Saul,
Recent post on that very same SZYM SA article by a long time share holder that I thought was interesting. (I use this type of comment to gain an historical perspective since I just jumped in on this stock in the recent pullback. If you have been a long term holder, it may not have as much value. (PS This is quite a ballsy investor. I have just under 2% of SZYM.)
"I am not a fan of having my ownership interest diluted, but I also don’t think it’s the last time we’ll see it. The growth opportunities are simply too compelling to wait for internal cash generation. It will take some management judgement to keep from getting overextended but so far, so good.
SZYM seems to be a good vehicle to illustrate different investment strategies. Toasty54 made a couple of statements that caught my eye. “Own it with money you can afford to lose” is one way to go. I prefer to operate with money I am confident I won’t need within the initial growth cycle of the business. I try not to invest unless I can find a convincing argument for increased value within my potential need for cash.
The other main difference is concentration. Toasty54 advocates a small position in unproven companies. I am confident enough of the risk reduction done over the past two years to have made this company over 30% of my investment portfolio. At 62, if I’m careful crossing the street, I’ll still need investment growth for the next 20 years. The promise of the technology, partnerships, and the management team makes me comfortable with SZYM as the largest position out of the 10 stocks held.
This is not written to challenge Toasty54, but simply to point out that there are strategic investing options to diversity. (Long SZYM, hopefully for a long time.)"