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Critical Elements Lithium Corporation (CRE)
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Lithium Americas Corp. (LAC)
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Frontier Lithium Inc. (FL)
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Lithium Americas (Argentina) Corp. (LAAC)
Q: Portfolio Cleanup Part 7:
I'm embarrassed to admit that I am down 50% or more (!) on the above.......
Are there any with good rebound potential that are worth holding on to? Can you provide a short reason why for each. Thanks
I'm embarrassed to admit that I am down 50% or more (!) on the above.......
Are there any with good rebound potential that are worth holding on to? Can you provide a short reason why for each. Thanks
5i Research Answer:
CRE: sell. Too small, negative momentum. It has some cash but the sector has struggled and there is not enough here to take the risk. FL: largely the same reason. One needs to decide on sector exposure and if so we would prefer larger companies. LAAC hold. debt and negative cash flow make it risky, but production is set to ramp up and it should be profitable next year. LAC hold. $400M cash and worth holding if one wants sector exposure. It has been beaten up badly but in a sector rally should do better.