Redt Energy Share Discussion Threads

[dogrunner11] 28/1/2018 19:12

Historically all placing has been at premium over last, also they have enough cash in bank to see this year out quite comfortably IMO.

Likes of Schroders buying in at around these levels would also suggest they have been reassured over future sales and any future cash call.

Nothing worse then selling at bottom, can all change in a flash, hopefully a news update this week.

Sales figures should be up as they had that sky interview in Australia and our BBC bits since last sales reports.... get Gen3 firmed up we are good to go I reckon.

[kingbarolo] 28/1/2018 19:04

Thanks Brucie, All fair comment - in for about 15% so wont get cleaned out if all goes pear shaped. My gut says this will take off, likely this year, and for that reason I will probably stay in for the forseeable. I'm thinking another placing would have to be offered at, maybe, 6p to get the necessary interest but not entirely sure how these things work.

[brucie5] 28/1/2018 16:07

kingbarolo,

Forgive me if this sounds patronising, but you need to consider what sort of investor you are, and what sort of investment you want this to represent as a proportion of your folio. If it's say, 5%, you will be willing to be patient, even if there's an opportunity cost. If it's 100%, you will be less so, perhaps, though you would need to feel very sure that an eventual payday will more than make up for your patience. I try to remain aware that any investment, even well researched, can always drop 50% on a bad news day. Equally, this one reached 16p in 2016, and a big order could easily send it back up there.

[kingbarolo] 28/1/2018 15:54

Hello all, as a big fan of RedT (not to mention PI showing more losses than I would like) I have followed this board for some time and can see most contributors share the same frustrations as myself. On the one hand I wonder if we investors are ever going to be rewarded for our support but on the other hand I know one piece of significant news could set the share price on fire. The problem is this type of news is a long time coming and it is now two and a half months (16th November) since the company saw fit to publicly announce any significant sales. The dilemma now is whether to remain invested or take the hit, and I'm trying to make an informed decision as what to do. My worst fear is another placing after what happened to the share price last time - I am wondering how likely this is; how long the cash will last; and if it does happen, at what price will the new shares be offered? Any views?

[owenski] 27/1/2018 21:10

Thing is, prior to that event posters were complaining over a period of a few days how there was persistent selling and of course the posters couldn't understand this being as they get blinded by their cherished unfailing belief in a stock.

But the market was giving clear signals of a fund raise, leaky ship and all that, it's unfair that it is never a level playing field when it comes to investing, but it is what it is and investors should never get blinded by having irrational love affairs with stocks or CEO's.

The market will also give clear signals when they are backing this and the price will be a lot higher than today but the risk will be less and still plenty of money and upside to be made for the shrewd.

Currently, RED sits on over 50m M.cap, that represents a fair bit of good will. For it to accumulate they need to start showing some figures. Markets will reward and even over reward if the figures start to prove the business case, they haven't here at RED - yet - but hopefully, they will.

Just my opinion.

[dlg3] 27/1/2018 21:02

owenski so you flying in from Monaco??

[owenski] 27/1/2018 20:44

Ah yes, dogs amazing forecasting abilities.

From the first thread you set up -

"dogrunner1114 Nov '16 - 07:40 - 9010 of 13084
There's going to be some orders announced now, hold on your hats...
Massive interest from around the globe, quiet achievers indeed but well noticed within the industry"

Over a year ago now and still waiting ;-)

[owenski] 27/1/2018 20:35

Hi, yes dig, anyone can make the effort and go to the Growth and Innovation Forum.

Book a place via shares mag. events, not to late to sign up.

Hoping to get a better measure of RED with some nitty gritty questions, or not, lol

[dlg3] 27/1/2018 19:10

dogrunner11 always posted they would raise, we all knew they would but it was just a question of when, the opportunity arose and Scott took it.

[dlg3] 27/1/2018 19:04

Owenski so you too are going to the Growth & Innovation Forum.

