He’s more bi-polar than my ex-wife on her period during menopause.
This is a retail growth play with a tech multiple in the fastest growing consumer retail space in the world. They have an opportunity to become a global brand and expand their model and footprint worldwide.
The issue was simply the fraud, their survival as a result, and the current JPL mediation and restructuring. They were in a riptide. They have swam to safety and are back in play as the paragraph stated above. Investor confidence will be the driving force moving forward once they drop earnings and potentially relist. They are essentially still on SEC parole. A couple of Q’s with clean books whilst listed on the big board, institutional investors will return and Cramer will call it the turn around of the decade and issue a buy buy buy call. This has the potential to run another 5 to 10 times simply based on the current ridiculous market cap. The current valuation is remaining to be a reflection of the fraud overhang and being traded on the OTC. When financials drop, the train will be leaving the station. By the time Cramer signals a buy buy buy call, this will already be at 50.
No one has to believe me, but you can look at the history of my posts. My message has always been, know what you own, this is a high risk high reward opportunity, and their business has always been fully operational. The fraud was shown to show accelerated growth and used to run the share price to make the founders rich sooner than later. It wasn’t a cooked books situation to stave off creditors and bankruptcy similar to Enron.
Now that they have cleared most hurdles, the risk vs reward scale has swung dramatically in the favor of those that have invested when the share price fell dramatically and their future was uncertain. It took brass nutz to buy as this was delisted and headlines of bankruptcy filled the chat rooms. Well, I polished my nutz and went to work and can’t wait to see what this sexy coffee chain brings for the rest of 2021 and beyond. The train has yet to leave the station. Chooo Choooo haters. Luckin has crawled from the abyss and is ready to make millionaires out of believers in their brand.
F4T out.
