up on market fundamentals if you do not agree that uncertainty negatively affects stock prices.
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