Re: Sound like kids.
in response to
by
posted on
May 19, 2020 03:19PM
Hi, Cal. Your assessment sounds pretty logical. Certainly even LAC management realizes that the SARS-CoV-2 situation has set the start of production further out on the calendar. Your estimate of at least a year seems also logical considering that the recovery world wide is not going to be instantaneous, but the recovery will occur. Remember how much gloom and doom we had back in 2008? It was difficult to think of "recovery" during the depths of that recession and it is difficult to do so now, but we recovered then and we will recover now.
I share your ultimate optimism for LAC and I, of all people here on this Hub, am quite aware of the unrealistic optimism that guides at least some of those who post over on Yahoo Finance LAC message board. Circumspection is a quality that I admire most in anyone's analysis of events: the ability to see both sides of an event and not just blindly exert their optimism or pessimism. A fair representation of an analysis of any company, LAC included, incorporates basically a Pro vs Con presentation. The balance is always subject to tip in one direction or another by both anticipated and unanticipated circumstance being added to one side of the scale or the other and the SARS-CoV-2 situation is a perfect example of an unanticipated event tipping the scale. We don't know if there will be other unanticipated events of enough magnitude to cause another tipping of the scale in the next 6 months or in the next 6 years.
A wise investor re-evaluates his or her position based on both the long term trend and long term execution of a business plan AND any metamorphic change possibilites encountered on the way that were not in the game plan. Those who take a different approach other than circumspection are like the Titanic sailing through a sea filled with iceburgs laying just beneath the surface, oblivious to potential dangers.
Back to the situation specific to LAC. LAC has many positive features that separate it from a field of "also rans" in the category of Lithium Mining Juniors. All of us on this Hub are fully aware of the positive factors that caused us to invest in LAC in the first place and that keep us invested in spite of having a little bit of "engine trouble" along the journey. We realize that the time line envisioned by both LAC management and ourselves is not chisled in cement but the good ship LAC continues on its journey, just with a moderately altered time of reaching its programmed destination. As a long time LAC investor I can live with that delay and, so it appears, can you.