BP raise clients did not sell (as per Nan) when we were trading...

BP raise clients did not sell (as per Nan) when we were trading at 2.4/2.5c. I don’t expect any more to be selling at current price as you’d expect if they did average down they’d still be all square here. Nan did indicate a large holder exiting, so seems this may be residual and a cash injection for someone in dire need.

I personally cannot see us hitting below 1.7c. Fundamentally we are selling at current levels 20m worth of product Ofer the last 12m, with a 60% increase and clear demand for products, could see sales in excess of 30m over the next 12m. Market cap at 1.8c is ~$22.5m. ECS is a steal.

Be fearful when others are greedy, be greedy when others are fearful - Warren Buffet.

As mentioned by vkhg89, ECS is kicking goals. Only more avenues for revenue streams.

Every single holder here I can guarantee is deep in the red. If there is price manipulation happening, instilling fear in holders despite solid fundamentals brings emotions into play and triggers continued selling. I am sticking with what I know both ECS and the global industry is shaping up for. I just see further buying opportunities available.

Historically, last time ECS hit all-time lows this is what happened:
1.7c (25-May ‘23) -> 2.7c (11-Jul ‘23) = +59%
1.4c (29-June ‘22) -> 2.8c (8- Jul ‘22) = +100%

It almost seems cyclical for there to be a substantial dip after Q3 results, and a quick turnaround within a short period of time. We also continue to see ECS not trade on news. So when things happen, they just happen. Clearly ECS is in a big dip (2.5c -> 1.7c in 40 days. -32%). To me, that is a buying signal. Unless I was to see YoU sales decrease, losing contracts, legal issues or genuine mismanagement I would reconsider. But AK off the board, raise to facilitate expansion plans and acknowledging that there is demand not able to be met by production + aforementioned points, this is a continued BUY regardless of SP. IMO anything below 4c is a buy.

Reasoning: 30m in sales next FY, 10% increase in production costs. Could see $6-8m in profitability. At 4c that trades on a multiple of 5-7x. Which is absurdly cheap. Industry avg would be more aligned to 14-16x putting SP at 7.2c-8c. With the facility only increasing the amount it can produce.