[dlg3] 27/1/2018 19:00

owenski27 Jan '18 - 17:43 - 5104 of 510

Your first point is wrong, Scott always said they would raise when the time was right.....

[netcurtains] 27/1/2018 18:32

thanks Owwenski - I'd like your info post meeting too

[meganxmas] 27/1/2018 18:11

Owwenski similarly interested in feedback ... Am existing holder

[brucie5] 27/1/2018 18:09

Owenski, interesting. You sound like you're seriously interested in this company but have very reasonable reservations. Could you please make available to us your thoughts following your meeting? If you don't want to publish them here, please feel free to PM me.

Agree with what you say about use of the word 'mega'.

Once bitten, etc.

[owenski] 27/1/2018 17:43

People were saying the same thing about RED not needing cash just before the fund raise Dec. 16. In fact, the message about not needing cash came from the CEO, so folks can't be blamed for believing that. Then, unexpectedly, RED do a placing.

Their cost base has dramatically increased since then and I wouldn't rule out a fund raise based on some sort of 'increasing the business size for expected orders' type message/event at some point in the future.

I'm still sticking with hundreds of unit sales to achieve breakeven and so far there's been little to crow about and the so called 40 unit sales mentioned are a relatively small sale compared to whats required.

Also, the margins quoted here - anywhere between 15% and 25% are likely to be gross not net.

RED have an interesting product and I believe the market for this is going to take off, what still represents risk here is whether RED make it or competition overtakes them, or whether they ever achieve financial critical mass. So far, RED is just a promising story.

I also don't like words like 'mega', it makes inexperienced investors salivate but does not provide any numerical guidance.

I'm hoping to meet with REDt this coming Tuesday and find out a bit more about the company first hand.

[brucie5] 27/1/2018 17:36

To illustrate, ITM's mcap is 113m.

Revenues & forecast from same source:

2017 2.42
2018 3
2019 10.10
20120 18.90

Don't know what their margin on those revenues are, though.

[brucie5] 27/1/2018 17:21

Yes, you're right.

Question to our specialists: what sort of orders are implied by 41m revenues? How many MW?

And at what sort of profit? 15%?

That would be 6m, which is about what they currently burn through. Hmm. So how do you assess value from there?

This is why we need a spreadsheet!

[dlg3] 27/1/2018 17:04

Scott has his faults and I do not agree with some of the things he does, but he is not one for beefing things up, he plays down rather than fluffing them up, there are a few investors here that would like to see him beef up some of the RNS,s, so when he says MEGA that is what he means.....they will come....I think there is a huge underestimation in projections for storage..but that remains to be seem.

[dlg3] 27/1/2018 16:57

not forgetting that VLS had a loss of around £17 million, they do have very little borrowings and £64 million in assets, but those assets are not worth a toss should the company go bust...

[dlg3] 27/1/2018 16:50

Brucie as for my son, so do I, he only trades 3 days a week, he has not the time, he is taking a degree at Google...

But my point was that if VLS can achieve a near 100 million market cap off 1.46 million turnover, then REDT by those standards should have a valuation of over 200 million..

[brucie5] 27/1/2018 16:41

dlg, please don't confuse me with Trout, or anyone else. I only have one title. Yes, point taken about VLS' market cap, though equally, we are overpriced here compared with any revenues, let alone profits. This is about potential, as yet to be realised.

It would be good to have a spreadsheet here illustrating the course to profitability. I know Alchemy is working on one. That phrase 'mega' sales still lingers rather too mysteriously in the air. How much; and where are they going to spring from?

As to your son, good on him. Wish I could achieve those sorts of returns!

B5.

[dlg3] 27/1/2018 15:29

my son earns £3,000 a day trading crpto !!!! with no expense... He started with 100 Euros and now averages over 40,000 a month.... perhaps TERN should start trading crypto.......my son says he would not mind launching his own crypto, will let you know if he does.... need to check out Interstellar Holdings....